Written by ForexBrokers.com
In this head to head comparison of Charles Schwab vs AvaTrade, 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.
When comparing online brokers Charles Schwab and AvaTrade, it's important to consider their trustworthiness and regulatory footing. Founded in 1971, Charles Schwab is not only a publicly traded company but also functions as a bank. This firm holds five Tier-1 licenses, regarded as highly trusted, and boasts a Trust Score of 99 out of 99 according to ForexBrokers.com, indicating it is highly trusted. AvaTrade, established in 2006, while not publicly traded or a bank, has earned its reputation with four Tier-1 licenses and an impressive Trust Score of 94.
Both companies are committed to offering reliable trading environments, but Charles Schwab edges out slightly with its top Trust Score and broader regulatory licenses. AvaTrade is a solid choice too, with excellent ratings and a slightly more extensive array of Tier-2 licenses, which also contribute to its trusted status. Potential traders should evaluate these aspects alongside their personal needs to make the best decision for their trading activities.
| Feature |
Charles Schwab
|
AvaTrade
|
|---|---|---|
| Year Founded | 1971 | 2006 |
| Publicly Traded (Listed) | Yes | |
| Bank | Yes | |
| Tier-1 Licenses | 5 | 4 |
| Tier-2 Licenses | 0 | 3 |
| Tier-3 Licenses | 0 | 1 |
| Tier-4 Licenses | 0 | 1 |
When it comes to trading commissions and fees, Charles Schwab and AvaTrade offer different advantages for traders, each appealing to diverse needs. Charles Schwab provides easy entry into forex trading with no minimum deposit requirement for its brokerage accounts. Forex trades through Schwab are settled in U.S. dollars, with the smallest trade size being 10,000 units requiring a minimum margin of $500 at 20:1 leverage. Schwab offers commission-free forex trading, with costs comprising the bid/ask spread. The average spread on EUR/USD pairs in October 2024 was 1.35 pips, sitting on the higher end of the industry spectrum. Charles Schwab received a 4-star rating for commissions and fees and ranks #24 out of 63 brokers according to ForexBrokers.com.
AvaTrade presents competitive spread offerings, slightly below the industry average, with standard forex spreads at 0.9 pips as of June 2024. This cost-structure caters well to both novice traders and more seasoned professionals. For those qualifying as professional traders, AvaTrade offers an even more attractive option with professional account spreads as low as 0.6 pips, comparable to industry leaders like FP Markets. AvaTrade boasts a 4.5-star rating for commissions and fees and is ranked #12 among 63 brokers by ForexBrokers.com, highlighting its appeal to more cost-sensitive traders seeking a balance between spread and access.
Both Charles Schwab and AvaTrade have their own merits; Schwab's no-commission trades may appeal to those interested in longer-term investments, while AvaTrade's competitive spreads and professional account offerings are poised to attract frequent traders aiming to minimize costs. Depending on your trading strategy and requirements, both brokers provide solid options in the financial market landscape.
| Feature |
Charles Schwab
|
AvaTrade
|
|---|---|---|
| Minimum Deposit | $0 | $100 |
| Average Spread EUR/USD - Standard | 1.35 | 0.93 |
| All-in Cost EUR/USD - Active | 1.35 | 0.61 |
| Active Trader or VIP Discounts | Yes | |
| ACH or SEPA Transfers | Yes | |
| PayPal (Deposit/Withdraw) | Yes | |
| Skrill (Deposit/Withdraw) | Yes | |
| Visa/Mastercard (Credit/Debit) | Yes | |
| Bank Wire (Deposit/Withdraw) | Yes | Yes |
Dive deeper: Best Low Spread Forex Brokers.
When comparing the range of investments offered by Charles Schwab and AvaTrade, both brokers provide forex trading options as CFDs or spot contracts. Charles Schwab stands out with an impressive 40,000 tradeable symbols and 73 forex pairs, catering to investors who seek diverse trading opportunities. In contrast, AvaTrade offers 1,260 tradeable symbols and 53 forex pairs. Schwab excels in providing access to U.S. and international exchange-traded securities, allowing clients to invest directly in companies like Apple and Vodafone. On the other hand, AvaTrade doesn't offer direct exchange-traded securities but provides copy trading, which can be appealing to those seeking to follow successful trading strategies.
