Fidelity Imposes $100 Million Asset Minimum on RIAs
Fidelity requires existing independent firms to meet a $100 million asset threshold by June 30, 2027.
Updated on Oct. 23, 2026 in Financial Planning
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On October 1, 2026, Fidelity announced that all existing independent registered investment advisors (RIAs) must hold at least $100 million in assets on its platform by June 30, 2027. The mandate affects nearly 1,000 firms currently falling below this new minimum requirement.
Why it matters
The firm implemented the policy to achieve operational consistency, reflecting a broader trend where custodians prioritize larger accounts as traditional commission-based and fund revenue streams decline. This shift forces smaller firms to secure secondary custodians to maintain service for their clients.
Fintrx identified 986 independent RIAs holding a combined $37.2 billion that fall short of Fidelity's $100 million minimum requirement. Among these firms, 706 cannot reach the threshold even if they move all their assets to the platform.
The players
Fidelity
A global financial services corporation that provides investment management, retirement planning, and brokerage services to individual and institutional clients.
Schwab
A major financial services company that operates as a primary custodian for thousands of independent investment advisory firms.
Fintrx
A data and research platform that tracks the private wealth industry and registered investment advisor activity.
Tim Welsh
An industry consultant who monitors trends in the custodial and financial advisory sector.
The details
Independent advisors are responding to the mandate by adding secondary custodians to their operations to facilitate potential asset transfers. Notably, 354 of the affected firms currently use Fidelity as their sole custodian, complicating the transition process for their existing client accounts.
Timeline
2025: Schwab added 1,101 firms to its platform.
August 2025: Schwab referral network minimum was $500,000.
January 2026: Schwab referral network minimum increased to $2 million.
August 2026: Schwab referral network minimum reached $5 million.
October 1, 2026: Fidelity informed existing RIA clients of the new platform asset requirement.
Market Dynamics
This mandate follows the broader industry pressure caused by the decline in traditional commission and fund revenue-sharing models. As custodians pivot toward larger accounts to maintain profitability, the barrier to entry for smaller independent firms continues to rise across the sector.
Clients of smaller independent firms may face administrative changes if their advisors are forced to migrate assets to a secondary custodian. Investors should verify how their advisor plans to handle potential platform shifts to ensure continuity in portfolio management and account access.
The takeaway
Financial custodians are increasingly prioritizing larger, more profitable firms as revenue models shift away from traditional fees. Independent advisors must actively diversify their custodial relationships to mitigate the risks of platform-level policy changes.
Further reading
For more on industry custodial shifts, visit the Financial Planning section.
Source note: This article includes information reported by FA Magazine.
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