In this article, we look at investment platforms Nutmeg and Hargreaves Lansdown*, comparing the products and services they offer, the cost and how well they are reviewed by customers.
We also show you the reader offer that gives you 12 months' free management fees with Nutmeg (terms and conditions apply).
Nutmeg vs Hargreaves Lansdown - which is better
| Nutmeg | Hargreaves Lansdown | |
| Services | Fixed Allocation portfolios
Fully Managed portfolios Socially Responsible portfolios Smart Alpha portfolios Thematic investing |
HL Select funds
Wealth Shortlist Ready-made portfolios Foreign currency exchange
|
| Products | ISA, GIA (General Investment Account), Lifetime ISA, Junior ISA and SIPP | Active Savings
Cash ISA Fund and share account ISA, GIA (General Investment Account), Lifetime ISA, Junior ISA, SIPP, Junior SIPP |
| Minimum investment | £500 (£100 for JISA and LISA) | £1 for a fund and share account
£100 for an ISA or SIPP (or a regular £25 per month) |
| Fees | On the value of your portfolio up to £100,000 - 0.75%
Over £100,000 - 0.35% Additional underlying fund charges |
On the value of your portfolio between £0-£250,000 there is a 0.45% annual charge.
Between £250,000-£1m - 0.25% per annum charge Between £1m-£2m - 0.10% per annum charge Over £2m - 0% per annum charge Additional underlying fund charges Dealing charges (based on deals completed in previous month): 0-9 deals - £11.95 10-19 deals - £8.95 20+ deals - £5.95 No charge for Junior ISA No charges for holding shares |
| Customer reviews (Trustpilot) | 4.2/5.0 | 4.2/5.0 |
| Money to the Masses offer | No management fees for 12 months (terms and conditions apply) | n/a |
Nutmeg vs Hargreaves Lansdown - services
Nutmeg has 10 risk-rated portfolios in its main Fully Managed range, as well as 10 socially responsible portfolios. However, it also has a Fixed Allocation range, which has minimal intervention, with the assets only reviewed once a year, as well as a Smart Alpha range, which has a more active approach, supported by J.P. Morgan Asset Management. Thematic Investing is also an option and it allows investors to invest in future trends such as technological innovation, resource transformation, and evolving consumer needs.
Hargreaves Lansdown, meanwhile, has 9 ready-made funds within its Portfolio Funds range. Investors can choose from income funds, multi-index funds, and actively managed funds. Investors who prefer to build their own portfolios can choose from a range of assets such as shares, funds, ETFs, and investment trusts to name a few. Those investors seeking a little more guidance can take a look at Haregeaves Lansdown's Wealth Shortlist made up of 69 funds carefully curated by the HL team based on criteria such as performance, the team behind the fund, ESG factors, and the companies' purpose and leadership.
Nutmeg vs Hargreaves Lansdown - products
In terms of the types of accounts available, both Nutmeg and Hargreaves Lansdown have ISAs, GIAs, Lifetime ISAs, Junior ISAs and SIPPs. In addition, Hargreaves Lansdown has a Junior SIPP, as well as savings options and a fund and share account.
If you are specifically interested in Junior SIPPs, there is more information in our article "What is a Junior SIPP - Children's pensions explained".
Nutmeg vs Hargreaves Lansdown - minimum investment
Nutmeg has a minimum investment requirement of £500, although this is reduced to £100 for its Lifetime ISA and Junior ISA. For Hargreaves Lansdown, its minimum investment starts at £1 for its fund and share account but rises to £100 (or £25 per month) for its ISA and SIPP.
Nutmeg vs Hargreaves Lansdown - fees
If you have a portfolio of up to £100,000, Hargreaves Lansdown is the cheaper option in terms of platform charges. However, once you go over £100,000 and before you go over £250,000, Nutmeg works out to be more cost-effective. Hargreaves Lansdown also offers investors the option to buy and sell shares, charging £11.95 per trade, although this cost falls if you make numerous trades per month.
Nutmeg vs Hargreaves Lansdown - customer reviews
Nutmeg and Hargreaves Lansdown are both rated highly on Trustpilot, with Nutmeg scoring 4.2 out of 5.0 based on more than 2,000 reviews and Hargreaves Lansdown scoring 4.2 out of 5.0 based on more than 11,000 reviews. Approximately 60% of reviewers gave Hargreaves Lansdown 5 stars, and roughly 70% of reviewers gave Nutmeg 5 stars. Of those who rated the platforms poorly, approximately 14% gave Nutmeg and Hargreaves Lansdown just 1 star. On both platforms, the positive reviews centred on customer service for both platforms, with the negative reviews mainly being related to issues with individual accounts or difficulties with resolving specific problems.
Summary - Nutmeg vs Hargreaves Lansdown
Nutmeg and Hargreaves Lansdown have quite different propositions, with Nutmeg a robo-adviser offering risk-rated funds and Hargreaves Lansdown a more traditional investment platform. Choosing between them, therefore, is largely down to what you are looking to do with your investments. If you are looking to achieve a balanced portfolio of passive investments that matches your appetite for risk, both Nutmeg and Hargreaves Lansdown have options that may suit your needs. For investors looking to build their own portfolio and invest in a wide range of assets, Hargreaves Lansdown may be the better option.
For more details on both platforms, read our Nutmeg review and Hargreaves Lansdown review.
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