How to Buy Fractional Shares on Fidelity
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Fractional shares are a good choice when you want to invest in stocks that cost hundreds of dollars per share, but don't want to put up that much cash. With fractional shares, you can decide how much you want to invest, regardless of the share price. For example, if Tesla (NASDAQ:TSLA) stock is trading for $200 per share, you could pay $20 and buy one-tenth of a share.
Fidelity is one of the leading platforms for fractional investing. With its Stocks by the Slice, you can invest as little as $1 in more than 7,000 individual U.S. stocks and exchange-traded funds (ETFs).
If you're wondering how to buy fractional shares on Fidelity, you've come to the right place. Follow these step-by-step instructions to start trading, no matter what your budget.
On Fidelity's Secure Website.
Fidelity is one of the largest and one of the most well-rounded brokerages available in the U.S. today. Importantly, Fidelity offers $0 commission for online stock and ETF trades, plus a high-quality mobile app that's good for both beginners and seasoned investors.
$0 commission for online U.S. stock and ETFs*. No account fees****.
$0****
On Fidelity's Secure Website.
Fidelity offers fractional shares for stocks and ETFs listed on the New York Stock Exchange (NYSE) and Nasdaq exchange. (In case you're wondering, ETFs are basically giant baskets of stocks that trade on a stock exchange as a single investment.)
With Fidelity, you'll pay $0 in commissions for online trades, plus there's no minimum to open an account -- which is why it makes our list of the best brokers for buying fractional shares. You can get started with these four easy steps.
To buy fractional shares or any other type of investment from Fidelity, first you'll need to open an account. To open a Fidelity account on your own, you'll need to be at least 18. You'll also need to provide the following information:
You could open a regular brokerage account if you want the ability to cash out any time with no penalty. The downside is that brokerage accounts are taxable, meaning you're expected to report your gains to the IRS and pay taxes on them.
If you're investing for the long haul, though, you could open an individual retirement account (IRA). These accounts are tax-advantaged, but you may pay a penalty if you withdraw funds before age 59 1/2.
Once you've opened your account, you'll need to deposit funds before you can buy fractional shares. The quickest way to do so is usually via a bank-to-bank wire transfer or an electronic funds transfer (EFT) from a bank account.
Fidelity doesn't have account minimums for its brokerage accounts and IRAs. You can start trading with as little as $1.
Once you've funded your account, you're free to start buying fractional shares. You can do so through the Fidelity Mobile® app or using the desktop version of the platform. Both options have several helpful tools for researching stocks. You can look up charts to see how a company's stock price has performed over time, along with company profiles and analyst ratings.
You don't need to be an expert on a company in order to invest. But like any investment, fractional shares can lose money, so make sure you've thought through where you're putting your hard-earned funds.
Once you've decided what fractional shares you want to buy, it's time to place your first order. Whether you're using the app or the website, you'll need to search for the stock or ETF. Once you've found it, click "buy."
There are two ways you can buy fractional shares: You could change the setting in the app from "shares" to "dollars," so that your order is based on how much you want to spend vs. a specified number of shares.
Using our Tesla example, if you wanted to invest $20 and a single share cost $200, you'd enter "$20" and the app would determine you wanted to buy 0.1 share. Or if you decided to double your investment budget to $40, you'd enter "$40" and the app would convert that to 0.2 share. Or you could keep the setting on shares and simply enter that you want the specified fraction, i.e., 0.1 in the Tesla example.
You'll then decide on what order type you want: market order vs. limit order. With a market order, you're telling Fidelity to execute the trade right away. But with a limit order, you're saying that you only want to place the trade if the shares are trading at a price threshold you specify. If you choose a limit order, you'll need to set a maximum share price at which you're willing to buy.
All fractional trades through Fidelity are executed the same day during real-time market hours. Stock market hours are 9:30 a.m. to 4 p.m. Eastern time weekdays, excluding holidays.
The process for selling fractional shares on Fidelity is similar to the buying process. You'll need to click on the ticker symbol of the stock you own using the Fidelity app and then hit "sell" instead of "buy." You'll decide whether you want your sell order to be based on a set dollar amount or share amount, then you'll choose the type of order.
Fidelity's Stocks by the Slice isn't your only option for buying and selling fractional shares. Here are a few alternative options for fractional investing:
If you're interested in buying fractional shares, Fidelity's Stocks by the Slice is hard to beat. You won't pay commissions, and you'll only need $1 to start trading. It has one of the most robust selections of fractional share investing options, with 7,000 stocks and ETFs available.
Keep in mind, though, that fractional investing still involves risk. If you buy a stock and then sell it after its price has tanked by 30%, you've still recorded a 30% loss -- whether you purchased a fractional share or whole shares.
It's always important to consider the risks before investing -- whether you're investing $5 or $5,000. But fractional investing through Fidelity is a great way for beginning investors to start building a portfolio.
