interactive investor Managed ISA

The interactive investor Managed ISA is a stocks and shares ISA where the investments are chosen and run for you. interactive investor describes it as an "expertly managed, hands-off way to invest in a Stocks and Shares ISA", and says it matches you to one of 10 investment portfolios rather than leaving you to pick funds and shares yourself¹.

It sits inside the same ISA wrapper as any other stocks and shares ISA, so the usual tax treatment applies, and it is one of several routes into the market that interactive investor offers alongside its self-managed Stocks & Shares ISA. The provider charges a flat monthly fee rather than a percentage of your portfolio, and it says you will always pay a low, flat fee¹.

This page covers what the service is, how the managed process works, how the charging structure is built, who can open one, how to apply or move an existing ISA across, what protection applies, and what to do if something goes wrong. The provider's own site carries today's prices and portfolio details.

What the ii Managed ISA is and who it is for

A managed ISA is a stocks and shares ISA where someone else makes the investment decisions. The money stays in your name inside the ISA wrapper, and the tax treatment that applies to a stocks and shares ISA applies here too, but you are not choosing the funds or shares. interactive investor's own description is that the service offers an "expertly managed, hands-off way to invest in a Stocks and Shares ISA"¹.

That places it in a category rather than on its own. Other providers run comparable services: Vanguard, for example, says its Managed ISA is "designed for everyone from beginners to those who are already invested", and describes a process of working out your risk profile, matching you with suitable investments and then handling the rest⁴. The same broad shape applies across the market: you answer questions about your circumstances and attitude to risk, the provider maps that to a portfolio, and the portfolio is run for you.

Who it tends to suit comes down to circumstance rather than preference. A managed route fits someone who wants exposure to investments but does not want to research and monitor funds, or who would rather not make ongoing buy and sell decisions. A self-managed ISA fits someone who wants to choose holdings directly. interactive investor sets out the difference plainly on its own pages: with a self-managed ISA, "You manage your own portfolio", while the managed route offers "Guidance from our investment experts"⁵.

Two limits are worth knowing before you go further. First, a managed service is not advice. interactive investor states that it does not offer advice and that any decision to invest is based on your own personal circumstances, including how long you intend to invest³. Second, the value of investments can fall as well as rise, and a managed portfolio does not remove market risk. What it removes is the day-to-day decision-making.

How the managed process works

The mechanics are straightforward. You open a stocks and shares ISA, answer questions about your circumstances and how much risk you are willing to take, and the provider allocates you to a portfolio. interactive investor says it matches you to one of 10 investment portfolios¹. From that point the provider runs the investments; you are not placing trades on individual holdings.

That is the same structure other providers describe. Vanguard's account of its own managed service is that it starts "by helping you understand your risk profile, then match you with suitable investments and then we handle the rest"⁴. The wording differs, the sequence does not: assess, allocate, run.

If you already hold a Stocks & Shares ISA with interactive investor, you do not have to start again. The provider states that you can add a Managed ISA to your existing plan at no extra cost¹. That matters because it means the managed service can sit alongside holdings you already own rather than replacing them.

Switching between self-managed and managed is also a normal move elsewhere in the market. Vanguard, for instance, tells customers they can "Switch to Managed at any time"⁵. The general principle is that the ISA wrapper stays intact and the way the investments are run changes.

How the fees and charges work

The charging model is the part of a managed ISA that most affects what you keep over time, and interactive investor's model is unusual in shape. Rather than taking a percentage of your portfolio each year, the provider charges a flat monthly fee. Its own wording is that "Unlike percentage-based fees charged by many ISA providers, with ii you will always pay a low, flat fee"¹. The same flat-fee structure applies across its ISA range: "With an ii Stocks and Shares ISA, you will pay a flat fee per month"⁶.

There are two layers to understand. The first is the plan fee, which is what you pay interactive investor for holding and administering the account. That second layer is a percentage, so it does scale with the size of your holding even though the plan fee does not.

Because these figures change, and because the plan structure has been revised, the provider's own site is the place to check today's numbers. interactive investor simplified its flat-fee pricing model in April 2026, combining Stocks & Shares ISAs, SIPPs and General Investment Accounts within a single monthly fee⁷. It also states that once you have an account, you do not pay any more for an ISA³.

Two further points on cost. Trading inside the account is not the main event in a managed ISA, because the provider runs the investments, but the wider account does carry dealing charges: interactive investor gives one free trade per month to buy or sell any investment, including Quick-start Funds, with additional trades usually costing £3.99³. And if you ever move the ISA elsewhere, exit fees are a market feature rather than an interactive investor one: Which? found some providers charging exit fees ranging from £15 to £30 per holding, while most providers charge nothing⁴.

