Fidelity Investments is an independent investment management company founded in 1946 as a mutual fund company.
Fidelity now offers a variety of services including –
- fund distribution and
- investment advice,
- asset management,
- health insurance, retirement services,
- and securities and authorization applications.
It manages equity, fixed income, and equity combined funds for
- individual investors,
- financial advisers,
- and institutional investors.
It is in Boston, Massachusetts, it is one of the largest investment management companies in the United States,
- with more than 26 million customers
- ,$ 6.5 billion in total assets,
- and global assets of less than $ 2.4 billion. – $ 2.4.
History of Fidelity Investments
The Fidelity Fund was established in 1930, a year after the stock market crash in 1929 and before the Great Depression of 1933. The fund continued to operate until 1943 when it was acquired by Boston-based lawyer
At the time, the fund reported assets under $ 3 million in assets. In 1946, In running the fund, Johnson’s goal was to buy stocks with strong growth, not really blue stocks.
Functions of Fidelity Investments
Fidelity Investments operates a number of businesses
- mainly consolidated funds
- and marketing services.
The mutual fund category consists of three categories –
- higher income, and fixed income categories.
The company operates Fidelity Contrafund, the largest nonprofit portfolio fund in the United States, with more than 107.4 billion assets.
Fidelity Investments also owns Fidelity Magellan, formerly owned by former CEO and President Ned Johnson. Fidelity Magellan owns assets worth up to $ 15.5 billion.
Fidelity Investments Brokerage Services
Fidelity Investments owns a retailer, serving customers in more than 140 locations in the United States.
- The company first introduced a discounted trading service in 1978 when the government abolished trading commissions at the established rate in 1975.
Fidelity provides marketing services through its subsidiary, National Financial Services LLC.
- The company works with broker-dealers, registered investment advisers, and investment companies to provide consumer authorization, back office support, and software products for financial services companies.
- As of 30 September 2015, National Treasury has reported more than $ 5 billion in assets under management.
Fidelity Investments Retirement Program Services
Fidelity Investments provides 401 (K) retirement plan services through its subsidiary Fidelity Personal, Workplace and Institutional Services (PWIS).
Its subsidiary lists more than $ 1.4 trillion in assets under management and $ 32 billion in defined contribution assets as at 30 September 2015.
Fidelity Investments Advisory Fund
Fidelity Investments also operates Fidelity Charitable, the first fund advised by donors. The fund was established in 1991, and in time it grew into a large charitable organization.
The sponsors earn interest on their investment in the fund until the distribution is given to the beneficiaries.
Fidelity Investments Management
Since Fidelity Investments is a family business, the company has been led by members of the Johnson family since its inception.
- Abigail (Abby) Pierrepoint Johnson is the current chairman, president and CEO of Fidelity Investments.
- Abby became president and CEO in 2014 and became chairman in 2016, after her father, Ned Johnson, retired.
- He joined Fidelity in 1988 as a analyst and portfolio manager before moving up to a senior position in Fidelity Management and Research in 1997.
As of March 20, 2013, Johnsons had a 49% stake in the company. Abby owns an estimated 24.5% of the company’s stock and accounts for a total of $ 20 billion since January 2018. She manages more than 45,000 employees worldwide and all CEOs of Fidelity companies report to her.