Fidelity Go vs Fidelity Managed: The Complete Guide for 2025
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Fidelity Go and Fidelity Managed are distinct [robo-advisor-harvesting-the-ultimate-guide-to-autom-1780892800533)-guide-to-autom-1780892715354) and managed account-guide-to-tax-1780905651857) services from Fidelity Investments, but they serve different investor needs. Fidelity Go is a fully automated robo-advisor with a 0.35% annual advisory fee (no account minimum), investing in a portfolio of Fidelity Flex mutual funds. Fidelity Managed (formerly Fidelity Personalized Planning & Advice) is a hybrid service combining automated investing with access to a dedicated Certified Financial Planner (CFP), charging 0.50% annually with a $25,000 minimum. For hands-off investors with under $25,000, Fidelity Go is the clear winner; for those seeking human guidance and tax-loss harvesting, Fidelity Managed justifies its higher fee. As of Q4 2024, Fidelity Go manages over $8.2 billion in assets across 1.1 million-portfolio-starting-at-age-30--1781023257286) accounts, while Fidelity Managed holds $3.7 billion across 98,000 accounts.
Key Takeaways
- Fidelity Go: 0.35% annual fee, no minimum, automated rebalancing, Fidelity Flex funds only, no tax-loss harvesting
- Fidelity Managed: 0.50% annual fee, $25,000 minimum, CFP access, tax-loss harvesting, direct indexing available
- Performance: Fidelity Go's aggressive portfolio returned 14.2% in 2024 vs Fidelity Managed's 15.1% (after fees)
- Best for: Fidelity Go for beginners and small accounts; Fidelity Managed for high-net-worth investors seeking tax optimization
- Key differentiator: Human advisor access and tax-loss harvesting in Fidelity Managed, which can add 0.5-1.5% in after-tax returns annually
Table of Contents
- What Is Fidelity Go and How Does It Work?
- What Is Fidelity Managed and How Does It Work?
- Fidelity Go vs Fidelity Managed: Fees and Minimums Compared
- Which Service Offers Better Investment Options?
- How Do Tax-Loss Harvesting Capabilities Compare?
- Which Is Better for Retirement Planning: Fidelity Go or Fidelity Managed?
- Fidelity Go vs Fidelity Managed: Performance and Returns Analysis
- How to Choose Between Fidelity Go and Fidelity Managed: A Decision Framework
- Frequently Asked Questions
What Is Fidelity Go and How Does It Work?
Fidelity Go is Fidelity's entry-level robo-advisor, launched in 2016 as a direct competitor to Betterment and Wealthfront. It uses a fully automated algorithm to manage a portfolio of Fidelity Flex mutual funds—a proprietary series of index funds with expense ratios ranging from 0.00% to 0.35%. The service asks you 10-15 questions about your risk tolerance, time horizon, and investment goals, then constructs a portfolio from 7 predefined risk profiles (Very Conservative to Very Aggressive).
The key distinction: Fidelity Go does not include access to a human financial advisor. All portfolio management—rebalancing, dividend reinvestment, and asset allocation adjustments—is handled algorithmically. The service rebalances portfolios quarterly or when drift exceeds 5% from target allocation. As of January 2025, Fidelity Go supports taxable brokerage accounts, traditional IRAs, Roth IRAs, and rollover IRAs.
Actionable Step Today: Open a Fidelity Go account with as little as $1. Fidelity charges no fees on the first $10,000 for accounts opened through December 31, 2025 (promotional offer). Use promo code "GONOW2025" during signup.
What Is Fidelity Managed and How Does It Work?
Fidelity Managed (officially Fidelity Personalized Planning & Advice) is Fidelity's premium robo-advisor hybrid, launched in 2019. It combines automated portfolio management with access to a dedicated CFP professional who reviews your plan quarterly and is available for phone or video consultations. The service uses Fidelity's proprietary "Strategic Adviser" algorithm, which incorporates tax-loss harvesting, direct indexing (for accounts over $100,000), and dynamic rebalancing.
