If you are comparing wealth managers, the first question is almost always the same: what will it actually cost me? This guide sets out typical UK wealth management fees, what the major firms charge, and how to compare quotes fairly, with worked figures in pounds.
How much does a wealth manager cost in the UK?
A UK wealth manager typically charges an initial 1 to 3% of assets plus an ongoing 0.5 to 1% a year, with platform and fund costs adding roughly 0.2 to 0.7%. On a £500,000 portfolio that is about £5,000 to £15,000 initially and £3,500 to £8,500 a year all-in.
Most UK wealth managers charge as a percentage of the assets they manage for you. There are usually two layers: an initial fee when you first invest, and an ongoing annual fee for managing the portfolio and providing advice.
On top sit the costs of the underlying investments and the platform they are held on. These are separate from the adviser’s fee but come out of the same pot, so the number that matters is the all-in cost. Here is what that looks like at three portfolio sizes:
Portfolio | Initial fee (1-3%) | Ongoing fee (0.5-1%) | Platform + fund (0.2-0.7%) | Total year 1 | Ongoing per year |
£250,000 | £2,500 – £7,500 | £1,250 – £2,500 | £500 – £1,750 | £4,250 – £11,750 | £1,750 – £4,250 |
£500,000 | £5,000 – £15,000 | £2,500 – £5,000 | £1,000 – £3,500 | £8,500 – £23,500 | £3,500 – £8,500 |
£1,000,000 | £10,000 – £30,000 | £5,000 – £10,000 | £2,000 – £7,000 | £17,000 – £47,000 | £7,000 – £17,000 |
Ranges are wide because pricing structures vary and larger portfolios usually attract lower percentage rates. Always ask for your own all-in figure in pounds, not just the headline advice fee.
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How UK wealth managers charge: percentage vs fixed vs hourly
There are three main charging models.
- Percentage of assets: the most common. The fee scales with your portfolio, and often tiers down as the portfolio grows.
- Fixed fees: a set amount for a defined piece of work, such as a retirement plan or a one-off review. Increasingly common for financial planning work.
- Hourly rates: typically used for specific, contained advice. UK adviser hourly rates commonly sit in the region of £150 to £300.
None of these is automatically better. Percentage fees align the adviser with your portfolio but can become expensive on large sums. Fixed fees are transparent but need re-agreeing as your needs change.
Initial fees vs ongoing fees: what each covers
The initial fee pays for the upfront work: understanding your situation, building the financial plan, designing the portfolio, and implementing it, including any pension or ISA transfers.
The ongoing fee covers the continuing relationship: monitoring and rebalancing the portfolio, annual reviews, tax year planning, and access to your adviser as life changes. Under the FCA’s rules, if you pay an ongoing fee you must actually receive an ongoing service, so ask precisely what is included and how often you will be reviewed.
What do the major UK firms charge?
Published tariffs move around, so treat the figures below as indicative and check each firm’s current schedule before comparing. All entries should be confirmed at the date of publication.
Firm type | Initial | Ongoing (advice + management) | Notes |
Large national wealth manager | typically 1 – 3% | typically 1 – 2% all-in | Often bundles advice, management and platform |
National advice group / network | 1 – 3% | 0.5 – 1% advice plus costs | Structures vary widely by adviser |
Boutique / independent (like Ark) | Agreed per client | Typically 0.5 – 1% advice plus platform and fund costs | Usually unbundled and itemised |
The pattern that matters: bundled propositions can look simple but make comparison harder, while unbundled pricing lets you see exactly what the advice, the platform and the funds each cost.
The hidden costs: platform, fund, transaction and DFM charges
Beyond the advice fee, four costs quietly shape your all-in number.
- Platform fee: the cost of the service that holds your investments, typically around 0.15 to 0.45% a year.
- Fund charges (OCF): the ongoing cost of the funds themselves, from under 0.1% for trackers to 0.7% or more for active funds.
- Transaction costs: dealing costs inside funds and portfolios, usually small but not zero.
- DFM fees: if a discretionary fund manager runs the portfolio, their fee, often 0.2 to 0.5%, sits on top of the advice fee.
A proposition quoting a low advice fee can still be expensive all-in once these are added. Insist on a single, total figure.
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Is a wealth manager worth it? Fair value under the FCA's Consumer Duty
Under the FCA’s Consumer Duty, firms must be able to show their charges represent fair value for the service actually delivered. That gives you a useful lens: what are you getting for the fee?
Good wealth management is not just portfolio returns. It is tax efficiency across pensions, ISAs and general accounts, behavioural discipline in bad markets, retirement income structuring, and estate planning. For many clients those elements are worth more than the fee; for someone with simple needs and a single ISA, they may not be. The honest answer depends on the complexity of your situation.
How to compare quotes like-for-like
When you have two or three proposals in front of you, put them on the same footing.
- Ask each firm for the total, all-in annual cost in pounds on your actual portfolio value.
- Separate the layers: advice, platform, funds, and any DFM fee.
- Confirm what the ongoing service includes and how often you are reviewed.
- Check for exit fees or tie-ins before you sign.
For a broader look at advice pricing generally, see our guide on how financial advice fees work, and for what a full service includes, see our wealth management service.
Frequently Asked Questions
Is 1% a fair wealth management fee?
Are fixed fees better than percentage fees?
What is the average cost of financial advice in the UK?
Can I negotiate wealth manager fees?
Know exactly what you are paying for
Wealth management fees are neither good nor bad in isolation. What matters is the all-in cost, the service behind it, and whether that combination is fair value for your situation.
If you would like a clear, itemised quote for your own portfolio, with every layer of cost set out in pounds, get in touch with Ark Wealth Management.
This article is for information only and does not constitute personal financial advice. Tax treatment depends on individual circumstances and may change. Ark Wealth Management is an Appointed Representative of Quilter Financial Services Ltd and is authorised and regulated by the Financial Conduct Authority.
Sources Used
- MoneyHelper, Paying for financial advice
- FCA, Consumer Duty
- Ark Wealth Management, How much does financial advice cost
- Current typical hourly adviser rates (MoneyHelper) and named firm tariff ranges before publishing.
Ready to move forward with confidence?
We would be pleased to learn more about your plans and show how we can support you.