Empower Retirement vs Fidelity – Which One Is Better For You

Updated May 10, 2024

Choosing the right partner for retirement planning is crucial for your financial future. Empower Retirement and Fidelity are prominent players in retirement solutions, offering unique benefits. This comparison aims to highlight their differences to aid your decision-making process.

Whether you prefer Empower's personalized services or Fidelity's wide range of investment options will determine the best choice for your retirement plans.

Key Takeaways

  • Empower Retirement and Fidelity Investments stand out in the realm of financial services and retirement planning.
  • Empower Retirement is lauded for its holistic retirement planning solutions and specialized advisory services.
  • Fidelity Investments offers a wide array of financial planning services, including an impressive selection of mutual funds and IRA management.
  • While Empower targets personalized investment strategies, Fidelity appeals to those preferring advanced trading platforms and diverse investment options.
  • Both firms place a high value on technology and investor education as part of their wealth management offering.
Header

Service

Retirement Advisory

Mutual Funds & Brokerage

Best Use

Corporate Retirement Plans

Individual Retirement Accounts

Support

Dedicated Team of Advisors

Financial Advisor Support

Trading

Personalized Trade Investments

Wide Online Trade Capabilities

Current Promotion

Rating

Overview of Empower Retirement and Fidelity Services

Empower Retirement and Fidelity Investments stand out with their unique, yet full-featured services. These cater to the diverse financial paths of their clientele. With a focus on retirement plans and a broad selection of mutual funds, they cater to individual and corporate investors. Each has crafted its offerings to meet the peculiar requirements of its clients.

  • Empower Retirement stands out for its commitment to retirement solutions tailored to meet personal retirement goals. It boasts a wide range of investment choices. These are complemented by advisory services and top-tier customer support, designed to ease the journey towards retirement.
  • Fidelity Investments presents a comprehensive array of financial services. These not only include retirement planning but also mutual funds, investment options, and solutions for corporations. This makes Fidelity a versatile option for both personal and business financial needs.

Both firms show their dedication through exemplary customer support. Empower Retirement fine-tunes its services to align with individual dreams and financial objectives. Fidelity Investments offers a broad spectrum of services. These services assist clients at different stages of their financial journey, providing a basis for growth and flexibility.

Goldco is an industry leader in the precious metals space, offering a comprehensive approach to protecting your retirement savings in an ever-changing economic landscape.

ABOUT GOLDCO

  • Rated A+ by the BBB
  • Inc. 5000 Aware Recipient, 7+ Years
  • Money.com 2023 Best Customer Service
  • Earned over 5,000+ 5-Star Customer Ratings

Exploring Investment Products Offered by Empower Retirement

Empower Retirement offers a variety of investment products tailored to different investor needs. These range from IRA options to personalized portfolio management services. Each product is designed to enhance your investment journey.

Empower Premier IRA and Brokerage IRA

  • The Empower Premier IRA offers an easy way to set up traditional or Roth IRAs. It features over 140 mutual funds and charges no transaction fees.
  • For seasoned investors, the Brokerage IRA provides access to a wide range of investment choices. It also waives annual fees for accounts over $100,000.

Empower Investment Accounts and Managed Portfolios

  • Investment Accounts: Tailored for diverse investor needs, Empower Retirement’s investment accounts feature ETFs, equities, and fixed-income securities. Their appeal includes the absence of annual fees, making these accounts favorable for both individual investors and couples.
  • Managed Portfolios: For those preferring a more passive investment pathway, Empower Retirement provides managed portfolios. Financial analysts curate these, aligning with the investor's risk appetite and time frame, thereby easing the complexity of investment choices.

Empower Private Client Solution

The Empower Private Client Solution caters to high-net-worth individuals seeking exceptional advisory and asset management services. This premium service features a personalized advisory process. It involves deep dives into clients' long-term financial objectives and present financial state.

Beneficiaries gain exclusive access to a personal financial advisor and a sophisticated investment strategy, meticulously crafted from extensive research to meet precise client needs.


Investment Options and Resources Available Through Fidelity

Fidelity Investments provides a range of services that cater to various investor needs. These services aim to cater from novices to those seeking advanced wealth management. Each offering is designed to deliver value, use technology effectively, and improve the client experience.

Fidelity Go Robo-Advisor

The Fidelity Go robo-advisor is ideally suited for those wanting straightforward wealth management. It uses automated strategies that adapt to market shifts, perfect for beginners in investing. With zero fees on accounts under $10,000, it offers an attractive start for newcomers.

Hybrid Services: Personalized Planning & Advice

Fidelity's hybrid services offer a custom blend of technology and personal advice. Starting at $25,000, this service is for investors desiring technology's efficiency with the nuance of expert advice. It addresses more complex financial needs with a tailored approach.

Fidelity Wealth Management Solutions

Fidelity Wealth Management is for deep engagement with investor portfolios, beginning at $250,000. It provides personalized guidance from advisors skilled in comprehensive strategy and estate planning. This service is suitable for those aiming to extensively build and safeguard their wealth.

  • Fidelity Go provides an entry-level robo-advisor optimal for new investors.
  • Hybrid services merge automated investment with custom advice for a balanced approach.
  • Wealth management from Fidelity offers in-depth, personalized financial guidance to nurture and grow substantial investments.