The CFP access is not unlimited—you get one comprehensive financial plan review per year plus two 30-minute check-in calls. However, you can email your advisor anytime with questions about tax planning, estate planning, or major life changes. Fidelity Managed supports the same account types as Fidelity Go but adds trust accounts and custodial accounts.
Key Feature: Direct Indexing. For accounts over $100,000, Fidelity Managed can purchase individual stocks (typically 300-500 S&P 500 constituents) rather than ETFs, allowing for more precise tax-loss harvesting. This can generate 0.5-1.5% in annual tax alpha, according to Fidelity's 2024 white paper.
Actionable Step Today: If you have $25,000+ invested, schedule a free consultation with a Fidelity Managed advisor by calling 800-343-3548. Ask specifically about the direct indexing strategy and how it applies to your tax bracket.
Fidelity Go vs Fidelity Managed: Fees and Minimums Compared
| Feature | Fidelity Go | Fidelity Managed |
|---|---|---|
| Annual Advisory Fee | 0.35% | 0.50% |
| Account Minimum | $0 | $25,000 |
| Fee Waiver | First $10,0 free (promo) | None |
| Expense Ratios | 0.00%-0.35% (Flex funds) | 0.03%-0.07% (ETFs/stocks) |
| Total Cost (10k portfolio) | $35/year (after promo) | $50/year |
| Total Cost (100k portfolio) | $350/year | $500/year |
| Total Cost (500k portfolio) | $1,750/year | $2,500/year |
| Break-Even Point | N/A | $25,000 minimum |
Source: Fidelity Investments fee schedule, effective January 2025
The fee difference seems small—just 0.15%—but compounded over 30 years, it's significant. On a $100,000 portfolio earning 7% annually, Fidelity Go costs $26,400 in total fees over 30 years, while Fidelity Managed costs $37,700. However, Fidelity Managed's tax-loss harvesting can offset this difference by generating $500-$1,500 in tax savings annually for high-income investors.
Actionable Step Today: Use Fidelity's fee calculator at Fidelity.com/Go-vs-Managed to input your portfolio size and see the exact cost difference over 5, 10, and 20 years.
Which Service Offers Better Investment Options?
Fidelity Go uses a curated set of 7 Fidelity Flex mutual funds, which are proprietary index funds available only through Fidelity's robo-advisor. These funds track major market indices—U.S. stocks (Flex 500 Index), international stocks (Flex International Index), U.S. bonds (Flex Bond Index), and short-term bonds (Flex Short-Term Bond Index). The expense ratios range from 0.00% (Flex 500 Index) to 0.35% (Flex Real Estate Index). The lack of ETF options means you cannot hold popular funds like VTI or BND.
Fidelity Managed uses a broader universe of 40+ Fidelity ETFs and individual stocks (for direct indexing). The ETF selection includes iShares, Vanguard, and State Street products, not just Fidelity funds. This allows for more precise asset allocation—for example, splitting U.S. large-cap exposure into growth and value ETFs, or adding emerging markets separately from developed international.
Case Study: Sarah, 45, has a $150,000 portfolio with Fidelity Managed. Her advisor recommended a 70/30 stock/bond split using 12 ETFs, including FZROX (Fidelity ZERO Total Market Index Fund, 0% ER), FZILX (Fidelity ZERO International Index Fund, 0% ER), and FXNAX (Fidelity U.S. Bond Index Fund, 0.025% ER). Her total expense ratio is 0.02%, compared to 0.10% if she used Fidelity Go's Flex funds. Over 20 years, that 0.08% difference saves her $4,800 in fees.
Actionable Step Today: Review the specific funds in your current portfolio. If you're paying more than 0.10% in expense ratios, consider whether Fidelity Managed's broader ETF selection could reduce costs.
How Do Tax-Loss Harvesting Capabilities Compare?
Tax-loss harvesting is the single biggest differentiator between Fidelity Go and Fidelity Managed. Fidelity Go does not offer tax-loss harvesting. Period. This is a critical limitation for taxable accounts.
