Fidelity Investments Brokerage Account Review

by MAXIME

NerdWallet examines the Fidelity Investments online brokerage account and its ongoing promotions, rewards and bonuses offered to help consumers find the lowest prices and best online brokers to sign up for.
Pricing

Min. Initial Deposit

$2,500.00

Stock Trading

$7.95 per trade

Options Trading

$7.95 per trade + $0.75 per contract
Learn More

90 free days of trading, with up to 200 commission-free trades

  • Receive Commission-Free Trades: 100 commission-free trades if you deposit over $50,000 or 200 commission-free trades if you deposit over $100,000.
  • Credit Card Available
  • Receive complientary guidance online, by phone, or in-person.
  • Account offers 90 days of free trades

Editor's Notes

Fidelity Investments has long been a big name in brokerage. Best known for serving long-term investors, the firm has made recent attempts to attract more active traders with its Active Trader Pro platform. Fidelity also offers all customers a wide selection of investments, including 65 commission-free ETFs and international stocks, and some of the most extensive research resources – at least a dozen reports are available for many stocks – in the business.

Fidelity’s commissions are in line with other high profile brokers, with the exception of their mutual funds. Though they offer many “core funds” commission-free, others may run anywhere between $50 and $75. In addition, investors may be subject to annual fees for each non-core fund they hold, as well as short-term redemption fees. That said, Fidelity avoids most commonplace brokerage fees, and only charges for SIMPLE IRAs – $25 annually. Phone and broker-assisted trades cost $5 and $25, respectively, above standard commissions.

Even fans of Fidelity tend to agree that its website is a mess, with useful information buried in layers of links. The firm’s standard trading platform is little better, lacking an order modification function and complex options tools, and users report that it slows down significantly during peak trading. Active Trader Pro is much more advanced – and offers access to streaming quotes – though it’s still behind standard-bearers like thinkorswim and TradeStation. Members must trade at least three times a month to qualify for the platform, and at least ten times a month to access all of its advanced charting features. Investors using either platform can trade with the firm’s popular mobile app.

The brokerage receives mixed reviews for its customer service. While it provides a number of convenient extras – including banking services, many of which are free with an account, and branch offices – many customers report long hold times, and that problems require several calls to follow up.

Fidelity’s customer satisfaction falls along somewhat-predictable lines. Active traders are disappointed with its platforms, but buy-and-hold investors appreciate its research and can absorb its higher commissions.

Pros & Cons

Pros
  • "Fastest brokerage at trade execution." -SmartMoney
  • Offers free research reports, analysis software, and real time data
  • Offers commission-free ETFs
  • Commission per trade is below $10
  • Account minimum is below average
Cons
  • Broker-assisted market orders are an additional $25 per trade

Account Features

Research Tools

  • Research Reports (Free)
  • Realtime Data (Free)
  • Analysis Software (Free)

Premium Features

  • Automated Phone Trades (Free)
  • Mobile Access
  • 24/7 Customer Service
  • Check Writing
  • Debit Card
  • Physical Branches

Asset Classes

  • Stocks
  • Mutual Funds
  • Bonds
  • Futures
  • Options
  • Forex
  • ETFs

Additional Fees

Other Account Fees
Excercise Fee $7.95
Paper Statements (per month) $0.00
Outgoing Wire Fee $15.00
Annual Account or Inactivity Fee $0
Note sure which fees apply to you?
Find Out Your Exact Monthly Trading Costs With Our
Brokerage Comparison Tool
This brokerage is a certified member of FINRA and SIPC.
blog comments powered by Disqus

* Disclaimer: We try to keep information accurate and up to date, however we cannot make warranties regarding the accuracy of our information. Please verify FDIC Insurance / NCUA Insurance status, credit card information, and interest rates during the application process. Please note that NerdWallet has financial relationships with some of the merchants mentioned here. NerdWallet may be compensated if consumers choose to utilize the links located throughout the content on this site and generate sales for the said merchant.

© Copyright 2014 NerdWallet, Inc. All Rights Reserved. Privacy Policy|Terms of Use
Nerdwallet, Inc. is a BBB Accredited Financial Service in San Francisco, CA