Fidelity Investments provides commission-free US stock and ETF trading, zero account fees, and auto-sweep cash yields, but restricts new account opening strictly to US residents.
Written by StockEmber Team · Updated Oct 4, 2026
Researched with AI assistance and verified by our editors
Fidelity Investments offers $0 commission US stock and ETF trading with auto-sweep money market yields and zero account fees, serving US domestic investors through SEC and FINRA regulation.
Founded in 1946 in Boston, Fidelity Investments is a privately held financial services firm owned by FMR LLC. It operates US brokerage services through Fidelity Brokerage Services LLC, regulated by the SEC and FINRA, with securities custody handled by National Financial Services LLC.
Licensed & regulated
SEC/FINRA
Money protected
$500k SIPC
You own the shares
Nominee
Track record
80 yrs · Private
US · SIPC
$500k
Commission
$0 per trade
Account minimum
0
Est. 10-year cost
~$0
Markets
Stocks · ETFs · Bonds · Mutual funds · REITs
Fractional
Real owner not transferable
Tax wrappers
US: Roth IRA · US: Traditional IRA · US: Health Savings Account (HSA)
ETF Dollar-Cost Averaging (DCA), Dividend Investors
Not for non-US residents or traders seeking high leverage
SEC and FINRA regulation with SIPC coverage up to $500,000, but a $1.25 million state fine in April 2026 lowers its trust score.
Fidelity Brokerage Services LLC operates under SEC and FINRA regulation in the United States, and its accounts carry SIPC protection of up to $500,000. SIPC protection applies if a member firm fails and customer assets are missing; it does not protect you against losses when your investments fall in value. You can check its registration yourself: Fidelity Brokerage Services LLC is listed as CRD 7784 (via FINRA BrokerCheck). Its parent, FMR LLC, is privately held, and regulatory records include a $1.25 million fine from Massachusetts regulators in April 2026 over data security and a $600,000 FINRA supervisory penalty in January 2025.
Shares sit in street name at National Financial Services LLC with opt-in stock lending and $0 ACATS outgoing transfers.
Your US stocks and ETFs at Fidelity sit in street name custody with its affiliated clearing firm, National Financial Services LLC (NFS). While securities are segregated under SEC Rule 15c3-3, street name registration means positions are held in the firm's name on behalf of beneficial owners. You can transfer full share positions out to another US broker via ACATS without any outgoing transfer fees, but fractional shares must be liquidated before transfer.
Zero online stock commissions, zero custody fees, and auto-sweep cash yields keep Fidelity's own account charges very low for long-term holders.
Fidelity charges $0 online commission for US stocks and ETFs, plus $0 in custody fees, annual platform charges, and outgoing ACATS transfers. Uninvested cash sweeps into money market funds like SPAXX, which showed a variable 7-day yield of about 3.46% as of October 4, 2026, according to Fidelity. The 0% FX markup shown applies to USD trades; Fidelity's markup on international trades is not disclosed here. If you borrow on margin, rates start above 10.8% for smaller balances, and margin magnifies both gains and losses.
Access to thousands of US stocks, ETFs, and bonds, but account opening is strictly limited to US residents.
Fidelity offers broad market coverage across US equities, ETFs, corporate bonds, US Treasuries, and mutual funds, including its zero expense ratio index funds. You can also trade international stocks in 25 international markets through an international trading feature. However, new account registration is strictly restricted to US residents, meaning international investors living abroad cannot open accounts.
Feature-rich web and mobile platforms with Active Trader Pro desktop software and integrated portfolio analytics.
Fidelity provides a feature-complete web platform and mobile app for iOS and Android. You can manage investments, execute trades, deposit checks, and analyze portfolio performance across mobile and desktop devices. Desktop users can access Active Trader Pro for real-time charting, option analytics, and customizable layouts. While data export to tax software like TurboTax is supported, public API access for custom retail trading algorithms remains limited.
Fidelity does not accept payment for order flow (PFOF) on stock and ETF trades and publishes its own price improvement statistics.
Fidelity routes equity and ETF orders using a non-PFOF model, meaning it does not accept payment for order flow on stock or ETF trades. The firm publishes SEC Rule 605 and 606 reports quarterly; as of October 2026, its published figures showed average price improvement of $15 to $20 per 1,000 shares on market orders. You can place market, limit, stop-loss, trailing stop, and multi-leg option orders during regular, pre-market, and post-market trading sessions.
Comprehensive US retirement and tax-advantaged accounts with free automatic dividend reinvestment and tax export.
Fidelity offers a complete range of US tax-advantaged accounts, including Traditional IRAs, Roth IRAs, Rollover IRAs, Health Savings Accounts (HSAs), 529 college savings plans, and Solo 401(k) accounts. Dividend reinvestment (DRIP) is free and supports fractional share reinvestment automatically. Tax reporting features consolidated 1099 statements with flexible cost-basis tracking methods such as Specific Share Identification.
