Hargreaves Lansdown review

Hargreaves Lansdown is the UK's biggest and most comprehensive wealth manager, so it's not the cheapest. We cover everything in this review.

Updated

Fact checked
Hargreaves Lansdown

Finder rating ★★★★★

Hargreaves Lansdown is a leading investment service company.

We liked…

  • Mobile app lets you easily manage your investments online
  • Useful tools that can help you find new investment opportunities
  • No inactivity fee

But watch out for…

  • £11.95 per trade
All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Capital is at risk.
Promoted
Hargreaves Lansdown

Easy, low-cost account with the UK's biggest investment platform Hargreaves Lansdown

  • UK’s largest investment manager with huge range of investments
  • Invest in funds, global shares, bonds, ETFs and more
  • Detailed online resources and Bristol-based helpdesk available
  • Open an account in minutes with your debit card and NI number

What is Hargreaves Lansdown?

Hargreaves Lansdown is a leading “investment supermarket” for private investors. It is trusted with £82 billion worth of investment by 983,000 clients. Hargreaves Lansdown has been listed as one of our best trading apps of 2020.

The Fund & Share Account is a low cost, flexible investment account that allows you to deal, manage and hold a wide range of investments. It is aimed at those comfortable making their own investment decisions, without financial advice. There’s also a self invested personal pension (SIPP), junior SIPP and several different ISAs available.

Read on to find out more about Hargreaves Lansdown, and whether it might be the right investment solution for you.

How does Hargreaves Lansdown work?

To start investing with Hargreaves Lansdown, you’ll need to open an account.
The right account for you will depend on your goals. You might be saving for the future, for a pension pot or for your child.
Hargreaves Lansdown can help you narrow things down and find the right account, allowing you to compare accounts and tick things which apply to you.
To open an account with Hargreaves Lansdown, you’ll need:

  • Your National Insurance number
  • Your debit card details
  • Your bank details to set up monthly payments

What products does Hargreaves Lansdown offer?

Hargreaves Lansdown offers 7 products:

  • Stocks and shares ISA
  • Junior ISA
  • Lifetime ISA
  • Self-invested personal pension
  • Junior SIPP
  • Share dealing account
  • Active savings

What can you invest in with Hargreaves Lansdown?

Hargreaves Lansdown individual savings accounts

As with all ISAs, you get an annual allowance. This is the amount of money you can invest in the tax-year, of which all of your profits are tax-free. Once you’ve used up your ISA allowance for the year, you can continue investing with a general investment account. Different types of ISA have different allowances, which we detail below.

Stocks and shares ISA

Your annual allowance for a stocks and shares ISA is £20,000 in both the 2019/2020 tax year and the 2020/2021 tax year.

With Hargreaves Lansdown’s stocks and shares ISA you can choose to either create a DIY portfolio or use a ready-made portfolio based on your goals and attitude to risk.

Benefits of a DIY portfolio include:

  • You decide which shares to buy and sell
  • Hargreaves Lansdown’s research helps you make decisions
  • Start with £100 or £25 per month

Benefits of ready-made portfolios include:

  • Have a portfolio based on your risk appetite
  • Hargreaves Lansdown will buy and sell investments for you.
  • Start with £1,000.

Lifetime ISA (LISA)

Lifetime ISAs are for investing for your first home or for your retirement. You can choose between a stocks and share LISA or a cash ISA.

Your annual allowance for a LISA is £4,000 in each tax year. The government will add an additional 25%. This allowance is included in the £20,000 stocks and shares ISA allowance, so if you invest £4,000 in a LISA, you only have £16,000 remaining for the year.

Junior ISA (JISA)

The allowance for the 2019/2020 tax year is £4,368. It goes up to £9,000 for the 2020/2021 tax year. This means that you can save up to this much in your child’s junior ISA without paying any tax on the earnings.
The junior ISA is for children under 18 years old. It’s managed by a legal parent or guardian, until the child turns 18, when it is automatically transferred to them. Benefits of the JISA include:

  • Invest up to the annual allowance without paying tax on earnings
  • Friends and family can pay money in
  • Start with £100 or £25 per month.

