Is Fidelity 500 index fund the same as S&P 500?
Fidelity® 500 Index Fund is a diversified domestic large-cap equity strategy that seeks to closely track the returns and characteristics of the S&P 500® index.
Fidelity® 500 Index Fund.
Investment Policy
It invests in common stocks included in the S&P 500 Index, a widely recognized, unmanaged index of common stock prices, and broadly represents the performance of common stocks.
What Are VFIAX and SPY? The Vanguard 500 Index Fund Admiral Class (VFIAX) and the SPDR S&P 500 ETF (SPY) are similar investment products. Both track the S&P 500, a U.S. stock index comprising 500 companies with the largest market capitalizations.
Our recommendation for the best overall S&P 500 index fund is the Fidelity 500 Index Fund. With a 0.015% expense ratio, it's the cheapest on our list. And it doesn't have a minimum initial investment requirement, sales loads or trading fees.
Fidelity® 500 Index Fund is a diversified domestic large-cap equity strategy that seeks to closely track the returns and characteristics of the S&P 500® index.
To begin this process, individuals first need to set up a brokerage account with Fidelity, which can typically be done online in a few simple steps. Once the account is established, they can choose from a range of S&P 500 index funds offered by Fidelity, each with its own investment objectives and risk profiles.
SPY - Performance Comparison. The year-to-date returns for both stocks are quite close, with FXAIX having a 6.34% return and SPY slightly lower at 6.27%. Both investments have delivered pretty close results over the past 10 years, with FXAIX having a 12.64% annualized return and SPY not far behind at 12.48%.
FXAIX has a 5-year annualized total return of 12.29% and it sits in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 14.59%, which places it in the top third during this time-frame.
Is FXAIX a Buy, Sell or Hold? Fidelity 500 Index Fund has a conensus rating of Moderate Buy which is based on 394 buy ratings, 104 hold ratings and 8 sell ratings.
What is the difference between FXAIX and VOO?
FXAIX is a mutual fund. VOO is an ETF. That is the main significant difference between the funds. Aside from equity security type, FXAIX and VOO are virtually identical.
For investors with small-cap exposure elsewhere in their portfolios, the large- and mid-cap S&P 500 fund may suffice. But for a broader, one-stop-shopping fund, the total market index offers maximum diversification within the U.S. equity universe.
Ways to Invest in the S&P 500
The easiest way is to invest in an S&P 500 index fund. You can do this in a tax-advantaged account like a 401(k), IRA, HSA, or 529 plan. You could also open a taxable brokerage account to purchase an S&P 500 index fund.
Bottom Line. If you want to actively trade within your accounts, Fidelity might be the better option. However, if you want to focus more on index investing, or you want to use a robo-advisor, Vanguard has a slight edge.
Fidelity Blue Chip Growth Fund (FBGRX)
One of Fidelity's top-performing funds, FBGRX is also one of its oldest. Dating back to 1987, FBGRX has managed to outperform the Russell 1000 Growth Index since inception, returning an annualized 12.9% versus 11.5%.
Protecting your assets
With our Customer Protection Guarantee, we reimburse you for losses from unauthorized activity in your accounts. We also participate in asset protection programs such as FDIC and SIPC to help provide the best service possible.
Last dividend for Fidelity 500 Index Fund (FXAIX) as of April 16, 2024 is 0.55 USD. The forward dividend yield for FXAIX as of April 16, 2024 is 1.25%. Average dividend growth rate for stock Fidelity 500 Index Fund (FXAIX) for past three years is 5.05%.
Fidelity® 500 Index Fund has an expense ratio of 0.02 percent.
What's the difference between the S&P 500 and a total market index? The S&P 500 is 500 of the largest publicly-traded U.S. companies. A total market index aims to represent the entire stock market, including small-, mid- and large-cap companies.
Company | Expense ratio | Minimum investment |
---|---|---|
Fidelity 500 Index (FXAIX) | 0.015% | $0 |
Fidelity Flex 500 Index (FDFIX) | 0.00% | $0 |
Schwab S&P 500 Index Fund (SWPPX) | 0.02% | $0 |
Vanguard 500 Index Admiral Fund (VFIAX) | 0.04% | $3,000 |
Is Fidelity 500 Index Fund good for 401k?
Fidelity 500 Index (FXAIX): Best large-cap 401(k) investment. Vanguard Mid-Cap Index Institutional (VMCIX): Best mid-cap 401(k) investment. Vanguard S&P Small-Cap 600 Index (VSMSX): Best small-cap 401(k) Investment.
The fund invests, under normal circ*mstances, all, or substantially all, of its assets in common stocks represented in the S&P 500® Equal Weight Index, and in derivatives and other instruments that have economic characteristics similar to such securities.
Fidelity 500 Index Fund (FXAIX)
For a very low 0.015% expense ratio, or $1.50 in annual fees for a $10,000 investment, investors can track the S&P 500 index. Since its inception in 1988, FXAIX has delivered an annualized total return of 10.9%.