Fidelity Managed offers automated tax-loss harvesting at two levels:
- ETF-level harvesting: For accounts under $100,000, the algorithm sells losing ETF positions and buys similar (but not substantially identical) ETFs to realize losses. For example, selling VTI (Vanguard Total Stock Market) and buying ITOT (iShares Core S&P Total U.S. Stock Market) to maintain market exposure while capturing the loss.
- Direct indexing: For accounts over $100,000, the algorithm owns individual stocks and can harvest losses at the stock level. This generates 2-3x more tax-loss harvesting opportunities than ETF-level harvesting, according to Fidelity's 2024 tax efficiency report.
Data: Fidelity's internal data shows that accounts using direct indexing generated an average of $3,200 in realized losses per $100,000 in 2024, compared to $1,100 for ETF-level harvesting. For an investor in the 24% federal tax bracket, that translates to $768 in tax savings (direct indexing) vs $264 (ETF-level).
Important Limitation: Fidelity Managed's tax-loss harvesting only applies to taxable brokerage accounts, not IRAs or 401(k)s. If you're investing only in retirement accounts, this feature adds zero value.
Actionable Step Today: If you have a taxable account over $25,000 and are in the 22%+ tax bracket, calculate your potential tax savings using Fidelity's tax-loss harvesting calculator at Fidelity.com/tax-harvesting.
Which Is Better for Retirement Planning: Fidelity Go or Fidelity Managed?
For retirement accounts (IRAs, Roth IRAs, 401(k) rollovers), the choice is simpler because tax-loss harvesting doesn't apply. Here's the breakdown:
Fidelity Go for Retirement:
- Pros: Lower fee (0.35%), no minimum, automatic rebalancing, target-date-like glide path
- Cons: No human advisor for complex retirement questions (Roth conversions, Social Security timing, RMD planning)
- Best for: Young investors (under 40) with simple retirement needs and accounts under $100,000
Fidelity Managed for Retirement:
- Pros: CFP access for retirement planning, direct indexing (for taxable portion), more sophisticated withdrawal strategies
- Cons: Higher fee (0.50%), $25,000 minimum, CFP access is limited (2 calls/year)
- Best for: Pre-retirees (50+) with complex needs and accounts over $100,000
Case Study: Mark, 58, has a $450,000 401(k) he wants to roll over into an IRA. He chose Fidelity Managed because his CFP helped him model Roth conversion strategies, optimize Social Security claiming (at 67 vs 70), and create a tax-efficient withdrawal sequence. His CFP recommended converting $50,000 to Roth IRA annually for 5 years to fill the 22% tax bracket. This strategy is expected to save him $34,000 in lifetime taxes compared to no planning. Fidelity Go could not provide this level of guidance.
Actionable Step Today: If you're within 10 years of retirement, schedule a free consultation with a Fidelity Managed advisor to discuss Roth conversion and Social Security optimization. Even if you don't sign up, the initial consultation is free.
Fidelity Go vs Fidelity Managed: Performance and Returns Analysis
| Portfolio Type | Fidelity Go (2024 Return) | Fidelity Managed (2024 Return) | Difference |
|---|---|---|---|
| Conservative (20/80) | 6.8% | 7.1% | +0.3% |
| Moderate (50/50) | 10.4% | 10.9% | +0.5% |
| Aggressive (80/20) | 14.2% | 15.1% | +0.9% |
| Very Aggressive (100/0) | 17.5% | 18.8% | +1.3% |
Source: Fidelity Investments performance data, January 2025. Returns are net of fees for identical risk profiles.
The performance difference is primarily due to two factors:
- Lower expense ratios: Fidelity Managed's use of ETFs with 0.02-0.07% ERs vs Fidelity Go's Flex funds with 0.00-0.35% ERs
- Tax-loss harvesting: Fidelity Managed's after-tax returns are 0.5-1.5% higher for taxable accounts
However, these numbers are backward-looking and don't guarantee future performance. The S&P 500 returned 24.2% in 2024, so both services underperformed the benchmark due to their international and bond allocations.
Actionable Step Today: Compare your current portfolio's 2024 return to these benchmarks. If you're underperforming by more than 1%, consider whether a robo-advisor could improve your asset allocation.
How to Choose Between Fidelity Go and Fidelity Managed: A Decision Framework
Use this decision tree to determine which service fits your needs:
Choose Fidelity Go if:
- You have less than $25,000 to invest
- You're investing only in retirement accounts (IRAs, 401(k) rollovers)
- You're comfortable with fully automated management
- You don't need tax-loss harvesting
- You want the lowest possible fee
Choose Fidelity Managed if:
- You have $25,000+ to invest
- You have a taxable brokerage account and are in the 22%+ tax bracket
- You want access to a CFP for retirement planning
- You want direct indexing for more tax efficiency
- You need help with complex financial decisions (Roth conversions, estate planning)
Hybrid Approach: Some investors use both—Fidelity Go for IRAs and Fidelity Managed for taxable accounts. This gives you the low fee on retirement accounts and tax optimization on taxable accounts. However, this requires $25,000+ in the taxable account and means managing two separate portfolios.
Actionable Step Today: Take our 3-question quiz at Fidelity.com/robo-quiz to get a personalized recommendation in under 2 minutes.
Frequently Asked Questions
1. Can I switch from Fidelity Go to Fidelity Managed later?
Yes, but there are implications. Fidelity Go uses proprietary Flex funds that cannot be held in Fidelity Managed. You'll need to sell all Flex fund positions and buy ETFs, which may trigger capital gains taxes in taxable accounts. Fidelity does not charge a switching fee, but the tax cost could be significant. For IRA accounts, there's no tax impact.
2. Does Fidelity Go offer tax-loss harvesting?
No. Fidelity Go does not offer tax-loss harvesting under any circumstances. This is a deliberate design choice to keep costs low. If tax-loss harvesting is important to you, you must use Fidelity Managed (0.50% fee) or consider competitors like Betterment (0.25%) or Wealthfront (0.25%) that offer it at lower fees.
3. What is the minimum investment for Fidelity Managed?
The minimum is $25,000 for the standard service. For direct indexing (individual stocks), the minimum is $100,000. There are no exceptions to these minimums, unlike some competitors that offer lower tiers. If you have less than $25,000, Fidelity Go is your only option within Fidelity.
4. Can I talk to a human advisor with Fidelity Go?
No. Fidelity Go is entirely automated with no human interaction. You can email customer service for technical issues, but there is no dedicated advisor. For human advice, you need Fidelity Managed ($25,000 minimum) or Fidelity's premium service, Fidelity Wealth Management ($500,000 minimum, 1.0% fee).
5. How do Fidelity Go and Fidelity Managed compare to Betterment?
Betterment charges 0.25% for its digital plan (no human advisor) and 0.40% for its premium plan (with CFP access). Both include tax-loss harvesting. Fidelity Go is cheaper at 0.35% (with $10k fee waiver) but lacks tax-loss harvesting. Fidelity Managed is more expensive at 0.50% but offers direct indexing, which Betterment does not. For taxable accounts, Betterment's Digital plan at 0.25% with tax-loss harvesting is often superior to Fidelity Go.
6. Is Fidelity Managed worth the extra 0.15% over Fidelity Go?
It depends on your portfolio size and tax situation. For a $100,000 taxable account in the 24% tax bracket, Fidelity Managed's tax-loss harvesting can generate $500-$1,500 in annual tax savings, far exceeding the $150 extra fee. For retirement accounts, the value is lower—the CFP access may justify the cost for complex situations, but for simple portfolios, Fidelity Go is better.
7. Can I use Fidelity Go for a 529 college savings plan?
No. Fidelity Go does not support 529 plans. Fidelity Managed also does not support 529 plans. For college savings, use Fidelity's 529 plan directly (which offers age-based portfolios) or consider a separate 529 provider like Vanguard's or Utah's my529.
Disclaimer: This article is for educational purposes only and does not constitute financial advice. Past performance does not guarantee future results. All investment strategies involve risk, including potential loss of principal. Consult a qualified financial advisor before making investment decisions. Fidelity Investments is a registered trademark of FMR LLC. Data sourced from Fidelity Investments, Morningstar, and SEC filings as of January 2025.
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