You pay two fees when investing with Bricklane, a one-off investment fee and an annual management fee.
A upfront investment fee is charged for each payment made into your Bricklane account, at the point that the payment is made. This is a one-off fee for each payment, so is not payable each year. It helps to cover the cost of buying property, and helps protect our investors by discouraging short-term speculative trading. You’ll pay a single investment fee every time you invest.
For investments up to £25,000, the upfront investment fee is 2%. When you’ve invested over £25,000 this investment fee halves to 1%.
How does Bricklane calculate invested amounts?
The invested amount is calculated as total payments made into your account, minus any withdrawals you have made. If you make an investment that crosses the £25,000 threshold, you will be charged 2% on the portion up to £25,000 and 1% on the portion above £25,000. All calculations are made before fees.
For example, if you make a payment into your account of £24,000, withdraw £3,000, and then make another £9,000 contribution, you would pay a 2% investment fee on the initial £24,000, pay nothing to withdraw the £3,000, and then for the £9,000 payment, you would pay 2% on the first £4,000, and 1% investment fee on the remaining £5,000, to give a combined investment fee of 1.44%.
Annual management fee
This is an annual charge for the ongoing support of your investment, which includes all fund related costs (e.g. valuation, depositary). You will pay a 0.85% management fee each year, which is charged monthly. This means that you will be charged 0.07% of the amount in your account each month. This fee comes off your earnings, so the earnings figure that you see on your dashboard is after the management fee has been paid.
Will I pay anything when I want to withdraw money?
No. You will not be charged any other fees to invest with us, including not paying any exit fees when withdrawing your money.