Written by ForexBrokers.com
In this head to head comparison of Charles Schwab vs eToro, we will compare the trading platforms, mobile apps, range of investments, costs, market research, and more. Let's dive in.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 51% and 89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Charles Schwab, established in 1971, stands as a reliable online broker with a ForexBrokers.com Trust Score of 99, signifying a high level of trust. This prominent status is supported by its status as both a publicly traded company and a bank. Additionally, Charles Schwab boasts an impressive five Tier-1 licenses, underscoring its secure reputation in the financial industry.
In contrast, eToro, founded in 2007, also maintains a strong presence in the online brokerage space with a Trust Score of 96, placing it alongside trusted platforms. While eToro is publicly traded, it does not function as a bank. It holds three Tier-1 licenses and one Tier-2 license, reflecting a solid regulatory standing. Both brokers offer distinct attributes to cater to diverse investor needs, demonstrating strong trust scores and relevant regulatory recognition.
| Feature |
Charles Schwab
|
eToro
|
|---|---|---|
| Year Founded | 1971 | 2007 |
| Publicly Traded (Listed) | Yes | Yes |
| Bank | Yes | No |
| Tier-1 Licenses | 5 | 3 |
| Tier-2 Licenses | 0 | 1 |
| Tier-3 Licenses | 0 | 0 |
| Tier-4 Licenses | 0 | 1 |
When comparing Charles Schwab and eToro for commissions and fees, it's important to consider the unique offerings of each platform. Charles Schwab provides an accessible entry point for forex trading, as it doesn't require a minimum deposit for its primary brokerage accounts. Notably, Schwab offers a wide range of account types, but the Schwab One and Schwab Global accounts are key for forex traders. While Schwab doesn't charge commissions for forex trading, costs arise from the bid/ask spread, with October 2024 data showing the EUR/USD spread at 1.35 pips, which is higher than the industry average. The Schwab Global account, on the other hand, charges currency conversion fees ranging from 0.2% to 1%, depending on account balance size. Overall, Charles Schwab earns a 4-star rating for commissions and fees, ranking #23 out of 63 brokers by ForexBrokers.com.
eToro, known for its social copy trading platform rather than just competitive spreads, offers a variable spread of 1 pip on the EUR/USD, which is just above the industry average. However, traders are attracted to eToro not for the spreads, but for the social trading capabilities. The platform features a VIP club called eToro Club with five tiers, from Silver to Diamond. These tiers are designed for traders with account balances ranging from $5,000 to $250,000, providing a range of benefits like a dedicated account manager and discounted fees. In terms of commissions and fees, eToro surpasses Schwab with a 4.5-star rating and holds the #22 spot in the ForexBrokers.com ranking.
Both Charles Schwab and eToro offer specific advantages depending on your trading needs. Schwab excels with its comprehensive range of account types and its no-commission forex trading, albeit with slightly higher average spreads. In contrast, eToro's allure lies more with its social trading community and VIP perks, even if its variable spreads aren't the most competitive. Ultimately, your choice between the two will depend on whether trading tools or social connectivity is more vital for your trading strategy.
| Feature |
Charles Schwab
|
eToro
|
|---|---|---|
| Minimum Deposit | $0 | $50-$10,000 |
| Average Spread EUR/USD - Standard | 1.35 | 1 |
| All-in Cost EUR/USD - Active | 1.35 | N/A |
| Active Trader or VIP Discounts | No | Yes |
| ACH or SEPA Transfers | Yes | Yes |
| PayPal (Deposit/Withdraw) | No | Yes |
| Skrill (Deposit/Withdraw) | No | Yes |
| Visa/Mastercard (Credit/Debit) | No | Yes |
| Bank Wire (Deposit/Withdraw) | Yes | Yes |
Dive deeper: Best Low Spread Forex Brokers.
