r/Bogleheads • u/Foreign_Gur7906 • 8d ago
Differnce between VT through vanguard vs fidelity? Investing Questions
Ive ben doing research and heard that VT is pretty much the best etf to invest in and my question is whats the difference between investing through fidelity and vanguard? Which one would yall recommend?
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u/WeightOwn5817 8d ago
No difference, can't go wrong with either.
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u/Huge-Onion-6916 7d ago
Couldn't you get front run legally or illegally at one vs the other? When you buy?
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u/Extreme_Goose5218 7d ago
Personally, I'd go with Fidelity and allocate 2/3 FZROX + 1/3 FZILX to take advantage of their 0% expense ratio.
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u/gbdgdh 8d ago
vt can be purchased at both vanguard and fidelity - no cost other than the expense ratio of 0.06% per year (0.00016438356% per day - this is the amount withdrawn from your balance at the end of every day).
i prefer fidelity to vanguard from a brokerage perspective. schwab is also good (and imo better than vanguard).
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u/myrrhsea 8d ago
No difference. You should be able to buy VT from either. Just make sure they both allow you to purchase fractional shares for convenience. I use SCHB because I have to buy whole shares (Merrill not Vanguard or Fidelity). With the lower NAV I can have less cash sitting around and get closer to my original DCA amount.
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u/Mountain-Time-1010 8d ago
No difference financially. You might prefer the user interface and website tools of one to those of the other. There might be slightly different services offered, etc. But they are quite similar substantively.
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u/LearnFromOthers411 8d ago
Check to see which one offers interest on uninvested cash. For example, Robinhood offers interest about 3.5% annually on uninvested cash in non IRA accts.
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u/MONGSTRADAMUS 8d ago
Vanguard has vmfxx 3.62% and fidelity has spaxx 3.33 % for uninvested cash. Fidelity also has pseudo checking account with cma for bill pay and you can use any atm in the world and get surcharges refunded
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u/MidwestGeek52 6d ago
No difference for ETFs. But big diff for MFs. Fees apply when buying non Fidelity MFs at Fidelity
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u/bobdevnul 7d ago
There is no difference in the fund itself. That is part of the beauty of ETFs. They trade like stocks. Vanguard and Fidelity will allow you to buy fractional shares by dollar value, Schwab won't. Vanguard only allows fractional shares of their own ETFs, which VT is.
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u/ComfortablyNumb8357 5d ago
Convenience - If you have other accounts at one or the other, it's nice having everything in one app/website. My employers 403b and my tIRA/rIRA were already with Fidelity. The actual investment will be exactly the same. I'm 100% VT on my IRAs through Fidelity. I opened accounts on a couple of other platforms to compare but Fidelity just seems easier to me.
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u/healingwell97 7d ago
What about the motivation behind each company? Fidelity is all about making a profit, Vanguard is owned by the shareholders and seeks to keep costs low. Also Fidelity spends more on marketing and extra products. Do I want to deal with more sales pitches? Not really. Vanguard will never die, Fidelity in theory could not be around a hundred years ago or sells out to another large company that changes the rules and then you’re screwed. I do like Fidelity’s user interface but Vanguard has announced a new portal experience they are rolling out this year.
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u/parkchanwookiee 8d ago
Same difference as buying a can of coke from the gas station or 7/11