What the Fidelity Cash Plus Core Position is and why you might change it

The Fidelity Cash Plus Core Position is the default cash holding in certain Fidelity brokerage accounts — it's where uninvested money sits when you're not buying stocks, bonds, or funds. By default, Fidelity places this cash into the Fidelity Government Money Market Fund (ticker: SPAXX) or a similar money market fund, depending on your account type.

You might want to change where this cash goes for several reasons: you want a different money market fund that pays a higher yield, you prefer to hold cash in a sweep account linked to an external bank, or you want your uninvested cash in a specific Fidelity cash management product instead of the default option.

The steps to change this setting differ slightly depending on whether you're using Fidelity's website, mobile app, or phone, and whether your account is a standard brokerage account, retirement account, or workplace plan. This guide covers the most common routes.

Key Takeaways

  • Your default cash position is typically the Fidelity Government Money Market Fund (SPAXX), but you can change it to another money market fund or sweep option through your account settings.
  • The change is made in the "Account Settings" or "Cash Management" section of your Fidelity account, not during a trade.
  • Different account types (brokerage, IRA, 401(k)) have different cash position options available to you, so check what your account allows before making a change.
  • Any change you make applies only to new cash that enters your account going forward — it does not automatically move cash already sitting in your old position.

Changing your cash position on Fidelity's website

Log into your Fidelity account at fidelity.com and select the account you want to change. In the top navigation menu, look for "Account" or "Settings" — the exact label varies by account type. Click it and find the option labeled "Cash Management," "Cash Sweep," or "Core Position" (terminology differs by account).

You'll see a list of available cash positions for your account type. These typically include the Fidelity Government Money Market Fund (SPAXX), the Fidelity Treasury Money Market Fund (SPAXX), or other Fidelity money market funds. Some accounts also offer sweep options that move uninvested cash to an external bank account. Select the option you want and confirm the change.

The change takes effect when ready for new cash deposits and dividends. If you have existing cash in your old position, it stays there until you manually move it or it gets swept according to your account rules.

Changing your cash position on the Fidelity mobile app

Open the Fidelity app and tap the account you want to change. Tap the menu icon (three horizontal lines) and navigate to "Account Settings" or "Investments." Look for "Cash Management" or "Core Position."

The app will show you the same cash position options available on the website. Tap the option you want to select and confirm. The change applies to new cash when ready, just as it does on the website.

Changing your cash position by phone

Call Fidelity's customer service at 1-800-343-3548 (the number for brokerage accounts; retirement and workplace plan accounts have different numbers listed on your account statements). Tell the representative which account you want to change and ask them to update your core cash position.

The representative will confirm which cash positions are available for your account type and walk you through selecting a new one. They'll confirm the change before ending the call. This method is useful if you're unsure which option to choose or if you're having trouble navigating the website or app.

Moving cash that's already in your old position

Changing your core position setting does not move cash that's already sitting in your old position — it only affects new cash going forward. If you want to move existing cash, you need to do that separately.

To move existing cash, log into your account and look for the option to "Exchange" or "Sell" the money market fund you're currently holding. Sell all shares of your old position, which converts them back to cash. Then buy shares of your new money market fund with that cash. Alternatively, contact Fidelity by phone and ask a representative to move the cash for you.

Keep in mind that money market funds are not FDIC-insured (though they are very stable), so moving between them carries minimal risk. However, if you're moving cash to an external bank sweep, that cash will be FDIC-insured up to the limit set by your sweep provider.

Cash position options by account type

Standard brokerage accounts typically offer the widest range of cash positions: multiple Fidelity money market funds, external bank sweeps, and sometimes Treasury money market funds. Traditional and Roth IRAs usually offer the same money market funds but may have restrictions on sweep options. Workplace retirement plans (401(k), 403(b)) often have a more limited menu — sometimes only one or two money market funds — because the plan sponsor controls which options are available.

Before you change your core position, check what options are actually available for your specific account. If you don't see the option you want, it may not be offered for that account type. Contact Fidelity to confirm what's available to you.

Frequently Asked Questions

Will changing my core position affect my existing investments?

No. Your stocks, bonds, and mutual funds stay exactly as they are. The change only affects where new cash — from deposits, dividends, or sales — gets placed. Your existing positions are not touched.

What happens if I change my core position and then deposit money?

New deposits go into your new core position automatically. If you deposit $1,000 after changing from SPAXX to a different money market fund, that $1,000 will be invested in your new choice, not your old one.

Can I change my core position back to the default?

Yes. Go back to your Cash Management settings and select the original Fidelity Government Money Market Fund (SPAXX) or whatever the default was for your account type. The change takes effect when ready for new cash.

Do I pay a fee to change my core position?

No. Changing your core position setting is free. However, if you sell one money market fund to buy another, you may owe a small transaction fee depending on your account and the specific funds involved — ask Fidelity before you make the move if you're concerned about costs.

What's the difference between the money market funds Fidelity offers?

They hold different types of short-term debt: the Government Money Market Fund holds U.S. Treasury securities and government-backed loans, while other Fidelity money market funds may hold commercial paper or other short-term instruments. Yields vary slightly based on what they hold and current market rates. Check the fund fact sheet on Fidelity's website to see the current yield and holdings of each option.