Learn about SPAXX, Fidelity’s money market fund, including details on yield, investment strategy, fees, and how SPAXX can help manage cash within your Fidelity account.
Here’s a summary of the main problem and solutions discussed in the conversation: Main Problem: Nathanael was unsure when the funds in his core position would be used to buy stocks in his Fidfolio and why his available cash was still shown as uninvested. Solution: FidelityMarian explained that the cash available to trade is used…
Main Problem: The user is unable to trade cash covered options in their individual account despite being approved, as their cash available to trade (CAT) balance appears insufficient even though they believe they have enough funds to cover their trades. Solutions Discussed: Funds used to secure cash covered puts will be placed in a “cash…
Summary: The main problem reported by the user is the misleading “available to invest” value, which can lead to confusion and warnings when trying to invest with unsettled funds. Fidelity explains that it generally takes 2-6 business days for deposited funds to fully collect in the account, and that stocks and ETFs take two business…
Here’s a summary of the main issue and the solutions discussed in the conversation: Main Problem: The user, Dan, is inquiring about the tax implications of SPAXX/FDIC Core Positions and whether he needs to pay taxes if he does not make enough money. Solution 1: Fidelity representatives explained that distributions from the money market core…
Here’s a summary of the main problem and solutions discussed in the post: Main Problem: The user is unable to place a buy market order for $7.37 due to a warning about exceeding their settled cash balance, despite having that amount available to trade. Solution Provided: The warning is only a notification and does not…
Here’s a summary of the main problem reported and the solutions discussed: Main Problem: The user wants to know if they can invest fully in SPAXX within their Cash Management Account (CMA) and still be able to write checks and make payments that would automatically sell SPAXX to cover those transactions. Solution 1: SPAXX cannot…
Summary of User Concerns and Solutions: Main Problem: Users are concerned about the safety and coverage of their assets in light of recent bank failures, particularly regarding the differences between FDIC and SIPC protections. Solution 1: Fidelity provides clarity on FDIC insurance, which protects cash deposits at member banks up to $250,000, and offers an…
Here’s a summary of the main problem and solutions discussed in the conversation: Main Problem: The user is confused about whether deposits to a Certificate of Deposit (CD) should come from the SPAXX money market and if they can continue to deposit into a CD that is already locked in. Solution: The user needs to…
Here’s a summary of the main problem and the solutions discussed in the conversation: Main Problem: The user, Viviani, is confused about the process and implications of transferring funds from an IRA to a personal account and whether they can invest in stocks with those funds. Solution: Fidelity representatives clarified that moving cash from an…
Main Problem: The user, Parzival1099, is confused about the differences between Certificates of Deposit (CDs) and money market accounts, specifically regarding high yield savings options. Solution Provided: FidelityEmilio clarified that SPAXX is indeed a money market fund and explained its role as a core position for uninvested cash in brokerage accounts. Additional Information: FidelityEmilio compared…
Summary: The user is experiencing a low annual percentage yield (APY) with their local bank and is considering using SPAXX for better cash management. Fidelity offers two account types, the Cash Management Account (CMA) and the Brokerage Account, both of which provide debit card access and have no maintenance fees or minimums. SPAXX can be…
Summary of User’s Concerns and Solutions: Main Problem: The user needs to fund their individual brokerage account but is confused because the account is labeled as the funding account for their crypto account, and they want to short-sell Boeing quickly. Solution: To short-sell, the user must enable the margin feature on their brokerage account, which…
Summary of User’s Issue and Solutions Discussed: The main problem reported by the user, Haydon, is that they are unable to purchase SPAXX for an emergency fund due to an error message that appears when attempting the transaction. Fidelity representative, Shawn, explained that the user’s account has SPAXX set as the core position, meaning that…
Here’s a summary of the main problem and the solutions discussed: Main Problem: The user is seeking confirmation that monthly auto-pay transactions for the Fidelity Visa card from their Cash Management Account (CMA) will utilize self-funded overdraft protection and pull funds from their brokerage account as needed, since the CMA balance will often be lower…
Here’s a summary of the main problem and solutions discussed in the post: Main Problem: Harrison is confused about how SPAXX determines its dividend and wants to understand the math behind it. Solution: Fidelity representatives explained that SPAXX dividends are based on daily money market yields, which are calculated and paid out at the end…
Summary of User’s Issue and Solutions Discussed: Main Problem: The user has experienced unusual transactions related to SPAXX, resulting in a negative cash balance after funding their Youth Fidelity account and starting to invest. Possible Explanation: Fidelity representative clarified that the SPAXX fund is the default core position for transactions in the account, which may…
Here’s a summary of the main problem and solutions discussed in the post: Main Problem: The user, jce, inquired whether the money in their Fidelity core accounts is FDIC insured. The user received confirmation from another participant that funds are indeed FDIC insured. A Fidelity representative explained that Fidelity offers an FDIC Insured Deposit Sweep…
Summary: The user, PAW, is confused about having 0 buying power in their account despite having money previously, and is uncertain if the funds in SPAXX can be used. Fidelity explains that SPAXX is a money market mutual fund where uninvested cash sits until used for purchases or withdrawals. The funds in SPAXX are earning…
Here’s a summary of the main issue and solutions discussed: Main Problem: The user is unclear if their idle cash will automatically go into the auto-sweep when opening a Roth account and how to change the core position to specific money market funds. Solution: Fidelity accounts automatically establish a core position for processing cash transactions…
Here’s a summary of the main problem and solutions discussed: Main Problem: The user, Skyler, is unable to change the core position of their cash management account to SPAXX or a similar money market fund, receiving a message that no new core positions are available. Solution: The core position for cash management accounts (CMAs) is…