Fidelity money market automatic redemptions

qudtp

I have searched to find recent/relevant discussions about Fidelity, and give up and am creating this post.

There is an announcement thread last updated on 10/28 by @Quicken Janean

https://community.quicken.com/discussion/7965464/updated-10-28-25-fidelity-updates

In it, you write:

"If you experience one of the issues above, please bookmark this discussion for updates and share your details in the related discussion so our teams can investigate further."

There is no link to "the related discussion."

The issue is probably related to

• Money Market Fund Redemptions Missing (CBT-884) – Missing redemption transactions for multiple securities.
  • Status: Under investigation.

I wanted to fill in some details.

This occurs on both Windows and Mac.

My core fund is FDRXX.

To re-test this, at Fidelity I transferred money from one account to another, making sure that there was not enough cash in the core fund to cover the cost of the entire transfer. Fidelity sold some of my shares in FZDXX, which is the Fidelity Mmkt Premium Class money market fund and is an additional money market fund in the account

In Quicken, my core was represented in cash. (Most likely because I periodically adjust the number of FDRXX shares back to 0, and adjust the cash balance.)

The transfer, as represented in Quicken, is entirely attributed to cash, and no FZDXX gets sold. (The redemption transaction at Fidelity is entirely ignored). The result is that the cash position in Quicken becomes negative, while the FZDXX shares remain too high. The workaround solution is to remove the proper number of shares of FZDXX, and increase the cash balance to $0.

If people have their cash position in Quicken represented in an actual core fund (like SPAXX), I speculate a similar thing would happen, except that the number of shares in the core fund would become negative. If someone has a setup that lets them confirm that, please add to this discussion your findings.

At the Fidelity web site, these automatic redemptions of non-core money market funds are represented in an unusual way, which suggests confusion at Fidelity itself. The text for the activity reads:

REDEMPTION FROM CORE ACCOUNT FIDELITY MMKT PREMIUM CLASS (FZDXX) (Cash)

The thing that is wrong is that the redemption is NOT from the actual core account.

But the fact that they use this text suggests at some level Fidelity "thinks" it really is redeeming from the actual core, and so they might pass it that way to Quicken - which would explain why the cash in Quicken goes negative.

In QWin, this is shown as a Withdraw transaction, with a memo stating the name of the account the money is being transferred to. (The receiving account gets a Deposit transaction, with a memo stating the name of the account the money is coming from.)

In QMac, this is shown as a Payment/Deposit transaction, with the Security/Payee field stating the name of the account the money is being sent to, and a Description/Category of "Transfer." (The receiving account gets a similar Payment/Deposit, with the Security/Payee stating the name of the account the money came from, and a Description/Category of "Transfer.")

I apologize if these details are already included in CBT-884.

Quicken Anja

Hello @qudtp,

Thank you for taking the time to share these detailed observations and examples. Your insights into how Fidelity money market redemptions are being handled in Quicken are very helpful.

We appreciate your effort in documenting this!

rotygolf

I have a similar issue. Seems like Quicken needs to know for each fidelity account in Quicken what the CORE cash position (money market) is being held it. It could be SPAXX, FZFXX or FDRXX or something else. Fidelity owners can change their CORE position from SPAXX to FDRXX. I'm not sure if there are other options. I'm sure the same might be true at other financial institutions. Have you considered this @Quicken Anja ?

Pacific_Shark_Chum

I'll try leaving a comment again as my last didn't post. FDLXX auto-redemption transactions are not being downloaded into Quicken Mac. For documentation details see this comment thread:

https://community.quicken.com/discussion/comment/20519148#Comment_20519148

Quicken Anja

https://community.quicken.com/discussion/comment/20519038#Comment_20519038

Hello @rotygolf,

Thanks for sharing your observations! This aligns with reports we’re currently tracking in an open ticket regarding missing redemption transactions for Fidelity money market funds.

Our team is actively investigating, though we do not have an ETA available at this time.