When comparing the range of investments available through Charles Schwab and eToro, both platforms offer a dynamic variety for investors. Charles Schwab provides an impressive array of 40,000 tradeable symbols, significantly outpacing eToro's offering of 5,461. In forex trading, Charles Schwab also leads with 73 tradeable forex pairs compared to eToro's 55. Both platforms allow you to trade exchange-traded securities on U.S. and international exchanges, enabling direct investments in major companies like Apple and Vodafone without dealing in CFDs.
eToro shines with its popular copy trading feature, allowing less experienced investors to mimic the trading actions of seasoned professionals—a feature Charles Schwab does not provide. For cryptocurrency enthusiasts, eToro allows the purchase of actual cryptocurrencies, while Charles Schwab offers cryptocurrency derivatives instead of direct ownership. Despite these differences in offerings, both platforms receive a commendable 5-star rating for their range of investments. However, Charles Schwab is ranked slightly higher at #5 compared to eToro's #10 by ForexBrokers.com, making it a strong contender for those looking for a broad spectrum of investment opportunities.
| Feature |
Charles Schwab
|
eToro
|
|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes |
| Tradeable Symbols (Total) | 40000 | 5461 |
| Forex Pairs (Total) | 73 | 55 |
| U.S. Stock Trading (Non CFD) | Yes | Yes |
| Int'l Stock Trading (Non CFD) | Yes | Yes |
| Social Trading / Copy Trading | No | Yes |
| Cryptocurrency (Physical) | No | Yes |
| Cryptocurrency (Derivative) | Yes | Yes |
| Disclaimers | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). |
Dive deeper: Best Copy Trading Platforms.
When comparing Charles Schwab and eToro, both provide valuable trading platforms with unique features tailored to different types of investors. Charles Schwab shines with its comprehensive trading offerings, including a proprietary platform that is available as a Windows-based desktop download and web-based application. It offers a robust range of 24 drawing tools and a staggering 580 fields for watch lists, providing a highly detailed and customizable trading experience. Charles Schwab also allows trading directly from stock charts and provides a simulated trading environment for beginners or those wanting to test strategies. With a perfect 5-star rating for its trading platforms and tools, it ranks impressively at #5 out of 63 brokers on ForexBrokers.com.
Conversely, eToro presents a more straightforward approach aimed at social trading enthusiasts. While it does not provide a desktop download option or the ability to trade directly from stock charts, its proprietary web-based platform delivers an engaging social trading experience. eToro is particularly notable for its copy trading feature, allowing users to mirror the trades of more experienced investors, and it offers a significant 161 drawing tools for in-depth chart analysis. While eToro does not support platforms like MetaTrader or offer as many watch list fields as Charles Schwab, it remains a strong contender, with a 4.5-star rating and a respectable #8 ranking for trading platforms and tools in the ForexBrokers.com review.
| Feature |
Charles Schwab
|
eToro
|
|---|---|---|
| Virtual Trading (Demo) | Yes | Yes |
| Proprietary Platform | Yes | Yes |
| Desktop Platform (Windows) | Yes | No |
| Web Platform | Yes | Yes |
| Social Trading / Copy Trading | No | Yes |
| MetaTrader 4 (MT4) | No | No |
| MetaTrader 5 (MT5) | No | No |
| DupliTrade | No | No |
| ZuluTrade | No | No |
| Charting - Indicators / Studies (Total) | 374 | 104 |
| Charting - Drawing Tools (Total) | 24 | 161 |
| Charting - Trade From Chart | Yes | No |
| Watchlists - Total Fields | 580 | 6 |
Dive deeper: Best MetaTrader 4 Brokers, Best MetaTrader 5 Brokers.
Both Charles Schwab and eToro offer mobile trading apps for iPhone and Android, making it easy to stay connected to the markets on the go. Each app allows users to receive stock or forex price alerts and sync watchlists between the app and online accounts. However, Charles Schwab stands out with its extensive charting tools, offering 374 technical studies compared to eToro's 104. Schwab's app also allows users to draw trendlines and auto-saves drawings, whereas eToro lacks these features. Both platforms provide the flexibility to view charts using multiple time frames, such as daily or weekly views.
