Demystifying our charges

4 min read 16 Jun 25

By M&G Investments

Please see our glossary for information on the financial terms used in this article.

At M&G Investments, we believe investing should be straightforward, and that includes understanding the costs involved. In this article, we break down the different ways to invest in M&G funds and the associated charges, so you can choose the option that works best for you.

Figuring out which way works for you may involve giving consideration to:

How you want to manage your investments both now and in the future - do you want to self-serve online or do you prefer phone and postal support?
Whether you want to only pay for the specific service you are using and want, and can you access the same fund cheaper with a supporting service that works for you?
If you want to invest only in M&G funds or if you need access to other fund providers
Your initial investment amount

How to invest and hold M&G funds

You can invest in M&G OEIC (Open-Ended Investment Company) funds through a tax-efficient ISA (Individual Savings Account) wrapper or directly via an unwrapped product, such as an OEIC or GIA (General Investment Account).

You have flexibility in how you manage your investments, whether you prefer:

Online self-service and digital correspondence
Speaking to someone over the phone
Receiving written correspondence by post
A combination of these options (where available)

Think about what works best for you and how you might manage other financial products. You can always make changes to how you invest should your circumstances or preferences change in the future.

Your investment options

Broadly, there are three main ways you can invest in M&G retail funds, each offering different levels of service and corresponding charges:

Option 1: myM&G – our lower cost online investment service

MyM&G is our lower cost online investment service. It is for those direct (non-advised) customers who are comfortable managing their investments online.

Key features:

24/7 online access to all your M&G investments via a personalised dashboard
No extra costs to top up, switch or sell your investments at any time
Start investing or set up regular monthly contributions from just £1
Go paperless with all documents posted to your online account or emailed to you directly
Online chat, secure message and email facilities to speak with our Investor Services team
Optional monthly e-newsletters covering a range of investment topics including new M&G funds, educational articles and service information to support you on your investment journey. You can unsubscribe at any time.

Charges – You’ll only pay an ongoing charge plus a share of portfolio transaction costs (the costs incurred when funds buy and sell investments).

Funds – You are only able to access funds from M&G Investments.

Option 2: M&G – traditional offline investor service

Our traditional M&G offline investor service is for both direct and advised customers who are comfortable managing their own investments over the phone or by post. With this option, you can also view your investments online via the read-only My Account service.

Key features:

Investment instructions during working hours
Register for our My Account service for 24/7 access to your investment valuation and full transaction history, switch funds or products, sell your investments, and change your personal details online*
Documents sent by post
New investments from £500 and regular contributions from £10
No extra costs to top up, switch or sell your investments at any time
Telephone, post or email facilities to speak with our Customer Relations team
Optional monthly e-newsletters covering a range of investment topics including new M&G funds, educational articles and service information to support you on your investment journey. You can unsubscribe at any time.

Charges – You’ll only pay an ongoing charge plus a share of portfolio transaction costs (the costs incurred when funds buy and sell investments).

Funds – You are only able to access funds from M&G Investments.

*Please note that it is not currently possible to top up your investment online using this option.

Option 3: Investing through a third-party platform

With this option, you need to be comfortable managing your own investments. Each platform will have their own service proposition (online, telephone, paper, or sometimes a combination of options is available).

Charges – You will pay an ongoing charge plus a share of portfolio transaction costs (the costs incurred when funds buy and sell investments). Crucially, you will also pay a separate ‘platform fee’ to the third-party provider. These vary with each third-party platform provider; sometimes these are fixed monetary amounts, sometimes they are percentage based and other times there’s more than one additional charge depending on what you would like to do.

Funds – Depending on the platform selected, you can normally access investment funds from a wide range of fund management companies.

Comparing your options: an example of charges

To help illustrate the differences, here’s an example of the ongoing charges for a £10,000 investment in three M&G funds (as at April 2025):

Fund name	Asset class	Option 1: myM&G	Option 2: M&G	Option 3: Third-party platform
		Sterling Class R Shares	Sterling Class A Shares	Sterling Class I Shares
M&G Recovery Fund	Equity	0.95% (£95)	1.10% (£110)	0.70% (£70) + platform fee
M&G Corporate Bond Fund	Bond	0.70% (£70)	0.85% (£85)	0.45% (£45) + platform fee
M&G Episode Growth Fund	Multi Asset	0.90% (£90)	1.05% (£105)	0.65% (£65) + platform fee

Charges as at April 2025. Figures in brackets show the annual ongoing charge for a £10,000 investment.

As you can see from the table above, investing through our low cost myM&G investor service (R share class) could mean paying 0.15% less in ongoing charges compared to the traditional M&G offline service (A share class). This is because myM&G is primarily an online service, allowing us to pass on cost savings. A 0.15% reduction on a £10,000 investment equates to £15 a year, which stays invested to help your money grow.

Whilst investing through a third-party provider (I share class) often has the lowest ongoing charge, it’s important to remember investing via a third-party platform will incur a platform fee on top of the figures quoted. This combined fee could be more or less than both the A or R share class, so it’s essential to consider what truly matters to you and ensure the overall fee you are paying is competitive.

For more information on the different M&G share classes, visit our Share classes page.

Our commitment to value

M&G’s purpose is to give everyone real confidence to put their money to work. Delivering value is a key aspect of this.

The M&G Securities Limited (MGSL) Board conducts an annual assessment of the value provided to investors in each of our UK-based funds. It is designed to help you understand whether our charges are justified in the context of the overall service we deliver. Read our latest Annual Value Assessment.

Making the right choice for you

Once you have weighed up the options, all which may have advantages and disadvantages based on your personal circumstances, you can invest your money and manage your investments in a way that works for you.

There’s a lot to consider, and if you’re unsure about what option is right for you, you should speak to a Financial Adviser who will be able to help you decide on the right option for your circumstances. Get financial advice.

The value of investments will fluctuate, which will cause prices to fall as well as rise and you may not get back the original amount you invested. We are unable to give financial advice. If you are unsure about the suitability of your investment, speak to your financial adviser. The views expressed here should not be taken as a recommendation, advice or forecast.