The StockBrokers.com annual broker review assesses more than a dozen different brokers over six months, surfacing the best online stock brokers
. This review compares Fidelity Investments vs Robinhood. Is Fidelity Investments or Robinhood a better online broker?
First, we will make a comparison of the stock and option trading fees for trading with both brokers. Fidelity Investments charges more than Robinhood for placing regular stock trades ($4.95 and $0, respectively). With options, the base fees charged are $4.95 (Fidelity Investments) and $0 (Robinhood). Option contracts are pricier at Fidelity Investments, costing $0.65 versus $0 at Robinhood. Note that some brokers charge a per-share fee instead of a flat-fee commission. For a full breakdown of commissions, read our online broker reviews
For our next comparison of these two brokers, being able to trade the way you want is a must. Robinhood supports Stock Trading and Options Trading while Fidelity Investments supports Stock Trading, Options Trading and Mutual Funds. When it comes to mutual funds, Robinhood trails Fidelity Investments by 12,505 total mutual funds, with Fidelity Investments offering 12505 and Robinhood offering 0. Commission free ETFs can also be a nice plus, Robinhood offers 499 commission free ETFs versus Fidelity Investments's total of 265.
Last but not least, by breaking down important features, tools, etc that each broker offers, we can really help to separate the two. Fidelity Investments offers virtual trading while Robinhood does not. For mobile trading, Both Fidelity Investments and Robinhood offer clients access to an iPhone App, iPad App and Android App. Furthermore, some investors like to bank online, and multiple brokerages provide these services to clients. Clients can have Checking Accounts, Savings Accounts, Debit Cards and Credit Cards at Fidelity Investments while customers at Robinhood can have none of these. On the whole, when it comes to tools, research, and mobile trading, Fidelity Investments finished with awards Best in Class - Platforms & Tools, Best in Class - Research and Best in Class - Mobile Trading, while Robinhood came up with none of these.
Overall, Fidelity Investments comes out on top with 5.00 stars over Robinhood's 2.50 stars.