The StockBrokers.com annual broker review assesses more than a dozen different brokers over six months, surfacing the best online stock brokers. This review compares Charles Schwab vs E*TRADE. Is Charles Schwab or E*TRADE a better online broker?
First, we will make a comparison of the stock and option trading fees for trading with both brokers. Charles Schwab and E*TRADE charge the same amount for regular stock trades, $0. With options, the base fee is $0 for both Charles Schwab and E*TRADE. Option contracts run $0.65 a piece at both brokerages. Note that some brokers charge a per-share fee instead of a flat-fee commission. For a full breakdown of commissions, read our online broker reviews.
For our next comparison of these two brokers, being able to trade the way you want is a must. Charles Schwab and E*TRADE provide clients with Stock Trading, Options Trading, Mutual Funds and Futures Trading. When it comes to mutual funds, E*TRADE boasts an offering of 9062 mutual funds compared to Charles Schwab's 5846 available funds.
Last but not least, by breaking down important features, tools, etc that each broker offers, we can really help to separate the two. E*TRADE makes virtual trading available to clients, while Charles Schwab does not. For mobile trading, Charles Schwab and E*TRADE both have a iPhone App, iPad App and Android App. Furthermore, some investors like to bank online, and multiple brokerages provide these services to clients. Checking Accounts, Savings Accounts and Debit Cards are available to clients of E*TRADE while Charles Schwab offers customers Checking Accounts, Savings Accounts, Debit Cards, Credit Cards and Mortgage Loans.
Overall, between Charles Schwab and E*TRADE, Charles Schwab is the winner.
Charles Schwab Review