BOSTON (AP) — Fidelity Investments is ramping up its small presence in the rapidly growing exchange-traded fund business by expanding a 3-year-old partnership with BlackRock Inc.'s iShares unit, the largest ETF provider.
BlackRock, in turn, will be able to sell its iShares ETFs to a much broader range of investors. Fidelity has an industry-leading 18.5 million brokerage accounts.
Fidelity and BlackRock announced the partnership on Wednesday.
The companies agreed in early 2010 to cooperate on a smaller scale in a three-year deal that expired. Under that agreement, Fidelity offered its clients commission-free online trades on 30 iShares ETFs. The commission-free total expands to 65 under the new pact, covering ETFs with a total $250 billion in assets.
Fidelity also will create new options for its customers to build portfolios using iShares ETFs.