Charles Schwab vs. Robinhood: 2024 Comparison
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In some ways, Charles Schwab and Robinhood are similar: Both brokers will allow you to trade stocks and exchange-traded funds with no commission, and both offer fractional shares so investors can buy slices of public companies with small amounts of money.
But where they differ is in the level of service provided. Charles Schwab is a well-rounded broker with offerings for every type of investor. Retirement savers will find a large selection of no-transaction-fee mutual funds, active traders will get access to powerful trading platforms and advanced trading strategies like futures, and those who want to be completely hands off can turn to Schwab's financial advisor services.
Robinhood, on the other hand, caters more to active investors who want to trade stocks, options, ETFs and cryptocurrency through mobile. But the company did roll out IRAs with a 1% match in 2022. Robinhood also stands out for providing initial public offering access and free trades — particularly on options and crypto, where other brokers still charge fees.
Charles Schwab is best for:
Beginner investors.
Advanced traders.
Investors seeking no-minimum index funds.
Investors who rely on premium research.
Charles Schwab at a glance
Account minimum | $0. |
Stock trading costs | $0. |
Options trades | $0.65 per contract |
Account fees (annual, transfer, closing, inactivity) | Annual fee: $0 Inactivity fee: $0 Outgoing transfer fee (partial or full): $50 |
Interest rate on uninvested cash | 0.45% |
Number of no-transaction-fee mutual funds | More than 8,000 |
Tradable securities | Stocks, mutual funds, ETFs, options, bonds, futures, futures options, forex |
Trading platform | Five: Schwab.com, Schwab Mobile and thinkorswim for web, desktop and mobile |
Mobile app | Available for iOS and Android |
Research and data | Over a dozen, including Morningstar, Refinitiv/LSEG, Argus, Vickers and Computrade/Market Edge |
Customer support options (includes how easy it is to find key details on the website) | 24/7 phone and chat support |
» Read our full review of Charles Schwab
Robinhood is best for:
Mobile-first investors.
IRA investors.
Margin traders.
Robinhood at a glance
Account minimum | $0 for brokerage accounts, Robinhood Gold accounts and IRAs. |
Stock trading costs | $0. |
Options trades | $0. |
Account fees (annual, transfer, closing, inactivity) | No annual or inactivity fees. $100 ACAT outgoing transfer fee. Robinhood Gold costs $5 a month. Matching funds in IRAs may be taken back if money is withdrawn in less than five years. Instant withdrawals cost a minimum of $2 and a maximum of 1.75% of the amount withdrawn. |
Interest rate on uninvested cash | 0.01% for free accounts, 4.5% for Gold accounts. |
Tradable securities | Stocks, ETFs, Options, Cryptocurrency, American Depositary Receipts for over 650 global companies, Fractional shares. Bonds only available in the form of bond ETFs. |
Number of no-transaction-fee mutual funds | Not available. |
Trading platform | Robinhood's mobile and web platforms are known for their smooth sign-up, funding and trading processes. The broker now also offers a desktop platform, Robinhood Legend. |
Mobile app | Mobile trading platform includes customizable alerts, news feed, advanced charting and ability to listen live to earnings calls for some companies. |
Research and data | Access to professional research from Morningstar and Level II market data from the Nasdaq Stock Exchange (with Gold subscription). |
Customer support options (includes how easy it is to find key details on the website) | 24/7 chat support. Phone support available from 7:00 a.m. ET to 9:00 p.m. ET, Monday - Friday. |
» Read our full review of Robinhood
Want to compare more options? View our full list of the best brokers for stock trading.
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