Fidelity says it rolled out a free mobile app for basic financial planning to coincide with the company lowering fees on its robo-advice platform for smaller accounts.
The app, dubbed “Fidelity Spire,” is aimed at young adults, according to a press release from the company. It’s designed to help such users stay focused and motivated about saving and investing, Fidelity says.
The app allows users to choose what they’re saving for, the amount they want to save and when they want to reach their goal, and then lets them track their progress, according to the press release. In addition, the app has a “one touch” decision tool, which allows users to see the long-term impacts of how they allocate their money, Fidelity says. The app also offers tips and financial education specific to the user’s selected goals, according to the press release.
The app also connects to Fidelity Go, the company’s robo-advisor, Fidelity says.
The company is trying to lure young adults to the app with the offer of a $5 referral bonus for signing up as well as $5 more for each referred friend, for up to $30 in total bonuses.
“I graduated from college during the last recession and especially empathize with recent grads as we know many are struggling,” Kelly Lannan, vice president, Young Investors, Fidelity Investments, says in the press release. “Fidelity Spire was in development before the Covid-19 pandemic, but today’s reality has put a spotlight on the importance of learning, setting goals, investing efficiently and having an easy way to track progress. With Fidelity Spire, we want young investors to feel confident in their money smarts and ultimately live the lives they want.”
The move comes as Fidelity also drops fees on its Fidelity Go service. Launched in 2015, Fidelity Go initially charged 35 basis points in annual fees on all accounts. The company announced earlier this month that, starting August 1, Fidelity Go will cost $3 a month for accounts with between $10,000 and $49,999.99 and will be free of any advisory fees for accounts with a balance of less than $10,000.
Accounts with $50,000 or more will still pay the 35 bps.
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