Not as a firm: Fidelity is paid through commissions, fund fees and insurance sales on its brokerage side, and its advisory arm, Strategic Advisers LLC, earns referral fees from outside advisers as well as advisory fees. Inside Strategic Advisers’ own programs, the picture is closer to fee-only. Clients pay an asset-based fee, and Fidelity credits back what it earns from the funds in those accounts. Fidelity Wealth Services charges 1.10% a year at its Advisory Services level, or 0.50% to 1.50% at its Wealth Management level.
So the honest answer depends on which part of Fidelity you use. Here’s what the filings say.
How Fidelity is paid
Fidelity’s retail business runs through two registered firms.
Strategic Advisers LLC (CRD 104555) is the investment adviser behind Fidelity Go, Fidelity Managed FidFolios, Fidelity Strategic Disciplines and Fidelity Wealth Services. Its Form CRS, effective March 31, 2025, says each program charges “an advisory fee, typically based on the amount of assets that you have in the program.” A fixed fee applies to stand-alone planning. On its Form ADV Part 1, filed March 30, 2026, it reports being paid by a percentage of assets and by fixed fees, and reports no broker-dealer or insurance business of its own. Until 2025 several of these programs were offered through an affiliate, Fidelity Personal and Workplace Advisors, which the SEC’s adviser search now lists as inactive.
Fidelity Brokerage Services LLC (FBS, CRD 7784) is the broker-dealer. Its Form CRS, also effective March 31, 2025, says there are no commissions on online trades of US stocks, ETFs, options, new-issue bonds and CDs. Other online trades, and trades by phone or in a branch, are charged a commission. Some outside funds pay FBS “sales loads, 12b-1 fees, maintenance fees, start-up fees and infrastructure support.” The Wealth Services brochure adds that FBS and Fidelity Insurance Agency sell life insurance and annuities, including ones issued by Fidelity’s own life insurers.
Fidelity’s representatives work for both firms. The Strategic Advisers Form CRS says they’re paid “a salary and either an annual bonus or variable compensation” and “earn more from some advisory programs than from other programs.”
What else the filings disclose
Referral fees. Through Fidelity Wealth Advisor Solutions, Strategic Advisers refers clients to outside advisory firms. Its March 30, 2026 brochure says each firm pays a $50,000 yearly program fee plus 0.10% a year on referred clients’ bond and cash assets and 0.25% on everything else. If a client moves those assets away from Fidelity, the firm pays a one-time 0.75%, which the brochure says “could incentivize” advisers to keep assets at Fidelity. The CFP Board’s fee-only test counts pay for referring a client to someone else as sales-related compensation.
Fidelity funds. The Form CRS says that in some programs “you can only invest in Fidelity mutual funds and ETPs,” and in others “a significant percentage to substantially all” of your account will be. To address that, Wealth Services subtracts a “Credit Amount” from your fee: for Fidelity funds, the management and other fees Fidelity keeps from your investment; for outside funds, the distribution and servicing fees it keeps.
Which program you’re steered to. The Wealth Services brochure says Fidelity and its representatives “will earn more compensation” if you enroll in Wealth Services than in Fidelity Go or Managed FidFolios, and more at the Wealth Management level than at Advisory Services.
Disciplinary history. Both Form CRS documents answer “Yes” and point to Investor.gov.
What Fidelity costs
The Wealth Services brochure, dated March 30, 2026, lists gross fees before the credit:
| Service level and assets | Gross yearly fee |
|---|---|
| Fidelity Advisory Services, all assets | 1.10% |
| Wealth Management, $500,000 or less in total | 1.50%, capped at $6,250 |
| Wealth Management above $500,000: first $500,000 | 1.25% |
| Next $500,000 | 1.10% |
| Next $1 million | 0.90% |
| Next $3 million | 0.70% |
| Above $5 million | 0.50% |
The minimum is $50,000 per account. Wealth Management requires qualifying for a dedicated representative; the brochure says a client “with at least $500,000 invested in an eligible Fidelity account would typically qualify.” Fund expenses are on top, less the credit. Strategic Advisers “has the ability to negotiate advisory fees for certain accounts.”
Fidelity’s other programs cost less: Fidelity Go charges nothing under $25,000 and 0.35% a year above it, using Fidelity funds with no expense ratio. Managed FidFolios charges 0.40% or 0.70%, and Strategic Disciplines 0.20% to 0.70%.
Worked out on the published gross rates:
- $500,000: $5,500 a year at Advisory Services, or $6,250 at Wealth Management
- $1 million: $11,000 at Advisory Services, or $6,250 plus $5,500, $11,750, at Wealth Management
The fee you actually pay is lower by the credit, which depends on the funds you hold. For comparison, fee-only firms that publish a percentage fee charge a median 1% of assets. Fee-only planners who charge a flat fee for ongoing planning charge a median $4,500 a year (middle half $2,400 to $7,200), and a one-time plan has a median of $2,000. A flat-fee planner may not manage your investments for that price, while Fidelity’s fee covers management, trading and custody. See our guide to robo-advisors vs financial advisors for the low-cost end.
Who Fidelity may suit
Fidelity may suit someone who already keeps money there and wants it managed without moving it, or who is comfortable with a portfolio built mainly from Fidelity funds. Fidelity Go is a low-cost start, free under $25,000. Wealth Management adds a dedicated representative and planning. The credit means you aren’t charged twice on Fidelity funds in these programs.
Someone who wants an advisor paid only by them, with no referral arrangements and a choice of funds from any company, may want to compare an independent fee-only advisor first. So may someone who mainly wants planning: Fidelity’s stand-alone planning is generally for clients with a net worth or Fidelity assets of $3 million or more. Our guide to fee-only vs fee-based vs commission explains the trade-offs.
How to check it yourself
- Read both Form CRS documents, for Strategic Advisers (on its SEC record) and for FBS (on BrokerCheck). See what a Form CRS tells you.
- Ask which firm a recommendation comes from: Strategic Advisers as your adviser, or FBS as your broker.
- Ask for your net fee in dollars, after the credit, plus fund expenses.
- If you’re referred to an outside adviser, ask how much that firm pays Fidelity for the referral.
- Read the Fidelity Investments Compensation Disclosure at Fidelity.com/information for how representatives are paid.
Our guide to telling whether an advisor is fee-only walks through each check, and questions to ask a financial advisor gives you the rest.
Compare similar firms
Other fund companies and digital advisers we’ve checked against the fee-only definition: Vanguard, Schwab, Betterment, Wealthfront, Empower, Facet, TIAA. See all 50 firms.