Hargreaves Lansdown pensions, annuities and drawdown options

Self-invested personal pension (SIPP)

Self invested personal pensions are suitable for people who want to make their own investment decisions – this means it’s in your hands – there’s no hand holding. If you don’t know what to invest in, or if an investment is right for you, HL does have advisors that can help you, although this is at an additional charge.

You’ll get the same tax relief with a SIPP as you do with other pensions. You can add up to £40,000 to your pension (if you’re a UK resident under 75).

Junior SIPP

For the ultra-orgnanised parent or guardian, you have the option to open your child a junior SIPP. This works pretty much like the Junior ISA and the SIPP combined – there’s a £3,600 allowance per child per tax year, of which the government will pay 20% tax relief. The “child” (they won’t be a child by the time) can only access the money when they turn 55 (57 from 2028).

If you’re looking for a way to invest in your child’s long term future, this could be suitable. If you’d prefer them to have access to the funds when they’re eighteen, consider the Junior ISA instead.

Retirement options

For those who are about to retire, HL offers:

  • Annuity (a guaranteed income for life, in return for a pot of pension savings)
  • Drawdown (where you “draw down” funds from your invested pension pot to give you an income)

Share dealing: Fund and Share account

Hargreaves Lansdown’s fund and share account lets you buy and sell shares, investment trusts, exchange traded funds and bonds. You build your portfolio yourself.
Benefits to a Fund and Share account includes:

  • Easily manage investments online, through the HL app or by phone
  • Free to hold shares
  • Discover investment opportunities with a wide range of tools

Cash savings

Hargreaves Lansdown offers a service called “Active Savings” which gives you returns on cash savings. Instead of having to shop around for savings accounts and move your savings yourself, Hargreaves Lansdown allows you to swap to a new savings account with a better rate without all the hassle. This is a nice service, and allows you to make the most out of the offers on the market.

Does Hargreaves Lansdown have an app?

Yes. And it’s pretty good, too! It uses Face ID and fingerprint technology to keep it secure. Some things you can do with the Hargreaves Lansdown app include:

  • See live share prices
  • Trade on the go
  • Keep an eye on specific investments.
  • Manage your investments
  • View your history
  • Top up

The Hargreaves Lansdown app is available on iOS and Android.

Hargreaves Lansdown fees and charges

How safe is my investment with Hargreaves Lansdown?

When it comes to security, Hargreaves Lansdown is trusted by thousands of customers and is considered to be a secure FTSE 100 company that has been managing investments for 35 years.

Your investments are covered by the Financial Services Compensation Scheme, which means that you’ll be able to claim up to £85,000 if Hargreaves Lansdown were to go bust .

How do I decide which account is for me?

You need to work out what it is you want from your investment. Are you looking to put a bit of money away each month? Do you want returns on your investment?

You need to work out what you need before comparing the different offers available. Once you’ve done that, useful guidelines to compare include:

  • Where you can invest
  • Fees (if there are any)
  • Access to ISAs
  • Potential Returns

Pros and cons

Pros

  • Plenty of investment options
  • Great educational tools to help beginners find their way around
  • Charging caps if you hold shares

Cons

  • No demo account available.
  • Fees can be quite high for ETFs.

Our verdict

Hargreaves Lansdown has everything you could ask for in an investment platform. it was built with both experienced investors and beginners in mind, with plenty of educational tools and some options for those who want a bit of hand-holding along the way.

There isn’t a demo account available, though. You’d need to use a different platform if you want to try out share trading with virtual funds.

