Fidelity's advisor fees depend on the service model you choose

Fidelity offers three main ways to work with an advisor, and each has a different cost structure. You can use a robo-advisor (automated investing with minimal human contact), a traditional advisor who charges a percentage of assets under management, or a fee-only advisor who charges by the hour or flat fee. The model you pick determines whether you pay nothing, a percentage of your account balance, or a set dollar amount.

The cost also depends on how much money you have to invest and what services you actually use. A person with $50,000 will pay differently than someone with $500,000. Fidelity's website lets you see fee estimates before you commit, though the exact amount may shift based on your specific situation.

Key Takeaways

  • Fidelity's robo-advisor (Fidelity Go) charges no advisory fee if your account is under $25,000, and 0.35% per year on larger accounts.
  • Fidelity's traditional advisors typically charge 0.50% to 1.00% per year of the assets they manage for you, depending on account size and complexity.
  • Fee-only advisors at Fidelity charge hourly rates (typically $150 to $400 per hour) or flat fees for specific tasks like retirement planning.
  • You may also pay underlying fund expenses and trading costs depending on what investments you hold and how often your account is traded.
  • Fidelity does not charge account maintenance fees or inactivity fees on most brokerage accounts.

Robo-advisor costs: Fidelity Go

Fidelity Go is Fidelity's automated investment service. A computer algorithm builds and rebalances a portfolio based on your age, risk tolerance, and time horizon. You do not meet with a human advisor unless you request one.

If your account balance is under $25,000, there is no advisory fee. Once your balance reaches $25,000 or more, Fidelity charges 0.35% per year. That means on a $100,000 account, you pay $350 per year. On a $250,000 account, you pay $875 per year. The fee is deducted automatically from your account each quarter.

You still pay the underlying expenses of the funds Fidelity invests in — typically very low because Fidelity uses its own low-cost index funds. There are no trading fees or account maintenance charges.

Traditional advisor costs: percentage of assets under management

If you work with a Fidelity advisor in person or by phone, you typically pay a percentage of the total assets they manage for you. This is called an assets under management (AUM) fee. The percentage usually ranges from 0.50% to 1.00% per year, though it can vary based on your account size, the complexity of your situation, and the specific services included.

Larger accounts often get lower percentages. For example, you might pay 0.75% on your first $250,000 and 0.50% on amounts above that. A $500,000 account might cost $2,500 to $3,750 per year depending on the tier. Fidelity's website has a fee calculator that shows estimates based on account size.

This fee covers ongoing portfolio management, rebalancing, and regular check-ins with your advisor. It does not cover certain specialized services like tax-loss harvesting or estate planning, which may have additional costs.

Fee-only advisor costs: hourly and flat rates

Fidelity also offers advisors who charge by the hour or by project rather than taking a percentage of your assets. Hourly rates typically range from $150 to $400 per hour depending on the advisor's experience and your location. A comprehensive financial plan might take 10 to 20 hours, so total cost could be $1,500 to $8,000.

Flat fees are charged for specific tasks: a retirement income plan, a college savings strategy, or a one-time portfolio review. Flat fees vary widely based on complexity, but often range from $500 to $3,000 for a single project.

With fee-only advisors, you pay for the advice itself, not a percentage of your money. This model works well if you want a one-time plan or periodic check-ins rather than ongoing management.

Additional costs you may encounter

Beyond the advisor fee, you may pay other costs depending on how your account is structured. Mutual funds and exchange-traded funds (ETFs) have expense ratios — annual costs charged by the fund company itself. Fidelity's own index funds typically charge 0.03% to 0.20% per year, while actively managed funds or funds from other companies may cost more.

If your advisor trades your account frequently, you may incur trading costs, though Fidelity does not charge commissions on most stock and ETF trades. Some specialized investments like certain bonds or alternative funds may carry additional fees.

Fidelity does not charge monthly account maintenance fees, inactivity fees, or fees for transferring money in or out of your account. If you close your account, there is no early termination fee.

How to compare costs across Fidelity's options

The cheapest option for most people is Fidelity Go if your account is small. Once you have $25,000 or more, the 0.35% fee is competitive with other robo-advisors. If you want human advice but have a straightforward situation (no business ownership, no complex tax issues), a traditional advisor at 0.50% to 0.75% is reasonable.

If you have a complex financial situation — multiple income sources, significant assets, or specialized needs — a higher AUM fee (0.75% to 1.00%) may be justified because your advisor spends more time on your account. If you only need advice once or twice a year, a fee-only hourly advisor may cost less overall than paying a percentage every year.

Fidelity's website includes a fee estimator tool. You enter your account size and the type of service, and it shows you the annual cost. This lets you compare the three models side by side before you commit.

Frequently Asked Questions

Does Fidelity charge a fee if I just buy and hold investments without an advisor?

No. If you manage your own account without using an advisor, Fidelity charges no advisory fee. You only pay the expense ratios of the funds you own, which are typically very low for Fidelity's own index funds (0.03% to 0.20% per year). There are no account maintenance, trading, or inactivity fees.

Can I switch from one advisor model to another without paying a penalty?

Yes. You can move from Fidelity Go to a traditional advisor, or from a traditional advisor to fee-only, without early termination fees. If you close your account entirely, there is no charge. However, if you sell investments to move money, you may have tax consequences depending on whether those investments have gains or losses.

Are Fidelity advisor fees negotiable?

The published AUM percentages are standard, but advisors may have some flexibility on fees for very large accounts (typically $1 million or more). Fee-only hourly rates may also be negotiable depending on the scope of work. It never hurts to ask, but do not expect significant discounts on smaller accounts.

What happens to my advisor fee if my account value drops?

Your fee percentage stays the same, but the dollar amount you pay goes down because it is calculated on your current account balance. If your account drops from $200,000 to $150,000, your 0.75% fee drops from $1,500 to $1,125 per year. The fee is recalculated each quarter based on your balance at that time.

Do I have to use Fidelity's funds to work with a Fidelity advisor?

No. You can hold funds from other companies in a Fidelity account, and a Fidelity advisor can manage them. However, Fidelity's own funds typically have lower expenses, so advisors often recommend them. There is no penalty for holding outside funds, but your advisor may charge a slightly higher fee if your portfolio is more complex to manage.