Fidelity Investments is one of the largest financial services companies in the world, offering investment and retirement products like mutual funds, ETFs, IRAs as well as brokerage services. When looking for companies similar to Fidelity Investments, the top competitors are Vanguard, Charles Schwab, and BlackRock. These companies have comparable investment products and services aimed at retail investors. For example, Vanguard is also known for its low-cost index funds and ETFs. Charles Schwab offers discount brokerage services catered towards individual investors. And BlackRock manages one of the world’s largest assets under management spanning mutual funds and ETFs. All three rivals strive to help clients meet their financial goals through investing.
Vanguard competes with Fidelity in low-cost funds and retirement services
Vanguard is often viewed as Fidelity’s closest competitor in the space of asset and wealth management. As two of the largest mutual fund providers globally, Vanguard and Fidelity compete aggressively on driving down expense ratios and offering Among the lowest-cost index funds and ETFs in the industry. Both companies also aim to be retirement one-stop shops for clients. For example, they both offer extensive IRA options from traditional to Roth as well as tools to help investors plan for retirement. One key difference is that unlike Fidelity, Vanguard is structured as a client-owned asset manager. But fundamentally the two companies overlap significantly in their retail investment and retirement offerings.
Charles Schwab focuses on discount brokerage similar to Fidelity
Charles Schwab is another major player competing with Fidelity Investments, especially when it comes to online brokerage services. Charles Schwab pioneered discount brokerage for individual investors, allowing customers to trade stocks and funds at reduced commissions. Today, Charles Schwab and Fidelity engage in fierce competition over their commission-free ETFs and no-minimum index funds to attract retail investors. Both firms also offer banking solutions like checking and high-yield savings accounts. One distinction is that Charles Schwab has a stronger emphasis on self-directed trading for active investors whereas Fidelity includes more managed portfolios.
BlackRock provides asset management spanning stocks and bonds like Fidelity
BlackRock operates in the same sphere as Fidelity Investments when it comes asset and wealth management. As one of the biggest investment managers globally with nearly $10 trillion in assets under management, BlackRock offers a range of portfolio investments from equities to fixed income. BlackRock’s iShares unit specifically competes with Fidelity in bonds and ETFs asset classes favored by retail investors. However, most of BlackRock’s assets comes from institutional clients whereas Fidelity mainly targets individual investors. Still, the two financial giants compete in areas like retirement services and mutual funds.
In summary, Vanguard, Charles Schwab, and BlackRock are top competitors to Fidelity Investments based on their similar investment products and services aimed at retail investors. All three rivals offer low-cost index funds, ETFs, IRAs, and brokerage accounts comparable to Fidelity.