Comparing brokers side by side is no easy task. For our annual broker review, we assess over a dozen brokers on hundreds of different variables to find the best online broker
. Yielding a database of over 4,000 data points, let's compare Charles Schwab vs Robinhood.
To start this comparison, first, we will take a look at the online broker commission rates for placing regular stock and options trades. Charles Schwab charges $4.95 per stock trade which is $4.95 more than Robinhood which charges customers $0 per trade. Looking at trading options, Robinhood's base fee is $0 while Charles Schwab's is $4.95. Each option contract then costs $0.65 at Charles Schwab and $0 at Robinhood. It's important to note that not all brokers charge a flat fee per trade. Thus, it is important to read the full commission notes for each broker, which we include with each online broker review
Next to commission rates, being able to trade what you want is important. Robinhood supports Stock Trading and Options Trading while Charles Schwab supports Stock Trading, Options Trading, Mutual Funds and Futures Trading. Looking at mutual funds, Robinhood trails Charles Schwab by 5,846 total mutual funds, with Charles Schwab offering 5846 and Robinhood offering 0.
Trading access aside, by comparing popular features and functionality, we can break down relevant differences between both brokers. Charles Schwab nor Robinhood offers virtual trading. Taking a look at mobile trading, Charles Schwab along with Robinhood both support the iPhone App, iPad App and Android App. Not to be left out, online banking is also a nice benefit for many investors, and some brokerages provide these services to clients. Clients can have Checking Accounts, Savings Accounts, Debit Cards, Credit Cards and Mortgage Loans at Charles Schwab while customers at Robinhood can have none of these.
Overall, between Charles Schwab and Robinhood, Charles Schwab is the winner
Charles Schwab Review