Guide to Buying Stocks on Fidelity: Buying, Selling, and Dividend Reinvestment

by | Dec 6, 2023 | Fidelity IRA | 42 comments

Guide to Buying Stocks on Fidelity: Buying, Selling, and Dividend Reinvestment




A walk through of how to buy a stock on Fidelity, how to sell a stock, and how to enroll in dividend reinvestments.

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Fidelity Investments is one of the largest and most well-known brokerage firms in the United States, offering a wide range of investment options for both individual and institutional investors. If you’re new to investing and want to get started buying stocks on Fidelity, here’s a step-by-step guide to help you through the process.

Step 1: Open a Fidelity account
The first step to buying a stock on Fidelity is to open an account with the brokerage. You can do this by visiting their website and clicking on the “Open an Account” button. Fidelity offers a variety of account types, including individual brokerage accounts, retirement accounts, and education savings accounts, so be sure to choose the one that best fits your needs.

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Step 2: Fund your account
Once your account is open, you’ll need to fund it with money in order to start buying stocks. Fidelity offers several options for funding your account, including electronic bank transfers, wire transfers, and checks. You can also fund your account by transferring assets from an existing brokerage account.

Step 3: Research the stock you want to buy
Before making any investment, it’s important to thoroughly research the stock you’re interested in buying. Fidelity provides a wide range of research tools and resources to help you make informed investment decisions, including stock screeners, stock reports, and stock analysis tools. Take the time to review the company’s financials, management team, competitive position, and industry outlook before making a decision.

Step 4: Place your order
Once you’ve decided which stock you want to buy, it’s time to place your order. Fidelity offers several different order types, including market orders, limit orders, and stop orders. A market order will execute at the current market price, a limit order will only execute at a specific price or better, and a stop order is used to limit losses on a stock position. You can place your order online through Fidelity’s website or mobile app, or by calling their trading desk.

Step 5: Monitor your investment
After you’ve bought a stock, it’s important to monitor your investment on a regular basis. Fidelity provides tools and resources to help you track the performance of your investments, including portfolio analysis tools and real-time market data. Consider setting price alerts or using trailing stop orders to help manage your investment and protect your profits.

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Buying and selling stocks on Fidelity is a relatively straightforward process, but it’s important to do your due diligence and carefully consider your investment decisions. Additionally, Fidelity also offers a dividend reinvestment program (DRIP) that allows you to automatically reinvest any dividends you receive from your stock holdings back into additional shares of the same stock. This can be a great way to compound your investment over time.

In conclusion, Fidelity offers a comprehensive set of tools and resources to help you buy, sell, and manage your stock investments. By following the steps outlined above and taking the time to research your investment decisions, you can make informed choices and build a successful investment portfolio. Remember to consult with a financial advisor if you have any questions or need assistance with your investment strategy.

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42 Comments

  1. @DannyBoYfutube

    Can you keep on fractional share buying? Id much rather invest in a monetary amount to make sure im not over investing. Also can you give the Fidelity Co.s address so i can joun from here? Im very new to this srry:(

  2. @bluesea1110

    Do you have a iPhone all those people teach on your laptop or computer wth

  3. @Steve-fw8er

    Wow the UI is so bad ! At least you're dealing with a company that had a track record

  4. @Euronymous331

    Thank you for this amazing tutorial. If you decide to write your own book on investment i will the first in line.

  5. @demeritusmoye749

    love the walk-through. just getting started with fidelity and trading. for a newbie i will love for you to point me to your videos for new traders.

  6. @sjimenez2076

    You have a new follower. Great video.

  7. @AAT745

    Nice to hear from your video about stocks and mutual funds on here, some time I feel you can go very fast. I couldn't follow you ( myself only ) because my second language English. If you go little slow, it's very helpful for me. Thank you.

  8. @goqsane

    Get your shares out of brokers. Direct Register them (DRS). It's free of charge and the shares are truly in your name. Don't be part of the corrupt system that's about to fall.

  9. @TheMovieUniverse

    question. if you decide to keep the money how do you transfer it back to your bank?

  10. @motivated2010

    Thank you I'm new to this and you provided very detailed oriented information. New subscriber

  11. @ronspi

    Fantastic! Clear and to the point! Much appreciated. Thank you.