Comparative Analysis of Fees: Empower Retirement vs Fidelity

Exploring the fee structures of Empower Retirement and Fidelity is vital for investors aiming to reduce expenses and enhance gains. Each firm adopts a different method in their fee arrangement, including balance-based fees, account fees, and commission-free trades. These components are critical for any investment plan.

  • Investment Fees: Investment fees are implemented by both, yet their application and magnitude diverge. Fidelity provides commission-free trades for stocks, ETFs, and U.S. equities, supporting economical trading approaches. Conversely, Empower offers commission-free trades only up to the first 1,000 transactions, then standard fees are charged.
  • Account Fees: Fidelity offers an advantage to investors with no account fees for many accounts, including fee waivers for balances under $10,000 in Fidelity Go. Empower Retirement, on the other hand, applies a tiered fee structure in their Managed Portfolios, minimizing the impact on investors with larger balances.
  • Mutual Fund Fees: Variance in mutual fund fees is significant between the two; Empower Retirement frequently adds extra charges on numerous mutual funds and related services, unlike Fidelity, which often does not charge.
  • Balance-Based Fees: Both entities employ balance-based fees, especially in managed solutions and advisory services. These fees are a percentage of the managed assets, aligning costs with investment amounts.

The analysis indicates that despite both firms presenting various fees, Fidelity's simplified and generally lower fee approach might be more attractive to prudent investors. This is particularly true for those actively trading or investing in mutual funds.

Thorough evaluation of each company's fee configuration is crucial for investors. This ensures the optimization of potential returns relative to fees paid.

Advisory Services and Customer Support: A Critical Assessment

The value of advisory services and customer support in retirement planning is immense. Empower Retirement and Fidelity Investments take unique paths in guiding their clients through the retirement journey. Each method has its own advantages, catering to diverse client needs effectively.

  • Empower Retirement shines in offering personalized financial planning services. Their dedicated advisory team provides in-depth, retirement-focused guidance. This is perfect for individuals desiring custom support in exploring their investment options for retirement.
  • Conversely, Fidelity Investments presents a wide array of advisory services. These are designed to meet a variety of financial needs, not just those related to retirement. Fidelity is known for its extensive support tools and resources. These aim to deliver a generalized customer experience that caters to a broad client base with differing financial pursuits.

On the aspect of customer relations, both entities place high priority on efficient and responsive service:

  • Renowned for quick replies, Empower Retirement shines in handling retirement-focused queries. This underlines their dedication to retirement planning support and attentiveness to client needs.
  • Fidelity employs advanced online tools to streamline customer interaction. This ensures quick access to assistance and information, accommodating a wide array of client demands.

Understanding these advanced options is vital. It helps prospective clients select the right kind of support and advice for their investment and financial growth needs.

Technological Advancements and User Experience

The landscape of retirement planning technology is constantly evolving. Empower Retirement and Fidelity are at the forefront, enhancing their digital tools and investment platforms. These advancements are not solely addressing current needs. They are also reshaping the future approach to retirement planning.

  • Empower Retirement: They are dedicated to incorporating cutting-edge retirement planning technology. Personalized dashboards and interactive calculators are made available. These features aim to give users a transparent overview of their retirement path. They make planning simpler and less daunting.
  • Fidelity: Fidelity leverages technology to offer an intuitive online trading experience alongside a comprehensive mobile app. This app allows clients to access market data in real-time and manage their finances from any location. This modern approach meets the digital convenience demand and bolsters the investment experience.

Both firms utilize digital tools to ensure a smooth user experience, honoring the key tenets of efficient retirement management. In doing so, they appeal to a technologically savvy audience. This ensures that users can manage their investment platforms effortlessly and with confidence.

Conclusion

Making an informed retirement decision involves a thorough examination of Empower Retirement and Fidelity Investments.

Empower Retirement shines for those seeking a customized retirement plan. Their dedication to personalized strategies and focused advice highlights their role in guiding clients. This approach ensures individuals are well-prepared for retirement.

Fidelity Investments appeals to those desiring a broad financial planning horizon, including automated investment management. By leveraging their Fidelity Go robo-advisor and extensive research tools, they offer a tech-savvy, comprehensive service. This combination caters to a wide range of investors, providing a unique blend of technology and expertise.

Choosing the right investment partner is crucial and should match one's financial goals and needs. Empower Retirement and Fidelity Investments serve different investor profiles. By comparing their offerings, fees, and advisory services, retirees can find a fitting partnership.

QUICK SUMMARY

  • Management fee: 0.49%-0.89%
  • Account minimum: $100,000
  • Promotion: Get 6 months of free wealth management for new clients. (terms apply)

Related Posts


Empower vs Rocket Money – Which One Offers More Value?

Empower vs Rocket Money – Which One Offers More Value?

SEP IRA vs SIMPLE IRA – Which Is The Best Choice For You?

SEP IRA vs SIMPLE IRA – Which Is The Best Choice For You?

IUL vs 401k – Choosing the Right Retirement Plan

IUL vs 401k – Choosing the Right Retirement Plan