Hargreaves Lansdown vs InvestEngine (2026):
Fees, ETFs, and who wins
HL is the UK’s largest investment platform — broad, well-resourced, and priced accordingly. InvestEngine is ETF-only and charges almost nothing to run a DIY portfolio. The right choice depends almost entirely on what you want to hold and how often you trade.
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TL;DR
- You want stocks, investment trusts, and ETFs in one place.
- You need a SIPP or Junior ISA alongside your S&S ISA.
- You value strong research tools and a trusted name.
- Your portfolio is large enough that HL’s fee cap applies.
- You invest exclusively in ETFs — no stocks needed.
- You want the lowest possible cost on a DIY portfolio.
- You contribute monthly via a savings plan.
- You want a simple, distraction-free platform to buy and hold.
At a glance
A quick overview of the two platforms before we go into the detail that actually matters.
| Feature | Hargreaves Lansdown | InvestEngine |
|---|---|---|
| Regulated by | FCA (UK) | FCA (UK) |
| Investment types | Stocks, ETFs, funds, ITs, bonds | ETFs only |
| Platform fee (DIY) | 0.45%/yr (funds) · capped on shares | 0% on DIY account |
| ETF dealing fee | £11.95/trade (standard) | £0 |
| Stocks and Shares ISA | Yes | Yes (free) |
| SIPP | Yes | No |
| Managed portfolio option | Yes (via HL funds) | Yes (0.25%/yr) |
| Recurring investment / savings plan | Yes (£1.50/deal via regular investing) | Yes (free) |
| Fractional ETF shares | No | Yes |
| FSCS protection | Yes (up to £85,000) | Yes (up to £85,000) |
Where the cost gap actually comes from
The headline “commission-free” message from InvestEngine and the “capped fees” message from HL can obscure what investors actually pay. Here’s the real breakdown.
- Platform fee: 0.45%/yr on funds (no cap). 0.45%/yr on shares but capped at £45/yr. ETFs are treated as shares — cap applies.
- Dealing fee: £11.95/trade (0–9 trades/month). £8.95 at 10–19 trades. £5.95 at 20+ trades.
- Regular investing: £1.50 per order — sharply cheaper than the standard dealing fee.
- ISA fee: Included within the platform fee — no extra charge.
- DIY platform fee: 0% — no annual platform charge on the self-managed account.
- Dealing fee: £0 per ETF trade, including ISA accounts.
- Savings plan: £0 per automatic contribution — free recurring buys.
- Managed portfolio: 0.25%/yr if you want InvestEngine to manage allocation for you.
For ETFs and shares, HL caps platform fees at £45/year — so for large portfolios (roughly £200,000+), HL becomes competitively priced. But for the typical accumulation-phase investor with £10,000–£100,000, InvestEngine’s zero-fee model wins on cost at almost every portfolio size.
Investment range: where they diverge most
This is the fundamental product difference. It determines which platform can even serve your strategy.
- UK and international equities (individual stocks)
- ETFs — broad UCITS and US-listed range
- Investment trusts
- Unit trusts and OEICs (active funds)
- Corporate and government bonds
- Cash (with interest)
Full-service: you can build any kind of portfolio here.
- ETFs — wide UCITS ETF catalogue
- Fractional ETF shares supported
ETF-only by design — a deliberate constraint that keeps the platform focused and cheap.
No stocks, no investment trusts, no active funds, no bonds.
ISA, SIPP, and account options
Account availability matters for tax planning — especially if you want a SIPP or need to shelter gains across multiple wrappers.
| Account type | Hargreaves Lansdown | InvestEngine |
|---|---|---|
| Stocks and Shares ISA | Yes | Yes (free on DIY) |
| General Investment Account | Yes | Yes |
| SIPP (pension) | Yes | No |
| Junior ISA | Yes | No |
| Lifetime ISA | No | No |
| Business / corporate account | No | No |
Recurring investing: where InvestEngine has a clear edge
For investors who want to contribute monthly and leave the portfolio alone, recurring invest functionality matters — and the fee difference here is substantial.
HL offers a “Regular Savings” feature that allows monthly contributions at a reduced dealing fee of £1.50 per order — significantly cheaper than the standard £11.95. But it still costs £1.50 per ETF per month.