When it comes to watchlists with real-time quotes, both apps deliver this essential functionality. Despite offering many similar features, Charles Schwab's mobile app scores slightly higher with a 5-star rating compared to eToro's 4.5 stars. According to ForexBrokers.com, Charles Schwab ranks sixth out of 63 brokers in the Mobile Trading Apps category, while eToro comes in at tenth. These distinctions highlight the strengths of Schwab’s app in technical analysis and user experience, making it a preferred choice for many traders.
| Feature |
Charles Schwab
|
eToro
|
|---|---|---|
| Android App | Yes | Yes |
| Apple iOS App | Yes | Yes |
| Mobile Alerts - Basic Fields | Yes | Yes |
| Watchlist Syncing | Yes | Yes |
| Mobile Charting - Indicators / Studies | 374 | 104 |
| Mobile Charting - Draw Trendlines | Yes | No |
| Mobile Charting - Multiple Time Frames | Yes | Yes |
| Mobile Charting - Drawings Autosave | Yes | No |
| Mobile Watchlist | Yes | Yes |
Dive deeper: Best Forex Trading Apps.
Charles Schwab and eToro both provide daily market commentary, keeping traders informed with timely analysis. However, when it comes to sourcing news from top-tier outlets such as Bloomberg and Reuters, Charles Schwab stands out by offering comprehensive forex news, which eToro does not provide. While neither broker offers tools from Autochartist or Acuity Trading, Charles Schwab distinguishes itself with a superior economic calendar that showcases global economic events. In contrast, eToro enhances its offering with unique tools from Trading Central and TipRanks, which can be beneficial for traders interested in technical analysis and sentiment-based trading tools, areas where Schwab does not focus.
In terms of research ratings, Charles Schwab takes the edge with an impressive 5-star rating, as compared to eToro's 4.5-star score. This higher rating is also reflected in their respective rankings by ForexBrokers.com, with Charles Schwab positioned at #4 out of 63 brokers, while eToro ranks #13. This positioning underscores Schwab's strength in research offerings, catering effectively to traders who prioritize top-tier information and comprehensive market analysis. Meanwhile, eToro's innovative tools cater well to those interested in sentiment and technical insights.
| Feature |
Charles Schwab
|
eToro
|
|---|---|---|
| Daily Market Commentary | Yes | Yes |
| Forex News (Top-Tier Sources) | Yes | No |
| Autochartist | No | No |
| Trading Central (Recognia) | No | Yes |
| Social Sentiment - Currency Pairs | No | Yes |
| TipRanks | No | Yes |
| Signal Centre (Acuity Trading) | No | No |
| Economic Calendar | Yes | Yes |
Dive deeper: Best Brokers for Forex Research.
When comparing the educational offerings for beginners between Charles Schwab and eToro, both platforms provide a substantial set of resources. Charles Schwab excels with a perfect 5-star rating in education and offers a comprehensive suite of educational content, including over 10 forex and CFDs educational pieces, a vast archive of recorded webinars, and an investor dictionary with definitions for over 50 investing terms. Beginners and seasoned traders alike can access at least 10 videos tailored for each skill level, ensuring a well-rounded learning experience. Additionally, Schwab hosts regular online educational webinars and provides users with a searchable archive for convenient learning on demand.
eToro is also a strong contender, rated 4.5 stars for its educational offerings. It matches Charles Schwab in providing a minimum of 10 pieces focused on forex and CFDs, along with an array of webinars and video content for varying expertise levels. eToro offers an investor dictionary with ample definitions, ensuring traders are well-informed and ready to tackle the market. Ranked #5 by ForexBrokers.com in the education category, eToro edges slightly ahead of Schwab's #6 ranking, highlighting its commitment to providing quality educational resources. Both brokers make it easy for beginners to start their trading journey with comprehensive learning materials and regular educational opportunities.
| Feature |
Charles Schwab
|
eToro
|
|---|---|---|
| Education (Forex or CFDs) | Yes | Yes |
| Client Webinars | Yes | Yes |
| Client Webinars (Archived) | Yes | Yes |
| Videos - Beginner Trading Videos | Yes | Yes |
| Videos - Advanced Trading Videos | Yes | Yes |
| Investor Dictionary (Glossary) | Yes | Yes |
Dive deeper: Best Forex Brokers for Beginners.
