Plum Review: Investing With Plum: Fees, Returns & Real Experience
Plum is best known as a savings app — one that quietly moves small amounts out of your current account without you really noticing. And for that, it does a very good job.
But Plum also offers investing, including a Stocks & Shares ISA and a General Investment Account. So the real question is: is Plum actually good for investing, or is it just a stepping stone?
I’ve used Plum since 2018. I still have an account today — although I only keep around £120 invested now, and I’ll explain exactly why further down.
Plum investment review
One of the easiest ways to start investing little and often. Excellent for beginners and small balances, but the monthly fee makes it poor value as your money grows.
Pros
- Extremely easy to get started
- Start investing from as little as £1
- Ideal for beginners and nervous investors
- Automatic investing makes saving effortless
Cons
- £2.99 monthly subscription on top of fund fees
- Limited fund and portfolio choice
- Monthly fee becomes expensive for larger balances
- Not well suited to long-term or higher-value investing
How does Plum work?
Plum links to your current account and uses an algorithm to decide how much you can afford to save. It then transfers small amounts automatically — often every few days.
You can:
- increase or decrease saving levels
- pause savings at any time
- make manual top-ups
When money moves into Plum, it initially lands in a holding account. From there, you can route it into:
- cash savings
- investments
- a mix of both
This “out of sight, out of mind” approach is Plum’s biggest strength.
Find out more from my full Plum app review.
Plum investments explained
Plum lets you invest through:
- a Stocks & Shares ISA
- a General Investment Account (GIA)
- individual shares (more recent feature)
To access investing, you must be a paid subscriber, starting at £2.99 per month.
That subscription unlocks access to a small range of ready-made funds, each with a different risk level.
Plum investment funds (overview)
Plum keeps things deliberately simple. You won’t find hundreds of ETFs or obscure trackers — just a short list of themed funds.
Examples include:
- Tech Giants (high-risk, growth-focused)
- Balanced Bundle (mixed shares and bonds)
- Slow & Steady (lower risk)
- Clean & Green (responsible investing)
- American Dream (US-focused)
Riskier doesn’t always mean better returns — but historically, Tech Giants has been the standout performer.
This simplicity is great for beginners, but limiting once you know what you’re doing.
Plum investment fees (the important bit)
This is where Plum starts to fall down for investing.
You pay:
- £2.99 per month subscription (£35.88 per year)
- Fund management fees (varies by fund)
- Product provider fee via Plum’s investment partner
Across the funds, ongoing charges average around 0.5% per year, on top of the subscription.
That’s fine for small balances — but painful as your investments grow.
My experience investing with Plum
I started investing with Plum in August 2018, using two funds:
- Tech Giants (higher risk)
- Balanced Bundle (lower risk)
Any money Plum saved for me was split between the two.
I used a General Investment Account, because my main Stocks & Shares ISA was already with Fidelity (which I still use today).
Over time:
- Balanced Bundle returned just under 5%
- Tech Giants returned over 20% in its first year
Eventually, I moved everything into Tech Giants.
At its peak, my Plum investments were up around 35% over roughly 2½ years — an average of more than 13% per year.
Performance was strong. The issue wasn’t returns.
Why I now only keep around £120 invested
Despite the good performance, I stopped actively investing with Plum.
Why?
Tax and fees.
Because my Plum investments sat in a General Investment Account, they were potentially taxable. As my overall investments grew, that mattered.
More importantly, the £2.99 monthly fee simply didn’t make sense once balances increased. Paying nearly £36 a year on a small pot wipes out a lot of gains.
I moved the bulk of my investments into my Fidelity Stocks & Shares ISA, where fees scale better long term.
I still keep a small amount in Plum to test features — but it’s no longer a core investment platform for me.
Is Plum good for investing?
Yes — but with conditions.
Plum is good if:
- you’re new to investing
- you want to start with very small amounts
- you struggle to invest consistently
Plum is not ideal if:
- you’re building long-term wealth
- you already have a decent balance
- you want full control and low fees
For beginners, Plum removes friction. For serious investing, it becomes expensive.
Plum vs other investment options
If you’re investing small amounts and want automation, Plum works well.
If you’re ready to invest properly:
- I prefer Fidelity for long-term ISAs
- Plum works better as a stepping stone
- This is why I rate Plum lower than some other platforms in my best investment apps guide
Final verdict: Plum investment review
Plum is a great starting point, not a final destination.
It helped me get comfortable investing. It proved that small, regular contributions can grow meaningfully. But once my balances grew, the fees stopped making sense.
If you’re just starting out and want something easy — Plum is worth trying.
If you’re already investing or planning to build serious long-term wealth, there are better options.
If you’re serious about investing and you’re under 40, check out my J.P. Morgan Lifetime ISA review.
FAQ
Is Plum good for investing?
Plum is good for beginners who want to invest small amounts regularly. It removes friction and makes starting easy, but it becomes expensive compared to full investment platforms once your balance grows.
Does Plum offer a Stocks & Shares ISA?
Yes. Plum offers a Stocks & Shares ISA as well as a General Investment Account. You can only pay into one Stocks & Shares ISA per tax year.
What are Plum’s investment fees?
Plum charges a £2.99 monthly subscription to access investing. On top of this, you’ll also pay fund management and provider fees, typically averaging around 0.5% per year.
Can you lose money investing with Plum?
Yes. Like all investments, Plum portfolios can go down as well as up. Returns are not guaranteed, and short-term losses are possible.
Is Plum better than a traditional investment platform?
Plum is easier for beginners, but traditional platforms usually offer lower fees and more flexibility for long-term investing. Many users start with Plum and later move to a full investment platform.
Why did you stop investing with Plum?
I didn’t stop because of poor performance. I stopped because the subscription fee and tax considerations made it better value for me to invest through an ISA elsewhere.
