• Print
  • Default text size A
  • Larger text size A
  • Largest text size A

Why Buy Bonds & CDs at Fidelity

With industry-low fees, award-winning online tools, and dedicated support, it's easy to see why Fidelity is ranked A+ in bond investing.1

Industry-low fees

Enjoy pricing that beats markup-based bond brokers over 98% of the time.2

  • Trade new issues for free.3
  • Trade secondary bonds for just $1 per bond—a savings of $13 per bond compared to the industry average.2
  • Purchase U.S. Treasuries online for free or for a flat rate of just $19.95 when placed with a representative.
  • Pay a maximum concession of $250 for individual bond orders or just $50 for those maturing in a year or less.

Over 40,000 bonds and CDs

We offer one of the largest bond inventories available from a single brokerage firm.

  • Choose from over 40,000 bonds and CDs, aggregated from hundreds of dealers around the country.
  • Access a regular stream of new issue tax-exempt municipal offerings from various states - 44 different states in 2014.
  • Select from over 100 FDIC-insured new issue CDs, from a variety of banks with multiple maturities and competitive rates.4

Bond tools and resources

Our tools and educational resources can help you succeed as a fixed income investor.

  • Research and trade with ease on our online platform—voted the best in the industry.1
  • Build a bond ladder to help generate regular cash flow.
  • Use our Fixed Income Analysis Tool to get an analysis of your entire bond portfolio.
  • Receive alerts to help track upcoming new issue offerings, maturities, and credit rating changes.

Dedicated support

Our team of fixed income specialists can work with you and your financial consultants on all aspects of your financial planning.

  • Receive an in-depth analysis of your bond and bond fund holdings - including your outside accounts.
  • Get help constructing a bond or short-term CD ladder to help make your cash work harder.
  • For investors with bond portfolios of $3 million and higher, our High Net Worth Bond Desk provides even greater levels of personalized service.

Next steps

Call our fixed income specialists at 800-544-5372 (8 a.m.-8 p.m. ET)


Call a fixed income specialist

More information

Minimum concessions of $19.95 if traded with a Fidelity representative. For U.S Treasury purchases traded with a Fidelity representative, a flat charge of $19.95 per trade applies. A $250 maximum applies to all trades and is reduced to a $50 maximum for bonds maturing in one year or less. Fixed income trading requires a Fidelity brokerage account with a minimum opening balance of $2,500. Rates are for U.S. Dollar denominated bonds, additional fees and minimums apply for non-Dollar bond trades. Other conditions may apply. See Fidelity.com/commissions for details. Please note that concessions may impact the total cost of the transaction and the total, or "effective," yield of your investment. The offering broker, which may be our affiliate National Financial Services LLC, may separately mark up on mark down the price of the security and may realize a trading profit or loss on the transaction.
1. Corporate Insight "Online Fixed Income Trading", November 2013. Corporate Insight (CI) reviewed online fixed income trading platforms provided by firms in the coverage group. CI focused on which products clients can buy and sell online, as well as the overall trading process. They looked at search capabilities, features, and other resources that are provided. CI did not review the quality and depth of bond pricing, quotes provided or the capacity of product inventories provided by each firm. In addition, they did not review educational content for fixed income trading. Additional information available at https://fixedincome.fidelity.com/bin-public/060_www_fidelity_com/documents/fidelity/competive-study-online-bond-trading.pdf
2.Fidelity commissioned Corporate Insight to study bond pricing, available online, for self-directed retail investors from five brokers that offer corporate and municipal bonds. The study compared online bond prices for over 20,000 municipal and corporate inventory matches between September 2nd and October 6th, 2015. It compared municipal and corporate inventories offered online in quantities of at least $10,000 face or par value. The study found on average that three competitors that bundled their markups or fees into their online bond prices were asking an average of $13.97 more per bond. Corporate Insight determined the average cost differential by calculating the difference between the costs of matching corporate and municipal bond inventory at Fidelity vs. these markup-based firms in the study, then averaging the differences across all of the competitor firms. Hypothetical cost savings of $286 is based on an average size order of $22,000 face or par value bonds and average cost differential of $13 per bond.
3. Fidelity makes certain new issue products available without a separate transaction fee. Fidelity may receive compensation from issuers for participating in the offering as a selling group member and/or underwriter. For representative assisted treasury auction orders, a $19.95 transaction fee applies.
4. For the purposes of FDIC insurance coverage limits, all depository assets of the account holder at the institution that issued the CD will generally be counted toward the aggregate limit (usually $250,000) for each applicable category of account. FDIC insurance does not cover market losses. All of the new issue brokered CDs Fidelity offers are FDIC insured. In some cases, CDs may be purchased on the secondary market at a price that reflects a premium to their principal value. This premium is ineligible for FDIC insurance. For details on FDIC insurance limits, see www.fdic.gov.
In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk, liquidity risk, call risk and credit and default risks for both issuers and counterparties.

depth of book

refers to the display of numerous bids and offers in a given security in addition to the best bid and offer price