After testing 63 of the best forex brokers, our research and account testing finds that Charles Schwab is better than eToro. Charles Schwab finished with an overall rank of #6, while eToro finished with an overall rank of #9.
Charles Schwab is a highly trusted financial institution and multi-asset broker catering to U.S.-based and international forex traders. Schwab's award-winning thinkorswim platform offers over 70 tradeable currency pairs alongside impressive tools, research, and education. That said, the broker’s forex offering is still largely limited to what is available on thinkorswim.
| Feature |
Charles Schwab
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eToro
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|---|---|---|
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| Trust Score | 99 | 96 |
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When comparing Charles Schwab and eToro for cryptocurrency trading, eToro stands out as it allows users to purchase actual (delivered) cryptocurrency, while both platforms offer the ability to trade cryptocurrency derivatives.
When comparing online brokers, Charles Schwab and eToro both support ACH and SEPA transfers as well as bank wires for depositing and withdrawing account funds, but eToro surpasses Charles Schwab by additionally offering PayPal, Skrill, and Visa/Mastercard options for added convenience and flexibility in managing transactions.
Please note:
We review each broker’s overall global offering – a “Yes” checkmark in our Compare Tool does not guarantee the availability of any specific features in your country of residence. To verify the availability of any features within your country of residence, please contact the broker directly.
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0 of 5| Overall Rating | Charles Schwab | eToro | |
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| Trust Score | 99 | 96 | |
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| Review | Charles Schwab Review | eToro Review |
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| Regulation | Charles Schwab | eToro | |
|---|---|---|---|
| Trust Score | 99 | 96 | |
| Year Founded | 1971 | 2007 | |
| Publicly Traded (Listed) | Yes | Yes | |
| Bank | Yes | No | |
| Regulated in one or more EU or EEA countries (MiFID). | No | Yes | |
| Tier-1 Licenses | 5 | 3 | |
| Tier-2 Licenses | 0 | 1 | |
| Tier-3 Licenses | 0 | 0 | |
| Tier-4 Licenses | 0 | 1 |
| Tier-1 Licenses (Highly Trusted) | Charles Schwab | eToro | |
|---|---|---|---|
| Australia (ASIC Authorised) | No | Yes | |
| Canada (CIRO Authorised) | Yes | No | |
| Hong Kong (SFC Authorised) | Yes | No | |
| Japan (SFC Authorised) | No | No | |
| Singapore (MAS Authorised) | Yes | No | |
| Switzerland (FINMA Authorised) | No | No | |
| United Kingdom (U.K.) (FCA Authorised) | Yes | Yes | |
| USA (CFTC Authorized) | Yes | No | |
| New Zealand (FMA Authorised) | No | No | |
| Regulated in one or more EU or EEA countries (MiFID). | No | Yes |
| Tier-2 Licenses (Trusted) | Charles Schwab | eToro | |
|---|---|---|---|
| Kenya (CMA Authorised) | No | No | |
| Israel (ISA Authorised) | No | No | |
| South Africa (FSCA Authorised) | No | No | |
| UAE (DFSA/Central Bank Authorised) | No | No | |
| India (SEBI Authorised) | No | No | |
| Jordan (JSC Authorised) | No | No |
| Investments | Charles Schwab | eToro | |
|---|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes | |
