Fidelity Account Types

Fidelity Investments offers a variety of account types designed to meet different financial goals and investment needs. Here are the main types of accounts available:

• Brokerage Accounts: These versatile accounts allow you to buy and sell a wide range of financial assets, including stocks, bonds, ETFs, and mutual funds. Fidelity's brokerage accounts have no account minimums and offer $0 commissions for online U.S. stock and ETF trades.

• Individual Retirement Accounts (IRAs): Fidelity provides both Traditional and Roth IRAs. Contributions to a Traditional IRA may be tax-deductible, while Roth IRA contributions are made with after-tax dollars, allowing for tax-free growth and withdrawals in retirement.

• 529 College Savings Plans: These accounts help families save for future education costs with tax advantages. Contributions grow tax-free as long as withdrawals are used for qualified educational expenses.

• Health Savings Accounts (HSAs): Designed for individuals with high-deductible health plans, HSAs allow tax-deductible contributions and tax-free withdrawals for qualified medical expenses.

• Cash Management Accounts: These accounts combine features of traditional banking with investment options, offering competitive interest rates, no monthly fees, and global ATM fee reimbursements.

• Trust Accounts: Fidelity offers various trust account options to facilitate estate planning and wealth transfer, managed by a trustee.

Fidelity Broker Account Opening Process

Opening a brokerage account with Fidelity is a straightforward process that can be completed online. Here are the steps involved:

• Fill in Your Personal Information: Go to Fidelity's website and select "Open Online" next to the brokerage account option. Enter your email, address, Social Security number, and employment information if applicable.

• Add Account Settings: Answer a few quick questions about your account preferences, including email settings and whether you want to subscribe to Fidelity's newsletter.

• Review and Confirm: Review all the information provided, including personal details and account settings. Read through the customer agreement and terms, then click "Open Account."

• Fund the Account: After your account is opened, fund it using your bank information or transfer from another brokerage account. There are no fees for opening or maintaining the account, but a minimum funding amount of $2,500 is required to start investing.

By following these steps, you can successfully open a Fidelity brokerage account and begin your investment journey.