Comparing brokers side by side is no easy task. For our annual broker review, we assess over a dozen brokers on hundreds of different variables to find the best online broker
. Yielding a database of over 4,000 data points, let's compare Fidelity Investments vs Robinhood.
To start this comparison, first, we will take a look at the online broker commission rates for placing regular stock and options trades. Fidelity Investments charges more than Robinhood for placing regular stock trades ($4.95 and $0, respectively). Looking at trading options, Robinhood's base fee is $0 while Fidelity Investments's is $4.95. Option contracts are pricier at Fidelity Investments, costing $0.65 versus $0 at Robinhood. It's important to note that not all brokers charge a flat fee per trade. Thus, it is important to read the full commission notes for each broker, which we include with each online broker review
Next to commission rates, being able to trade what you want is important. Robinhood supports Stock Trading and Options Trading while Fidelity Investments supports Stock Trading, Options Trading and Mutual Funds. Looking at mutual funds, Fidelity Investments offers its clients access to 11782 different mutual funds while Robinhood has 0 available funds, a difference of 11,782.
Trading access aside, by comparing popular features and functionality, we can break down relevant differences between both brokers. Neither broker offers virtual trading. Taking a look at mobile trading, Both Fidelity Investments and Robinhood offer clients access to an iPhone App, iPad App and Android App. Not to be left out, online banking is also a nice benefit for many investors, and some brokerages provide these services to clients. Checking Accounts, Savings Accounts, Debit Cards and Credit Cards are available to clients of Fidelity Investments while Robinhood offers customers none of these. On the whole, when it comes to tools, research, and mobile trading, both Fidelity Investments and Robinhood were rated Best in Class - Platforms & Tools, Best in Class - Research and Best in Class - Mobile Trading.
Overall, between Fidelity Investments and Robinhood, Fidelity Investments is the winner
Fidelity Investments Review