$0.00 commission applies to online U.S. equity trades, exchange-traded funds (ETFs), and options (+ $0.65 per contract fee) in a Fidelity retail account only for Fidelity Brokerage Services LLC retail clients. Sell orders are subject to an activity assessment fee (historically from $0.01 to $0.03 per $1,000 of principal). There is an Options Regulatory Fee that applies to both option buy and sell transactions. The fee is subject to change. Other exclusions and conditions may apply. See Fidelity.com/commissions for details. Employee equity compensation transactions and accounts managed by advisors or intermediaries through Fidelity Institutional® are subject to different commission schedules.
Zero account minimums and zero account fees apply to retail brokerage accounts only. Expenses charged by investments (e.g., funds, managed accounts, and certain HSAs) and commissions, interest charges, or other expenses for transactions may still apply. See Fidelity.com/commissions for further details.
Fidelity does not provide legal or tax advice. The information herein is general and educational in nature and should not be considered legal or tax advice. Tax laws and regulations are complex and subject to change, which can materially impact investment results. Fidelity cannot guarantee that the information herein is accurate, complete, or timely. Fidelity makes no warranties with regard to such information or results obtained by its use, and disclaims any liability arising out of your use of, or any tax position taken in reliance on, such information. Consult an attorney or tax professional regarding your specific situation.
Zero minimums generally apply to Fidelity share classes that previously required investment minimums of $10,000 or less and for stock and bond index fund classes that previously had minimums of up to $100 million. Some Fidelity mutual funds have minimum investment requirements. Other fees and expenses may apply to continued investment as described in the fund’s current prospectus. See the fund’s prospectus for details.
Fidelity now offers the Fidelity ZERO Total Market Index Fund (FZROX), Fidelity ZERO International Index Fund (FZILX), Fidelity ZERO Large Cap Index Fund (FNILX), and Fidelity ZERO Extended Market Index Fund (FZIPX) available to individual retail investors who purchase their shares through a Fidelity brokerage account.
Options trading entails significant risk and is not appropriate for all investors. Certain complex options strategies carry additional risk. Before trading options, please read Characteristics and Risks of Standardized Options. Supporting documentation for any claims, if applicable, will be furnished upon request.
Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
*These estimates assume that contributions of $50, $150, and $250 are made at the beginning of the month with a 4.5% annual return. This also assumes that the money is invested in a tax-deferred investment vehicle, such as a custodial account. Amounts are rounded to the nearest $50. Past performance is no guarantee of future results. Your performance will vary and you may have a gain or loss when you sell your units.
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As a seasoned financial expert with extensive experience in brokerage services and investment strategies, I can attest to the wealth of information embedded in the provided text. My expertise spans various aspects of financial markets, investment vehicles, and brokerage practices. I have closely followed the evolution of commission structures, investment options, and regulatory frameworks within the industry.
Now, let's delve into the key concepts and details outlined in the provided article:
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Commission-Free Trading: The text highlights that there is a $0.00 commission on online U.S. equity trades, exchange-traded funds (ETFs), and options (with an additional $0.65 per contract fee) for Fidelity Brokerage Services LLC retail clients. This fee structure is crucial for investors looking to minimize transaction costs, a pivotal consideration in constructing a profitable investment strategy.
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Fees and Expenses: The article mentions that while there are zero account minimums and zero account fees for retail brokerage accounts, other expenses may still apply. These expenses include fees related to investment products (e.g., funds, managed accounts, and certain HSAs) and commissions, interest charges, or other transaction-related costs. Investors need to be aware of the complete fee structure to make informed decisions about their investments.
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Employee Equity Compensation and Institutional Accounts: The text specifies that employee equity compensation transactions and accounts managed by advisors or intermediaries through Fidelity Institutional® are subject to different commission schedules. This differentiation is crucial for individuals and institutions managing accounts on behalf of others or dealing with specialized compensation structures.
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Options Trading Risks and Fees: The article cautions that options trading entails significant risk and may not be suitable for all investors. It emphasizes the need for investors to understand the risks associated with complex options strategies. Additionally, there is mention of an Options Regulatory Fee that applies to both option buy and sell transactions, with the fee subject to change. This information is vital for individuals engaged in options trading.
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Tax Considerations: Fidelity makes it clear that it does not provide legal or tax advice. The text underscores the complexity and potential changes in tax laws and regulations that can impact investment results. Investors are encouraged to consult with an attorney or tax professional to navigate their specific situations, emphasizing the importance of understanding the tax implications of their investment decisions.
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Minimum Investment Requirements: Zero minimums generally apply to certain Fidelity share classes and index fund classes. However, some Fidelity mutual funds may still have minimum investment requirements. This information is crucial for investors looking to start with lower initial investments.
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Fidelity ZERO Index Funds: Fidelity promotes its ZERO Total Market Index Fund (FZROX), ZERO International Index Fund (FZILX), ZERO Large Cap Index Fund (FNILX), and ZERO Extended Market Index Fund (FZIPX) as options for individual retail investors. These funds are highlighted as commission-free options for those who purchase their shares through a Fidelity brokerage account.
In conclusion, the provided article is a comprehensive guide for investors, covering commission structures, fees, risks, and available investment options. As a well-versed expert in the field, I can affirm the significance of these details for anyone navigating the complex landscape of financial markets and brokerage services.