| Tradeable Symbols (Total) | 40000 | 5461 | |
| Forex Pairs (Total) | 73 | 55 | |
| U.S. Stock Trading (Non CFD) | Yes | Yes | |
| Int'l Stock Trading (Non CFD) | Yes | Yes | |
| Social Trading / Copy Trading | No | Yes | |
| Cryptocurrency (Physical) | No | Yes | |
| Cryptocurrency (Derivative) | Yes | Yes | |
| Disclaimers | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). |
| Cost | Charles Schwab | eToro | |
|---|---|---|---|
| Average Spread EUR/USD - Standard | 1.35 | 1 | |
| All-in Cost EUR/USD - Active | 1.35 | N/A | |
| Active Trader or VIP Discounts | No | Yes | |
| Inactivity Fee | No | Yes | |
| Execution: Agency Broker | Yes | Yes | |
| Execution: Market Maker | No | Yes |
| Funding | Charles Schwab | eToro | |
|---|---|---|---|
| Minimum Deposit | $0 | $50-$10,000 | |
| PayPal (Deposit/Withdraw) | No | Yes | |
| Skrill (Deposit/Withdraw) | No | Yes | |
| Visa/Mastercard (Credit/Debit) | No | Yes | |
| Bank Wire (Deposit/Withdraw) | Yes | Yes | |
| ACH or SEPA Transfers | Yes | Yes |
| Trading Platforms | Charles Schwab | eToro | |
|---|---|---|---|
| Proprietary Platform | Yes | Yes | |
| Desktop Platform (Windows) | Yes | No | |
| Web Platform | Yes | Yes | |
| Social Trading / Copy Trading | No | Yes | |
| MetaTrader 4 (MT4) | No | No | |
| MetaTrader 5 (MT5) | No | No | |
| cTrader | No | No | |
| DupliTrade | No | No | |
| ZuluTrade | No | No |
| Trading Tools | Charles Schwab | eToro | |
|---|---|---|---|
| Virtual Trading (Demo) | Yes | Yes | |
| Alerts - Basic Fields | Yes | Yes | |
| Watchlists - Total Fields | 580 | 6 | |
| Charting - Indicators / Studies (Total) | 374 | 104 | |
| Charting - Drawing Tools (Total) | 24 | 161 | |
| Charting - Trade From Chart | Yes | No | |
| Charts can be saved | Yes | Yes |
| Mobile Trading | Charles Schwab | eToro | |
|---|---|---|---|
| Android App | Yes | Yes | |
| Apple iOS App | Yes | Yes | |
| Mobile Alerts - Basic Fields | Yes | Yes | |
| Mobile Watchlist | Yes | Yes | |
| Watchlist Syncing | Yes | Yes | |
| Mobile Charting - Indicators / Studies | 374 | 104 | |
| Mobile Charting - Draw Trendlines | Yes | No | |
| Mobile Charting - Multiple Time Frames | Yes | Yes | |
| Mobile Charting - Drawings Autosave | Yes | No | |
| Mobile Economic Calendar | Yes | No |
| Research | Charles Schwab | eToro | |
|---|---|---|---|
| Daily Market Commentary | Yes | Yes | |
| Forex News (Top-Tier Sources) | Yes | No | |
| Autochartist | No | No | |
| Trading Central (Recognia) | No | Yes | |
| TipRanks | No | Yes | |
| Social Sentiment - Currency Pairs | No | Yes | |
| Economic Calendar | Yes | Yes |
| Education | Charles Schwab | eToro | |
|---|---|---|---|
| Education (Forex or CFDs) | Yes | Yes | |
| Client Webinars | Yes | Yes | |
| Client Webinars (Archived) | Yes | Yes | |
| Videos - Beginner Trading Videos | Yes | Yes | |
| Videos - Advanced Trading Videos | Yes | Yes | |
| Investor Dictionary (Glossary) | Yes | Yes |
| Major Forex Pairs | Charles Schwab | eToro | |
|---|---|---|---|
| GBP/USD | Yes | Yes | |
| USD/JPY | Yes | Yes | |
| EUR/USD | Yes | Yes | |
| USD/CHF | Yes | Yes | |
| USD/CAD | Yes | Yes | |
| NZD/USD | Yes | Yes | |
| AUD/USD | Yes | Yes | |
| Review | Charles Schwab Review | eToro Review |
| Overall | Charles Schwab | eToro | |
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| Trust Score | 99 | 96 | |
| Winner | check_circle | ||
| Review | Charles Schwab Review | eToro Review |
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