Using data from the StockBrokers.com 2017 Broker Rankings
, we can compare Charles Schwab vs E*TRADE to determine which broker is best. Let's dive in.
First, we will break down the commission charges of both brokers for placing stock and options trades. E*TRADE charges more than Charles Schwab for placing regular stock trades ($6.95 and $4.95, respectively). Looking at trading options, Charles Schwab's base fee is $4.95 while E*TRADE's is $6.95. Each option contract then costs $0.75 at E*TRADE and $0.65 at Charles Schwab. Instead of flat rate fees, several brokers charge a per-share fee instead. For a complete review of trading charges, read our full online broker reviews
Next, investors want to make sure they can trade the investment vehicle they want. Charles Schwab alongside E*TRADE offer clients Stock Trading, Options Trading, Mutual Funds and Futures Trading. As far as mutual funds go, E*TRADE boasts an offering of 8652 mutual funds compared to Charles Schwab's 5165 available funds. And, commission free ETFs deserve a comparison, with E*TRADE falling behind Charles Schwab, offering 133 commission free ETFs compared to Charles Schwab's 229.
Finally, by comparing the each broker's website and platform features, we can surface interesting differences. Charles Schwab nor E*TRADE offers virtual trading. For mobile trading, Charles Schwab along with E*TRADE both support the iPhone App, iPad App and Android App. Online banking is also used by many customers, and multiple full-service brokerages provide these services. Clients can have Checking Accounts and Debit Cards at E*TRADE while customers at Charles Schwab can have Checking Accounts, Savings Accounts, Debit Cards, Credit Cards and Mortgage Loans. All factors considered, when it comes to platform tools, research, and mobile trading, E*TRADE finished with awards Best in Class - Research and Best in Class - Mobile Trading in 2017, while Charles Schwab came up with Best in Class - Platforms & Tools and Best in Class - Research.
Overall, Charles Schwab boasts 4.50 stars versus E*TRADE's 4.00 stars.