Platform Comparison

Fidelity vs Merrill Edge

Compare Fidelity and Merrill Edge on fees, DRIP, fractional shares and research for dividend investing.

Higher Rated
FD

Fidelity

★4.9

The gold standard for dividend investors seeking zero commissions, exceptional research, and automatic DRIP.

Full Review
ME

Merrill Edge

★4.5

Bank of America's brokerage offering seamless banking integration, solid research tools, and the valuable Preferred Rewards program for qualifying customers.

Full Review

Fidelity vs Merrill Edge: Fees, Minimums & DRIP Compared

FeatureFidelityMerrill Edge
Our Rating4.9/54.5/5
Trading Commissions$0$0
Account Minimum$0$0
Fractional SharesYesDRIP only
DRIPAutomaticFree
Research ToolsExcellentGood
Best ForLong-Term Dividend InvestorsBank of America Customers

Fidelity vs Merrill Edge: Pros and Cons

Fidelity

Pros

  • + Completely free trading for stocks, ETFs, and options
  • + Automatic dividend reinvestment on all eligible securities
  • + Industry-leading research and screening tools
  • + Fractional shares starting at $1
  • + Excellent customer service with 24/7 phone support

Cons

  • - Platform interface can feel overwhelming for complete beginners
  • - Mobile app less intuitive than newer competitors
  • - Some advanced features require desktop platform
  • - Mutual fund minimums can be high ($0-$2,500 depending on fund)

Merrill Edge

Pros

  • + Commission-free trading on stocks and ETFs
  • + Seamless integration with Bank of America accounts
  • + Selective DRIP—choose which securities reinvest dividends
  • + DRIP supports fractional share reinvestment
  • + Preferred Rewards program offers fee discounts and bonuses

Cons

  • - No direct fractional share purchases (DRIP only)
  • - Mutual fund transaction fees up to $19.95
  • - Low interest rate on uninvested cash
  • - $49.95 full account transfer fee

Which Is Better for Dividend Investors: Fidelity or Merrill Edge?

Choose Fidelity if you...

  • Are in Fidelity's core audience: long-term dividend investors
  • Need automatic dividend reinvestment
  • Prefer a higher-rated overall platform

Choose Merrill Edge if you...

  • Are in Merrill Edge's core audience: bank of america customers

Want the full breakdown of fees, DRIP, and research tools? Read our Fidelity review and Merrill Edge review.

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Investment Disclaimer

Investing involves risk, including possible loss of principal. Past performance does not guarantee future results. This content is for informational purposes only and should not be considered investment advice.