Is Charles Schwab better than Interactive Brokers? After testing 15 of the best online brokers over five months, Charles Schwab (93.11%) is better than Interactive Brokers (90.58%). Founded in 1973, Charles Schwab is a full-service brokerage with over $3 trillion in total client assets. As a low-cost leader offering $0 stock trades, Charles Schwab provides investors excellent stock research, quality trade tools, and professional planning for the future.
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Charles Schwab vs Interactive Brokers 2020
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Special Offer
$0 online stock, ETF, and options commissions at Schwab. Open Account
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Exclusive Offer
New clients that open an account today receive a special margin rate Open Account
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| Open Account | Open Account |
Overall Rating
Trading Fees
| Feature | Charles Schwab | Interactive Brokers |
| Minimum Deposit | $0.00 | $0.00 |
| Stock Trade Fee (per trade) | $0.00 | N/A |
| ETF Trade Fee | $0.00 | $0.01 |
| Options Base Fee | $0.00 | $0.00 |
| Options Per Contract Fee | $0.65 | $0.65 |
| Mutual Fund Trade Fee | $49.95 | $14.95 |
| Broker Assisted Trades Fee | $25.00 | $30.00 |
| Commissions & Fees | ||
| Winner | check_circle |
Margin Rates
| Feature | Charles Schwab | Interactive Brokers |
| Under $24,999.99 | 9.33% | 3.08% |
| $25,000.00 to $49,999.99 | 8.83% | 3.08% |
| $50,000.00 to $99,999.99 | 7.88% | 3.08% |
| $100,000.00 to $249,999.99 | 7.83% | 2.58% |
| $250,000.00 to $499,999.99 | 7.58% | 3.18% |
| $500,000.00 to $999,999.99 | 6.08% | 2.75% |
| Above $1,000,000.00 | 5.75% | 2.08% |
| Commissions & Fees | ||
| Winner | check_circle |
Account Fees
| Feature | Charles Schwab | Interactive Brokers |
| IRA Annual Fee | $0.00 | $0.00 |
| IRA Closure Fee | $50.00 | $0.00 |
| Returned ACH Fee | $25.00 | N/A |
| Returned Wire Fee | $25.00 | N/A |
| Stock Certificate Processing Fee | $100.00 | N/A |
| Stock Certificate Delivery Fee | N/A | N/A |
| Paper Statement Fee | $0.00 | N/A |
| Paper Confirmation Fee | $0.00 | N/A |
| Domestic Wire Fee | $25.00 | $10.00 |
| International Wire Fee | $25.00 | $10.00 |
| Commissions & Fees |
Investment Options
| Feature | Charles Schwab | Interactive Brokers |
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Stock Trading |
Yes | Yes |
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Fractional Shares |
Yes | Yes |
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OTCBB / Pink Sheets |
Yes | Yes |
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Options Trading |
Yes | Yes |
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Complex Options Max Legs |
4 | 8 |
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Futures Trading |
Yes | Yes |
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Forex Trading |
No | No |
| Commission-Free ETFs | all | 96 |
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Mutual Funds (No Load) |
7291 | 8655 |
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Mutual Funds (Total) |
9978 | 18210 |
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Bonds (US Treasury) |
Yes | Yes |
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Bonds (Corporate) |
Yes | Yes |
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Bonds (Municipal) |
Yes | Yes |
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Interest Sharing |
No | Yes |
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Advisor Services |
Yes | No |
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International Trading |
Yes | Yes |
| Offering of Investments | ||
| Winner | check_circle |
Order Types
| Feature | Charles Schwab | Interactive Brokers |
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Order Type - Market |
Yes | Yes |
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Order Type - Limit |
Yes | Yes |
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Order Type - Stop |
Yes | Yes |
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Order Type - Trailing Stop |
Yes | Yes |
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Order Type - Contingent |
Yes | Yes |
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Order Type - MultiContingent |
Yes | Yes |
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Order Type - OCO |
Yes | Yes |
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Order Type - OTO |
Yes | Yes |
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Order Type - OTOCO |
Yes | Yes |
| Offering of Investments | ||
| Winner | check_circle |
Trading Platforms
| Feature | Charles Schwab | Interactive Brokers |
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Desktop Platform (Windows) |
Yes | Yes |
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Desktop Platform (Mac) |
Yes | Yes |
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Web Platform |
Yes | Yes |
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Paper Trading |
No | Yes |
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Trade Journal |
Yes | Yes |
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Watch Lists - Total Fields |
125 | 494 |
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Heat Mapping |
Yes | Yes |
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AI Assistant Bot |
No | Yes |
| Platforms & Tools | ||
| Winner | check_circle |
Charting Features
| Feature | Charles Schwab | Interactive Brokers |
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Charting - Trade Off Chart |
Yes | Yes |
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Charting - Indicators / Studies |
41 | 121 |
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Charting - Drawing Tools |
15 | 9 |
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Charting - Historical Trades |
No | Yes |
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Charting - Corporate Events |
Yes | Yes |
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Charting - Automated Analysis |
Yes | No |
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Charting - Save Profiles |
Yes | Yes |