Regarding cryptocurrency trading, both Charles Schwab and AvaTrade allow clients to trade cryptocurrency derivatives, although neither offers the ability to buy actual cryptocurrencies. These factors contribute to Charles Schwab's superior rating of five stars for range of investments compared to AvaTrade's four stars. Additionally, Schwab ranks 5th out of 63 brokers in the Range of Investments category by ForexBrokers.com, while AvaTrade ranks 32nd. This highlights Charles Schwab's broader range of investment options and appeal to a diverse investor base.
| Feature |
Charles Schwab
|
AvaTrade
|
|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes |
| Tradeable Symbols (Total) | 40000 | 1260 |
| Forex Pairs (Total) | 73 | 53 |
| U.S. Stock Trading (Non CFD) | Yes | |
| Int'l Stock Trading (Non CFD) | Yes | |
| Social Trading / Copy Trading | Yes | |
| Cryptocurrency (Physical) | ||
| 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 choosing between Charles Schwab and AvaTrade for online trading platforms and tools, both brokers have their strengths. Both Schwab and AvaTrade provide virtual demo accounts so beginners can practice simulated trading. They also offer proprietary trading platforms along with Windows-based desktop downloads and web-based browser options. However, when it comes to specialized functionalities, AvaTrade pulls ahead with features like copy trading and the availability of MetaTrader 4 and 5. It also supports social trading tools like DupliTrade and ZuluTrade. Charles Schwab, meanwhile, doesn't include these offerings but allows in-depth customization with an extensive watchlist feature offering 580 columns.
For those interested in charting, Schwab provides more drawing tools, totaling 24, compared to AvaTrade's 13. Both brokers allow users to trade directly from their stock charts, a critical feature for real-time decision-making. In terms of accolades, Charles Schwab shines with a 5-star rating for trading platforms and tools, securing the number 5 rank among 63 brokers. AvaTrade is close behind with a 4.5-star rating, taking the 13th spot on the same list. This implies that while AvaTrade offers some unique tools, Charles Schwab is highly regarded for its comprehensive trading platform features.
| Feature |
Charles Schwab
|
AvaTrade
|
|---|---|---|
| Virtual Trading (Demo) | Yes | Yes |
| Proprietary Platform | Yes | Yes |
| Desktop Platform (Windows) | Yes | Yes |
| Web Platform | Yes | Yes |
| Social Trading / Copy Trading | Yes | |
| MetaTrader 4 (MT4) | Yes | |
| MetaTrader 5 (MT5) | Yes | |
| DupliTrade | Yes | |
| ZuluTrade | Yes | |
| Charting - Indicators / Studies (Total) | 374 | 80 |
| Charting - Drawing Tools (Total) | 24 | 13 |
| Charting - Trade From Chart | Yes | Yes |
| Watchlists - Total Fields | 580 | 7 |
Dive deeper: Best MetaTrader 4 Brokers, Best MetaTrader 5 Brokers.
When comparing the mobile trading apps of Charles Schwab and AvaTrade, both platforms offer apps for iPhone and Android devices, along with key features like price alerts and watchlist syncing that connects seamlessly with users' online accounts. A standout feature of Charles Schwab’s app is its comprehensive offering of 374 technical studies for charting, significantly outpacing AvaTrade’s 73 studies. Both apps allow users to draw trendlines and view charts across multiple timeframes, supporting versatile trading strategies. However, Charles Schwab’s app adds convenience by automatically saving chart drawings, a feature that AvaTrade’s app lacks. Both platforms enable the creation of watchlists with real-time quotes, ensuring traders have up-to-date information at their fingertips.
In terms of user ratings and rankings, Charles Schwab shines with a stellar 5-star rating for its mobile app, which is reflected in its #6 rank out of 63 brokers as evaluated by ForexBrokers.com. On the other hand, AvaTrade, while highly rated, holds a slightly lower 4.5 stars, positioning it at #13 in the same ranking. Overall, Charles Schwab’s mobile app stands out, especially for traders who value extensive technical analysis tools and the convenience of auto-saving chart annotations.
| Feature |
Charles Schwab
|
AvaTrade
|
|---|---|---|
| Android App | Yes | Yes |
| Apple iOS App | Yes | Yes |
| Mobile Alerts - Basic Fields | Yes | Yes |
| Watchlist Syncing | Yes | Yes |
| Mobile Charting - Indicators / Studies | 374 | 73 |
| Mobile Charting - Draw Trendlines | Yes | Yes |
| Mobile Charting - Multiple Time Frames | Yes | Yes |
| Mobile Charting - Drawings Autosave | Yes | |
| Mobile Watchlist | Yes | Yes |
Dive deeper: Best Forex Trading Apps.
