Introduction
Investing has become increasingly popular in recent years, and with the rise of online investment platforms, it has become easier than ever to get started. Two of the most popular investment platforms are Fidelity and SoFi. In this article, we’ll take a look at the features of each platform and compare them to help you decide which one is better suited to your needs.
Background
Fidelity is a well-known investment platform that has been around since 1946. It has a long history of providing quality investment services to its clients. SoFi, on the other hand, is a newer platform that was founded in 2011. It was initially focused on providing student loan refinancing, but has since expanded to include investment services.
Investment Options
Fidelity
Fidelity offers a wide range of investment options, including stocks, bonds, mutual funds, ETFs, and more. It also offers a variety of account types, such as traditional and Roth IRAs, individual brokerage accounts, and 401(k) plans. This makes it a great choice for those who want a lot of flexibility in their investment choices.
SoFi
SoFi offers a more limited range of investment options, focusing mainly on ETFs and mutual funds. It also offers individual brokerage accounts, Roth IRAs, and traditional IRAs. While it may be more limited in terms of investment options, it does offer some unique features, such as the ability to invest in IPOs and fractional shares.
Fees
Fidelity
Fidelity’s fees vary depending on the type of account and investment option. For example, its mutual funds have an average expense ratio of 0.45%, which is slightly higher than the industry average. However, it does offer some commission-free ETFs and has no account minimums for most accounts.
SoFi
SoFi’s fees are generally lower than Fidelity’s. It has no account minimums and charges no fees on its ETFs. It also offers commission-free trades on stocks and ETFs. However, it does charge a management fee of 0.25% on its robo-advisory accounts.
User Interface
Fidelity
Fidelity’s user interface can be somewhat overwhelming for new investors. It has a lot of options and can take some time to navigate. However, it does offer a lot of educational resources and tools to help investors make informed decisions.
SoFi
SoFi’s user interface is much simpler and more streamlined than Fidelity’s. It is easy to use and navigate, making it a great choice for beginners. Its app is also well-designed and user-friendly.
Customer Service
Fidelity
Fidelity has a reputation for excellent customer service. It offers phone support, live chat, and email support. It also has local branches where investors can go for in-person support.
SoFi
SoFi also offers phone support, live chat, and email support. However, it does not have any physical branches, which may be a drawback for some investors who prefer in-person support.
Security
Fidelity
Fidelity takes security very seriously and offers two-factor authentication, encryption, and fraud monitoring. It also has insurance in place to protect investors in case of a security breach.
SoFi
SoFi also takes security seriously and offers two-factor authentication and encryption. It also has insurance in place to protect investors in case of a security breach.
Mobile App
Fidelity
Fidelity’s mobile app is well-designed and easy to use. It offers all of the same features as the desktop version of the platform, including trading, research, and account management.
SoFi
SoFi’s mobile app is also well-designed and user-friendly. It offers all of the same features as the desktop version of the platform, as well as some unique features such as the ability to track your net worth and credit score.
Conclusion
Both Fidelity and SoFi offer a lot of great features for investors. Fidelity is better suited for those who want a lot of investment options and a more robust educational platform. SoFi, on the other hand, is better suited for those who want a simpler platform with lower fees. Ultimately, the choice between the two will depend on your individual investing needs and preferences.
