Moventum Investment Platform Review 2022

07/07/2022

As Moventum's popularity has grown we thought it would be helpful to review their global investment account/platform.

What is the Moventum Investment Platform?

Moventum S.C.A. is an international online wealth management platform. Moventum is regulated by the Luxembourg financial market authority (CSSF) and is a member of Luxembourg's investor compensation system (Système d'indemnisation des investisseurs Luxembourg, SIIL). Banque de Luxembourg acts as the custodian for the client deposits held by Moventum. It is a member of the Luxembourg deposit guarantee fund (Fonds de garantie des dépôts Luxembourg, FGDL) and belongs to a stable and strong group of companies with top international ratings. This provides you with the benefits of an offshore product whilst retaining the regulation of the Luxembourg regulator. Members have their own login details to view their investments with a research center, FE analytics tools, and various portfolio management tools.

Cost / Charging Structure

Ongoing platform fees are 0.50% per annum

Banque de Luxembourg charge a custodian fee of 0.1%

Fees are taken quarterly in arrears of the current value

Foreign exchange fees are a flat 0.20% with no spread taken on the transaction

Adviser fees

Moventum will allow your adviser to charge up to 5% initial fees and 1.5% ongoing. However, Expat Financial Advice only charges 0.4% performance fee.

Fund Range / Investment Choice

Moventum offers a range of funds (9000 +) which include; listed shares, Discretionary Fund Managers (Model Portfolios), Mutual Funds, ETFs (passive funds), structured products and Fixed Income Bonds. They also have an extensive range of ESG funds. 99.9% of the funds on Moventum do not have an entry charge. Furthermore, Moventum offers clients institutional rates where possible guaranteeing the lowest possible fund fees. Funds are available in all major currencies with the greatest offering being in GBP, USD, and Euro.

Account Minimums

There are no account minimums however as this is an adviser-only platform your adviser will have a minimum investment value they work with. Expat Wealth at Work has set the following minimum investment values: GBP 5,000 / EUR 10,000 / USD 15,000

Exit Penalties / Minimum Investment Period

Moventum is a fee-based platform that does not pay out any commissions. As such, there are no exit penalties when withdrawing your money. This includes your money invested in funds or exiting the platform itself.

Tax

There is no formal literature on this other than to say the platform is tax efficient. From working with expat clients the general consensus is that in 'most locations' as long as the monies stay within the platform and are not withdrawn, there is no tax liability. Upon withdrawing the funds capital gains tax' would be due in the country you reside in. We must caveat the above by stating we are not a tax adviser and strongly recommend you take tax advice from a local, regulated tax expert.

Moventum Review 2022

Key Positives to take away

  • Market-leading technology

  • High regulation offers you the greatest level of protection. Particularly beneficial for any European expats returning to their home country as its fully EU compliant

  • You can only buy regulated assets on the platform. This mitigates the risk of investing in unregulated products which can become illiquid and result in you losing your money

  • High Level of safety via Banque de Luxembourg as the custodian offering you complete peace of mind

  • Low cost - at 0.60% ongoing including the custodian fee Moventum is the best-priced platform available on the expat market

  • Flexibility - You can invest a lump sum, regular payment, or both. You are also able to hold numerous sub-accounts with varying investment strategies and can start, stop, withdraw as and when you please

  • Transparent Fee Structure - You have access to a transaction statement detailing all associated costs and in line with MiFID EU regulation providing a quarterly statement showing all costs to date

  • No term required / Commission paid out so no surrender or exit penalties

Key Negatives to take away

  • It is not available to US connected individuals

  • Although the platform is a 'clean product' as it does not pay any commission to the adviser, by allowing advisers to charge up to 5% initially and 1.5% ongoing clients can still be overcharged depending on the type of adviser they work with. However, Expat Wealth at Work is a Performance Fee-Only Fiduciary Adviser and only charges a 0.4% yearly performance fee if the agreed performance of your portfolio has been met.

Summary

Moventum ticks all the boxes when choosing a global wealth management service. It will enable you and your adviser to build a portfolio to meet your objectives. In general, for 99% of expats who want to invest their money with the help of a financial adviser, it works very well.

Want to find out more? Please contact us today - info@expatwealthatwork.com - for a no-obligation conversation.