Fidelity Investments sets $100M custody minimum for RIAs

Fidelity Investments has announced a new $100 million minimum asset threshold for its custody services, a policy that will extend to all registered investment advisors (RIAs) by June 30, 2027. While Fidelity stated that the affected firms represent less than 1% of its $5.8 trillion in total clearing and custody assets under administration, industry data suggests approximately 1,150 RIAs could be impacted by the change.

The move is part of a broader strategy to push Fidelity’s custody business upmarket. Previously, the $100 million requirement applied only to new firms, and the company had already implemented fees for firms managing under $15 million.

Competitors are actively targeting the potential influx of exiting advisors. Betterment has offered to waive platform fees through 2028, while Axos Advisor Services and Schwab are conducting direct outreach to Fidelity clients. Schwab, which maintains no asset minimum, noted it currently serves over 11,000 firms with assets under management below the $100 million mark.