Who can apply and how to apply

The eligibility rules for an interactive investor account are set out on the provider's own pages. To open an investment account you must be 18 or over and either a UK, Channel Islands or Isle of Man resident³. You will need your address details for the last three years, your National Insurance number and your debit card details³.

The National Insurance requirement is becoming a formal rule rather than a provider preference. From 6 April 2027, ISA managers must obtain a National Insurance number from all investors who are eligible to have one when receiving a subscription to an ISA⁸. The underlying regulations already require an account manager to have been provided with the individual's National Insurance information before they subscribe to an account that is not a junior ISA⁹.

To open the account, the provider's own guidance is to log in and use the 'cash & transfers' menu, then select 'transfer in' if you are moving an existing ISA across¹⁰. If you are moving an ISA from another provider, do not withdraw the money and pay it back in yourself: transfers between account managers are governed by regulation 21 of the ISA Regulations, which is the mechanism that keeps the ISA status intact¹¹. Withdrawing and reinvesting can use up allowance and break the wrapper.

A short checklist before you start:

1. Confirm you meet the age and residency conditions³.
2. Have your address history for the last three years, your National Insurance number and your debit card ready³.
3. Decide whether you are opening a new ISA or adding the managed service to an existing interactive investor Stocks & Shares ISA, which the provider says can be done at no extra cost¹.
4. If you are moving an ISA from elsewhere, start a transfer rather than a withdrawal¹¹.

How your money is protected

Interactive Investor Services Limited is authorised by the Financial Conduct Authority, with firm reference number 141282, and its status effective date is 1 December 2001². The firm is active on the Companies House register under company number 02101863, incorporated on 20 February 1987¹². The FCA register lists Interactive Investor as its current trading name².

That authorisation is what gives you a route to the Financial Ombudsman Service if a complaint cannot be resolved with the firm, and it is the basis on which the firm is supervised. It is worth being precise about what it does not mean: authorisation is not a guarantee of investment performance, and it does not protect you against market falls.

Protection for investments works differently from protection for cash. Cash held in a savings account is covered by the Financial Services Compensation Scheme up to a set limit if the firm fails. Investments held in a stocks and shares ISA are not covered in the same way, because the assets are held separately from the firm's own money; the scheme's role is to cover claims where a firm fails and cannot return the investments it should. Building societies state the position for cash plainly on their own pages, describing savings as protected by the FSCS, and that is the model people often assume applies to investments too. It does not work identically.

There is also a practical protection point that has nothing to do with regulation. interactive investor states that it will never call from a number other than 0345 607 6001, will never ask for your password, will never give unsolicited financial advice, and will never get in touch through social media¹³. It warns that investment scams using social media and WhatsApp are on the rise, and directs customers who think they have been scammed to Report Fraud on 0300 123 2040¹³. The provider's preferred contact method is Secure Messaging, which it describes as the most secure way to contact it¹³.

Problems, complaints and getting help

If something goes wrong, the first step is a complaint to interactive investor. If you are not satisfied with the outcome, the Financial Ombudsman Service is free and independent, and it can look at complaints about ISA providers. The ombudsman publishes quarterly complaints data broken down by product, which gives a sense of how often these disputes reach it: in the first quarter of 2026/27 it recorded 392 complaints opened about stocks and shares ISAs and 620 about cash ISAs, including cash lifetime ISAs and Help to Buy ISAs¹⁴.

That data also shows how often complaints succeed. An uphold rate is not a prediction about any individual case, but it does show that a meaningful share of complaints are resolved in the customer's favour.

The ombudsman's casework covers a wide range of financial products, and its published decisions show the kind of remedy it can order. In one case involving a retail prices index versus consumer prices index dispute, the outcome recorded was "Upheld"¹⁵. In another, involving a payday loan complaint, the service said "we put him in touch with both debt and mental health charities to help him improve his situation"¹⁶. The ombudsman can require a firm to put things right, and it can signpost support where a complaint sits alongside wider problems.

Where to get free help:

• The Financial Ombudsman Service, for complaints a firm has not resolved.
• MoneyHelper, for free and impartial guidance on savings and investments.
• Debt advice charities, where money problems sit alongside an investment complaint¹⁶.

There is one more practical matter that catches people out. If an account holder dies, interactive investor requires written confirmation along with an original or certified copy of the death certificate, and a solicitor, next of kin or an executor of the estate can notify the firm¹⁷. Copies can be certified by an FCA regulated body such as a bank or solicitor¹⁷. The firm updates accounts held in the deceased's sole name and blocks them from trading, holding funds pending legal documentation¹⁷. A court sealed copy of the Grant of Probate, or Grant of Confirmation in Scotland, is needed, and up to four executors can be named¹⁷. Where there is no will, a close relative can apply for a Grant of Letters of Administration¹⁷. The bereavement helpdesk is open 7:45am to 5:30pm, Monday to Friday¹⁷.