Normally investing at least 80% of assets in common stocks included in the S&P 500 Index, which broadly represents the performance of common stocks publicly traded in the United States.
FXAIX pays dividends quarterly.
References
- https://time.com/personal-finance/article/how-to-invest-in-index-funds/
- https://www.investopedia.com/ask/answers/how-can-i-buy-sp-500-fund/
- https://www.fpmarkets.com/ca/education/trading-tips/how-many-etfs-should-i-own-as-a-beginner-in-2023/
- https://www.stash.com/learn/how-to-invest-in-sp500-2/
- https://www.quora.com/What-is-the-difference-between-the-Vanguard-S-P-500-Index-Fund-and-the-SPDR-S-P500-exchange-traded-fund-ETF
- https://www.fidelity.com/why-fidelity/security-protection
- https://www.investopedia.com/articles/investing/103114/5-things-you-need-know-about-index-funds.asp
- https://finance.yahoo.com/news/more-money-investing-10-000-220010726.html
- https://www.digrin.com/stocks/detail/FXAIX/
- https://www.morningstar.com/etfs/spy-vs-voo-which-warren-buffetts-etfs-is-better
- https://www.forbes.com/advisor/investing/best-total-stock-market-index-funds/
- https://passiv.com/blog/etf-overlap/
- https://www.schwab.com/learn/story/etf-vs-mutual-fund-it-depends-on-your-strategy
- https://www.ssga.com/us/en/intermediary/etfs/resources/education/efts-vs-stocks-a-guide-to-similarities-and-differences
- https://www.bankrate.com/investing/stocks-vs-etfs/
- https://money.usnews.com/money/retirement/articles/how-can-i-earn-100-200-or-500-per-month-in-guaranteed-income-in-retirement
- https://www.bankrate.com/investing/low-risk-investments/
- https://www.fool.com/investing/general/2013/09/21/the-best-performing-stock-on-the-sp-500-since-1980.aspx
- https://www.investopedia.com/articles/investing/122215/spy-spdr-sp-500-trust-etf.asp
- https://www.forbes.com/advisor/retirement/how-many-funds-do-you-need-in-your-retirement-account/
- https://money.usnews.com/investing/articles/index-funds-vs-mutual-funds
- https://www.investopedia.com/articles/mutualfund/05/etfindexfund.asp
- https://investor.vanguard.com/investor-resources-education/etfs/etf-vs-mutual-fund
- https://www.etfcentral.com/etf-u/guides/how-many-etfs-should-i-own
- https://lakshmishree.com/blog/15-best-etfs-in-india-to-invest-in-2024/
- https://www.investopedia.com/financial-edge/0113/7-easy-to-understand-etfs-to-replace-a-savings-account.aspx
- https://www.investopedia.com/articles/investing/011316/pros-and-cons-indexes.asp
- https://moneywise.com/investing/reviews/voo-vs-spy
- https://finance.yahoo.com/news/fidelity-500-index-fund-fxaix-110005658.html
- https://www.fool.com/investing/how-to-invest/index-funds/dividends/
- https://www.etf.com/topics/aggressive
- https://www.nerdwallet.com/article/investing/sp-500-etfs
- https://www.investopedia.com/articles/exchangetradedfunds/11/building-an-etf-portfolio.asp
- https://investmentinsight0.quora.com/Does-it-make-sense-to-invest-in-multiple-index-funds
- https://www.bankrate.com/investing/etf-vs-index-fund/
- https://www.investopedia.com/articles/markets/071616/history-sp-500-dividend-yield.asp
- https://www.investopedia.com/articles/investing/111215/vanguard-total-stock-index-vs-vanguard-500-index-fund.asp
- https://www.process.st/how-to/invest-in-sp-500-fidelity/
- https://www.forbes.com/advisor/investing/how-to-invest-in-sp-500/
- https://www.quora.com/Is-it-a-good-idea-to-invest-all-our-savings-into-one-stock-market-index-fund
- https://www.pillsburylaw.com/images/content/3/2/v2/3201/C-S-Advisory-07-22-2010-II.pdf
- https://corporatefinanceinstitute.com/resources/career-map/sell-side/capital-markets/index-investing/
- https://portfolioslab.com/tools/stock-comparison/FXAIX/SPY
- https://www.nerdwallet.com/article/investing/index-funds-vs-mutual-funds
- https://www.nasdaq.com/articles/is-the-sp-500-all-you-need-to-retire-a-millionaire-12
- https://www.physicianonfire.com/voo-vs-qqq-which-index-etf/
- https://finimize.com/content/forget-straight-sp-500-here-are-four-ways-invest-next-decade
- https://finance.yahoo.com/news/genius-ways-1-000-month-105500970.html
- https://www.cnbc.com/2024/01/22/as-sp-500-enters-bull-market-heres-what-to-know-before-you-invest.html
- https://www.morningstar.com/etfs/spy-vs-voo-which-warren-buffetts-two-etfs-is-better-bet
