Fidelity vs Robinhood requires careful consideration as both platforms offer commission-free trading, fractional shares, and access to various investment options, including ETFs and cryptocurrencies.
Fidelity, established over 70 years ago, provides reliability and extensive experience, while Robinhood, founded in 2013, attracts younger users with its user-friendly interface and focus on cryptocurrencies.
Despite offering diverse research tools, these platforms differ in their fee structures, investment choices, and target demographics.
To thoroughly evaluate the Fidelity vs Robinhood comparison and determine which best aligns with your investment goals, let’s delve deeper into their differences and similarities in this article.
Fidelity vs Robinhood Comparison At a Glance
| Category | Fidelity | Robinhood |
| Rating | 4.5/5 | 5.0/5 |
| Commissions | Stocks & ETFs: $0 | Stocks, ETFs, Options: $0 |
| Options: $0 commission, $0.65/contract | ||
| Crypto: $0 (limited to Bitcoin, Ethereum) | Crypto: $0 (wider variety of cryptocurrency) | |
| Mutual funds: $0 for Fidelity Funds, $0 purchase on NTF non-Fidelity funds | N/A (no mutual funds) | |
| Account transfer fee: $0 | Account transfer fee: $100 | |
| Account maintenance fee: $0 | Account maintenance fee: $0 or $5/month (Robinhood Gold) | |
| Investments Available | Stocks, ETFs, Fractional shares, Options | Stocks, ETFs, Fractional shares, Options, Cryptocurrencies (Bitcoin, Ethereum) |
| Mutual funds (10,000+), CDs, Bonds | ||
| Account Types Available | Taxable brokerage, Joint tenant, Margin | Taxable brokerage, Margin, Traditional IRA, Roth IRA |
| Robo-advisor (Fidelity Go®), Custodial | Traditional IRA, Roth IRA, Custodial | |
| Checking: No, Savings: No | Checking: No, Savings: Brokerage sweeps | |
| Credit card: Yes | Credit card: No | |
| Mobile App & Platforms | App Rating: iOS – 4.8/5, Android – 4.4/5 | App Rating: iOS – 4.2/5, Android – 4.1/5 |
| Offers multiple desktop and mobile trading platforms | Focuses on simplifying investing process |
Things That Are Common Between Fidelity & Robinhood
- Fidelity and Robinhood, as popular investment platforms, offer similar features.
- Both provide commission-free trading and fractional shares, catering to investors’ needs.
- Highly-rated mobile apps from Fidelity and Robinhood ensure convenient investing experiences.
- Neither platform imposes a minimum account balance requirement, allowing users to start trading freely.
- Investors can access a variety of securities, including stocks, ETFs, options, and cryptocurrencies like Bitcoin and Ethereum, on both platforms.
- Retirement account options such as Traditional and Roth IRAs are also available on Fidelity and Robinhood.
- Both platforms equip users with investment research tools to facilitate informed decision-making.
- These shared attributes make Fidelity and Robinhood appealing choices for investors seeking low-fee trading options.
In comparing Fidelity vs Robinhood, these features play an important role.
Commission-Free Trading in Fidelity vs Robinhood
In comparing Fidelity vs Robinhood, it’s important to note that both platforms allow you to trade stocks and ETFs without paying commissions, which are fees for buying and selling securities.
Fidelity does charge a $0.65 fee for options trading, but it doesn’t charge for closing accounts. On the other hand, Robinhood doesn’t impose fees for options but does have a $100 fee for closing accounts.
While both platforms offer commission-free trading, their fee structures differ, so it’s crucial to choose the one that best fits your needs.
Fidelity vs Robinhood Fractional Share Comparison
When looking at fractional share trading in the context of Fidelity vs Robinhood, both platforms enable investors to buy a portion of a stock or ETF, thus making investing more accessible.
Both Fidelity and Robinhood offer this feature without any additional fees. Whether you’re interested in investing in high-priced stocks or diversifying your portfolio with smaller investments, both platforms make it simple to do so.
This similarity in fractional share trading ensures that investors have options, regardless of whether they choose Fidelity or Robinhood as their preferred investment platform.
Cryptocurrency Trading Comparison
In the Fidelity vs Robinhood comparison for cryptocurrency trading, both platforms allow users to buy Bitcoin and Ethereum.
However, Fidelity offers only these two cryptocurrencies, while Robinhood provides a wider selection. Despite this difference, both platforms are suitable for beginners interested in entering the world of digital currency trading.
Whether you’re looking to invest in the most popular cryptocurrencies or explore a broader range of digital assets, Fidelity and Robinhood offer accessible options to get started on your crypto journey.
Account Minimum in Fidelity vs Robinhood
Fidelity vs Robinhood comparison for account minimums, it’s worth noting that both platforms have a $0 minimum balance requirement to open an account. This means that investors can begin investing without needing to deposit any money upfront.
Whether you’re a new investor taking your first steps into the financial markets or someone who prefers to start with a modest initial investment, both Fidelity and Robinhood provide flexibility and accessibility by eliminating the need for a minimum account balance.
Mobile Apps Comparison
When comparing the mobile apps offered by Fidelity and Robinhood, both platforms provide highly rated options for convenient investing on the go.
Fidelity’s mobile app has received positive feedback on both iOS and Android platforms, offering users access to various trading platforms seamlessly.
Similarly, Robinhood’s app is known for its user-friendly interface and simplicity, earning praise from many users.
With Fidelity vs Robinhood, their mobile apps are designed to be user-friendly, catering to both beginners and experienced traders alike.