Fidelity's Performance: Strategies, Growth, And Future Plans

Fidelity is a top-rated broker that offers a comprehensive suite of tools, research and investable assets. It is a great choice for both veteran traders and new investors, with its low costs, high-quality research and education, and responsive customer support.

Fidelity has a strong reputation for its mutual funds, with a large selection of no-transaction-fee funds, including its own zero-expense-ratio index funds. It also offers a wide range of other investment options, including stocks, bonds, ETFs, options, forex and cryptocurrencies.

Fidelity's trading platforms and apps are highly rated, with advanced screeners, research and strategy-testing tools, and an intuitive, easy-to-use interface. Its customer service is also strong, with 24/7 phone, email and chat support, and a network of over 200 physical branches.

Fidelity has consistently ranked highly in industry awards, and is considered one of the safest brokerages to invest with.

Fidelity's reputation and customer service

Fidelity is a well-known investment platform with a generally positive reputation. It has won several awards, including being named the Best Online Broker by Kiplinger and Investopedia in 2023, and the Best Broker for Low Costs by Investopedia in the same year. It has also been recognised by NerdWallet as the Best Broker for Beginning Investors and Best App for Investing in 2024.

Fidelity offers a wide range of investment options, including stocks, bonds, mutual funds, and options. It also provides international trading, forex, and fractional shares. The platform is known for its low fees, with zero commissions on stock, ETF, and options trades, and a large selection of no-transaction-fee mutual funds.

In terms of customer service, Fidelity has a network of over 140 branches across the US and offers 24/7 phone, email, and live chat support. Reviews on Trustpilot are mixed, with some customers praising the helpfulness and expertise of Fidelity's agents, while others complain about issues with transfers, account management, and poor communication.

Fidelity's fees and commissions

Fidelity also stands out by eliminating various standard fees, such as account or activity fees, transfer-out fees, IRA closeout fees, and reorganization fees. They also don't charge typical bank fees like stop-payment or ATM fees. Additionally, there is no account minimum, making it easy for anyone to get started with investing.

For mutual funds, Fidelity offers a unique proposition. They provide four zero-expense ratio, zero-minimum investment index funds. They also offer a wide range of mutual funds, including their own, that are fee-free if held for at least 60 days. However, many non-Fidelity mutual funds are subject to commissions, with a $49.95 fee at purchase.

Bond investors can benefit from zero fees for new bond issue purchases and just $1 for secondary issues. Broker-assisted and treasury trades are reasonably priced at $19.95 per transaction.

Fidelity's margin rates are also competitive, with an 11.325% base margin rate as of December 20, 2024. The rate decreases as the outstanding margin balance increases.

Overall, Fidelity's pricing structure is straightforward and investor-friendly, making it an attractive option for those seeking low-cost investment opportunities.

Fidelity's investment options

Fidelity offers a wide range of investment options to its customers. The company provides investment opportunities in various sectors, including stocks, exchange-traded funds (ETFs), bonds, mutual funds, options, and cryptocurrencies.

For those interested in investing in stocks, Fidelity offers the ability to trade shares of publicly traded companies in both domestic and international markets. This allows investors to buy and sell stocks from companies all over the world.

In terms of ETFs, Fidelity offers a selection of actively and passively managed funds. ETFs are known for providing diversification and the ability to invest in a particular theme or category, such as a specific sector or market index.

Fidelity also provides its customers with the opportunity to invest in bonds. Investing in bonds is similar to lending money to companies or governments, with the promise of being paid back with interest.

Mutual funds are another investment option available through Fidelity. Mutual funds pool money from multiple investors to purchase a collection of stocks, bonds, or other investments.

Additionally, Fidelity offers options trading, which involves buying and selling contracts that give the owner the right to buy or sell a specific security at a particular price within a set time frame.

Fidelity also caters to those interested in cryptocurrencies, offering the ability to buy and sell Bitcoin and Ethereum through Fidelity Crypto®.

Overall, Fidelity provides its customers with a diverse range of investment options to choose from, allowing them to build a portfolio that aligns with their financial goals and risk tolerance.

Fidelity's trading platforms

Fidelity offers a range of trading platforms and tools to cater to the needs of different investors, from beginners to advanced traders. Here is an overview of Fidelity's trading platforms:

Fidelity Mobile App

The Fidelity mobile app is designed to be easy to use and puts all your investment activity in one place. With the app, you can view, manage, and take action on your portfolio anytime, anywhere. The app has solid ratings on Google Play and even better scores on Apple's App Store. It offers features such as portfolio management, trading securities (including stocks, ETFs, mutual funds, and options), inputting trades for fractional shares, paying bills, accessing tax forms, and receiving customizable alerts.

Fidelity Website

Fidelity's website provides award-winning research, in-depth analytics, and idea generation tools integrated with an easy-to-use trading ticket. It offers real-time market data, research ideas, and the ability to execute trades. The website works on any browser and is recommended for intermediate to advanced users.

Active Trader Pro

Active Trader Pro is Fidelity's flagship trading platform. It offers a customizable layout, allowing users to set up the platform according to their preferences. It provides real-time insights, dynamic visual analytics, powerful trading tools, and advanced technical analysis capabilities. Active Trader Pro includes features such as level II quotes, heat mapping, a trade journal, and over 45 market filters. It also supports multi-leg options trading and has advanced charting capabilities with 114 chart indicators.

Trading Dashboard

The Trading Dashboard is a single-screen platform that allows users to tackle all their trading needs in one place. It provides real-time market data, research ideas, and trade execution capabilities. It is recommended for intermediate to advanced users.

Other Tools and Features

Fidelity also offers a range of additional tools and features to enhance the trading experience, including:

• Real-time Analytics: This tool provides trade signals in real time based on historical price movements, alerting users to new highs, lows, and other significant price levels.
• Trade Armor: Trade Armor visualizes trading opportunities on a chart and allows users to set alerts, determine entry and exit prices, and place orders.
• Daily Dashboard: This tool provides real-time news, earnings, and economic updates when launching Active Trader Pro.
• Margin Trading: Fidelity offers margin trading, allowing users to buy more shares and increase their buying power.
• Fractional Shares: Fidelity offers fractional share investing, allowing users to invest in stocks and ETFs for as little as $1.

Fidelity's research and educational resources

In addition to the wealth of written resources, Fidelity also provides webinars, recorded videos, and short courses ranked according to skill level, allowing investors to progress as they gain mastery. These educational resources cover a range of topics, from the basics of personal finance, budgeting, and managing debt to more advanced subjects like trading, options, funds, and using the tools offered by Fidelity, such as Active Trader Pro.

Fidelity's platform also includes a comprehensive trading platform called Active Trader Pro, which is downloadable and offers advanced technical analysis capabilities, drawing tools, and tabbed charting. This platform caters to both new and experienced traders, allowing them to customize their trading experience with various preset layouts or complete personalisation.

The company's research capabilities are further enhanced by its extensive branch network, with over 140 offices across the United States, providing in-person support and guidance to investors.

Fidelity's mobile app, Fidelity Mobile, is another convenient way to access research and educational resources. It offers features such as portfolio management, banking, access to news and market commentary, and customisable alerts. The app has received solid ratings on Google Play and even better scores on Apple's App Store.

Frequently asked questions