Fidelity Investments is one of the most prominent financial services companies in the United States, providing individuals and institutions with a broad range of investment solutions, retirement planning tools, and wealth management services. Established in 1946, it remains a trusted name in helping millions shape their financial futures. Whether you’re an experienced investor or someone just starting out, Fidelity offers tools and expertise that cater to virtually every need.
History and Overview of Fidelity Investments
Fidelity was founded by Edward C. Johnson II in Boston, Massachusetts, and has grown into one of the largest financial companies in the world. It’s still family-operated, with the Johnson family owning 49% of the company, while employees hold the remaining 51%. Abigail Johnson, granddaughter of the founder, became CEO in 2015.
Fidelity serves over 40 million clients globally and employs roughly 75,000 people. From helping individuals set up retirement accounts to managing institutional portfolios, its services and products span a wide array of financial needs.
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Personalized Investment Accounts
Whether you're saving for short-term goals or your golden years, Fidelity's investment options are designed to help you get there. It offers:
- Brokerage Accounts: These accounts allow investors to trade stocks, bonds, ETFs, and mutual funds. One standout feature is commission-free trades on US stocks, ETFs, and options.
- Fractional Shares: For budgets big or small, Fidelity lets you invest in pieces of stocks and ETFs, making it easier to start investing on your terms.
- Fidelity Go (Robo-Advisor): This service combines technology and human oversight to create diversified portfolios, perfect for hands-off investors. While balances under $25,000 are managed for free, accounts over that amount require a management fee.
Ultimately, Fidelity empowers investors to choose between DIY investing or guided solutions, ensuring flexibility for beginners and seasoned investors alike.
Comprehensive Retirement Planning
Retirement planning can feel overwhelming, but Fidelity simplifies it with robust tools and account options:
- IRAs: Choose between Traditional IRAs, Roth IRAs, and rollover IRAs, each offering unique tax advantages.
- In-depth Tools: Fidelity offers calculators and estimators for contributions, savings, and retirement strategies, taking the guesswork out of planning.
- Youth Accounts: For teens aged 13-17, these accounts offer hands-on investment experience in a controlled setting. Aimed at building financial literacy, they're designed to prepare the next generation for smart financial choices.
Fidelity also supports specific categories with custodial accounts and strategies for individuals with disabilities, ensuring inclusivity in financial planning.
Fidelity for High-Net-Worth Clients
Fidelity doesn’t just cater to casual investors. Its Private Wealth Management and Fidelity Wealth Services serve high-net-worth individuals. These programs provide personalized investment management, access to financial advisors, and tailored approaches that align with families' or businesses' unique goals.
For those seeking convenience, Fidelity offers cash management accounts that integrate with brokerage accounts for streamlined financial operations.
International Services
Although Fidelity primarily operates in the U.S., its international arm, Fidelity International, focuses on helping clients across Europe, Asia, and beyond. It handles over $800 billion in client assets and employs a global research team to guide investment strategies. Fidelity International specializes in responsible investing, ensuring its decisions align with environmental, social, and governance (ESG) principles.
Education Beyond Investing
One area where Fidelity truly shines is its commitment to financial literacy. The company’s website is packed with resources including webinars, market insights, and easy-to-use calculators. Whether you're navigating the stock market for the first time or exploring advanced options strategies, Fidelity provides ongoing education to help investors of all levels succeed.
Conclusion
Fidelity Investments stands as a cornerstone in the world of finance, offering something for everyone—from specialized accounts for beginners to sophisticated tools for seasoned investors. Its long-standing history, innovative tools, and dedication to customer success make it one of the most reliable financial institutions today. Whether you're planning for retirement, growing wealth, or simply navigating financial markets, Fidelity has the resources to help you meet your goals.