- https://money.usnews.com/investing/articles/best-performing-fidelity-funds-for-retirement
- https://www.justetf.com/en/academy/is-it-possible-to-invest-in-omly-one-etf.html
- https://www.investopedia.com/articles/investing/031716/vfinx-vs-spy-mutual-fund-vs-etf-case-study.asp
- https://www.usatoday.com/money/blueprint/investing/best-sp-500-index-funds/
- https://www.nerdwallet.com/article/investing/sp-500-index-fund
- https://talkmarkets.com/content/how-much-money-do-i-need-to-invest-to-make-3000-a-month?post=431352
- https://www.bankrate.com/investing/best-s-p-500-index-funds/
- https://www.tipranks.com/mutual-funds/fxaix/forecast
- https://ycharts.com/indicators/sp_500_5_year_return
- https://www.fool.com/investing/2024/03/24/you-can-do-better-than-sp-500-buy-this-etf/
- https://www.financialsymmetry.com/5-reasons-to-consider-not-only-investing-in-the-sp-500-ep-209/
- https://www.marketwatch.com/investing/fund/fxaix
- https://www.fool.com/investing/2024/03/17/before-you-buy-the-vanguards-sp-500-etf-here-are-3/
- https://www.quora.com/Is-it-a-good-idea-to-invest-all-of-your-savings-into-an-S-P-500-Index-Fund-at-this-time-considering-the-current-record-highs
- https://www.usatoday.com/money/blueprint/investing/best-401k-investments/
- https://www.quora.com/Is-there-any-benefit-in-investing-in-multiple-S-P-500-ETFs-vs-putting-it-all-in-a-single-S-P-500-ETF
- https://fundselectorasia.com/10-funds-that-beat-the-sp-500-by-over-20-in-2023/
- https://fundresearch.fidelity.com/mutual-funds/analysis/315911750
- https://www.investopedia.com/articles/personal-finance/022216/put-10000-sp-500-etf-and-wait-20-years.asp
- https://finance.yahoo.com/news/invested-1000-p-global-decade-133005715.html
- https://www.lgim.com/en-uk/adviser-wealth/insights/investment-foresight/Is-it-time-to-retire-the-4-percent-rule/
- https://www.nerdwallet.com/article/investing/how-to-invest-in-sp500
- https://www.cnbc.com/2024/03/08/warren-buffett-berkshire-hathaway-owns-2-etfs.html
- https://fundresearch.fidelity.com/mutual-funds/summary/315911750
- https://money.usnews.com/investing/articles/best-fidelity-mutual-funds-to-buy-and-hold
- https://www.investopedia.com/articles/exchangetradedfunds/08/etf-taxes-introduction.asp
- https://money.usnews.com/funds/mutual-funds/large-blend/fidelity-500-index-fund/fxaix
- https://www.fidelity.com/learning-center/investment-products/etf/risks-with-etfs
- https://www.fool.com/the-ascent/buying-stocks/articles/heres-what-happens-when-you-only-invest-in-sp-500-etfs/
- https://www.moneycontrol.com/news/business/personal-finance/which-is-the-best-asset-allocation-12011221.html
- https://www.morningstar.ca/ca/news/185437/sp-500-or-total-stock-market-index-for-us-exposure.aspx
- https://www.blackrock.com/us/individual/literature/fact-sheet/sma-target-allocation-70-30-etf-factsheet.pdf
- https://fundresearch.fidelity.com/mutual-funds/view-all/315911750
- https://finance.yahoo.com/news/vanguard-p-500-etf-voo-112006029.html
- https://www.forbes.com/advisor/investing/best-sp-500-index-funds/
- https://www.investopedia.com/articles/exchangetradedfunds/08/etf-mutual-fund-difference.asp
- https://www.trackinsight.com/en/education/how-many-etfs-should-you-own
- https://www.titan.com/articles/etf-drawbacks
- https://www.cnbc.com/select/what-is-sp-500-how-to-invest/
- https://www.dividendmax.com/united-states/nyse-arca/financial-services/vanguard-sandp-500-etf/dividends
- https://ccl.yale.edu/sites/default/files/files/BEBCHUK-HIRST-1%20(The%20Specter%20of%20the%20Giant%20Three)%20(Boston%20University%20Law%20Review)(Introduction).pdf
- https://stockinvest.us/dividends/FXAIX
- https://smartasset.com/financial-advisor/vanguard-vs-fidelity
- https://fundresearch.fidelity.com/mutual-funds/summary/00142J818
- https://www.investopedia.com/ask/answers/033015/whats-difference-between-index-fund-and-etf.asp
- https://tradethatswing.com/average-historical-stock-market-returns-for-sp-500-5-year-up-to-150-year-averages/
- https://www.retirebeforedad.com/fxaix-vs-voo/
- https://www.bankrate.com/investing/best-index-funds/
- https://www.nasdaq.com/articles/got-%24500-a-month-to-invest-heres-how-the-sp-500-could-make-you-a-millionaire