Fidelity's core trading fees for stocks and ETFs

Fidelity does not charge a commission when you buy or sell stocks or exchange-traded funds (ETFs) through most of its accounts. This applies whether you trade through Fidelity's website, mobile app, or by phone. The zero-commission structure has been standard at Fidelity since 2019.

However, zero commission does not mean zero cost. When you trade, you pay the bid-ask spread — the difference between what a buyer will pay and what a seller is asking. This spread goes to the market maker, not to Fidelity, but it is a real cost you bear on every trade. Spreads vary by stock: a liquid stock like Apple might have a spread of one cent per share, while a smaller company stock might have a spread of several cents or more.

Fidelity also offers fractional shares on stocks and ETFs with no additional fee beyond the spread. This means you can buy $50 worth of a $500 stock without paying commission.

Key Takeaways

  • Fidelity charges zero commission on stock and ETF trades, but you still pay the bid-ask spread, which is the difference between buy and sell prices.
  • Options trades cost $0.65 per contract, and mutual fund trades may carry loads or transaction fees depending on the fund.
  • Bonds, Treasury securities, and forex trades have their own fee structures that vary by product type.
  • Account maintenance fees, inactivity fees, and advisory fees depend on your account type and whether you use Fidelity's advisory services.
  • Fidelity charges fees for certain services like wire transfers, expedited delivery, and account closing, but many common services are free.

Options trading and contract fees

Options trades carry a per-contract fee of $0.65 at Fidelity. If you buy one options contract, you pay $0.65. If you sell to close that contract, you pay another $0.65. This fee applies to all options strategies — calls, puts, spreads, and combinations.

The $0.65 fee is charged on both the opening and closing side of the trade. So a complete round trip (buying and then selling one contract) costs $1.30 in fees, separate from any bid-ask spread you encounter.

Mutual fund trading and load structures

Mutual fund fees at Fidelity depend on the fund itself, not on Fidelity's commission. Some mutual funds are no-load, meaning there is no sales charge when you buy or sell. Others carry a front-end load (a percentage charged when you buy), a back-end load (charged when you sell), or both.

Fidelity's own mutual funds, branded as Fidelity Funds, are typically no-load. But if you buy a mutual fund from another company through Fidelity, that fund's load structure applies. You can see the load percentage in the fund's prospectus before you buy. Fidelity also charges a transaction fee on some non-Fidelity mutual funds, usually $49.95 per transaction, though this fee is waived on certain funds in Fidelity's preferred list.

Bonds, Treasuries, and fixed-income trading

Bond trades at Fidelity include a markup or markdown built into the price you see. This is not a separate line-item fee — it is embedded in the bond price itself. The markup typically ranges from 0.5% to 2% of the bond's value, depending on the bond type and market conditions. Individual bonds, corporate bonds, and municipal bonds all work this way.

U.S. Treasury securities (bills, notes, and bonds) can be bought directly from the U.S. Department of the Treasury with no fee through TreasuryDirect, but if you buy Treasuries through Fidelity, you pay a markup similar to other bonds. Fidelity also offers Treasury mutual funds and ETFs, which have their own expense ratios.

Account fees and maintenance charges

Fidelity does not charge a monthly account maintenance fee for most brokerage accounts. However, some account types have specific fee structures. A Fidelity IRA (traditional, Roth, or SEP) has no annual maintenance fee. A Fidelity 401(k) administered through an employer may have fees depending on the employer's plan, but individual IRAs do not.

If your account falls below certain thresholds or remains inactive for extended periods, Fidelity may charge fees, though this is rare for standard brokerage accounts. Fidelity's advisory accounts, where a financial advisor manages your portfolio, charge advisory fees based on assets under management, typically ranging from 0.35% to 1% annually depending on the service level.

Wire transfers, delivery, and service fees

Fidelity charges $0 for incoming wire transfers but $25 for outgoing domestic wire transfers. International wire transfers cost more — typically $45 for outgoing wires. These fees are charged by Fidelity and appear on your statement.

Other service fees include $50 for expedited delivery of securities, $100 for a medallion signature may provide, and $50 for closing your account. Fidelity does not charge fees for most routine services like transferring securities in from another broker, setting up automatic investments, or accessing research and educational tools.

How to minimize trading costs at Fidelity

Since you cannot avoid the bid-ask spread, focus on minimizing other costs. Trade during market hours (9:30 a.m. to 4 p.m. Eastern) when spreads are tightest. Avoid options unless you have a specific strategy, since the $0.65 per-contract fee adds up quickly on multiple-leg trades.

Stick with Fidelity's own mutual funds and ETFs to avoid transaction fees. Use limit orders instead of market orders to control the price you pay and reduce the impact of wide spreads. For bonds, compare prices across multiple brokers if you are buying a large position, since markups can vary.

If you use Fidelity's advisory services, understand that the advisory fee is separate from trading costs. A 0.5% annual advisory fee on a $100,000 account costs $500 per year regardless of how many trades you make.

Frequently Asked Questions

Does Fidelity charge to transfer my account from another broker?

No. Fidelity does not charge a fee to transfer securities or cash into your account. Fidelity will even reimburse you up to $600 in transfer fees charged by your old broker if you transfer at least $25,000 and meet other conditions. Check Fidelity's current offer, as the reimbursement amount and conditions change.

What is the difference between a bid-ask spread and a commission?

A commission is a flat fee a broker charges you for executing a trade. A bid-ask spread is the difference between what buyers will pay and what sellers are asking — it goes to the market maker, not the broker. Fidelity charges zero commission, but you still pay the spread on every trade.

Do I pay fees if I hold stocks and do not trade them?

No. Fidelity does not charge you for holding stocks, ETFs, mutual funds, or bonds in your account. You only pay fees when you trade (buy or sell), or in the case of mutual funds, when the fund itself charges an expense ratio, which is deducted automatically from the fund's value.

Are there hidden fees I should know about?

Fidelity discloses all fees in your account statements and in the fund prospectuses. The main hidden cost is the bid-ask spread, which is not listed as a separate fee but reduces your return on every trade. Some mutual funds also charge 12b-1 fees (marketing and distribution costs), which are listed in the prospectus but not always obvious to new investors.

Does Fidelity charge for using their research tools and educational content?

No. Fidelity's research tools, stock screeners, educational articles, webinars, and customer service are free for all account holders. You do not pay extra to use these resources.