Who to use? Fidelity, Schwab, Vanguard?

Another vote for Fidelity. Timely and efficient responses on any investment questions for no fees.
OTOH I don't have any experience with Vanguard and Schwab.
 
I only have used Wells Fargo (too expensive), Merrill Lynch (too expensive), Oppenheimer (very expensive) and Vanguard.

Vanguard's web site has an archaic interface, and you can't exchange mutual funds for ETFs (you have to sell, the $ goes to a settlement account, and then you can buy).

The level of service there varies from very basic (with three tiers for those with assets under $1M), to Vanguard Flagship ($1M-$5M), to Flagship Select (>$5M). Now that I'm in the middle tier, I'm happy with their level of service. I've been having them create a new retirement plan annually for the past three years (free) as I approach FIRE, which ends up with a ~4.7% distribution rate in my situtation (including future income streams). For a % of assets, they will manage everything for you, if you wish. They will also help with rebalancing.

They have web broadcasts about monthly for learning and investment advice. Overall, I'm very happy with them, as I'm a do-it-yourselfer (they do help with transferring funds from other institutions), and have no need to sit down with them face-to-face, and have no need to buy individual stocks or bonds.

Anyway, if you're a self-directed person and don't need a lot of personal assistance, and don't do a lot of active trading, VG is great for low-cost investing.
 
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Let's not forget the ~0.005% benefit provided to Fidelity Private Client customers (those with > $1M in their account): free Turbotax Premium every year.


I have both Fido and VG accounts and agree with others here that the costs are similar but Fidelity has more user friendly features (if you care about such things). The ones that matter to me are what appears to be good range of individual bonds, handy asset tracking/retirement planning tools, availability of a local representative (who thankfully only sends me pesky unsolicited infomercial emails a few times a year).



I have no experience with Schwab, but the comment in this thread about wider bond availability makes me think I should check them out.
 
I have used Vanguard and Fidelity. I like Fidelity because of local office access. Presently have most $ at Vanguard and frankly am frustrated with only telephone and online access. DD uses Schwab and Fidelity.

If you are used to a big bucks brokerage firm Schwab may be the best fit for you. Next, IMHO, Fidelity.

I would not use an in-house financial advisor at any brokerage firm, I would listen to their observations but not invest based on their advice. Hire your own financial advisor who can look at your entire financial picture.
 
One comment about local vs remote. To Vanguard everyone is remote, they whizzed through remote desktop. The Fidelity annuity salesman I spoke to several times had to enlist an IT resource.
 
Lots of great info and advice folks. Thanks for that. I just got back from my meeting Schwab. I have to say, I was very impressed with the tools that are available and the costs (or lack thereof). For every question and concern I had they gave me what I would consider very adequate answers and solutions. Also, the rep and I got along well, which is also a plus. She even called the local bond desk guy and he chatted with me a bit about how I could use him and what they offer. So, that was nice, too. Tomorrow I meet with Fidelity. Unless they blow me away, I'll probably go with Schwab. There are a couple of things I still need to consider.


1. I have a very large 401k that is in a Fidelity plan that they would consider as part of my total assets. So, it may put me over some thresholds there for additional benefits. Although, I'm not sure what they would be. Of course, at Schwab this wouldn't be the case, as the 401k isn't moving.
2. I have a portion of my portfolio, the international allocation, in a managed account that Lazard runs. My Dad was able to cut the fee to around 60 bps, but at Schwab it would be 1.35%. I'm certainly not going to pay that. But, I also don't have the time or energy to manage this International piece (I DIY all the rest). So, I'm going to need to figure out what else to do with it. I could always buy a fund, but what I've noticed when I look at the holdings of many is that they are actually mostly US companies. It's very misleading. Anyway, we'll see how Fidelity can handle this piece.


On Vanguard, I think I may have ruled them out. Many here have mentioned the archaic website and tools, which I have experienced, as well. And, when compared to what Schwab showed me today, it doesn't even really compare.
 
brokrken said:
Lots of great info and advice folks. Thanks for that. I just got back from my meeting Schwab. I have to say, I was very impressed with the tools that are available and the costs (or lack thereof). For every question and concern I had they gave me what I would consider very adequate answers and solutions. Also, the rep and I got along well, which is also a plus. She even called the local bond desk guy and he chatted with me a bit about how I could use him and what they offer. So, that was nice, too. Tomorrow I meet with Fidelity. Unless they blow me away, I'll probably go with Schwab. There are a couple of things I still need to consider.


1. I have a very large 401k that is in a Fidelity plan that they would consider as part of my total assets. So, it may put me over some thresholds there for additional benefits. Although, I'm not sure what they would be. Of course, at Schwab this wouldn't be the case, as the 401k isn't moving.
2. I have a portion of my portfolio, the international allocation, in a managed account that Lazard runs. My Dad was able to cut the fee to around 60 bps, but at Schwab it would be 1.35%. I'm certainly not going to pay that. But, I also don't have the time or energy to manage this International piece (I DIY all the rest). So, I'm going to need to figure out what else to do with it. I could always buy a fund, but what I've noticed when I look at the holdings of many is that they are actually mostly US companies. It's very misleading. Anyway, we'll see how Fidelity can handle this piece.


