TD Ameritrade Vs Fidelity Comparison

td ameritrade vs fidelity

Fidelity and TD Ameritrade are titans in the brokerage industry.

Investors and traders who value cost above all other factors will find Fidelity tough to beat. Its pricing is rock bottom, particularly when you consider the extensive resources at your disposal.

But TD Ameritrade is no slouch. Clients receive exceptional tools and competitive pricing on commissions and fees. Plus, TD Ameritrade has perhaps the best options trading platform in the industry under its corporate umbrella.

Below we compare TD Ameritrade vs Fidelity to see who comes out on top across key factors like account type selection, securities available to trade, price, customer support, mobile access, and ease-of-use.

Fidelity vs TD Ameritrade

TD Ameritrade

  • Standout Feature
    Customer Service and Local Branches
  • Commissions
    $6.95 for stock trades; $6.95 + $0.75 per contract for options trades
  • Account Balance Minimum
    $0
fidelity investments

TD Ameritrade vs Fidelity Features

FeatureTD AmeritradeFidelity
Investment Minimum$0$0
Options Trading
Futures
Forex
Traditional IRA
Roth IRA
Rollover IRA
Virtual Trading
Research Reporting
Watchlists
(> 500)

(<100)
Real-time Data
Debt counseling
Mobile app

Fees & Commissions

The cost per trade at Fidelity is currently $4.95. At TD Ameritrade, you will pay a little more: $6.95 per transaction.

No investment minimum is required to open an account at either brokerage firm.

Free access to all platforms at TD Ameritrade is provided, a significant benefit given the access to real-time data.

Fidelity requires at least 36 trades before granting access to its Active Trader Pro platform.

Fee TypeTD AmeritradeFidelity
Equity Trades$6.95$4.95
Options Base Fee$6.95$4.95
Options Per Contract$0.75$0.65
Mutual Funds$49.99$49.95
Broker-Assisted Fees$44.99$32.95
IRA Closure Fee$0$0

Free Guide: 5 Ways To Automate Your Retirement


Trading Platform Comparisons

Fidelity offers three primary platforms to clients.

The web dashboard is detailed yet easy to use thanks in large part to screening filters that let you customize pages to view your transactions.

The mobile version includes real-time data to give you stock quotes, and enables you to jot down ideas and bookmark top news stories.

Active Trader Pro is the trading platform by Fidelity that features customizable tools so you can place orders, follow the market, view breaking news, track your portfolio, and even customize layout options based on your preferences.

TD Ameritrade also offers a trio of platforms: a web-based version, a mobile app, and the desktop thinkorswim platform, which is its most advanced trading platform aimed primarily at options and futures traders.

The TD Ameritrade phone app is rated highly in the Apple Store in part because of the simple user experience yet powerful functionality.

Investment Securities Comparison

Little separates TD Ameritrade and Fidelity in terms of the securities available but subtle differences surface on closer examination, particularly with respect to futures and forex.

Investment SecuritiesTD AmeritradeFidelity
Stocks
Options
FuturesX
No Load Mutual Funds
Load Mutual Funds
(>4,000)

(>4,000)
Commission-free ETFs
(>290)

(>200)
Corporate Bonds
Municipal Bonds
Treasury Bonds
ForexX

Stocks

Deposit $3,000 at TD Ameritrade or $2,000 at Fidelity and you’ll be all set to trade stocks like Facebook, Amazon, Netflix, or most any other you might have your eye on.

TD Ameritrade features intelligent ordering options as well as free historical reports and research.

Fidelity is renowned more for mutual funds more so than individual stocks but you won’t be left in the lurch there either.

>> Best Online Stock Brokers For New Traders

Options

At Fidelity, expect to pay $4.95 plus an additional $0.65 per contract for options.

TD Ameritrade charges $6.95 plus $0.75 per contract. For the higher fee, you gain access to perhaps the most advanced options platform in the industry; tastyworks is a close second.

Neither broker will hit you with the platform fees that sting clients choosing some rival brokers.

>> Best Online Options Trading Brokers

Mutual Funds

Both brokers offer a broad range of no-transaction-fee mutual funds, sometimes called NTF mutual funds.

Fidelity has at least 3,700 funds, and TD Ameritrade has more than 4,000.

Commission-free ETFs

TD Ameritrade wins when it comes to no-fee exchange-traded funds.

With over 300 no-fee ETFs, TD Ameritrade features a slightly greater selection than does Fidelity.

ETFs

Both TD Ameritrade and Fidelity offer screening tools to find ETFs.

You can compare top ranked funds, track changes, search for ETFs thematically and even tailor your dashboard to create watchlists.