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Charting - Study Customizations |
7 | 6 |
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Charting - Custom Studies |
No | No |
| Platforms & Tools | ||
| Winner | check_circle |
Day Trading
| Feature | Charles Schwab | Interactive Brokers |
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Stock Alerts - Basic Fields |
Yes | Yes |
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Stock Alerts - Advanced Fields |
Yes | No |
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Streaming Time & Sales |
Yes | Yes |
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Streaming TV |
Yes | Yes |
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Direct Market Routing - Stocks |
Yes | Yes |
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Direct Market Routing - Options |
No | Yes |
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Ladder Trading |
No | Yes |
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Trade Hot Keys |
Yes | Yes |
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Level 2 Quotes - Stocks |
Yes | Yes |
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Level 2 Quotes - Options |
Yes | Yes |
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Trade Ideas - Backtesting |
Yes | Yes |
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Short Locator |
No | Yes |
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Order Liquidity Rebates |
No | Yes |
| Winner | check_circle |
Mobile Trading Apps
| Feature | Charles Schwab | Interactive Brokers |
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iPhone App |
Yes | Yes |
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Android App |
Yes | Yes |
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Apple Watch App |
Yes | Yes |
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Trading - Stocks |
Yes | Yes |
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Trading - After-Hours |
Yes | Yes |
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Trading - Conditional Orders |
No | Yes |
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Trading - Mutual Funds |
Yes | Yes |
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Trading - Simple Options |
Yes | Yes |
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Trading - Complex Options |
Yes | Yes |
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Trading - Option Rolling |
No | No |
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Touch / Face ID |
Yes | Yes |
| Winner | check_circle |
Mobile App Features
| Feature | Charles Schwab | Interactive Brokers |
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Watch List Syncing |
Yes | Yes |
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Stock Alerts |
No | Yes |
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Charting - After Hours |
No | Yes |
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Charting - Drawing |
No | No |
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Charting - Study Customizations |
Yes | Yes |
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Heatmapping |
Yes | No |
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Stream Live TV |
Yes | Yes |
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Barcode Lookup |
No | No |
| Mobile Trading | ||
| Winner | check_circle |
Research Overview
| Feature | Charles Schwab | Interactive Brokers |
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Research - Stocks |
Yes | Yes |
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Research - ETFs |
Yes | Yes |
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Research - Mutual Funds |
Yes | Yes |
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Research - Pink Sheets / OTCBB |
Yes | Yes |
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Research - Fixed Income |
Yes | Yes |
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Screener - Stocks |
Yes | Yes |
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Screener - ETFs |
Yes | Yes |
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Screener - Mutual Funds |
Yes | No |
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Screener - Options |
Yes | Yes |
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Screener - Bonds |
Yes | Yes |
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Misc - Portfolio Builder |
Yes | Yes |
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Misc - Portfolio Allocation |
Yes | Yes |
| Research | ||
| Winner | check_circle |
Stock Research
| Feature | Charles Schwab | Interactive Brokers |
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Stock Research - Reports |
8 | 2 |
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Stock Research - Earnings |
Yes | Yes |
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Stock Research - Insiders |
Yes | Yes |
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Stock Research - Metric Comp |
Yes | Yes |
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Stock Research - SEC Filings |
Yes | Yes |
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Stock Research - Social |
Yes | Yes |
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Stock Research - Balance Sheet |
Yes | Yes |
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Stock Research - Cash Flows |
Yes | Yes |
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Stock Research - News |
Yes | Yes |
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Stock Research - ESG |
No | Yes |
| Research | ||
| Winner | check_circle |
ETF Research
| Feature | Charles Schwab | Interactive Brokers |
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ETFs - Strategy Overview |
Yes | Yes |
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ETFs - Top 10 Holdings |
Yes | Yes |
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ETFs - Sector Exposure |
Yes | Yes |
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ETFs - Risk Analysis |
Yes | Yes |
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ETFs - Performance Analysis |
Yes | Yes |
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ETFs - Ratings |
Yes | Yes |
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ETFs - Morningstar StyleMap |
Yes | No |
