Fidelity SVP: Zero Commission Fees Is About ‘Putting Customers First’

TL;DR

Fidelity Investments prioritizes customer experience and high-quality order execution to attract and retain clients in a zero-commission environment. They focus on mobile-first trading and innovative features to meet the changing needs of investors.

Transcript

i biddies annual list of the best online brokers is now available and joining me today to talk about fidelity investments is the head of Fidelity's retail brokerage business scott ignol scott thanks so much for joining us today thank you for having me now you know you had about 10,000 new brokerage accounts that opened each trading day last year wh... Read More

Key Insights

• 🥺 Fidelity's customer acquisition strategy revolves around offering valuable digital experiences, industry-leading tools, and exceptional order execution.
• 🤑 Despite zero commissions, Fidelity prioritizes high-quality order execution and offers a choice between money market funds and FDIC-insured accounts for cash sweeps.
• 🚗 Mobile trading is a top priority for Fidelity, with more trades taking place on their mobile app than on their website.
• 💳 Fidelity invests in mobile app enhancements, such as customizable start pages, enhanced credit card experiences, and an AI-driven virtual assistant.
• 🛄 The focus on innovation aims to attract millennial investors while also improving experiences for investors of all age groups.

Questions & Answers

Q: How does Fidelity prioritize customer acquisition?

Fidelity aims to provide meaningful and contextual experiences, industry-leading tools, and exceptional order execution to attract new clients every day.

Q: How does Fidelity compete in the zero-commission environment?

While competitors find alternative revenue streams, Fidelity stays committed to high-quality order execution and offers a choice between money market funds and FDIC-insured accounts for cash sweeps.

Q: How is Fidelity adapting to the mobile-first trading trend?

Fidelity recognizes the growing importance of mobile trading and invests in enhancing their mobile app to offer intuitive and seamless experiences with features that align with their digital platforms.

Q: Does Fidelity's focus on innovation help attract millennial investors?

Fidelity believes that improving experiences and digital enablement is important for all age groups. Their efforts to meet the changing needs of investors benefit everyone, including millennials.

Summary & Key Takeaways

• Fidelity's strategy for customer acquisition centers around providing meaningful and valuable digital experiences, industry-leading tools, and exceptional order execution.

• Despite the move to zero commissions, Fidelity remains committed to high-quality order execution to save customers money and offers a choice between money market funds and FDIC-insured accounts for cash sweeps.

• Fidelity recognizes the shift towards mobile trading and invests in mobile app enhancements, including customizable start pages, enhanced credit card experiences, and an AI-driven virtual assistant.