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 Robinhood. Is Charles Schwab or Robinhood 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 Robinhood charge the same amount for regular stock trades, $0. For options trading, both Charles Schwab and Robinhood charge the same base fee of $0. Option contracts are pricier at Charles Schwab, costing $0.65 versus $0 at Robinhood. 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. Robinhood supports Stock Trading and Options Trading while Charles Schwab supports Stock Trading, Options Trading, Mutual Funds and Futures Trading. When it comes to mutual funds, Charles Schwab offers its clients access to 5846 different mutual funds while Robinhood has 0 available funds, a difference of 5,846.
Last but not least, by breaking down important features, tools, etc that each broker offers, we can really help to separate the two. Neither broker offers virtual trading. For mobile trading, Charles Schwab along with Robinhood both support the iPhone App, iPad App and Android App. Furthermore, some investors like to bank online, and multiple 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