Fidelity Investments Review 2012
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Fidelity Investments Trading Commissions
- $7.95 per stock/etf trade
- Options: $7.95 + $0.75 per contract
- Mutual Funds: no transaction fee when trading over 1,400 Fidelity and non–Fidelity mutual funds; $75 for all others
- Bonds: U.S. Treasury Auctions: free; GSE, secondary CDs, Municipals, Corporates (BBB- or higher), CATS/TIGRS, Corporates (BB+ or lower):
1.00 per bond, $8 min., $250 max.
Fidelity Investments Important Fees and Surcharges
- Extended hours surcharge: $0
- Large order surcharge: $0
- Penny stocks surcharge: $0
- IRA setup fee: $0
- Annual fees: $25 for Simple IRA
- Check Ordering HSAs will be subject to a fee of $10 per order of 25 checks
- Mutual Fund Low Balance Fee $12 per year for each noncore Fidelity fund under $2,000
- $75 minimum mutual fund Short Term Redemption Fee (mutual funds sold in less than 180 days)
Fidelity Investments Pros
- Fidelity mutual funds
- Great research amenities
- Many asset classes to invest
Fidelity Investments Cons
- High trading commissions
- Minimum initial account deposit of $2,500 (cash and margin accounts)
- Mutual funds fees
- Customer service level depends on account size
Fidelity Investments Account Types
- Saving for Retirement
- Rollover IRA
- Roth IRA
- Traditional IRA
- SEP-IRA
- Inherited IRA
- Self-Employed 401(k)
- SIMPLE-IRA
- 401(k) Plan for Large Business
- Managed Accounts
- Portfolio Advisory Services
- Saving for Education
- 529 Account
- Custodial Account
- Charitable Giving & Estate Planning
- Fidelity® Charitable Gift FundSM
- Fidelity Private Foundation Services®
- Trust
- Estate
- Non-Trust Fiduciary
- Annuities and Term Life Insurance
- Tax -Deferred Annuities3
- Income Annuities
- Term Life Insurance
Fidelity Investments Review
There is a reason why Fidelity Investments is known for it's family of mutual funds and not for its brokerage services. It's commissions,
though much lower than in 2010, are still larger than at most online brokerage firms. The company offers flat-rate, $7.95 per trade rate on
stocks and $75 on mutual funds. Fidelity-family mutual funds are free. Minimum to open account is $2,500.
Fidelity Investments customer base are buy-and-hold investors, IRA accounts holders and Fidelity-family mutual funds investors. The
firm offers little to more active traders and options traders. It does provide an impressive selection of investment products and research
capabilities though.
We see Fidelity Investments brokerage only as an option for an IRA account for long-term investors or for opening account just to take
advantage of the company's rich offering of independant research. For actual investing and trading there are much more attractive
online brokerage firms on the market.
Fidelity Promotional Code or Bonus:
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