Why is Amazon moving 401k accounts from Vanguard to Fidelity?

New / Eng
panditji

New Eng

PRE
Amazon
panditjimore
Oct 10 9 Comments

I heard that Amazon is moving all their employee 401k accounts from Vanguard to Fidelity in Jan2020.

Anyone knows why that's the case? Does Fidelity have lower fees or a broader investment portfolio?

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TOP 9 Comments
  • Google əๅɓoo⅁
    Same reason people change companies (money).
    Companies change providers all the time.
    Oct 10 0
  • Google topCon
    Fidelity has a banana fund
    Oct 10 1
    • Twitch jellybeano
      Stand. Banana stand. There's always money in.
      Oct 10
  • Splunk Adgrok
    Splunk is doing the same, although from Transamerica. Fidelity must have a good pitch
    Oct 10 0
  • State Street Corporation CaNr73
    Vanguard’s ETF transaction fee is lowest compared to other non ETF fund. They publish ETF by themselves. It’s hard to believe Fidelity buy and sell Vanguard’s ETF could be cheaper?
    Oct 10 2
    • Fidelity Investments CFAgod
      Better start believing.
      Oct 10
    • State Street Corporation CaNr73
      I don’t know what is Vanguard ‘s 401K. But State Street (the company publish SPY) is using Fidelity as 401K . Maybe there is some magic black box in Fidelity we don’t know lol.
      Oct 10
  • Fidelity Investments CFAgod
    Cost and service.
    Oct 10 0
  • Twitch jellybeano
    Almost certainly money-related, what else?

    Amazon also administers stock plans through Fidelity, so it's probably a combined discount.
    Oct 10 0

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