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ETFs - Reports |
Yes | Yes |
| Research | ||
| Winner | check_circle |
Mutual Fund Research
| Feature | Charles Schwab | Interactive Brokers |
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Mutual Funds - Strategy Overview |
Yes | Yes |
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Mutual Funds - Prospectus |
Yes | Yes |
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Mutual Funds - Reports |
Yes | Yes |
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Mutual Funds - Fees Breakdown |
Yes | Yes |
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Mutual Funds - Top 10 Holdings |
Yes | Yes |
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Mutual Funds - Asset Allocation |
Yes | No |
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Mutual Funds - Sector Allocation |
Yes | Yes |
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Mutual Funds - Country Allocation |
Yes | Yes |
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Mutual Funds - StyleMap |
Yes | Yes |
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Mutual Funds - 3rd Party Ratings |
Yes | Yes |
| Research | ||
| Winner | check_circle |
Options Trading
| Feature | Charles Schwab | Interactive Brokers |
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Option Chains - Streaming |
Yes | Yes |
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Option Chains - Total Columns |
44 | 37 |
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Option Chains - Greeks |
5 | 4 |
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Option Chains - Quick Analysis |
Yes | Yes |
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Option Analysis - P&L Charts |
Yes | Yes |
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Option Probability Analysis |
Yes | Yes |
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Option Probability Analysis Adv |
Yes | Yes |
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Option Positions - Greeks |
Yes | Yes |
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Option Positions - Adv Analysis |
Yes | Yes |
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Option Positions - Rolling |
Yes | Yes |
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Option Positions - Grouping |
Yes | Yes |
| Platforms & Tools | ||
| Winner | check_circle |
Beginners
| Feature | Charles Schwab | Interactive Brokers |
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Education (Stocks) |
Yes | Yes |
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Education (ETFs) |
Yes | Yes |
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Education (Options) |
Yes | Yes |
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Education (Mutual Funds) |
Yes | No |
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Education (Fixed Income) |
Yes | Yes |
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Education (Retirement) |
Yes | No |
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Paper Trading |
No | Yes |
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Videos |
Yes | Yes |
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Webinars (Monthly Avg) |
50 | 20 |
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Webinars (Archived) |
Yes | Yes |
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Live Seminars |
Yes | No |
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Progress Tracking |
No | Yes |
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Interactive Learning - Quizzes |
No | Yes |
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Investor Magazine |
Yes | Yes |
| Education | ||
| Winner | check_circle |
Banking
| Feature | Charles Schwab | Interactive Brokers |
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Retail Locations |
357 | 0 |
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Member FDIC |
Yes | Yes |
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Checking Accounts |
Yes | Yes |
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Savings Accounts |
Yes | No |
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Credit Cards |
Yes | No |
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Debit Cards |
Yes | Yes |
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Mortgage Loans |
Yes | No |
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No Fee Banking |
Yes | Yes |
| Banking | ||
| Winner | check_circle |
Overall
| Feature | Charles Schwab | Interactive Brokers |
| Charles Schwab Review | Interactive Brokers Review | |
| Overall | ||
| Winner | check_circle |
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 Interactive Brokers. Is Charles Schwab or Interactive Brokers 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 Interactive Brokers both cost $0 per trade. With options, the base fee is $0 for both Charles Schwab and Interactive Brokers. Option contracts cost $0.65 each 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. Both Charles Schwab and Interactive Brokers support Stock Trading, Options Trading, Mutual Funds and Futures Trading. When it comes to mutual funds, Interactive Brokers offers its clients access to 18210 different mutual funds while Charles Schwab has 9978 available funds, a difference of 8,232.
Last but not least, by breaking down important features, tools, etc that each broker offers, we can really help to separate the two. Interactive Brokers makes virtual trading available to clients, while Charles Schwab does not. For mobile trading, Charles Schwab and Interactive Brokers 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 and Debit Cards are available to clients of Interactive Brokers while Charles Schwab offers customers Checking Accounts, Savings Accounts, Debit Cards, Credit Cards and Mortgage Loans.
Overall, between Charles Schwab and Interactive Brokers, Charles Schwab is the winner.
All pricing data was obtained from a published web site as of 01/20/2020 and is believed to be accurate, but is not guaranteed. For stock trade rates, advertised pricing is for a standard order size of 500 shares of stock priced at $30 per share. For options orders, an options regulatory fee per contract may apply.
