Written by ForexBrokers.com
In this head to head comparison of Charles Schwab vs Pepperstone, 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 (founded 1971) and Pepperstone (founded 2010) are both well-regulated online brokers, but they differ in structure and market listing. Schwab is publicly traded and operates as a bank, while Pepperstone is privately held and not a bank. On ForexBrokers.com’s 99-point Trust Score, Schwab earns 99 and Pepperstone earns 94; scores of 90–99 are considered highly trusted, 80–89 trusted, 70–79 average risk, 60–69 high risk, and under 59 not trusted.
Regulatory coverage also sets them apart. Schwab holds five Tier-1 licenses and zero Tier-2 licenses, signaling top-tier oversight across major markets. Pepperstone holds three Tier-1 licenses plus two Tier-2 licenses, which also indicates strong global supervision. If you prioritize a public company with bank status and the maximum Trust Score, Schwab stands out. If you prefer a specialist trading firm with high trust and a mix of Tier-1 and Tier-2 regulators, Pepperstone is a solid alternative.
| Feature |
Charles Schwab
|
Pepperstone
|
|---|---|---|
| Year Founded | 1971 | 2010 |
| Publicly Traded (Listed) | Yes | No |
| Bank | Yes | No |
| Tier-1 Licenses | 5 | 3 |
| Tier-2 Licenses | 0 | 2 |
| Tier-3 Licenses | 0 | 0 |
| Tier-4 Licenses | 0 | 2 |
Charles Schwab earns 4 stars and ranks No. 25 out of 36 brokers for commissions and fees. Schwab does not charge commissions on forex trades, so costs mainly come from the bid/ask spread. Its EUR/USD spread averaged 1.35 pips in October 2024, which is on the pricier side compared with many competitors. Schwab’s main appeal is its low entry point, since there is no minimum deposit for key accounts and forex access is available through Schwab One and Schwab Global.
Pepperstone comes out ahead with 5 stars and a No. 5 ranking out of 36 brokers. Its Razor account is the better-value choice for active traders, with an average EUR/USD spread of 0.10 pips in July 2024, plus commission for an all-in cost of about 0.80 pips. Pepperstone’s Standard account is commission-free, but its average spread of 1.1 pips makes it more expensive than Razor. For high-volume traders, Pepperstone’s Active Trader program can also lower costs through spread rebates.
Overall, Schwab may suit beginners who want a simple commission-free setup and easy account access, while Pepperstone is the stronger pick for traders focused on lower trading costs, especially on the Razor account. In short, Schwab is straightforward but costlier on spreads, while Pepperstone offers better pricing and a higher rating for commissions and fees.
| Feature |
Charles Schwab
|
Pepperstone
|
|---|---|---|
| Minimum Deposit | $0 | $10 |
| Average spread (EUR/USD) - Spread-only account | 1.27 | 1.1 |
| All-in Cost EUR/USD - Raw spread account | 1.27 | 0.8 |
| Non-wire bank transfer (Deposit/Withdraw) | Yes | Yes |
| PayPal (Deposit/Withdraw) | No | Yes |
| Skrill (Deposit/Withdraw) | No | Yes |
| Bank Wire (Deposit/Withdraw) | Yes | Yes |
Dive deeper: Best Low Spread Forex Brokers.
When it comes to range of investments, Charles Schwab has the edge over Pepperstone. Schwab offers about 40,000 tradeable symbols and 73 forex pairs, compared with Pepperstone’s 2,631 symbols and 65 forex pairs. Both brokers support forex trading as either CFDs or spot contracts, and both also offer cryptocurrency CFDs. However, Charles Schwab stands out for access to exchange-traded securities on both U.S. and international markets, while Pepperstone does not offer direct stock trading on those exchanges.
Pepperstone does have a few extras that Charles Schwab does not, including copy trading and the ability to buy actual cryptocurrency rather than only crypto CFDs. Still, for investors who want a wider selection of markets and tradable products, Charles Schwab is the stronger choice overall. That is reflected in its 5-star Range of Investments rating and #5 ranking from ForexBrokers.com, versus Pepperstone’s 4-star rating and #23 ranking.
| Feature |
Charles Schwab
|
Pepperstone
|
|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes |
| Tradeable Symbols (Total) | 40000 | 2631 |
| Forex Pairs (Total) | 73 | 65 |
| U.S. Stocks (Shares) | Yes | No |
| Global Stocks (Non-U.S. Shares) | Yes | No |
| Copy Trading | No | Yes |
| Cryptocurrency (Underlying) | No | Yes |
| Cryptocurrency (CFDs) | 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.
Charles Schwab and Pepperstone both give traders a solid set of platform choices, including a free demo account for simulated trading, a proprietary platform, a Windows desktop app, and a web-based platform. Both also let users trade directly from charts, which can make order entry faster and easier. In trading platforms and tools, Charles Schwab is rated 5 out of 5 stars and ranks #7 out of 36 brokers on ForexBrokers.com, while Pepperstone is rated 4 out of 5 stars and ranks #21.
The biggest difference is in trading extras and charting access. Pepperstone supports copy trading and includes MetaTrader 4 and MetaTrader 5, which may appeal to active traders who want more platform options. Charles Schwab does not offer copy trading, MT4, or MT5. For traders comparing broker tools, Schwab may suit those who want a polished all-in-one experience, while Pepperstone may be better for those who want more third-party platform support.
| Feature |
Charles Schwab
|
Pepperstone
|
|---|---|---|
| Virtual Trading (Demo) | Yes | Yes |
| Proprietary Desktop Trading Platform | Yes | Yes |
| Desktop Platform (Windows) | Yes | Yes |
| Web Platform | Yes | Yes |
| Copy Trading | No | Yes |
| MetaTrader 4 (MT4) | No | Yes |
| MetaTrader 5 (MT5) | No | Yes |
| Charting - Indicators / Studies (Total) | 374 | 90 |
| Charting - Trade From Chart | Yes | Yes |
Dive deeper: Best MetaTrader 4 Brokers, Best MetaTrader 5 Brokers.
Charles Schwab and Pepperstone both offer mobile trading apps for iPhone and Android, along with stock or forex price alerts and watchlist symbol syncing between the app and your online account. Both apps also let you draw trendlines on charts and automatically save those drawings, making it easy to pick up where you left off. For everyday mobile trading needs, each broker gives users the core tools needed to monitor markets and manage watchlists on the go.
The biggest difference is in charting and overall app quality. Charles Schwab offers 374 technical studies in its mobile app, far more than Pepperstone’s 30, which gives active traders more ways to analyze price action on the move. That difference is reflected in ratings and rankings too: Charles Schwab earns 5 stars for Mobile Trading Apps and ranks #6 out of 36 brokers at ForexBrokers.com, while Pepperstone scores 4 stars and ranks #19. If chart tools matter most, Schwab has the edge; if you just want a solid mobile app with the basics, Pepperstone still covers the essentials.
| Feature |
Charles Schwab
|
Pepperstone
|
|---|---|---|
| Android App | Yes | Yes |
| Apple iOS App | Yes | Yes |
| Mobile Price Alerts | Yes | Yes |
| Mobile Watchlists - Syncing | Yes | Yes |
| Mobile Charting - Indicators / Studies | 374 | 30 |
| Mobile Charting - Draw Trendlines | Yes | Yes |
| Mobile Charting - Trendlines Autosave | Yes | Yes |
Dive deeper: Best Forex Trading Apps.
Charles Schwab and Pepperstone both give traders useful market research tools, including daily market commentary, forex news from trusted sources like Bloomberg and Reuters, and an economic calendar that tracks major global events. In both cases, you can follow the latest market updates and keep an eye on key news that may affect trading decisions. Neither broker offers research tools from Autochartist, Trading Central, TipRanks, or Acuity Trading, so their research offerings are similar in those areas.
Where Pepperstone stands out is its sentiment-based trading tool, which shows the balance of long and short positions across currency pairs and other instruments; Charles Schwab does not offer this feature. Still, Charles Schwab edges ahead overall with a 5-star Research rating and a #5 ranking out of 36 brokers from ForexBrokers.com, while Pepperstone holds a strong 4.5-star rating and ranks #13. For traders comparing online brokers for market research, Schwab has the slight advantage overall, but Pepperstone adds a helpful sentiment tool that some traders may find useful.
| Feature |
Charles Schwab
|
Pepperstone
|
|---|---|---|
| Daily Market Commentary (Articles) | Yes | Yes |
| Forex News (Top-Tier Sources) | Yes | Yes |
| Autochartist | No | No |
| Trading Central | No | No |
| Client sentiment data | No | Yes |
| TipRanks | No | No |
| Acuity Trading | No | No |
| Economic Calendar | Yes | Yes |
Dive deeper: Best Brokers for Forex Research.
For beginners who want to learn before they trade, Charles Schwab and Pepperstone both offer a solid mix of educational content, including monthly client webinars and plenty of beginner and advanced trading videos. Each broker also provides forex or CFD education with at least 10 learning pieces focused on those markets, so new traders can find material on the basics as well as more detailed topics. That said, Charles Schwab stands out for its higher education score, earning 5 out of 5 stars and ranking #6 out of 36 brokers for Education, while Pepperstone is rated 4.5 out of 5 stars and ranks #15.
In simple terms, both brokers give beginners multiple ways to build trading knowledge through videos, webinars, and market-specific lessons. Charles Schwab appears to have the edge if education is your top priority, especially for learners who want a larger, more highly rated library of resources. Pepperstone still offers a helpful range of beginner-friendly learning tools, but overall it comes in a little behind Schwab for educational support.
| Feature |
Charles Schwab
|
Pepperstone
|
|---|---|---|
| Webinars | Yes | Yes |
| Videos - Beginner Trading Videos | Yes | Yes |
| Videos - Advanced Trading Videos | 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 Pepperstone. Charles Schwab finished with an overall rank of #6, while Pepperstone finished with an overall rank of #17.
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
|
Pepperstone
|
|---|---|---|
| Overall Rating |
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| Trust Score | 99 | 94 |
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When comparing Charles Schwab vs Pepperstone for cryptocurrency trading, Pepperstone and Charles Schwab both offer cryptocurrency CFDs, but only Pepperstone lets clients buy actual delivered cryptocurrency, while Charles Schwab does not support direct crypto purchases.
Comparing online brokers Charles Schwab vs Pepperstone for deposits and withdrawals: both support ACH/SEPA and bank wires, Pepperstone additionally accepts PayPal and Skrill (Schwab does not), and Visa/Mastercard availability is not specified.
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 | Pepperstone | |
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| Trust Score | 99 | 94 | |
| Winner | check_circle | ||
| Review | Charles Schwab Review | Pepperstone Review |
| Broker Screenshots | Charles Schwab | Pepperstone | |
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| Regulation | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Trust Score | 99 | 94 | |
| Year Founded | 1971 | 2010 | |
| Publicly Traded (Listed) | Yes | No | |
| Bank | Yes | No | |
| Regulated in one or more EU or EEA countries (MiFID). | No | Yes | |
| Tier-1 Licenses | 5 | 3 | |
| Tier-2 Licenses | 0 | 2 | |
| Tier-3 Licenses | 0 | 0 | |
| Tier-4 Licenses | 0 | 2 |
| Tier-1 Licenses (Highly Trusted) | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Australia (ASIC Authorised) | No | Yes | |
| Canada (CIRO Authorised) | Yes | No | |
| Hong Kong (SFC Authorised) | Yes | No | |
| Japan (FSA Authorised) | No | ||
| Singapore (MAS Authorised) | Yes | No | |
| Switzerland (FINMA Authorised) | |||
| United Kingdom (U.K.) (FCA Authorised) | Yes | Yes | |
| USA (CFTC Authorized) | Yes | No | |
| New Zealand (FMA Authorised) | No | ||
| Regulated in one or more EU or EEA countries (MiFID). | No | Yes |
| Tier-2 Licenses (Trusted) | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Kenya (CMA Authorised) | Yes | ||
| Israel (ISA Authorised) | No | ||
| South Africa (FSCA Authorised) | No | ||
| UAE (DFSA, FSRA, or CMA Authorised) | Yes | ||
| India (SEBI Authorised) | No | ||
| Jordan (JSC Authorised) |
| Investments | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes | |
| Tradeable Symbols (Total) | 40000 | 2631 | |
| Forex Pairs (Total) | 73 | 65 | |
| U.S. Stocks (Shares) | Yes | No | |
| Global Stocks (Non-U.S. Shares) | Yes | No | |
| Copy Trading | No | Yes | |
| Cryptocurrency (Underlying) | No | Yes | |
| Cryptocurrency (CFDs) | 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 | Pepperstone | |
|---|---|---|---|
| Average spread (EUR/USD) - Spread-only account | 1.27 | 1.1 | |
| All-in Cost EUR/USD - Raw spread account | 1.27 | 0.8 | |
| Inactivity Fee | No | No | |
| Order execution: Agency | Yes | Yes | |
| Order execution: Market Maker | No | Yes |
| Funding | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Minimum Deposit | $0 | $10 | |
| PayPal (Deposit/Withdraw) | No | Yes | |
| Skrill (Deposit/Withdraw) | No | Yes | |
| Bank Wire (Deposit/Withdraw) | Yes | Yes | |
| Non-wire bank transfer (Deposit/Withdraw) | Yes | Yes |
| Trading Platforms | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Proprietary Desktop Trading Platform | Yes | Yes | |
| Desktop Platform (Windows) | Yes | Yes | |
| Web Platform | Yes | Yes | |
| Copy Trading | No | Yes | |
| MetaTrader 4 (MT4) | No | Yes | |
| MetaTrader 5 (MT5) | No | Yes | |
| cTrader | No | Yes |
| Trading Tools | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Virtual Trading (Demo) | Yes | Yes | |
| Price Alerts | Yes | Yes | |
| Charting - Indicators / Studies (Total) | 374 | 90 | |
| Charting - Trade From Chart | Yes | Yes | |
| Charts can be saved | Yes | Yes |
| Mobile Trading | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Android App | Yes | Yes | |
| Apple iOS App | Yes | Yes | |
| Mobile Price Alerts | Yes | Yes | |
| Mobile Watchlists - Syncing | Yes | Yes | |
| Mobile Charting - Indicators / Studies | 374 | 30 | |
| Mobile Charting - Draw Trendlines | Yes | Yes | |
| Mobile Charting - Trendlines Autosave | Yes | Yes | |
| Mobile Research - Economic Calendar | Yes | Yes |
| Research | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Daily Market Commentary (Articles) | Yes | Yes | |
| Forex News (Top-Tier Sources) | Yes | Yes | |
| Autochartist | No | No | |
| Trading Central | No | No | |
| TipRanks | No | No | |
| Client sentiment data | No | Yes | |
| Economic Calendar | Yes | Yes |
| Education | Charles Schwab | Pepperstone | |
|---|---|---|---|
| Webinars | Yes | Yes | |
| Videos - Beginner Trading Videos | Yes | Yes | |
| Videos - Advanced Trading Videos | Yes | Yes |
| Major Forex Pairs | Charles Schwab | Pepperstone | |
|---|---|---|---|
| EUR/USD | Yes | Yes | |
| Review | Charles Schwab Review | Pepperstone Review |
| Overall | Charles Schwab | Pepperstone | |
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| Trust Score | 99 | 94 | |
| Winner | check_circle | ||
| Review | Charles Schwab Review | Pepperstone Review |
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