An investor buying two ETFs monthly pays £3/month — £36/year in recurring dealing fees alone.
InvestEngine’s savings plan is completely free — no dealing charge per contribution, regardless of how many ETFs are in the plan. Contributions execute automatically and fractional shares mean even small amounts are fully deployed.
For systematic monthly investors, this removes a meaningful recurring drag that compounds over a 10–20 year horizon.
Platform, research tools, and usability
- Comprehensive research hub: fund ratings, fund factsheets, news, analysis
- Mature web and mobile platforms — refined over decades
- Strong customer service including phone support
- Wealth shortlist of curated funds and ETFs
- Complex but feature-rich — not designed for simplicity
- Clean, minimal interface — built for ETF investors specifically
- No research noise: the platform pushes you toward holding, not trading
- Good ETF discovery and filtering tools
- Mobile app focused on recurring contributions and portfolio tracking
- Fewer tools, by design — simplicity is part of the value proposition
Who wins — and under what conditions
- You hold individual stocks or investment trusts — InvestEngine simply cannot do this.
- You need a SIPP for pension contributions alongside your ISA.
- You want a Junior ISA for a child’s portfolio.
- Your portfolio is large (£200,000+) and HL’s share fee cap makes it competitive.
- You value phone support and a well-resourced customer service team.
- Your portfolio is 100% ETFs and you want the lowest possible cost.
- You contribute monthly via a savings plan — free vs £1.50/order on HL.
- You want fractional ETF shares so every pound is deployed.
- You prefer a simple, distraction-free platform that encourages holding.
- You’re in the accumulation phase and cost drag matters most.
If you’re building a simple 1–3 ETF portfolio with monthly contributions over 10–20 years and do not need a SIPP or individual stocks, InvestEngine is the better choice. The cost difference compounds meaningfully over time, and the platform design reinforces the right behaviour.
HL makes sense the moment you need scope that InvestEngine cannot offer. That’s a real need for many investors — just not all of them.
Ready to open an account?
ETF-only and cost-focused? InvestEngine. Need stocks, a SIPP, or the broadest possible range? HL.
Go deeper
Frequently asked questions
Is InvestEngine better than Hargreaves Lansdown for ETF investing?
For ETF-only, passive investing, InvestEngine wins on cost: zero platform fee and zero dealing commissions on its DIY account. HL charges up to 0.45% per year plus dealing fees per trade. If you only want ETFs and contribute regularly, InvestEngine is significantly cheaper — especially during the accumulation phase when portfolio size is smaller and the HL fee cap has less impact.
Can I hold stocks and shares on InvestEngine?
No. InvestEngine is ETF-only. You cannot buy individual stocks, investment trusts, or bonds on the platform. If you need individual share access alongside ETFs, Hargreaves Lansdown or another full-service broker is required. This is a hard platform constraint — not a feature that might be added via settings.
Does Hargreaves Lansdown offer a stocks and shares ISA?
Yes. Hargreaves Lansdown offers a Stocks and Shares ISA, a SIPP, and a Junior ISA. InvestEngine also offers a Stocks and Shares ISA at no extra cost on the DIY account. Both ISAs shelter capital gains and dividend income from UK tax within the annual ISA allowance.
What are Hargreaves Lansdown’s ETF dealing fees?
HL charges £11.95 per ETF trade for investors making 0–9 trades per month. This drops to £8.95 for 10–19 trades and £5.95 for 20 or more trades per month. For regular investing via the dedicated savings feature, the fee is £1.50 per order — substantially cheaper, but still a recurring cost that InvestEngine does not charge at all.
Is InvestEngine available outside the UK?
InvestEngine is FCA-regulated and primarily serves UK residents. Availability for non-UK residents, including EU-based investors, is limited. If you are based in the EU, check InvestEngine’s current eligibility requirements on their website. EU investors more broadly should consider IBKR or DEGIRO as widely available, EU-regulated alternatives with strong ETF access.
QuantRoutine provides educational content only. Nothing on this page is an offer, solicitation, or recommendation to buy or sell any security or to open an account with any specific broker. Investments can lose value, and past performance does not guarantee future results. You are responsible for your own investment, tax, and legal decisions. Always review each broker’s current terms, fees, and eligibility on their official website before opening or funding an account.