On Vanguard, I think I may have ruled them out. Many here have mentioned the archaic website and tools, which I have experienced, as well. And, when compared to what Schwab showed me today, it doesn't even really compare.
Click to expand...

One thing to consider when rolling over a 401k fund is one do you have a high yielding Stable Value fund in your 401k, which you wouldn't have in your "TIRA rollover?

Why not consider an International index fund? Fidelity has a new one for zero fees and an existing older one for 4.5 bps.
 
Dtail said:
One thing to consider when rolling over a 401k fund is one do you have a high yielding Stable Value fund in your 401k, which you wouldn't have in your "TIRA rollover?

Why not consider an International index fund? Fidelity has a new one for zero fees and an existing older one for 4.5 bps.
Click to expand...

Dtail, the 401k will not be rolled over as I am still employed. My only point is that since it is in a Fidelity 401k plan, they would consider it as part of my total assets, where Schwab, of course wouldn't.

I will consider an Int'l index fund. One issue is that Lazard has actually done pretty well beating them. But, I'll check out the Fidelity one...Thanks.
 
I have accounts at various brokerages.

Vanguard is not a real brokerage. They do not have real-time updating of things that happen with your account. Since you have an account at Vanguard, you can see this yourself. They are great if you want to use Vanguard mutual funds, but less great if you want to use ETFs including Vanguard ETFs.

Fidelity is always trying to push something on me through their website. They have never called me that I am aware of even though I have had an account with them for decades. I don't make any transactions at Fidelity (except donating shares to my Fidelity charitable donor-advised fund) and the money I have there is simply set-and-forget. But their web site is fluffy and has a lot of useless to me information cluttering it up.

I don't have an account at Schwab.

Anyways, I can see why people like any and all of them. I can see why I really don't like any of them and would recommend a different broker that you did not ask about.

I don't need a broker to do any research at all since the internet has all the research I need faster and better.
 
When at Fidelity, be sure you get connected to their international folks. I do not have personal experience but a colleague who does a lot of trading in non US stocks, told me how impressed he was at their capabilities and attractive costs. Not sure who he had been using (thinking it was a full service brokerage, maybe Merrill) but apparently blew them away on cost, trading tools, and services).
BTW, portfolio at 1Mill will put u in Fido's Private Client level. If your portfolio is large enuff. maybe split between Schwab and Fido for a year to see which best fits you. Personally would not pursue Vanguard as their trading tools are a distance third.
ETA--be sure what "incentives" each choice will offer to attract your biz. Right now I think Fido is promoting free trades
 
Very happy with Schwab. 100% free trades. Great advisor who does not bother us. We met several times and got me pointed in the right direction. I am self directed, but can call my advisor any time for questions - at no charge. Only a small percentage in Schwab funds. Works very well for us...
 
brokrken said:
And, who would you recommend?
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Well, you should certainly check out Schwab who I don't have an opinion of.

I use TDAmeritrade and WellsTrade.

WT is the best at real-time updating of everything for my needs and has a very clean no-nonsense, no flufff web site with superb trade executions. You might have to call them to get a form or something, but phone support is superb for me.

TDAmeritrade probably has more products that you may need. I use the real-time Level II quotes and order book display in my TDAmeritrade account whenever I make a transaction at any of my brokers. TDAmeritrade has local offices that may come in handy, but like all of these local offices the service will depend on the person in the office.

And I am sure the local Schwab, TDAmeritrade, Fidelity, and other offices are just playing musicals chairs with their people. So if a salesrep quits TDAmeritrade, they may show up at Schwab.

Both give me free trades for the things I want to buy/sell, but they may not give you free trades.
 
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LOL! said:
Well, you should certainly check out Schwab who I don't have an opinion of.

I use TDAmeritrade and WellsTrade.

WT is the best at real-time updating of everything for my needs and has a very clean no-nonsense, no flufff web site with superb trade executions. You might have to call them to get a form or something, but phone support is superb for me.

TDAmeritrade probably has more products that you may need. I use the real-time Level II quotes and order book display in my TDAmeritrade account whenever I make a transaction at any of my brokers. TDAmeritrade has local offices that may come in handy, but like all of these local offices the service will depend on the person in the office.

And I am sure the local Schwab, TDAmeritrade, Fidelity, and other offices are just playing musicals chairs with their people. So if a salesrep quits TDAmeritrade, they may show up at Schwab.

Both give me free trades for the things I want to buy/sell, but they may not give you free trades.
Click to expand...