Free ACH deposits and withdrawals with $0 account minimums, supported by mobile check deposit and direct deposit.
Funding your Fidelity account is straightforward through ACH bank transfers, mobile check deposit, direct deposit, or bank wire. ACH transfers carry $0 fees and typically settle in 1 to 2 business days, while incoming domestic wire transfers are free of charge. You can open an account with $0 minimum deposit requirements. However, foreign bank transfers require specific wire instructions in supported foreign currencies.
Third-party research from Morningstar, Refinitiv, and S&P, paired with an extensive educational library.
Fidelity offers third-party equity and ETF research reports from providers like Morningstar, Refinitiv, and S&P. You can analyze company fundamentals with multi-year financial statements, customizable stock screeners, and market sentiment reports. The platform features an extensive Learning Center with webinars, structured investing courses, and market articles without gamified mechanics.
24/7 phone support and nationwide investor centers, complemented by live chat and secure messaging.
Fidelity offers 24/7 phone customer support, live online chat, and secure account messaging. You can also visit over 200 physical investor centers across the United States for in-person account service. Community reports indicate prompt response times for phone inquiries, though live chat waiting times can vary during peak US market hours.
Fidelity accepts new account registrations strictly from individuals residing in the United States. Non-US residents and international clients domiciled outside the US cannot open new brokerage accounts.
Fidelity Investments stands out as an established US brokerage for long-term investors, combining $0 stock commissions, auto-cash sweep yields, and comprehensive research tools. While its score is capped at 3.0 due to a $1.25 million state regulatory fine in April 2026, it remains a strong choice for US residents building buy-and-hold portfolios.
If you reside in the United States and want a low-cost, feature-rich brokerage for long-term stock and ETF investing, Fidelity offers high value with zero account fees and automatic cash sweep yields. However, if you live outside the US, you will need to consider alternative international brokerages.
You can open a Fidelity brokerage account online by visiting fidelity.com, choosing your account type, verifying your US residency and Social Security number, and linking a US bank account for initial funding.
Fidelity Investments is a US-based financial services company founded in 1946, offering stock brokerage, mutual funds, retirement accounts, and wealth management services regulated by the SEC and FINRA.
Fidelity Investments is owned by FMR LLC and has been privately held since its founding in 1946.
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Bottom line: Fidelity provides high regulatory protection under SEC and FINRA supervision, though recent regulatory fines deserve your attention.
“Fidelity maintains top-tier US regulatory protection under SEC and FINRA oversight, but recent regulatory fines lower its score.”
Bottom line: Fidelity offers reliable segregated custody through NFS with free outgoing account transfers for full share positions.
“Clearing through National Financial Services LLC provides clear asset segregation and zero-cost outgoing ACATS transfers.”
What you will pay over 10 years
~$0over 10 years
Commission drag
~$0
$0 × 121 buys
Custody + annual fee
~$0
no fee charged
FX conversion
~$0
0% × $46,000
Total
~$0
Over ten years, buying $300 of US stocks or ETFs every month incurs no commissions, custody charges, annual fees, or FX markup for US dollar accounts. Under these assumptions, modeled Fidelity fees total about $0. This estimate excludes fund expense ratios, bid-ask spreads, and taxes, so your own costs may differ.
Bottom line: Fidelity is one of the lowest-cost US brokerages for buy-and-hold stock and ETF investors.
“Zero commissions and no account fees mean Fidelity's own charges add little to a ten-year holding cost.”
Bottom line: Fidelity provides extensive US market depth for domestic investors but completely excludes non-US residents.
“Strong domestic asset breadth and fractional trading are offset by strict US residency requirements.”
Bottom line: Fidelity delivers functional, feature-rich tools across mobile, web, and desktop environments.
“Full feature parity across mobile and desktop tools provides reliable portfolio management.”
Bottom line: Fidelity offers clean order execution standards by refusing PFOF on stock trades.
“Fidelity does not accept payment for order flow on stock and ETF trades, and its own Rule 605 reports show average price improvement on market orders, which may lower your trading costs.”
Bottom line: Fidelity provides industry-standard US tax account options paired with automated dividend reinvestment.
“Full US retirement wrapper support and free DRIP make it simple to reinvest dividends automatically.”
Bottom line: Fidelity provides fee-free domestic funding channels with zero deposit minimums.
“Free ACH transfers and zero account minimums ensure low friction for funding accounts.”
Bottom line: Fidelity gives you free access to detailed third-party research alongside its own educational material.
“Combining top third-party research reports with structured educational content delivers high value for self-directed investors.”
Bottom line: Fidelity provides reliable customer service through 24/7 phone access and local branches.
“Round-the-clock phone availability paired with local investor centers delivers strong customer support access.”
Whether Fidelity owes you a fiduciary duty depends on the service you use. Check Fidelity's legal and regulatory disclosures for the standard that applies to your account type.