Thank you!
(CTP-15049)

Pacific_Shark_Chum

Hi, Just for clarification, Fidelity lets the user choose core ("cash") is being held. AFAIK, those choices are limited to:

Fidelity Government (available for use as a core position in a retirement or non‐retirement account, used for processing cash transactions and for holding uninvested cash)…..SPAXX
Fidelity Treasury (available for use as a core position in a non‐retirement account, used for processing cash transactions and for holding uninvested cash)…..FXFXX
Fidelity Government Cash Reserves , symbol: FDRXX
Fidelity Treasury Only , symbol:FDLXX
FDIC Insured Deposit Sweep, aka bank sweep. Not a money mkt acct.

Funds that are transferred into the account or cash resulting from an asset sale, non-reinvested dividend, cap Gain payout, etc are swept into one of these [edit] FIVE options.

Investors are free to use OTHER Fidelity Money Market funds in their account, and one feature that Fidelity provides (that Schwab does not) is auto-redemption of the money market fund to pay for a stock purchase, cash transfer out of account, auto-debit of credit card payment or other bills, etc. These can be used for auto-redemption, but they are not available for auto-sweep of cash into the fund. The user must make a buy transaction to move money from their core fund to their money market fund that has the auto-sweep feature. AFAIK, the NON-CORE POSITION funds available for auto-sweep are:

Fidelity Government Cash Reserves, symbol: FDRXX

Fidelity Treasury Only, symbol: FDLXX

For Investments of $100,000+, $1million+, or $10million+

Fidelity Government – Premium Class 
FIMM Government – Class I
FIMM Government – IL Class (FRGXX)

For investors seeking more conservative funds with potentially lower yields

• FIMM Treasury - Class I
• FIMM Treasury - IL Class (FRBXX)
• FIMM Treasury Only - Class I
• FIMM Treasury Only - IL Class (FRSXX)

See this link for validation: https://www.fidelity.com/mutual-funds/fidelity-funds/government-core-money-market

The above is to the best of my knowledge, but I am not the authoritative source!💡

bdantes

https://community.quicken.com/discussion/comment/20519668#Comment_20519668

For my Cash Management account, Fidelity only offers SPAXX or FDIC as options for the Core position.

bdantes

https://community.quicken.com/discussion/comment/20519521#Comment_20519521

@Quicken Anja Is there a specific post where we can track the status of CTP-15049? After the many months of Fidelity EWC+ being a complete nightmare, this one remaining issue continues to annoy.

Quicken Anja

Thank you @Pacific_Shark_Chum for sharing those detailed observations!

@bdantes Regarding CTP-15049: this ticket is internal only, so there isn’t a public post to track it. That said, you’re always welcome to ask any of us community moderators for a status update—we have access to review the ticket. It’s currently still open and actively being worked on, but there’s currently no ETA for a fix.

Thank you for your patience while our teams continue investigating!

Quick92

I believe my problem is described by CBT-884. CMA Account. Core position is SPAXX with zero SPAXX shares held. Holdings in FZCXX are auto-liquidated for each cash debit, yet the FZCXX transactions never get downloaded. Bug report filed. To be clear, this worked fine for years under Direct Connect.

Quicken Anja

Hello @Quick92,

Thanks for the clarification!

Just to clear up the ticket reference—CBT-884 and CTP-15049 are actually the same issue. When we moderators submit a ticket, it initially starts with a CBT identifier. Once our escalation/development teams take it over, that ticket is converted into a CTP number. So the CBT number you mentioned is simply the earlier version of the same ticket I referenced.

The issue is still open and actively being worked on, though we don’t have an ETA yet.

Thank you for taking the time to submit a bug report and for your patience while our teams continue investigating!

Pacific_Shark_Chum

Well, here we are in December and the issue that has persisted from July has still not been fixed. Can we get a status update? TIA.

Quicken Anja

Hello @Pacific_Shark_Chum,

Thank you for following up. The ticket for this issue (CBT-884/CTP-15049) is still open and actively being worked on. There is no ETA available at this time.

This ticket is internal only, so there isn’t a public post for tracking it. However,we moderators do have access to monitor the ticket, so you are welcome to check in anytime.

We appreciate your patience while our teams continue investigating.