Here is the first summary/review I came across re Wellstrade. https://www.brokerage-review.com/online-broker-reviews/wellstrade-review.aspx
Entire fee structure is above Fido and Schwab unless you have a Wells Fargo account. And if you do happen to still be with WF, the charges for other services do not strike me as "great deals"
Frankly, given the many many ethical behavior issues Wells Fargo has admitted to, I would seriously wonder not if, but when comparable misbehaviors will be revealed for this part of WFargo.
YMMV
 
I have accounts with all three, and give another thumbs up to Schwab, for the reasons others have mentioned: focus on individual investors, intuitive web site and mobile app, great CS (the CSRs are VERY sharp, it's always such a relief to talk with them and have my problem solved), linked checking, wide range of services. My independent financial advisor also likes Schwab, uses them for bond trading. My ex got me into Vanguard and their index funds are pretty good, I think. And I appreciate the company's culture/history of low-cost investing (just like Chuck Schwab pioneered low cost trading). But....their usability isn't as good IMO. Fidelity is home to my 401k. Don't have any other experience with them.
 
MRG said:
I've had a long term relationship with Vanguard and Fidelity.

Both are great, some folks will bag on Vanguard for being stodgy and inflexible. Perhaps, but they won't hurt you with BS salespeople!

I was a great fan of Fidelity until I moved to a different area. I no longer have a private client representative, as they can't keep them in this area, or don't care to. The last one was a hard pushing annuity salesman who couldn't spell fiduciary. When I complained to the branch manager he told me to call their 800 number in the future. Perhaps they can manage the people who answer the phones.

I'm very much considered moving 1.25 million from Fidelity to Schwab. Perhaps someone will convince me to.
Click to expand...

Schwab has simply awesome customer service which keeps me there right now
 
We have used Fidelity since the early 90s. I always thought their web interface was really good. I am no longer located where they have an office, but that’s bit a problem for me. I rarely have to call and can do really complex stuff online. Great customer service over the years.

I have a small account with Schwab. They are fine. Web interface not as comprehensive or intuitive IMO.

Never directly had a Vanguard account, but if I planned to start out with Vanguard funds I would go direct.
 
I have had an account with Fido for 30+ years. I have been very happy with them. You might go with whoever you have the best rapport with, keeping in mind that that can change over time.
 
I have accounts with all 3, but very little with Schwab these days. Not because I dislike them or anything, but mainly it was a holdover from my young and foolish days when I owned individual stocks. Over time, I ended up working at companies who, with the exception of my current one, used Fidelity for 401Ks. As I left those companies, it was painless to roll over my 401Ks to an IRA. As time went on, I opened up a taxable account there as well. And, over time I also opened up a smaller taxable account at Vanguard.


Honestly, you really can't go wrong with any of these, especially if you're a do-it-yourselfer. Perhaps if you know the sorts of investments you're interested in, you can see what's available at each one and compare costs. I've never really had the need for much "customer service" at any of these since so much can be done online...
 
I vote for which ever one has a brick & mortar location closest to you. Some documents still need to be signed and witnessed. A near-by location will make that easier.
 
We have consolidated everything at Fidelity and are completely satisfied. I have attended some seminars at the local office and met with a rep there a couple of times but have not otherwise used any of their local support. Phone support on the rare occasions I have used it has been excellent.
 
I was with Fidelity for about 15 years and moved everything to Vanguard about 15 years ago. And my Megacorp 401k was with Schwab. So I have years of experience with all three. And I’d say they’re all good choices.

I started with Fidelity when I was 100% stocks because they had brick-n-mortar offices, brokers who could advise and good online tools and statements. I no longer care about offices or brokers.

I only switched everything to Vanguard when I transitioned to mutual funds (away from individual stocks) because they had way more mutual funds, especially low expense index funds. Fidelity and others have more low expense index funds these days. Vanguards online tools and statements are OK but still inferior, and their free account reps are fair to poor even if you’re at the Flasgship level. If you ask anything behind the basics, they have to get back to you because they don’t know. For a small fee, you can engage advisors, but I’ve never done it so I can’t speak to their utility.

And I’d count Schwab as more like Fidelity. Better advisors and online tools than Vanguard.

If you’re trading stocks and/or want better advice/tools I’d go with Fidelity or Schwab. If you’re a DIY investor with mostly mutual funds I’d go with Vanguard.
 
I use all three companies but have received excellent customer service from Fidelity and Schwab. I moved some accounts to Vanguard a few years ago but was disappointed in the incompetent responses and service especially during tax time or end of year when getting a rep could take an hour.

On a side note, Fidelity and Schwab have better websites and retirement tools than Vanguard.
 
Yet another vote for Schwab. I've been with Schwab for over 35 years and appreciate their excellent customer service. I had one bad experience with an account manager when a rollover was botched badly enough that I sent a complaint. Soon after, I was assigned a new account manager who informed me that the other guy was terminated. So they clearly prioritize service.

Also have accounts with Fidelity and E*Trade but Schwab is my main brokerage.
 
I've been using both Fidelity and Vanguard for more than thirty years. I'm kind of like the guy in the National Car Rental commercials Patrick Warburton, the less people I have to deal with, the better. I can count on one hand how many times I've had to contact their customer service people over the years and always got top notch service from both institutions. YMMV.
 
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