Fidelity charges $0.65 per options contract with no base commission — one of the lowest effective options fees among major US brokers. There is no exercise or assignment fee. The Active Trader Pro (ATP) desktop platform supports all major options strategies, from covered calls to multi-leg spreads. Fidelity is a strong choice for intermediate options traders who want solid tools without the learning curve of thinkorswim.
Fidelity Options Fees (2026)
| Fee Type | Fidelity | Schwab | E*TRADE | Vanguard |
|---|---|---|---|---|
| Per-contract fee | $0.65 | $0.65 | $0.65 | $1.00 |
| Base commission | $0 | $0 | $0 | $0 |
| Exercise/assignment fee | $0 | $0 | $0 | $0 |
| Expiring worthless | $0 | $0 | $0 | $0 |
Example: Selling 5 covered calls to open costs $3.25 ($0.65 × 5). Buying them back to close costs another $3.25. Total round-trip cost: $6.50 for 5 contracts.
Fidelity Options Platforms
Active Trader Pro (Desktop)
Active Trader Pro is Fidelity’s primary platform for options traders. Key features:
- Streaming real-time options chains with bid/ask, Greeks (delta, theta, gamma, vega), volume, and open interest
- Multi-leg order entry for spreads, straddles, strangles, condors, and butterflies
- Probability analysis showing the likelihood of options expiring in or out of the money
- Position analysis P&L graph showing profit/loss at expiration across a range of underlying prices
- Alerts and conditional orders
- Customizable layouts and workspace configurations
Fidelity.com Web Platform
The web-based platform offers a simpler options interface suitable for investors trading covered calls or buying puts as a hedge. Real-time data is available, but the multi-leg order functionality is less refined than Active Trader Pro.
Options Screener
Fidelity’s Options Screener (available within ATP and on Fidelity.com) filters by strategy type, expiration, strike, implied volatility, and Greeks — useful for finding covered call candidates by expected return or finding puts with favorable risk/reward.
Options Approval Levels
Fidelity uses four approval levels. To apply, navigate to Accounts & Trade → Account Features → Brokerage & Trading → Options:
| Level | Strategies Allowed | Requirements |
|---|---|---|
| Level 1 | Covered calls, protective puts | Standard brokerage account |
| Level 2 | Long calls, long puts, cash-secured puts | Trading experience, investment objective |
| Level 3 | Spreads (vertical, calendar, diagonal) | Higher income/assets, trading experience |
| Level 4 | Uncovered puts and calls (naked options) | Significant experience, margin account, high income |
Most retail investors are approved for Level 2 or 3. Level 4 (naked options) carries unlimited theoretical risk and is rarely granted to retail investors.
How to Start Trading Options at Fidelity
- Apply for options approval — log in, go to Accounts & Trade → Account Features → Options. Complete the options agreement. Approval is typically instant for Level 1-2, sometimes 1-2 business days for Level 3.
- Fund your account — options trading does not require a minimum above the standard brokerage account ($0 at Fidelity), but cash-secured puts require sufficient cash to cover the put assignment.
- Download Active Trader Pro — available free for all Fidelity brokerage account holders.
- Select your strategy — start with covered calls (if you own 100+ shares of stock) or long calls/puts if you want directional exposure.
- Place the order — use the multi-leg ticket for spreads; single-leg for covered calls and long options.
Covered Calls at Fidelity: Worked Example
You own 100 shares of a stock trading at $50 per share. You sell 1 covered call at the $55 strike expiring in 30 days for a $1.50 premium.
- Premium received: $150 ($1.50 × 100 shares)
- Commission paid: $0.65 (1 contract)
- Net premium after commission: $149.35
- Annualized yield: ~36% ($149.35 ÷ $5,000 × 12 months)
- If stock rises above $55: shares called away at $55; you keep the $149.35 premium plus $500 capital gain (from $50 to $55)
- If stock stays below $55: option expires worthless; you keep the $149.35 premium and still own your shares
Fidelity vs Other Brokers for Options
For active options traders doing more than 100 contracts per month, thinkorswim at Schwab is the most powerful platform. Power E*TRADE is more beginner-friendly and intuitive. Fidelity sits between the two — more capable than Vanguard or Merrill Edge, less specialized than thinkorswim.
Fidelity is the best options platform if you also: use Fidelity for your IRA and other accounts, want zero-expense-ratio index funds alongside options, or prefer the full Fidelity ecosystem.
See the full Fidelity review or compare Fidelity vs Schwab options platforms.
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