DIY investing can be suitable for people who are comfortable researching investments, understanding risk and managing their own portfolio. However, professional financial advice may be worth considering when your finances become more complex or when decisions involve pensions, retirement, tax, inheritance planning or multiple investment goals.
A local financial adviser can look at your finances as a whole rather than focusing only on individual investments. This can be particularly useful if you are approaching retirement, have substantial assets, hold multiple pensions, or are considering how to pass wealth to your family.
There is no universal answer to whether you should use a financial adviser or invest yourself. The right approach depends on your circumstances, knowledge, objectives, time and confidence in making financial decisions.
What Is DIY Investing?
DIY investing means making your own investment decisions without receiving personalised investment recommendations from a financial adviser.
You might:
- Choose your own investments
- Open an investment account or Stocks and Shares ISA
- Build your own portfolio
- Decide how much to invest
- Monitor your investments
- Make changes when your circumstances or objectives change
Online investment platforms have made this approach more accessible to UK investors.
However, accessibility does not remove the need to understand investment risk, diversification, charges, tax rules and your investment timeframe.
What Does a Financial Adviser Do?
A financial adviser can help you assess your wider financial position and, where appropriate, provide personalised recommendations.
Financial planning can cover areas such as:
- Investments
- Pensions
- Retirement planning
- Inheritance Tax planning
- Protection
- Cashflow planning
- Long-term financial goals
This is different from simply choosing an investment.
For example, someone approaching retirement may need to consider how their pension, ISA, savings, investments and other income sources work together.
A local financial adviser may also offer face-to-face meetings, although many advisers now provide advice online or by telephone.
DIY Investing vs Financial Advice: What’s the Difference?
| DIY Investing | Professional Financial Advice |
| You make your own investment decisions | Adviser provides personalised recommendations |
| You research investments yourself | Adviser assesses your circumstances and objectives |
| You monitor your portfolio | Ongoing reviews may be available |
| Generally more responsibility for you | Adviser can help structure a wider financial plan |
| May suit simpler financial situations | Can be useful for more complex circumstances |
| You decide when to make changes | Adviser can help review decisions against your objectives |
Neither approach is automatically right or wrong.
The important question is which approach is appropriate for your circumstances?
When Could DIY Investing Make Sense?
DIY investing may appeal if you:
- Understand investment risk
You should be comfortable with the possibility that the value of your investments can fall as well as rise.
- Have straightforward financial circumstances
If you have relatively simple objectives and do not need advice across several areas of financial planning, managing your own investments may be an option.
- Have time to research
DIY investing requires you to understand what you are investing in and keep your knowledge up to date.
- Are comfortable making decisions
You need to be able to make investment decisions without relying on personalised recommendations.
- Understand the importance of diversification
Holding a spread of investments can help reduce reliance on the performance of a single investment or asset.
However, diversification does not eliminate investment risk.
When Might Professional Financial Advice Be Worth Considering?
There are several situations where personalised advice could become particularly useful.
1. You Have Multiple Pensions
Managing one straightforward investment account is very different from managing several pension arrangements accumulated throughout your career.
You may have:
- Workplace pensions
- Personal pensions
- SIPPs
- Defined benefit pensions
- NHS Pension benefits
- Older pension arrangements
Different pensions can have different benefits, charges, investment options and rules.
Before transferring or consolidating pensions, it is important to understand what you may gain or potentially give up.
2. You Are Approaching Retirement
Retirement can make financial decisions considerably more complex.
You may need to consider:
- When should I retire?
- How much income will I need?
- Which pension should I access first?
- How much should I keep invested?
- How can I manage my income over retirement?
- What happens to the assets I leave behind?
A financial adviser can help bring these different considerations together into a retirement plan.
3. You Have Significant or Multiple Sources of Wealth
Your financial position may include:
- Property
- Pensions
- ISAs
- Investments
- Cash savings
- Business interests
- Other assets
Managing each asset individually may not give you a complete picture.
Financial planning considers how these assets interact with your wider objectives.
4. You Are Concerned About Inheritance Tax
Inheritance Tax planning has become an increasingly important consideration for some UK families.
This is particularly relevant following the Government’s planned changes bringing most unused pension funds and pension death benefits within the scope of Inheritance Tax from 6 April 2027.
If you have substantial pension savings alongside property, investments and other assets, you may want to understand how your estate could be affected.
This does not mean everyone with a pension will have an Inheritance Tax liability.
Your individual position depends on factors including the value and composition of your estate and available allowances.
5. Your Financial Goals Are Changing
Your investment strategy should reflect your circumstances and objectives.
Your priorities might change when you:
- Buy a home
- Start a family
- Change career
- Receive an inheritance
- Sell a business
- Approach retirement
- Begin drawing pension income
A portfolio that was appropriate when you were 30 may not necessarily be appropriate when you are approaching retirement.
This is where ongoing financial planning can provide value.
6. You Are Unsure About Your Investment Risk
One of the biggest challenges with DIY investing is understanding how much investment risk you are genuinely comfortable taking.
There is a difference between being willing to take risk and being financially able to tolerate losses.
For example, someone with a long investment timeframe and stable finances may have a different capacity for investment losses from someone who expects to use their investments to fund living expenses in the next few years. Investments and pensions are designed to help grow your money for the future over the longer term. You should keep in mind that both are exposed to market movements, meaning values can go down as well as up, and you may not receive back the full amount invested or saved into a pension.
Is DIY Investing Cheaper Than Using a Financial Adviser?
It can be, but cost should not be the only consideration.
If you invest yourself, you generally avoid paying for personalised financial advice. However, you still need to consider investment platform charges, fund charges, dealing costs and other relevant expenses.
Financial advice also has a cost.
MoneyHelper explains that advisers may charge using different structures, including fixed fees, hourly rates or charges linked to the value of investments. You should understand the charges before proceeding.
The more useful comparison is therefore not simply:
“Which option is cheaper?”
It is:
“What level of support do I need for the financial decisions I am making?”
Can You Combine DIY Investing With Financial Advice?
Yes.
Financial planning does not necessarily have to mean handing every financial decision to an adviser.
For example, someone might manage some straightforward investments themselves while seeking professional advice on:
- Pension planning
- Retirement income
- Inheritance Tax
- Cashflow planning
- Investment strategy
- Protection
The appropriate approach depends on your circumstances and the type of advice required.
Local Financial Adviser vs Online Financial Adviser
Choosing between local and online advice is another consideration.
A local financial adviser may appeal if you prefer:
- Face-to-face meetings
- A long-term relationship with an adviser
- Local availability
- Personal interaction when discussing complex financial matters
Online financial advice can offer convenience and flexibility.
However, location alone should not determine your choice.
When selecting an adviser, Money Helper recommends considering factors such as authorisation, the type of advice provided, qualifications, costs and whether the adviser meets your needs.
Questions to Ask Before Choosing a Financial Adviser
If you decide that professional advice may be appropriate, consider asking:
- Are you Financial Conduct Authority (FCA) registered?
- Are you independent or restricted?
- What areas of financial planning do you specialise in?
- How are your services charged?
- Do you provide ongoing reviews?
- Can you advise on pensions and retirement planning?
- Do you work with clients with circumstances similar to mine?
- What does your ongoing service include?
You can also check an adviser or firm’s regulatory status using the FCA Financial Services Register.
A Simple Way to Decide
Ask yourself these five questions:
Do I understand what I am investing in?
If not, professional guidance may be useful.
Are my finances straightforward?
If you have multiple pensions, investments, property or business interests, your situation may require more comprehensive planning.
Am I comfortable managing investment risk?
If market falls would cause you to make decisions based on emotion, having a structured plan may help.
Am I approaching a major financial decision?
Retirement, pension transfers, inheritance planning and receiving a large sum of money can all warrant careful consideration.
Do I have time to manage my finances?
DIY investing requires ongoing research, monitoring and decision-making. If you answer “no” to several of these questions, professional financial advice may be worth exploring.
How Wealth Genius Can Help
At Wealth Genius, we believe financial planning should start with understanding your circumstances and objectives, rather than simply selecting financial products.
Our financial planning services can cover:
- Investment planning
- Pension planning
- Retirement planning
- Inheritance Tax planning
- Cashflow planning
- Protection planning
- Wider wealth planning
If you are unsure whether DIY investing is still appropriate as your financial circumstances become more complex, we can help you understand the areas that may need attention.
Considering professional financial advice?
Speak to Wealth Genius about your financial planning requirements.
Key Takeaway
DIY investing can work for some people, but it is not suitable for every financial situation.
If you have straightforward finances, understand investment risk and are comfortable researching and managing your investments, you may prefer to invest yourself.
Professional advice may become more valuable when you have multiple pensions, substantial investments, complex tax considerations, retirement decisions or inheritance planning needs.
The choice between a local financial adviser and DIY investing should therefore be based on your circumstances, objectives, knowledge and the complexity of the decisions you need to make — not simply on cost or convenience.
Approver: Quilter Financial Services Limited – Sep 2026
Tax Planning including Inheritance tax Planning is not regulated by the Financial Conduct Authority.
Frequently Asked Questions
Is it better to use a financial adviser or invest yourself?
There is no universal answer. DIY investing may suit people who understand investments and are comfortable managing their own portfolio. Professional advice may be useful where financial circumstances or decisions are more complex.
Is a local financial adviser worth it?
A local financial adviser may be worth considering if you value face-to-face advice or want an ongoing relationship with an adviser. However, qualifications, regulatory status, expertise, service and fees are important factors too.
Do I need a financial adviser if I only have investments?
Not necessarily. The need for advice depends on your circumstances, objectives, investment knowledge and the complexity of your financial arrangements.
Is DIY investing cheaper?
DIY investing can have lower advice costs, but you may still pay platform, fund and transaction charges. Financial advice also has a cost, so you should compare the total costs and level of service involved.
Should I use a financial adviser for my pension?
It depends on your circumstances. Professional advice may be particularly useful if you have multiple pensions, are approaching retirement, are considering a pension transfer or need to coordinate pension income with other assets.
Will pensions be subject to Inheritance Tax?
From 6 April 2027, most unused pension funds and pension death benefits are due to be included within the estate for Inheritance Tax purposes, subject to specific rules and exclusions.
This article is provided for educational and informational purposes only and does not constitute financial advice or a personal recommendation.
Tax treatment depends on individual circumstances and may change. Pension and Inheritance Tax rules are subject to legislation and Government policy.
If you are considering investing, changing your pension arrangements or making significant financial decisions, consider whether financial advice is appropriate for your circumstances.
Investments and pensions are designed to help grow your money for the future over the longer term. You should keep in mind that both are exposed to market movements, meaning values can go down as well as up, and you may not receive back the full amount invested or saved into a pension.
Leave a Reply