Fidelity vs Vanguard
Fidelity is a full-service brokerage offering diverse investment products and active management options, while Vanguard specializes in low-cost index funds and is structured as a client-owned mutual holding company. Vanguard typically offers lower fees, whereas Fidelity provides more comprehensive services and trading tools.
Fidelity
Investment and financial services firm specializing in brokerage, retirement accounts, mutual funds, and wealth management.
Active investors, traders, and those seeking comprehensive financial services with diverse options
Vanguard
Client-owned investment management firm specializing in low-cost mutual funds and ETFs.
Long-term buy-and-hold investors prioritizing low costs and passive index-based strategies
Quick Answer
AI SummaryFidelity is a full-service brokerage offering diverse investment products and active management options, while Vanguard specializes in low-cost index funds and is structured as a client-owned mutual holding company. Vanguard typically offers lower fees, whereas Fidelity provides more comprehensive services and trading tools.
Our Verdict
AI-assistedBoth Fidelity and Vanguard are industry-leading investment platforms with excellent reputations and robust offerings. Vanguard is ideal for cost-conscious, long-term investors seeking passive index investing, while Fidelity suits those wanting diverse investment options, active management, and comprehensive financial services. Your choice depends on investment philosophy and desired service level.
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👑 Best pickActive investors, traders, and those seeking comprehensive financial services with diverse options
Choose Vanguard if
Long-term buy-and-hold investors prioritizing low costs and passive index-based strategies
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Key Differences at a Glance
Key Facts & Figures
38 numeric metrics compared
| Metric | Fidelity | Vanguard | Ratio |
|---|---|---|---|
| Commission on Stock Trades(USD) | Free | — | — |
| Minimum Account Balance(USD) | None | $3,000 | -100% |
| Funded Customers(millions) | ~12-15 (estimated) | — | — |
| Total Platform Assets(billions USD) | $11,900+ (AUM) | — | — |
| Retirement Account Types(count) | Comprehensive (Traditional, Roth, SEP, Solo 401k) | — | — |
| Mobile App Rating(stars) | 4.7 stars | — | — |
| Minimum Account Balance(USD) | $0 | — | — |
| Minimum Initial Investment(USD) | $0 | $0 | |
| Average Mutual Fund Expense Ratio(%) | 0.45% | 0.08% | +463% |
| Stock Trading Commission(USD) | $0 | $0 | |
| Assets Under Management(Trillion USD) | $12.9T | $8.4T | +54% |
| Number of ETFs Available(count) | 2,100+ | 420+ | +400% |
| IRA Contribution Limit (2026)(USD) | $7,000 | $7,000 | |
| Average Expense Ratio (Index Funds)(%) | 0.04% | 0.03% | +33% |
| Robo-Advisor Minimum Balance(USD) | $0 | $50,000 | -100% |
| Number of Mutual Funds(count) | 3,500+ | 430+ | +714% |
| ETF Universe Access(count) | 2,000+ | 1,500+ | +33% |
| Account Opening Requirement(USD) | $0 | $0 | |
| Checking Account Monthly Fee(USD) | $0 | — | — |
| High-Yield Savings APY(%) | 4.55% | — | — |
| Stock Trading Commission(USD) | $0 per trade | $0 | |
| Mutual Fund Selection(count) | 3,500+ funds | — | — |
| Physical Locations(count) | 200+ locations | — | — |
| Account Minimum Requirement(USD) | $0 for standard accounts | — | — |
| Assets Under Management(trillion USD) | $11.3 trillion (retirement accounts) | $8.1 trillion | +40% |
| Mobile App Rating(stars out of 5) | 4.5/5 | 4.5/5 | |
| Stock Trading Commission(USD per trade) | Free | Free | |
