Monthly subscription models allow you to spread the cost of subscriptions to magazines, music streaming services, and television and film packages. But many investors would not associate paying a monthly subscription with investment platform fees. However, in April, Interactive Investor announced it was switching to a “Netflix-like” monthly flat fee pricing model, replacing its quarterly fee, which financial services consultancy The Lang Cat says could save investors £30,000 over 30 years, compared with Interactive Investor’s largest competitor.
Interactive Investor's new pricing model offers customers three service plans: the Investor for £9.99 a month, the Funds Fan for £13.99 a month and the Super Investor for £19.99 a month.
Trading costs for customers across all three plans are lower than they used to be. With the Investor plan, investors get one free trade per month, after which it is £7.99 per trade, down from £10 previously. With the Funds Fan plan, investors get two free fund trades per month (this includes investment trusts, but not ETFs), after which each fund trade is £3.99, while Super Investor plan customers get two free trades across UK shares, funds and ETFs before paying £3.99 per trade.