Fidelity Go - Detailed Review

Fidelity Go Overview

Fidelity Go, a robo-advisor service offered by Fidelity, is designed to provide a user-friendly and automated investment management experience, particularly for hands-off investors, beginners, and existing Fidelity clients. Here are the main features and how they work:

Automated Investment and Rebalancing

Fidelity Go uses computer algorithms to automatically invest and rebalance your portfolio based on the information you provide about your financial goals, risk tolerance, and time horizon. Once you enroll and configure your account, the automated technology handles buying and selling assets without needing your explicit approval.

Goal Setting and Tracking

Users can set up savings goals when creating their account, such as retirement, large purchases, or general investing. Fidelity Go allows you to set multiple accounts with different goals, and it monitors your progress through its Target Tracking feature. This helps you stay on track to achieve your financial objectives.

Portfolio Selection

Fidelity Go offers 16 different portfolios, including eight taxable and eight retirement portfolios, all built from Fidelity Flex mutual funds. These portfolios cover four asset classes: domestic, foreign, bonds, and short-term investments. The portfolios are selected based on your financial goals and risk tolerance, ensuring you know exactly what you’re investing in.

Low Cost and No Fees for Small Balances

For accounts under $25,000, Fidelity Go charges no management fees. For balances over $25,000, there is a 0.35% annual management fee. Additionally, Fidelity Go uses Fidelity Flex funds, which do not have expense ratios, making it a cost-effective option.

Human Oversight

While Fidelity Go is automated, the day-to-day investment and trading decisions are handled by a team of humans from Strategic Advisors, a registered investment advisor and Fidelity company. This human oversight can be reassuring for those who prefer not to rely solely on algorithms.

Integration with Fidelity Services

Fidelity Go is integrated into Fidelity’s existing retail managed business. This means customers with IRAs or taxable accounts with Fidelity can easily use the robo-advisor service. It also supports health savings accounts (HSAs) and allows you to connect external financial accounts for more holistic financial planning through tools like Fidelity’s Full View.

Cash Management

Idle cash in Fidelity Go portfolios is automatically swept into the Fidelity Government Cash Reserves fund, which can offer higher returns compared to traditional bank deposits. Additionally, Fidelity users can benefit from the Fidelity Rewards Visa Signature card, which offers 2.0% cashback rewards.

Customer Support

Fidelity Go provides comprehensive customer support, including a 24/7 phone line, live chat during extended business hours, virtual assistants, email support, and social media support. For accounts over $25,000, users also get unlimited access to human financial planners for 30-minute calls.

Financial Wellness and Education

The platform includes a financial wellness section that points customers to available tools and resources. It also offers educational resources and in-platform challenges, such as a 52-week savings challenge, to help users achieve their goals faster.

AI Integration

While the specific features of Fidelity Go do not explicitly highlight AI as a core component, the broader context of Fidelity’s use of AI in other areas suggests that AI technologies are likely integrated into the backend processes. For example, Fidelity’s overall investment strategies and portfolio management may leverage AI for data analysis and predictive modeling, even though this is not directly mentioned in the context of Fidelity Go.

Conclusion

In summary, Fidelity Go offers a streamlined, automated investment solution with low costs, human oversight, and integration with other Fidelity services, making it a user-friendly option for those looking to manage their investments efficiently.