| ETF Expense Ratio (Average)(%) | 0.05% | 0.05% | |
| Minimum Account Balance(USD) | $0 | $0 | |
| Account Types Offered(count) | 30+ | 30+ | |
| Mutual Funds Available(count) | 9,200+ | 9,200+ | |
| Customer Service Rating(stars out of 5) | 4.8/5 | 4.8/5 | |
| Assets Under Management (AUM)(Trillion USD) | $8.5 trillion | $8.5 trillion | |
| Average Index Fund Expense Ratio(%) | 0.03% | 0.03% | |
| Stock & ETF Commission(USD per trade) | $0 | $0 | |
| Number of Index Funds Available(count) | 425+ | 425+ | |
| Client Satisfaction Rating (2024)(out of 5) | 4.6 stars | 4.6 stars | |
| Personal Advisor Service Minimum(USD) | $50,000 | $50,000 |
Sourced from publicly available data · Jun 2026
Key Differences
8 attributes compared head-to-head
Fidelity
Public corporation
Vanguard
Client-owned mutual holding company🏆
Fidelity
0.45%
Vanguard
0.08%🏆
Fidelity
Active & passive management mix
Vanguard
Primarily passive index-based
Fidelity
$0 for most accounts
Vanguard
$0 for most accounts
Fidelity
9,000+🏆
Vanguard
400+
Fidelity
Go Advisor available
Vanguard
Personal Advisor Services
Fidelity
$12.9 trillion🏆
Vanguard
$8.4 trillion
Fidelity
4.7/5 stars🏆
Vanguard
4.6/5 stars
Full Comparison
| Attribute | Fidelity | Vanguard |
|---|---|---|
| Average Expense Ratio | ~0.10% (0% on Zero funds) | ~0.08% |
| Commission on Stock Trades(USD) | Free | — |
| Average Expense Ratio (Index Funds)(%) | 0.04% | 0.03% |
| Stock Trading Commission(USD per trade) | Free | — |
| ETF Expense Ratio (Average)(%) | 0.05% | — |
| Average Index Fund Expense Ratio(%) | 0.03% | — |
Show 2 more attributesRobo-Advisor Management Fee(%) Not offered — Stock & ETF Commission(USD per trade) $0 — | ||
| Minimum Account Balance(USD) | None | $3,000 |
| Minimum Account Balance(USD) | $0 | — |
| Funded Customers(millions) | ~12-15 (estimated) | — |
| Total Platform Assets(billions USD) | $11,900+ (AUM) | — |
| Cryptocurrency Products(count) | Growing with stablecoin FIDD | — |
| Retirement Account Types(count) | Comprehensive (Traditional, Roth, SEP, Solo 401k) | — |
| International Trading(availability) | Comprehensive global access | — |
| Options Trading(availability) | Available | — |
| Research Tools Quality(tier) | Professional-grade, free for most | — |
| Research Tools Depth | Extensive library | — |
| Mobile App Rating(stars) | 4.7 stars | — |
| Professional Advisory Available(boolean) | Yes (fee-based and robo) | — |
| Account Types Available | Trading, banking, planning, wealth mgmt | — |
| Commission on Stock Trading | Free | — |
| 2025 Revenue(billion USD) | Market leader (private) | — |
| Cryptocurrency Support | Limited | — |
| AI/Digital Planning Tools | Advanced (Monarch Money, Fiscal.ai) | — |
| Robo-Advisor Minimum Balance(USD) | $0 | $50,000 |
| Mobile App Experience | Strong but complex | — |
| Minimum Initial Investment(USD) | $0 | $0 |
| Account Minimum Requirement(USD) | $0 for standard accounts | — |
| Minimum Account Balance(USD) | $0 | — |
| Average Mutual Fund Expense Ratio(%) | 0.45% | 0.08% |
| Stock Trading Commission(USD) | $0 | $0 |
| Assets Under Management(Trillion USD) | $12.9T | $8.4T |
| Number of ETFs Available(count) | 2,100+ | 420+ |
| Account Types Offered(count) | 30+ | — |
| Mutual Funds Available(count) | 9,200+ | — |
| IRA Contribution Limit (2026)(USD) | $7,000 | $7,000 |
| Number of Mutual Funds(count) | 3,500+ | 430+ |
| ETF Universe Access(count) | 2,000+ | 1,500+ |
| Customer Service Availability(hours/week) | 168 (24/7) | 120 (24/5) |
| Account Opening Requirement(USD) | $0 | $0 |
| Checking Account Monthly Fee(USD) | $0 | — |