>> Best Online Brokers For ETF Trading

Bonds

Fidelity currently charges $1 per bond with a minimum of $19.95 for any adjustments.

Some bonds are available commission-free at TD Ameritrade. Others are available on a net yield basis.

The Bond Wizard tool tracks pricing charges and will alert you based to changes based on your triggers.

Forex

Fidelity has no forex trading options.

TD Ameritrade offers forex trading with leverage of up to 50:1 available.

>> Best Forex Brokers

Investment Minimums

BrokerAccount MinimumPromo
TD Ameritrade$0No commissions for the first two months with a $3,000 minimum deposit
Fidelity$0Short-term trading for 60 days or less requires a $2,000 account balance

>> Automated Investment Management By Fidelity Go

Account Types

TD AmeritradeFidelity
Standard

  • Individual
  • JTWROS
  • Community Property
  • Tenants by Entireties
  • Guardianship or Conservatorship
Retirement

  • Traditional IRA
  • Roth IRA
  • Rollover IRA
  • Sep IRA
  • Solo 401k
  • SIMPLE IRA
  • Pension or Profit Plan
Education

  • 529 Plans
  • Coverdell Education Savings
  • UGMA or UTMA
Specialty

  • Trust
  • Limited Partnership
  • Partnership
  • Investment Club
  • Limited Liability
  • Sole Proprietorship
  • Corporate
  • Non-incorporated
  • Small Business Plans
Managed Portfolios
  • Essential Portfolios
  • Selective Portfolios
  • Personalized Portfolios
Margin Trading

td ameritrade margin chart

Tax Strategy

Fidelity Tax Strategy

Tax-advantaged retirement accounts and 529 plans for educational initiatives are two primary way that Fidelity helps clients to save money.

It can also advise clients on how to minimize tax impact on their portfolios.

TD Ameritrade Tax Strategy

Similarly, TD Ameritrade facilitates retirement accounts and 529 plans.

Educational tools and charitable donations are other tax efficient initiatives that the brokerage firm emphasizes to clients to keep more in their pockets.

Customer Support Comparison

With over 170 branch locations, Fidelity has investment advisers who can help you in person.

A virtual assistant is also available on its web platform.

Plus, live chat and 24/7 assistance on its mobile app provides on-the-go support options.

TD Ameritrade customer support is available 24 hours a day during the trading week.

You can also get help via mobile device and live chat or visit one of the more than 300 branches to work with a human advisor.

Overall Winner

Both TD Ameritrade and Fidelity offer an extraordinary depth of tools, securities available to trade, and account selections.

For options and forex traders, TD Ameritrade is your best bet.

Price-sensitive traders and mutual fund investors will likely fare better at Fidelity.

No matter which you choose you won’t be left in the lurch thanks to around-the-clock customer support available online as well as during business hours at brick-and-mortar locations.

If you had to choose between TD Ameritrade vs Fidelity, the former gets the nod in our view because you get a little more bang for your buck.

Bonus

Fidelity Wiki

Fidelity is a giant financial institution with over $2 trillion in assets under management.

As a Best Online Broker for the past three years, Fidelity lives up to its reputation for service and value.

Whether you are a new trader or highly experienced, it’s got a vast array of securities available to trade, tools to conduct research, and support to help you get up to speed.

Three managed account options at Fidelity give investors the chance to automate or customize portfolio selections.

Fidelity Go, the automated investment management arm of the company, charges low fees of 0.35%, which rival leading robo-advisors such as Betterment and Ellevest. This option is attractive for busy professionals who have little time to pencil in financial consultations with traditional advisors on the calendar.

If human advice is important to you, Fidelity Wealth and Fidelity Strategic enable you to work with a financial advisor who can guide your investing selections.

The Wealth program has a lower investment minimum than the Strategic Plan, which is aimed at higher wealth clients who may have lots of account types.

TD Ameritrade Wiki

TD Ameritrade offers investors educational tools, quality research, market analysis, and competitive pricing.

Its thinkorswim platform is best for options and forex traders but it’s equally well able to serve long-term oriented investors who want to squirrel away a nest-egg into a diversified portfolio of stocks, bonds and mutual funds.

Like Fidelity, TD Ameritrade has its own digital investment advisor offerings, called Essential Portfolios and Selective Portfolios, which are designed for hands-off investors.

For investors who want access to the markets on-the-go, TD Ameritrade has excellent mobile solutions that are available, even on the Apple Watch.

If you need a little extra hand-holding, TD Ameritrade pairs clients with financial advisors who can better guide you towards your financial goals.


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