Fidelity Investments® Experiences Fourfold Increase In Roth Ira Conversions In First Quarter Of 2010

Investor Demand for Conversion Guidance Continues at Record Levels

BOSTON – Fidelity Investments®, the leading provider of Individual Retirement Accounts (IRAs) , has experienced a significant increase in the number of Roth IRA conversions executed across its retail and advisor businesses, just three months after income limits were removed.  

In fact, the volume of Roth IRA conversions at Fidelity® in the first quarter of 2010 was four times the level experienced in the same period last year.  With trained financial representatives and extensive online content and tools available, the number of investors seeking guidance from Fidelity regarding Roth IRA conversions also continued at a record pace during the first three months of the year.

Key business data  from Fidelity surrounding Roth IRA conversions for the first quarter of 2010 include:

• Approximately 58,000 total Roth IRA conversions completed, which represents a fourfold increase over the same period in 2009.
• More than 60,000 Roth Conversion Evaluator sessions completed by investors and advisors in the first quarter, with 122,000 sessions since the calculator's launch in October 2009.
• Visitors to Roth IRA conversion content on Fidelity.com up more than threefold in the first three months of this year, when compared to the first quarter of last year.
• More than half of Fidelity financial representatives surveyed said the number of Roth IRA conversion discussions they have had with investors in the first quarter of 2010 increased by at least four times versus 2009.

“For many investors, the opportunity to consider a Roth IRA conversion is still new with the removal of income restrictions at the beginning of this year, so we encourage all investors to do their homework, including a discussion with a tax advisor, before deciding to convert,” said Chris McDermott, senior vice president, investor education, retirement and financial planning, Fidelity Investments.  “When working with an investor to determine whether a Roth IRA conversion makes sense, we often start by examining their overall approach to retirement saving.  This includes discussing different strategies, including a Roth IRA conversion, they may consider to potentially improve their overall retirement plan.”

Fidelity Offers Wide Range of Roth IRA Conversion Guidance 
Fidelity’s financial representatives have been trained to help investors make informed decisions.  In addition, the firm offers a wide range of guidance for investors who are considering a Roth IRA conversion.
For investors who are not familiar with the basic features and benefits of a Roth IRA, Fidelity offers several education tools on Fidelity.com, including the IRA Evaluator (www.fidelity.com/tvr), which explains the differences between Roth and Traditional IRAs.  

After learning the fundamentals of a Roth IRA, investors can read the Fidelity Viewpoints article on Roth conversions (www.fidelity.com/rothpov) and use Fidelity’s Roth Conversion Evaluator (www.fidelity.com/rothevaluator) to help determine whether or not a full or partial Roth IRA conversion makes sense for them in the context of their overall retirement plan.

Investors who decide to convert have the option of conducting a Roth IRA conversion over the phone or using new functionality on Fidelity.com that allows investors to easily complete a full or partial Roth IRA conversion online.

Fidelity is committed to providing investors with information they need to make an informed decision around the Roth IRA conversion opportunity, including ongoing Viewpoints articles and online content (www.fidelity.com/viewpoints) that include guidance on the topic.   As well, Fidelity representatives are ready to help investors with the decision making process both on the phone at 1-800-FIDELITY or in person at any of the company’s 132 investor centers across the United States.   

About Fidelity Investments
Fidelity Investments is one of the world's largest providers of financial services, with assets under administration of over $3.2 trillion, including managed assets of $1.5 trillion as of February 28, 2010. Fidelity offers investment management, retirement planning, brokerage, and human resources and benefits outsourcing services to over 20 million individuals and institutions as well as through 5,000 financial intermediary firms. The firm is the largest mutual fund company in the United States, the No. 1 provider of workplace retirement savings plans, the largest mutual fund supermarket, a leading online brokerage firm and one of the largest providers of custody and clearing services to financial professionals. For more information about Fidelity Investments, visit www.fidelity.com.

Fidelity, Fidelity Investments and the Pyramid Design logo are registered service marks of FMR LLC. 

Fidelity does not provide investment, legal or tax advice. Always consult an attorney or tax professional regarding your specific legal or tax situation. 

Guidance provided by Fidelity is educational in nature, is not individualized and is not intended to serve as the primary or sole basis for your investment or tax-planning decisions.Please consult a tax advisor regarding your personal situation. 

The Roth Conversion Evaluator is intended to serve as education and should not be construed as tax advice. Your circumstances are unique; therefore if you believe that you need personalized tax advice, you should consult a tax advisor. Because your circumstances will probably change over time, it is a good idea to review your financial strategy periodically to be sure it continues to fit your situation. 

Clearing, custody or other brokerage services may be provided by National Financial Services LLC or Fidelity Brokerage Services LLC, Members NYSE, SIPC. 

Fidelity Brokerage Services LLC, Member NYSE, SIPC 900 Salem Street, Smithfield, RI 02917 

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