Compare share trading options

Table: sorted by promoted deals first
Data indicated here is updated regularly
Name Product Price per trade Frequent trader rate Platform fees Brand description
Fineco
£2.95
£2.95
Zero platform fee
Fineco Bank is good for share traders and investors looking for a complete platform and wide offer. Your first 50 trades are free with Fineco, until 30/09/2020. T&Cs apply. Capital at risk.
IG
0% commission on US shares, and £3 on UK shares
From £5
£0 - £24 per quarter
IG is good for experienced traders, and offers learning resources for beginners, all with wide access to shares, ETFs and funds. Capital at risk.
Hargreaves Lansdown Fund & Share Account
£11.95
£5.95
Transfer out fee
Hargreaves Lansdown is the UK's biggest wealth manager, with the depth of features you'd expect from an established platform. Capital at risk.
eToro Free Stocks
0% commission, no markup, no ticket fee, no management fee
N/A
Withdrawal fee & GDP to USD deposit conversion
eToro is good for social trading - letting you mirror the portfolios of other traders. Capital at risk. 0% commission but other fees may apply.
Interactive Investor
From £7.99 on the Investor Service Plan
From £7.99 on the Investor Service Plan
No transfer fees or exit fees. £9.99 a month on the Investor Service Plan
Capital at risk.
loading

Compare up to 4 providers

Data indicated here is updated regularly
Name Product Minimum deposit Maximum annual fee Price per trade Brand description
Hargreaves Lansdown stocks and shares ISA
£100
0.45%
£11.95
Hargreaves Lansdown is the UK's biggest wealth manager. It's got everything you'll need, from beginners to experienced investors. Capital at risk.
Interactive Investor stocks and shares ISA
£100 or £25 a month
£119.88
£7.99
Interactive Investor offers everything most investors need. Its flat fees makes it pricey for small portfolios, but cheap for big ones. Capital at risk.
Saxo Markets stocks and shares ISA
No minimum deposit requirement
0.12%
£8.00
Saxo Markets offers a wide access to a range of stocks, ETFs and funds. Capital at risk.
AJ Bell stocks and shares ISA
£500
0.25%
£9.95
AJ Bell is a good all-rounder for people who to choose between shares, funds, ISAs and pensions. Capital at risk.
Fidelity stocks and shares ISA
£1000 or a regular savings plan from £50
0.35%
£10.00
Fidelity is another good all-rounder, offering a good package at a decent price. Not suited for trading shares. Capital at risk.
Nutmeg stocks and shares ISA
£100
0.75%
£0
Nutmeg offers three types of portfolios. Choose the one that goes with your investment style. Capital at risk.
loading

Compare up to 4 providers

Data indicated here is updated regularly
Name Product Minimum investment Choose from Annual fee Brand description
PensionBee Pension
No minimum
7 funds
0.5% - 0.95%
Pension Bee is a newbie in the pension market. It helps consolidate your pension plans into one place. Capital at risk.
Hargreaves Lansdown Pension
£100
2,500 funds
0-0.45%
Hargreaves Lansdown is the UK's biggest wealth manager. It's got three different retirement options. Capital at risk.
Interactive Investor Pension
£25/month
Over 2,500 funds
£10/month
interactive investor is a flat-fee platform, which makes it cost effective for larger portfolios. Capital at risk.
Saxo Markets Pension
Saxo Markets Pension
£10
Over 11,000 funds
No annual fee
Saxo Markets gives flexibility and control over your investment strategy. Capital at risk.
AJ Bell Pension
£1,000
Over 2,000 funds
0.05-0.25%
AJ Bell has two different pension options, a self managed pension and one that is managed for you. Capital at risk.
Moneybox Pension
£1
3 funds
0.15% - 0.45% charged monthly
Manage your money with an easy-to-use Moneybox app. Capital at risk.
Moneyfarm Pension
Moneyfarm Pension
0.35%-0.75%
7 funds
£1,500 (initial investment)
Moneyfarm has pensions that are matched against your risk appetite, goals and planned retirement date. Capital at risk.
loading

Compare up to 4 providers

All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Capital is at risk.

Frequently asked questions

All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Capital is at risk.
Go to site