Wealthify is the cheapest of the three robos at 0.6% management fee + ~0.16% fund OCF = ~0.76% all-in. Nutmeg and Moneyfarm sit around 0.95-1.00% all-in for active/managed portfolios. All three are well below human financial advisers (1-2% + fund costs) but well above DIY ETF investing on Vanguard or Trading 212 (~0.20-0.30% all-in). Robo fees are reasonable for “hands-off” investing but compound expensively over decades.
The three robo-advisors compared
| Nutmeg | Wealthify | Moneyfarm | |
|---|---|---|---|
| Owned by | JP Morgan | Aviva | Allianz (Italy / UK) |
| Management fee — managed portfolio | 0.75% (<£100k); 0.35% (above) | 0.60% | 0.75% (<£10k) → 0.35% (above £500k) |
| Management fee — fixed allocation | 0.45% | 0.60% (no fixed) | 0.45% |
| Average fund OCF | ~0.20% | ~0.16% | ~0.20% |
| Typical all-in cost | ~0.95% managed / 0.65% fixed | ~0.76% | ~0.95% on first £10k, sliding |
| Min investment | £500 | £1 | £500 |
| Wrappers | ISA, JISA, LISA, SIPP, GIA | ISA, JISA, GIA | ISA, JISA, SIPP, GIA, Pension consolidation |
| Portfolio range | 10 managed / 5 fixed / 5 SRI | 5 risk levels / Ethical option | 7 risk levels |
| UK-regulated since | 2011 | 2016 | 2016 (UK arm) |
| FSCS protected | Up to £85,000 | Up to £85,000 | Up to £85,000 |
The cost gap vs DIY over 30 years
Robo-advisor fees seem small annually but compound brutally over decades. Same £500/month, same 7% nominal market return, same 30-year horizon:
| Platform | All-in annual cost | Pot after 30 years | Vs DIY benchmark |
|---|---|---|---|
| Trading 212 / InvestEngine DIY | 0.07-0.22% | ~£580,000 | (benchmark) |
| Vanguard Invest | 0.22% | ~£574,000 | −£6,000 |
| Wealthify | 0.76% | ~£517,000 | −£63,000 |
| Nutmeg / Moneyfarm | ~0.95% | ~£492,000 | −£88,000 |
| Traditional adviser (1.5%) | 1.5% | ~£436,000 | −£144,000 |
So choosing Moneyfarm over Trading 212 for a 30-year £500/month plan costs around £88,000 in lost compound growth. The question is whether that “cost of managed convenience” is worth it for your specific situation.
When robo-advisors make genuine sense
- You wouldn’t otherwise invest. If the alternative is leaving money in cash because choosing funds feels overwhelming, the 0.7-1% fee is well worth paying. Investing badly beats not investing at all.
- You panic during downturns. If you’d sell out of investments during a -20% market move, the robo-advisor’s “automatic” rebalancing and lack of constant portfolio visibility may protect you from yourself.
- You want a SRI / ESG-screened portfolio. Nutmeg and Wealthify both offer pre-built ethical portfolios. Building this yourself with ETFs is doable but more work.
- You have a small balance and want diversification. Below £5,000, a single ETF holding is fine — but a robo-advisor gives you 8-12 ETFs of diversification automatically.
- Junior ISA or LISA wrapper. Nutmeg is one of the few platforms offering a managed LISA. Wealthify and Moneyfarm both offer managed JISAs.
When robo-advisors are not worth it
- You’d invest anyway. If you’re already comfortable opening an ISA, picking a global tracker, and ignoring it — pay 0.15% on Vanguard Invest or 0% on Trading 212 instead.
- Large portfolio. Above £100k, the fee gap becomes punitive in absolute terms. £100k in Moneyfarm at 0.95% = £950/yr. £100k in a single Vanguard ETF on Trading 212 = ~£70/yr.
- Long horizon. 30+ years of compounding the fee gap costs tens of thousands of pounds. The longer the horizon, the bigger the case for DIY.
- Active stock picking is the goal. Robo-advisors don’t let you pick individual stocks. If that’s what you want, use Trading 212 or Freetrade.
Decision framework
Choose Wealthify if you...
Best for: ...want the cheapest robo, are happy with 5 risk levels, want JISA available
Wealthify is 0.6% mgmt vs 0.75% at Nutmeg/Moneyfarm under £100k. The Aviva ownership gives it institutional backing. Portfolio range is the simplest of the three.
Choose Nutmeg if you...
Best for: ...want LISA wrapper, want most portfolio variety, value JP Morgan backing
Nutmeg offers a managed Lifetime ISA — rare for robo-advisors. The 10 managed + 5 fixed + 5 SRI = 20 portfolios is the broadest range of any UK robo. JP Morgan’s 2021 acquisition added institutional reassurance.
Choose Moneyfarm if you...
Best for: ...want pension consolidation help, prefer human contact, are aiming for <£10k starter then large balance
Moneyfarm offers actual investment consultants you can speak to — a hybrid robo / adviser model. Pension consolidation is included for SIPP customers.
Choose none of them if you...
Best for: ...already understand ETF investing and have a single goal
A single ETF on Trading 212 or Vanguard achieves 90% of what a robo-advisor delivers at 10-25% of the cost. The case for robos is convenience, not performance.
Decide between DIY and robo
The ISA vs GIA calculator and pension calculator show how fees compound over your specific horizon — the real cost of paying for managed convenience.
Open the pension calculator →How we built this comparison
Fee and feature data is taken directly from each provider’s published website as of 2026-05-12. UK Tax Drag has no commercial relationship with any platform listed — no affiliate links, no referral codes, no sponsored content. The methodology page documents our comparison standards. The independence page confirms our funding model.
This page is educational only and is not regulated financial advice. The choice of platform depends on your personal circumstances, investment style, and balance. Always read the provider’s key facts document and verify the latest fees before opening an account. Past performance is not a guide to future returns. Investments can fall as well as rise.
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