Hargreaves Lansdown launches cheaper alternative to existing managed fund range – is it any good?

Hargreaves Lansdown is expanding its range of managed funds with a cheaper, index-focused alternative. How does it compare to other products on the market?

Woman checks investment performance on her smartphone.
(Image credit: Oatawa via Getty Images)

Investment platform Hargreaves Lansdown (HL) is expanding its range of managed funds with a cheaper, index-focused alternative. The new funds are a partnership with $10 trillion asset management firm, BlackRock. 

The fund launch includes four ready-made, expert-managed portfolios, which will be available from 6 June, 2024. Clients can hold HL’s new products in a range of wrappers, including ISAs and SIPPs.

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FundAccount feeInvestment costsTotal annual costs on a £20,000 investment
HL’s new managed index portfolioUp to 0.45%Capped at 0.30%£150
HL’s existing managed portfolio (which includes active products)Up to 0.45%0.91-1.00% (depending on which investment style you choose)£272-290
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ProviderAccount fee (including any management fee)Investment costsTotal annual costs
HL (managed index solution)Up to 0.45%Capped at 0.30%£150
Interactive investor£4.99 per month0.19%£98
Vanguard0.45%0.15%£120
Wealthify0.60%0.16% for the original plan, 0.7% for the ethical plan£152 (original plan); £260 (ethical plan)
Nutmeg0.45-0.75% (depending on the fund you go for)0.20-0.31% (depending on the fund you go for)£130-212
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ProviderAccount fee (including any management fee)Investment costsTotal annual costs
HL (managed index solution)Up to 0.45%Capped at 0.30%£75
Interactive investor£4.99 per month0.19%£79
Vanguard0.45%0.15%£60
Wealthify0.60%0.16% for the original plan, 0.7% for the ethical plan£76
Nutmeg0.45-0.75% (depending on the fund you go for)0.20-0.31% (depending on the fund you go for)£65-106
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WrapperAccount fee
ISAUp to 0.45%
Lifetime ISAUp to 0.25%
Junior ISANo account fee
SIPPUp to 0.45%
Fund and share accountUp to 0.45%
Katie Williams
Staff Writer

Katie has a background in investment writing and is interested in everything to do with personal finance, politics, and investing. She enjoys translating complex topics into easy-to-understand stories to help people make the most of their money.

Katie believes investing shouldn’t be complicated, and that demystifying it can help normal people improve their lives.

Before joining the MoneyWeek team, Katie worked as an investment writer at Invesco, a global asset management firm. She joined the company as a graduate in 2019. While there, she wrote about the global economy, bond markets, alternative investments and UK equities.

Katie loves writing and studied English at the University of Cambridge. Outside of work, she enjoys going to the theatre, reading novels, travelling and trying new restaurants with friends.