Charles Schwabvs
E*TRADEStock Broker Comparison
Two established brokers square off over cost, platforms, and long-term features. Schwab and E*TRADE showcase different strengths and tradeoffs, inviting deeper comparison.
Key Differences
- 1Schwab provides IPO access; E*TRADE does not.
- 2Schwab offers fractional shares from $5; E*TRADE has none.
- 3Schwab covers 12 exchanges; E*TRADE covers 8.
Who should choose Charles Schwab vs E*TRADE?
Find out which stock broker best suits your investing profile.
Choose if…
Choose Charles Schwab if you want fractional shares from $5 and access to thinkorswim.
Choose if…
Charles Schwab vs E*TRADE: Side-by-Side Stock Broker Comparison
 |  | |
|---|---|---|
| Editorial score | 4.6/ 5 | 4.3/ 5 |
| Min deposit | N/A | N/A |
| Spreads from | N/A | N/A |
| Commission / lot | N/A | N/A |
| Inactivity fee | None | None |
| Deposit fee |
Charles Schwab vs E*TRADE Stock Broker Pros & Cons
Pros
- Commission-free US stock and ETF trading with no account minimum
- thinkorswim, most powerful retail trading platform available at zero cost
- Fractional shares (Schwab Slices) from $5 for any S&P 500 company
- Broadest research stack in US retail (Morningstar, Argus, CFRA, proprietary)
- Regulated by SEC and FINRA; $9 trillion in client assets
- Schwab Intelligent Portfolios robo-adviser with no management fee
Charles Schwab vs E*TRADE: Detailed Category Breakdown
A closer look at the specific criteria each broker meets or misses within each scoring category.
2
Charles Schwab
criteria wins
0
E*TRADE
criteria wins
Highlighted rows show where the two brokers differ
| Criteria | Charles Schwab | E*TRADE |
|---|---|---|
| Trust & Regulation | ||
| Top-tier regulator (FCA, ASIC, SEC, etc.) | Pass | Pass |
| Segregated client funds | Pass | Pass |
| Negative balance protection | Fail | Fail |
| Compensation scheme (e.g. FSCS, SIPC) | Fail | Fail |
| Costs | ||
| Commission-free trading | Pass | Pass |
| No deposit fee | Pass | Pass |
| Features | ||
| Fractional shares | Pass | Fail |
| Dividend reinvestment (DRIP) | Pass | Pass |
| Extended hours trading | Pass | Pass |
| IPO access | Pass | Fail |
| Short selling | Pass | Pass |
| Stock screener tool | Pass | Pass |
| Support | ||
| Mobile app | Pass | Pass |
| Advanced charting tools | Pass | Pass |
| 24/5 live chat | Pass | Pass |
| Phone support | Pass | Pass |
Charles Schwab vs E*TRADE: Frequently Asked Questions
The scores are close: Charles Schwab rates 4.6/5 and E*TRADE rates 4.3/5. Charles Schwab has a marginal edge in our scoring, but the difference is small enough that your specific priorities — fees, platforms, or regulatory jurisdiction — should guide the final choice.
Both Charles Schwab and E*TRADE hold licences from top-tier regulators, indicating a high standard of regulatory oversight. Check each broker's specific regulatory bodies to confirm coverage in your jurisdiction.
Minimum deposit and negative balance protection data are not confirmed for this pair. Both hold top-tier regulatory status, meaning client fund protections apply to both. Also compare demo account availability and educational resources on each broker's site.
Charles Schwab lists maximum leverage of 1:4, while E*TRADE lists up to 1:4. Available leverage depends on your jurisdiction. EU retail clients under ESMA rules are capped at 1:30 on major forex pairs.
Charles Schwab supports thinkorswim, Proprietary Web/Mobile, while E*TRADE supports Proprietary Web/Mobile. Both provide Proprietary Web/Mobile. Charles Schwab has exclusive access to thinkorswim.
Yes, you can open an account with ETRADE independently of your Charles Schwab account. There is no formal transfer process for open positions; you would need to close existing trades with Charles Schwab before funding and trading with ETRADE.
Yes, both Charles Schwab and E*TRADE offer commission-free stock trading according to our data. Keep in mind that commission-free brokers may still charge spread costs, foreign exchange fees, or platform fees — always check the full fee schedule on each broker's website.