Charles Schwab and AvaTrade both provide valuable resources for market research, yet they shine in different areas. Charles Schwab stands out with its daily market commentary, offering fresh insights to keep investors informed. Both platforms deliver forex news from prestigious sources like Bloomberg and Reuters, ensuring traders have access to credible information. While Schwab doesn't incorporate tools from Autochartist or Trading Central, AvaTrade does offer analytics from Trading Central and features a sentiment-based trading tool that can help investors gauge market feelings by showing the long or short positions across various instruments.
Charles Schwab leads in research rankings, awarded a stellar 5-star rating, while AvaTrade follows with a respectable 4-star rating. Schwab secures the 4th position in research out of 63 brokers, highlighting its strong performance, whereas AvaTrade is placed at 34th. Both brokers provide an economic calendar to keep traders updated on significant global events. Despite differences, each broker delivers essential tools to help investors navigate market landscapes effectively. Overall, Charles Schwab offers a more comprehensive research experience, while AvaTrade excels in providing sentiment analysis and Trading Central tools.
| Feature |
Charles Schwab
|
AvaTrade
|
|---|---|---|
| Daily Market Commentary | Yes | |
| Forex News (Top-Tier Sources) | Yes | Yes |
| Autochartist | ||
| Trading Central (Recognia) | Yes | |
| Social Sentiment - Currency Pairs | Yes | |
| TipRanks | ||
| Signal Centre (Acuity Trading) | ||
| Economic Calendar | Yes | Yes |
Dive deeper: Best Brokers for Forex Research.
Charles Schwab and AvaTrade both offer an array of educational resources catered to individuals new to trading and investing. Both platforms have a minimum of ten educational pieces focused on forex and CFDs, which include articles, videos, and archived webinars. For those who prefer real-time learning, they provide online educational webinars at least once a month, ensuring that novices have access to current and comprehensive information. Additionally, both brokers maintain a searchable archive of these webinars, allowing learners to access previously recorded content at their convenience.
When it comes to educational content specifically aimed at different experience levels, Charles Schwab and AvaTrade shine equally by offering over ten beginner and advanced level educational videos. They also equip users with an investor dictionary containing more than 50 term definitions, making complex topics easier to understand. Despite the high caliber of educational resources provided by both, Charles Schwab slightly edges out AvaTrade with a perfect five-star rating for education compared to AvaTrade's four stars. However, in the overall ranking of education among 63 brokers by ForexBrokers.com, Charles Schwab holds the sixth position, while AvaTrade is positioned even higher at number two, attesting to its strong educational offerings.
| Feature |
Charles Schwab
|
AvaTrade
|
|---|---|---|
| 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 AvaTrade. Charles Schwab finished with an overall rank of #6, while AvaTrade finished with an overall rank of #13.
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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AvaTrade
|
|---|---|---|
| Overall Rating |
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| Trust Score | 99 | 94 |
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While Charles Schwab does not offer the ability to buy actual (delivered) cryptocurrency, it does provide options for purchasing cryptocurrency derivatives, similar to AvaTrade, which also offers cryptocurrency derivatives but not actual (delivered) cryptocurrencies.
While both Charles Schwab and AvaTrade facilitate account funding through bank wires, Charles Schwab stands out with ACH or SEPA transfer options, in contrast to AvaTrade, which offers a broader range of payment methods, including PayPal, Skrill, and credit card options like Visa and Mastercard.
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 | AvaTrade | |
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| Trust Score | 99 | 94 | |
| Winner | check_circle | ||
| Review | Charles Schwab Review | AvaTrade Review |
| Broker Screenshots | Charles Schwab | AvaTrade | |
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| Regulation | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Trust Score | 99 | 94 | |
| Year Founded | 1971 | 2006 | |
| Publicly Traded (Listed) | Yes | ||
| Bank | Yes | ||
| Regulated in one or more EU or EEA countries (MiFID). | Yes | ||
| Tier-1 Licenses | 5 | 4 | |
| Tier-2 Licenses | 0 | 3 | |
| Tier-3 Licenses | 0 | 1 | |
| Tier-4 Licenses | 0 | 1 |
| Tier-1 Licenses (Highly Trusted) | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Australia (ASIC Authorised) | Yes | ||
| Canada (CIRO Authorised) | Yes | Yes | |
| Hong Kong (SFC Authorised) | Yes | ||
| Japan (SFC Authorised) | Yes | ||
| Singapore (MAS Authorised) | Yes | ||
| Switzerland (FINMA Authorised) | |||
| United Kingdom (U.K.) (FCA Authorised) | Yes | ||
| USA (CFTC Authorized) | Yes | ||
| New Zealand (FMA Authorised) | |||
| Regulated in one or more EU or EEA countries (MiFID). | Yes |
| Tier-2 Licenses (Trusted) | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Kenya (CMA Authorised) | |||
| Israel (ISA Authorised) | Yes | ||
| South Africa (FSCA Authorised) | Yes | ||
| UAE (DFSA/Central Bank Authorised) | Yes | ||
| India (SEBI Authorised) | |||
| Jordan (JSC Authorised) |
| Investments | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes | |
| Tradeable Symbols (Total) | 40000 | 1260 | |
| Forex Pairs (Total) | 73 | 53 | |
| U.S. Stock Trading (Non CFD) | Yes | ||
| Int'l Stock Trading (Non CFD) | Yes | ||
| Social Trading / Copy Trading | Yes | ||
| Cryptocurrency (Physical) | |||
| 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 | AvaTrade | |
|---|---|---|---|
| Average Spread EUR/USD - Standard | 1.35 | 0.93 | |
| All-in Cost EUR/USD - Active | 1.35 | 0.61 | |
| Active Trader or VIP Discounts | Yes | ||
| Inactivity Fee | Yes | ||
| Execution: Agency Broker | Yes | ||
| Execution: Market Maker | Yes |
| Funding | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Minimum Deposit | $0 | $100 | |
| PayPal (Deposit/Withdraw) | Yes | ||
| Skrill (Deposit/Withdraw) | Yes | ||
| Visa/Mastercard (Credit/Debit) | Yes | ||
| Bank Wire (Deposit/Withdraw) | Yes | Yes | |
| ACH or SEPA Transfers | Yes |
| Trading Platforms | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Proprietary Platform | Yes | Yes | |
| Desktop Platform (Windows) | Yes | Yes | |
| Web Platform | Yes | Yes | |
| Social Trading / Copy Trading | Yes | ||
| MetaTrader 4 (MT4) | Yes | ||
| MetaTrader 5 (MT5) | Yes | ||
| cTrader | |||
| DupliTrade | Yes | ||
| ZuluTrade | Yes |
| Trading Tools | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Virtual Trading (Demo) | Yes | Yes | |
| Alerts - Basic Fields | Yes | Yes | |
| Watchlists - Total Fields | 580 | 7 | |
| Charting - Indicators / Studies (Total) | 374 | 80 | |
| Charting - Drawing Tools (Total) | 24 | 13 | |
| Charting - Trade From Chart | Yes | Yes | |
| Charts can be saved | Yes | Yes |
| Mobile Trading | Charles Schwab | AvaTrade | |
|---|---|---|---|
| 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 | 73 | |
| Mobile Charting - Draw Trendlines | Yes | Yes | |
| Mobile Charting - Multiple Time Frames | Yes | Yes | |
| Mobile Charting - Drawings Autosave | Yes | ||
| Mobile Economic Calendar | Yes | Yes |
| Research | Charles Schwab | AvaTrade | |
|---|---|---|---|
| Daily Market Commentary | Yes | ||
| Forex News (Top-Tier Sources) | Yes | Yes | |
| Autochartist | |||
| Trading Central (Recognia) | Yes | ||
| TipRanks | |||
| Social Sentiment - Currency Pairs | Yes | ||
| Economic Calendar | Yes | Yes |
| Education | Charles Schwab | AvaTrade | |
|---|---|---|---|
| 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 | AvaTrade | |
|---|---|---|---|
| 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 | AvaTrade Review |
| Overall | Charles Schwab | AvaTrade | |
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| Trust Score | 99 | 94 | |
| Winner | check_circle | ||
| Review | Charles Schwab Review | AvaTrade Review |
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