| High-Yield Savings APY(%) | 4.55% | — |
| Stock Trading Commission(USD) | $0 per trade | $0 |
| Mutual Fund Selection(count) | 3,500+ funds | — |
| Physical Locations(count) | 200+ locations | — |
| Assets Under Management(trillion USD) | $11.3 trillion (retirement accounts) | $8.1 trillion |
| Research Tools Quality(rating) | Very Good (Vanguard Advisor) | — |
| Mobile App Rating(stars out of 5) | 4.5/5 | — |
| Robo-Advisor Available(yes/no) | Yes (Vanguard Personal Advisor) | — |
| Investor Alignment Model(structure) | Client-owned (mutual structure) | — |
| New Accounts Opened (Feb 2026)(thousands) | 17 new funds launched | — |
| Fee-Only Advisory Services(availability) | Vanguard Advisors (premium support) | — |
| Personal Advisor Service Minimum(USD) | $50,000 | — |
| Customer Service Rating(stars out of 5) | 4.8/5 | — |
| Assets Under Management (AUM)(Trillion USD) | $8.5 trillion | — |
| Number of Index Funds Available(count) | 425+ | — |
| Client Satisfaction Rating (2024)(out of 5) | 4.6 stars | — |
FidelityShow 2 more attributes
Visual Comparison
Side-by-side comparison of numeric attributes
Pros & Cons
10 pros·4 cons across both
Fidelity
Pros
- Extensive investment selection with 9,000+ mutual funds and ETFs
- Zero commission trading on stocks, ETFs, and options
- Comprehensive research tools and educational resources
- Multiple account types including IRAs, 401(k)s, and taxable accounts
- Strong customer service with 24/7 phone and chat support
Cons
- Higher average expense ratios compared to Vanguard (0.45% vs 0.08%)
- More complex platform may overwhelm beginner investors
Vanguard
Pros
- Lowest expense ratios in the industry (average 0.08%)
- Client-owned structure aligns interests with investors
- Strong focus on passive index investing with proven performance
- Excellent reputation for investor advocacy and education
- Tax-efficient fund management strategies
Cons
- Limited selection with only 400+ mutual funds (vs competitors)
- Philosophy favors passive investing over active trading
Frequently Asked Questions
5 questions
Vanguard has significantly lower fees with an average mutual fund expense ratio of 0.08%, compared to Fidelity's 0.45%. For long-term investors, this difference compounds substantially over decades. However, Fidelity offers zero commission trading like Vanguard.
Vanguard's client-owned structure means profits are returned to investors rather than shareholders, theoretically aligning interests better with client success. This structure has contributed to their focus on low fees. Fidelity, while public, also maintains strong investor protections and competitive pricing.
Fidelity may be slightly more beginner-friendly with extensive educational resources and simpler index fund options. Vanguard is also beginner-friendly but emphasizes a buy-and-hold philosophy. Both platforms offer robo-advisor services to automate investing.
Yes, both Fidelity and Vanguard allow ACAT (Automated Customer Account Transfer Service) transfers. The process typically takes 5-10 business days. There are usually no fees for incoming transfers, though your current provider may charge an exit fee.
Both offer 24/7 customer support via phone, chat, and email. Fidelity is known for particularly comprehensive service options and extensive branch locations. Vanguard provides strong support but emphasizes self-service tools. Satisfaction ratings are similar (approximately 4.7/5 for both).
Resources & Learn More
Dive deeper with these curated resources
Wikipedia
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