Beginners Guide To Investing: Opening an Account With Fidelity



Opening up a Fidelity brokerage account was a simple process. As a beginner investor or someone who wants to invest on a low income, finding a brokerage account that offers fractional shares will make your life a lot easier.


A fractional share is when you buy a portion of one whole share.

For example, if company X cost $100 for ONE share, you would be able to buy $10 of company X. Instead of owning ONE whole share, you would now be the owner of 0.10 shares. This concept is why beginner investors, who do not make much money, are still able to take advantage of using the stock market.

Investing for beginners: How to open an account with Fidelity

But why is it important to have fractional shares offered by a brokerage account?


It's because of the confidence boost and room to exercise what you're learning about investing.


It's discouraging and overwhelming to have to wait until you have the full price of a share before purchasing it. If you wanted to buy a full share of Amazon (AMZN) you would have to save up $3,305.70**.


Versus if you invest through Fidelity, Robinhood, M1 Finance, or Charles Schwab you will be able to purchase fractional shares for single digit amounts.


Use my referral link for Robinhood for a FREE stock!

Having the option to purchase fractional shares is one of the biggest pros of opening a Fidelity taxable brokerage account along with easy access to customer service and a 5 star mobile app. It’s user-friendly interface made buying shares simple and adding money to the account a breeze.


By the end of this blog post you will learn how to open a Fidelity taxable brokerage account and learn the answers to a few FAQ questions


What's ahead: Guide for opening an account with Fidelity

Is a Fidelity brokerage account good for beginners?

Does Fidelity charge a monthly fee?

What is the minimum balance to open an account?

How to open an account with Fidelity


Note: I will revisit this post periodically and update as needed.

**This was Amazons closing stock value as of August 24th 2021


Is a Fidelity brokerage account good for beginners?


The best part about opening a Fidelity brokerage account is that it is beginner friendly.


In addition to it being super easy to create your actual account, it offers a tutorial to show you how to use the platform, has a good customer service hotline, and like many other platforms, offers a research tab.


You can learn and invest without having to click a million menu options.



One aspect that should be noted when it comes to opening a Fidelity taxable brokerage account is that you will need to use a specific menu option when attempting to place an order for fractional shares.


Without clicking "Simplified Ticket, you will not be able to place an order for fractional shares.


You’ll see the Fidelity fractional shares option towards the end of the post.


Does Fidelity charge a monthly fee?


Fidelity does not charge a monthly fee for opening a taxable brokerage account with them.


One of the bright sides of opening an account with Fidelity is that they offer commission free trades. In addition the investing platform has a $10 minimum for making account transfers.


If you have $10 you can begin to invest today with Fidelity.


What is the minimum amount needed to open a Fidelity account


There isn’t a minimum amount required to open this type of account with Fidelity.



When you sign up with Fidelity, their taxable brokerage accounts will not require that you link a bank account and make a transfer right away.


Not having a minimum account makes this great for beginner investors who are unable to drop large sums of money into the market right away. Or want to open the account and make a plan for their money before they start transferring funds.


Simply having $10, can jump start your buying of Fidelity fractional shares as well as your overall portfolio.


Compare this to M1 finance which has a $100 minimum to open an account with them.

Investing for beginners: How to open a Fidelity account (H1)


What you need to get started (H1)


To open a taxable brokerage account with Fidelity you will need your social security number, employer information, and your home address.


Step one: Click open an account

Opening an account with Fidelity begins on the main page of the login screen. Click the large open an account option.