Robinhood is a solid online, commission-free investing platform. But at some point, you may find that you are looking for other features in an investing app.
Perhaps you’ve done all the research and compared the features and decided to make a switch.
One competitive choice you might want to look at is Fidelity, which also has an excellent reputation. There are more than 30 million individual Fidelity investors generating 2,225 trades per day, and Fidelity has $7.3 trillion in customer assets.
Fidelity has earned some of the industry’s highest accolades. It was rated Best Online Broker in 2020 by Barron's and Investor's Business Daily. It was also named #1 for Order Execution and #1 for Research by StockBrokers.com in 2020.
You can transfer your Robinhood stocks and cash Fidelity through the Automated Customer Account Transfer Service (ACATS). They do not allow you to request stock delivery using any method other than ACATS, including DTC and transfer agent transfers.
When you transfer stocks or cash from Robinhood to an outside brokerage such as Fidelity, there is a $75 fee (whether you are doing a full or partial transfer of your account), which will be debited from your Robinhood account’s available cash balance.
Be sure to resolve any account restrictions or negative balances in your account prior to requesting a transfer, or your transfer may be delayed.
You might need to give Fidelity your Robinhood Securities (RHS) account number. You can find this information in your mobile app:
You may need to reference a DTC number for your transfer. Robinhood’s DTC number is 6769.
After you initiate a full transfer, your account will be restricted to ensure the transfer is processed in an organized way. You won't be able to make any trades on the assets being requested, including options in the underlying asset, while the transfer is in process.
However, keep in mind that you'll still own the securities or positions during this time, and they'll update in the app to reflect their current market value.
You may receive some assets during subsequent residual sweep distributions. A residual sweep is the process of transferring any securities that may have remained in an account after completion of the initial ACAT transfer.
Residual sweeps are common when you have unsettled trades or dividend payments at the time the ACAT transfer request is received. This process usually occurs on a weekly basis after the initial transfer is completed. You do not need to take any action to initiate these residual sweeps.
If you opt for a full account ACAT transfer, your Cash Management and/or Robinhood Gold will be downgraded as a part of the transfer process. If you decide to use Robinhood again, you won't be able to opt back into Cash Management at this time. You will, however, be able to re-subscribe to Robinhood Gold.
Your account partial assets being transferred will be restricted to ensure the transfer is processed smoothly. Of course, you won't be able to make any trades on the partial account assets being transferred, including options in the underlying asset, while the transfer is in process.
You will, however, still own the rest of the securities or positions during this time, and they'll update in the app to reflect their current market value.
Once the partial transfer is complete, use of any remaining funds will be unrestricted and you'll be able to resume trading of that money.
Any full, settled shares should be transferred to Fidelity. If you have any fractional shares during a full account transfer, they will be sold, and the resulting funds will be transferred to the other brokerage as cash during a residual sweep.
Any options contracts you have should be transferred to Fidelity. Options that expire within 5 business days do not transfer.
Your cryptocurrencies are held separately in your Robinhood Crypto account, and can’t be transferred to other brokerages. To ensure your transfer request is not delayed, you will need to liquidate any cryptocurrencies you own before initiating a full account transfer request with Fidelity. If you don’t do this, it could delay your transfer request.
If you do not liquidate the crypto positions, Robinhood’s sister company, Robinhood Crypto, may liquidate these positions on your behalf. In either case, the resulting funds will be transferred to as cash, either with the initial transfer or during the residual transfer to Fidelity period.
This way, both your Robinhood Financial and your Robinhood Crypto accounts will be closed.
If you still want to keep your Robinhood account, you can initiate a partial transfer. Otherwise, you can initiate a full transfer, and they will close your account once the process is complete.
To start an online transfer, you will need:
Fidelity does not charge a fee to move assets from another institution; however as stated above, Robinhood charges $75.
This depends on the specific kinds of investments you hold. Some mutual funds may need to be sold and transferred over as cash. Most stocks will transfer over in-kind, but if you own stocks trading at less than $1.00 a share, these securities may need to be sold as well and transferred over as cash.
There are various reasons you may want to move to a different online investing app. If you decide to transfer your account funds out of Robinhood into Fidelity, the process is more complex on Robinhood’s side. If you understand and follow the requirements, this will help the transfer move along smoothly.