We recommend comparing brokerage options to ensure the account you're selecting is the best fit for you. To make your search easier, here's a short list of our best trading platforms of 2025.
| Broker | Best For | Commissions | Learn More |
|---|---|---|---|
5.0/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair
= Poor |
Full-service investing at every experience level | $0 commission for online U.S. stock and ETFs*. No account fees****. |
Learn More for Fidelity
On Fidelity's Secure Website. |
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair
= Poor |
Managing your finances under one roof | $0 for stocks, $0 for options contracts |
Learn More for SoFi Active Investing
On SoFi Active Investing's Secure Website. |
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair
= Poor |
Low fees on stocks, ETFs, crypto, and options | $0 for stocks, ETFs, and options |
Learn More for Robinhood
On Robinhood's Secure Website. |
If you buy fractional shares in a regular investment account and sell them at a profit, you'll owe capital gains taxes. You'll pay more favorable long-term capital gains tax rates if you hold any investment for over one year.
You can buy fractional shares with standard Fidelity brokerage accounts, IRAs, Fidelity Youth™ Accounts, health savings accounts (HSAs), and some BrokerageLink® accounts offered through workplace plans.
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SoFi disclosure:
INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUE
Brokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org).
³ There are limitations with fractional shares to consider before investing. During market hours fractional share orders are transmitted immediately in the order received. There may be system delays from receipt of your order until execution and market conditions may adversely impact execution prices. Outside of market hours orders are received on a not held basis and will be aggregated for each security then executed in the morning trade window of the next business day at market open. Share will be delivered at an average price received for executing the securities through a single batched order. Fractional shares may not be transferred to another firm. Fractional shares will be sold when a transfer or closure request is initiated. Please consider that selling securities is a taxable event.
Fidelity disclosure
Investing involves risk, including risk of loss
* - $0.00 commission applies to online U.S. equity trades and exchange-traded funds (ETFs) in a Fidelity retail account only for Fidelity Brokerage Services LLC retail clients. Sell orders are subject to an activity assessment fee (historically from $0.01 to $0.03 per $1,000 of principal). Other exclusions and conditions may apply. A limited number of ETFs are subject to a transaction-based service fee of $100. See full list at Fidelity.com/commissions. Employee equity compensation transactions and accounts managed by advisors or intermediaries through Fidelity Institutional® are subject to different commission schedules.
**Fidelity Crypto® is offered by Fidelity Digital Assets®. Investing involves risk, including risk of total loss. Crypto as an asset class is highly volatile, can become illiquid at any time, and is for investors with a high risk tolerance. Crypto may also be more susceptible to market manipulation than securities. Crypto is not insured by the Federal Deposit Insurance Corporation or the Securities Investor Protection Corporation. Investors in crypto do not benefit from the same regulatory protections applicable to registered securities. Fidelity Crypto® accounts and custody and trading of crypto in such accounts are provided by Fidelity Digital Asset Services, LLC, which is chartered as a limited purpose trust company by the New York State Department of Financial Services to engage in virtual currency business (NMLS ID 1773897). Brokerage services in support of securities trading are provided by Fidelity Brokerage Services LLC (“FBS”), and related custody services are provided by National Financial Services LLC (“NFS”), each a registered broker-dealer and member NYSE and SIPC. Neither FBS nor NFS offer crypto as a direct investment nor provide trading or custody services for such assets. Fidelity Crypto and Fidelity Digital Assets are registered service marks of FMR LLC.
***Options trading entails significant risk and is not appropriate for all investors. Certain complex options strategies carry additional risk. Before trading options, please read Characteristics and Risks of Standardized Options. Supporting documentation for any claims, if applicable, will be furnished upon request.
****Zero account minimums and zero account fees apply to retail brokerage accounts only. Expenses charged by investments (e.g., funds, managed accounts, and certain HSAs) and commissions, interest charges, or other expenses for transactions may still apply. See Fidelity.com/commissions for further details.
Robinhood disclosure
All investments involve risk and loss of principal is possible.
Securities are offered through Robinhood Financial LLC, member FINRA/SIPC. Cryptocurrency services are offered through an account with Robinhood Crypto, LLC (NMLS ID 1702840). Robinhood Crypto is licensed to engage in virtual currency business activity by the New York State Department of Financial Services. Cryptocurrency held through Robinhood Crypto is not FDIC insured or SIPC protected. For more information see the Robinhood Crypto Risk Disclosure.
Trades of stocks, ETFs and options are commission-free at Robinhood Financial LLC. Other fees may apply. Please see Robinhood Financial’s Fee Schedule to learn more.
Fractional shares are illiquid outside of Robinhood and are not transferable. Not all securities available through Robinhood are eligible for fractional share orders. For a complete explanation of conditions, restrictions and limitations associated with fractional shares, see the Fractional Shares section of our Customer Agreement.
Robinhood Gold is an account offering premium services available for a $5 monthly fee. Not all investors will be eligible to trade on Margin. Margin investing involves the risk of greater investment losses. Additional interest charges may apply depending on the amount of margin used. Bigger Instant Deposits are only available if your Instant Deposits status is in good standing.
Investing is risky. Bonus offers subject to terms and conditions, visit robinhood.com/hoodweek for more information. Margin is not suitable for all investors. Robinhood Gold is offered through Robinhood Gold LLC and is a subscription offering services for a fee. Brokerage services offered through Robinhood Financial LLC (member SIPC), a registered broker dealer.