Anonymous
Post 02/23/2023 10:18     Subject: Re:Too much with fidelity?
Anonymous wrote:As a practical matter there's zero risk in concentrating your holdings at any major investment company. If it makes you feel better, you could always move some to Vanguard, achieving lower costs and likely having access to very similar investment options.


Schwab too. They have similar products and fees and they have an associated FDIC insured bank
Anonymous
Post 02/23/2023 10:14     Subject: Re:Too much with fidelity?
Thought this was from the Relationships board at first.
Anonymous
Post 02/23/2023 09:32     Subject: Too much with fidelity?
I think the only real risk of concentration is cyber risk. Someone getting your logon and password and cleaning out all of your accounts. Fidelity offers a bunch of tools like two factor authentication to help with this.
Anonymous
Post 02/22/2023 19:53     Subject: Re:Too much with fidelity?
As a practical matter there's zero risk in concentrating your holdings at any major investment company. If it makes you feel better, you could always move some to Vanguard, achieving lower costs and likely having access to very similar investment options.
Anonymous
Post 02/22/2023 19:40     Subject: Re:Too much with fidelity?
Anonymous wrote:Fidelity doesn't have an insured bank, so it doesn't carry FDIC insurance. Some of its tools for managing uninvested cash will sweep the cash into banks with FDIC insurance. SIPC will cover most your securities in the event of a bankruptcy, up to $500k.

All this is theoretical. Fidelity is an asset manager and it doesn't have the sort of exposure that an investment bank has. I would have zero concerns having all my assets at Fidelity or a similar asset manager.


Thank you for this reply.
Anonymous
Post 02/22/2023 19:01     Subject: Too much with fidelity?
Anonymous wrote:
Anonymous wrote:Long story short, over the years everything has ended up at fidelity. Company 401k, ira, Roth. My private wealth advisor also transitioned to them so our advisor managed funds are at fidelity now. I just moved my money market funds from Wells Fargo to fidelity because WF was at .002% and fidelity is at 4.11%. Is this okay or should I be worried about fdic limits and such?


Are you allowed to ask your private wealth advisor these elementary questions?


Seriously. Someone has a private wealth advisor but does not know that investments do not have FDIC coverage?

Security at Fidelity is pretty good so I have no issue having most of my assets there.
Anonymous
Post 02/22/2023 18:58     Subject: Re:Too much with fidelity?
Fidelity doesn't have an insured bank, so it doesn't carry FDIC insurance. Some of its tools for managing uninvested cash will sweep the cash into banks with FDIC insurance. SIPC will cover most your securities in the event of a bankruptcy, up to $500k.

All this is theoretical. Fidelity is an asset manager and it doesn't have the sort of exposure that an investment bank has. I would have zero concerns having all my assets at Fidelity or a similar asset manager.
Anonymous
Post 02/22/2023 18:58     Subject: Too much with fidelity?
Anonymous wrote:Long story short, over the years everything has ended up at fidelity. Company 401k, ira, Roth. My private wealth advisor also transitioned to them so our advisor managed funds are at fidelity now. I just moved my money market funds from Wells Fargo to fidelity because WF was at .002% and fidelity is at 4.11%. Is this okay or should I be worried about fdic limits and such?


Are you allowed to ask your private wealth advisor these elementary questions?
Anonymous
Post 02/22/2023 18:46     Subject: Too much with fidelity?
Not a concern, your $$ there are not an asset of Fidelity. SIPC backs them up.
Anonymous
Post 02/22/2023 18:39     Subject: Too much with fidelity?
None of the accounts you mentioned are FDIC insured anyway. The only product they have with FDIC afaik is their cash management.
Anonymous
Post 02/22/2023 18:33     Subject: Re:Too much with fidelity?
We're all it at Fidelity too.
Anonymous
Post 02/22/2023 18:28     Subject: Too much with fidelity?
Long story short, over the years everything has ended up at fidelity. Company 401k, ira, Roth. My private wealth advisor also transitioned to them so our advisor managed funds are at fidelity now. I just moved my money market funds from Wells Fargo to fidelity because WF was at .002% and fidelity is at 4.11%. Is this okay or should I be worried about fdic limits and such?