Fidelity Falls Victim to Human Nature
Monday, March 10th, 2008Most stockbrokers would kill to have part of Fidelity’s brokerage business. Like others who operate mutual funds, Fidelity Investments has a choice of which stockbrokers to use to buy the stocks and bonds in which its funds invest. Fidelity buys securities in such large volume that the stockbroker who executes the trades will necessarily reap a big commission. Human nature being what it is, brokers anxious for Fidelity’s business do everything they can to influence Fidelity’s decision. (more…)