  12. @sashasmith9947

    How do you use the dividend reinvestment to purchase more

  13. @alexzhevlakov4302

    Как приятно смотреть на красивую и умную девушку. Как это классно. Вы супер

  14. @chef7641

    Can I use my 401k to trade?

  15. @lover45362

    Can you please share the link to the video that goes over the limit vs market?

  16. @MyPrivateTimeCapsule

    Hello Arvabelle, thanks for sharing your knowledge of Fidelity. One question though, is there a trading window limit with Fidelity?

  17. @rys8736

    how do i get funds to my individual account from my bank ? from the transfer all i see are my bank and ira account?
    i go to

    transfer
    >from

    >chooses bank

    to
    >only option is roll over ira

    but i have made an individual account.

    i know i made a individual account because i go back to from and i see it listed there. all i wanna do is buy and sell stocks and transfer fund back to my bank.

  18. @waxabi2336

    Very helpful and detailed I subscribed thank you so much!

  19. @Nsands81

    Finally!! Someone who is simple and to the point! Thank you girl!

  20. @sirishak136

    I am a beginner, this video is very helpful. Thank you

  21. @LoveGuruBlaire

    But you're not able to watch the chart when you place your order…

  22. @13cooljr13

    Never mind you explain in video thanks for the big help i just subscribe..your videos are very understandable

  23. @13cooljr13

    If the stock is 400 and I only have 200 can I buy. If yes ho wd

  24. @cyruslemuel5858

    Finally someone who is showing how to buy dividend paying shares

  25. @mrose1064

    You need to let people know if you don't have a minimum of 25,000 in your Fidelity account that you can't "day trade" penny stocks. You can purchase them, but you have absurd limits with your money in your account.

    I put an order in at .0270 and the stocked hovered at the top and bottom of .0270 for 5 whole mins and the stock raised above and dipped back down to .0270 and it still didn't fill. Fidelity would not fill my order until it dropped below .0270.

    I am playing with less than 1000 dollars on Fidelity and if i purchase a stock I am not allowed to turn right around and sell the stock for a profit…I am committed to the stock for 2-3 business days until payment is resolved even though it was instantly deducted from my account.

    I've seen a persons balance in a past video and he didn't have 25,000 at that time so I'm not sure how he does it.

    Dealing with penny stocks I have also come to realize another limitation is that you have to do "limit" orders when buying any stock below 3 dollars. Those few extra seconds to buy or sell can make a huge difficulty to do any trading…a lot big gains and losses are made in seconds.

    I have spent countless hours the last 3 months using Fidelity and it's a place to buy penny stocks but it seems kind of pointless unless you're looking to be an investor.

    On a side note everytime you call Fidelity you are on the phone for at a minimum 45 mins. I just waited 112 mins on hold and than was disconnected and have received no call back, they do answer their phone that's a plus some places don't at all.

  26. @kwakuacquaye9734

    How do i put a trailing stop on my option contract on fidelity?Help

  27. @user-ii3cp7ot3s

    1> does fidelity tell you how much u can make if u sell a stock?
    2> do you have to sell all your stocks to withdraw or can u just withdraw a singe stock u sell?

  28. @betsyross4508

    Stay away from Fidelity, they are part of the swamp.

  29. @mindytran761

    If I already placed limit buy order cciv at $25 a share, Day, and later I don't think it will get that low. I want to go back to change to $ 27 a share. How do I do that. Will you help me . Thanks

  30. @ArikaChennelle

    Thank you for these walk-through videos!! Extremely helpful!

  31. @dennisnoone7427

    Can i do regular trading inside the ira?

  32. @TimWolffe

    I think Fidelity is the best

  33. @daltonschafer6956

    I would love if you could go over shorting and margin accounts. It's my next frontier in a few months and I tried reading through the Fidelity boilerplate, but couldn't get all the information consolidated lol. Great videos!

  34. @wildsons42

    How open account in Fedility? Is there any membership fee of starting amount of stocks you need to buy first?

  35. @RyanHarrisonYT

    Merry Christmas Suzanne! I'm really inspired by your channel and love all the content and value you provide for everyone! Stay safe this holidays and good luck in 2021! Can't wait to see what next year has in store for your channel 🙂

  36. @sirkomazepa3655

    Hello there, nice explanation, thank you. Can you please explain how to do options on Fidelity????
    Thank you and Marry Christmas!!!

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