The big picture: Fidelity Investments is expanding its list of ETFs subject to a $100 purchase fee, growing from roughly 27 funds to more than 120. The updated list takes effect June 1, 2026, and targets ETF issuers that do not pay Fidelity a direct, asset-based fee to support platform availability.
Why it matters: The fee structure has drawn accusations of a “pay to play” model. If an ETF issuer doesn’t have an agreement with Fidelity, the $100 service charge gets passed directly to the investor on each purchase. That forces smaller fund managers into a choice: pay Fidelity or watch their investors absorb the cost.
By The Numbers
- $100: Maximum service fee per ETF purchase
- ~27 ETFs: Original list as of November 3, 2025
- 120+ ETFs: Expanded list effective June 1, 2026
- 40+ funds: From Roundhill alone, the single largest issuer on the list
- 12 funds: From Kurv, including popular yield premium strategy ETFs tied to Apple, Tesla, Google, and others
What they’re saying: The expansion has sparked sharp criticism from prominent voices in the ETF industry. Investor and fund manager Meb Faber called the fee structure “gross.” Others have described it as a “pay to play” model. On social media, critics argue that the arrangement forces fund managers to either pay Fidelity or hurt their own investors with fees.
The other side: The vast majority of ETF trades at Fidelity remain commission-free. The $100 fee applies only to a small subset of funds from issuers that don’t participate in revenue-sharing agreements. Some defenders note that these are mostly niche, low-volume products with higher operational costs, and that Fidelity still provides access to them rather than delisting entirely. Many of these issuers have reportedly been in discussions with Fidelity to resolve the fee for their funds.
What’s on the list: The expanded roster (PDF File) includes funds from Roundhill (WeeklyPay ETFs, Magnificent Seven ETFs, Bitcoin and Ether covered call funds), Kurv (yield premium strategy ETFs, precious metals income funds), Inspire (faith-based ETFs), Hedgeye, Rareview, WEBs (defined volatility sector ETFs), Cyber Hornet (crypto-blend strategy ETFs), and several small specialty issuers.
Notable additions include YBTC (Roundhill Bitcoin Covered Call Strategy ETF), KGLD (Kurv Gold Enhanced Income ETF), MAGS (Roundhill Magnificent Seven ETF), and QDTE (Roundhill Innovation-100 0DTE Covered Call Strategy ETF).
Keep in mind: This does not affect the vast majority of ETFs. If you buy funds from major issuers like Vanguard, iShares (BlackRock), SPDR (State Street), Schwab, or Invesco, nothing changes. Fidelity still offers thousands of commission-free ETFs. The fee only hits a narrow slice of smaller, specialty issuers. Before purchasing any ETF on Fidelity, check the order preview screen — it will disclose the service fee before you confirm the trade.
What to watch: Keep an eye on competitors like Schwab or Robinhood to see if they adopt similar fee structures or use this as a marketing advantage. Also, see if more issuers negotiate revenue-sharing deals with Fidelity to get off the list. And finally, watch out whether frustrated customers follow through on threats to move their accounts to other brokers.
How this connects: The College Investor currently ranks Fidelity as the #1 online stock broker for 2026, largely because of its commission-free pricing, $0 account minimums, and broad fund selection. The full Fidelity review notes that Fidelity offers over 3,400 no-transaction-fee mutual funds and is the only broker offering 0% expense ratio index funds. This ETF service fee expansion is worth monitoring, but it doesn’t change Fidelity’s core value proposition for investors who stick to mainstream ETFs and index funds.
Don’t Miss These Other Stories:
