Choosing Between Charles Schwab and Fidelity: A Comprehensive Comparison

When deciding between Charles Schwab and Fidelity for your investment and banking needs, it’s important to understand their key features and differences. Both are reputable financial institutions that offer a wide range of services, but they each have their strengths.

Charles Schwab vs Fidelity (2025): A Detailed Comparison

This guide offers an in-depth look at Charles Schwab and Fidelity, comparing key features to help you choose the right financial service provider for your future in 2025.

IInvestment Options and Costs

Charles Schwab and Fidelity have both removed commissions for online trades in stocks, ETFs, and options. However, their offerings for other investment products differ. Schwab stands out with its exclusive mutual funds, which have lower expense ratios, averaging 0.37%, compared to Fidelity’s 0.42%. For active traders wanting to learn more about various platforms, our investment apps comparison guide provides further details.

Fidelity shines with its international trading options, providing access to 25 global markets, while Schwab offers trading in 12 international markets. Both brokers impose foreign transaction fees ranging from 1% to 1.5%, depending on the market.

Banking Services and Benefits

Charles Schwab’s banking services are highly appealing to international travelers. Their High Yield Investor Checking account offers unlimited ATM fee rebates globally, with no foreign transaction fees. In contrast, Fidelity’s Cash Management Account provides ATM fee reimbursements at certain locations and offers competitive interest rates.

If you’re seeking banking solutions tailored to specific needs, check out our guides on student banking or senior banking accounts.

Research and Learning Opportunities

Fidelity provides a wider range of research resources, including access to over 20 third-party research firms such as Recognia, Ned Davis, and Thomson Reuters. Their learning platform includes interactive modules, webinars, and comprehensive courses designed for various levels of experience.

On the other hand, Schwab’s research tools focus on fundamental analysis, offering unique resources like Schwab Equity Ratings and access to Credit Suisse research. Their educational content is more traditional, including articles, workshops, and personalized financial advisor guidance.

Trading Platforms and Technology

Fidelity’s Active Trader Pro is a cloud-based platform that allows easy access on various devices. It features advanced charting tools, customizable screens, and real-time analytics. Access is granted when your account balance hits $25,000 or if you execute 36+ trades in a rolling 12-month period.

On the other hand, Schwab’s StreetSmart Edge is a downloadable desktop platform offering advanced options trading and customization features. Unlike Fidelity, it is available to all clients, regardless of their account balance or trade volume. However, it works best with a high-speed internet connection.

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Customer Support Overview

Charles Schwab has a broad physical presence, with more than 300 branches across the country, allowing customers access to in-person consultations. Their customer service is available 24/7 via phone, email, and chat, with average wait times of under 2 minutes, ensuring quick responses.

Fidelity operates about 200 investor centers but offers extended hours for virtual consultations and specializes in retirement planning services. While their phone support can experience longer wait times during market hours, they provide detailed technical support for their trading platforms.

Conclusion

For those who travel internationally or prefer face-to-face support, Charles Schwab is the superior option. It offers a wide network of branches and global ATM fee reimbursements, making it ideal for those who need easy access to their funds and personal service while on the go.

On the other hand, Fidelity excels for active traders or individuals looking for advanced research tools. Its Active Trader Pro platform and extensive market research features are perfect for those seeking in-depth insights and trading capabilities.

When deciding, consider your investment approach, banking requirements, and preferred customer service style to choose the best option for you.

FAQ’s:Charles Schwab vs Fidelity (2025): Ultimate Comparison Guide [Must-Read]

Why is Schwab considered the best brokerage?

Schwab is recognized for its extensive research options, providing both macro insights and detailed stock and fixed-income analysis. It also stands out for its educational resources, including hands-on courses and live webinars, which are designed to be practical and empowering for self-directed investors. This combination of research and education makes Schwab a top choice.

What are the disadvantages of Fidelity?

Fidelity does not support futures trading, and its Fidelity Crypto offering is more limited compared to competitors like Robinhood. While this may not impact most retirement investors, active or advanced traders might find these features important for their investment strategies.

What investment company is better than Fidelity?

Charles Schwab is a strong alternative to Fidelity, offering a user-friendly platform and a wide range of investment options. It is a great choice for both beginner and experienced investors looking for a reliable and low-cost solution.

Where does Schwab rank?

Charles Schwab Bank holds the #1 position in customer satisfaction for both checking and savings accounts, according to the 2025 U.S. Direct Banking Satisfaction Study by J.D. Power.

Who is Charles Schwab’s biggest competitor?

Charles Schwab faces strong competition from firms like Fidelity Investments, Credit Suisse, and Robinhood. Fidelity Investments offers services in retirement planning, wealth management, and brokerage, making it a key competitor in the financial services industry.