Written by ForexBrokers.com
In this head to head comparison of Charles Schwab vs OANDA, 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 in 1971, stands out as a well-established player in the financial services industry. As a publicly traded bank, it boasts a top Trust Score of 99 from ForexBrokers.com, placing it among the highest in trust. Schwab holds 5 Tier-1 licenses, representing a significant level of trustworthiness in regulatory circles. Being both a bank and publicly traded enhances its credibility and security for clients seeking dependable investment services.
In contrast, OANDA, established in 1996, is a privately held company and not a bank. With a ForexBrokers.com Trust Score of 93, OANDA is also considered highly trusted, though slightly less than Schwab. Despite this, it surpasses Schwab in the number of Tier-1 licenses, holding 7, which indicates a substantial commitment to adhering to stringent regulatory standards. While not publicly traded, OANDA's focus remains solely on online trading, making it a formidable competitor in the space.
| Feature |
Charles Schwab
|
OANDA
|
|---|---|---|
| Year Founded | 1971 | 1996 |
| Publicly Traded (Listed) | Yes | No |
| Bank | Yes | No |
| Tier-1 Licenses | 5 | 7 |
| Tier-2 Licenses | 0 | 0 |
| Tier-3 Licenses | 0 | 0 |
| Tier-4 Licenses | 0 | 1 |
Charles Schwab and OANDA both offer distinct benefits and considerations when it comes to forex trading commissions and fees. Charles Schwab makes it easy to get started with no minimum deposit requirement for its primary brokerage accounts. For those wishing to trade forex, Schwab offers the Schwab One and Schwab Global accounts. Users can access forex trading through the thinkorswim platform, with all trades settled in U.S. dollars. While Schwab doesn’t charge a forex trading commission, traders should be aware of the bid/ask spread costs, such as the average spread of 1.35 pips on the EUR/USD during October 2024. Schwab is rated four stars for its commissions and fees and holds the #23 spot out of 62 brokers, according to ForexBrokers.com.
On the other hand, OANDA is known for its automated execution and offers a blend of pricing options. While its forex spreads are relatively high compared to some competitors, OANDA provides core pricing that features lower spreads, offset by a per-side commission of $5 per $100,000 currency traded. This pricing model can be more cost-effective than non-core pricing, depending on the trading volume. OANDA reduces the minimum trade size to as low as 1 unit, which is significantly smaller than the standard micro lot. Additionally, its Elite Trader program offers rebates for high-volume traders and other perks like TradingView subscription reimbursements. Despite these features, OANDA also receives four stars for commissions and fees but is ranked #34 out of 62 brokers.
In summary, while both Charles Schwab and OANDA offer solid forex trading services, Schwab provides access with no initial deposit and may suit those accustomed to trading in U.S. dollars. Conversely, OANDA appeals to traders who value flexibility in trade size and benefit from diverse pricing strategies, though the initial deposit for core pricing is noteworthy. Each broker offers competitive pricing models that cater to different trading needs, yet both earn the same star rating for their commissions and fees with OANDA slightly trailing behind Schwab in overall ranking.
| Feature |
Charles Schwab
|
OANDA
|
|---|---|---|
| Minimum Deposit | $0 | $0 |
| Average Spread EUR/USD - Standard | 1.35 | 1.61 |
| All-in Cost EUR/USD - Active | 1.35 | 1.61 |
| 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 it comes to the range of investments, Charles Schwab stands out by offering a vast selection with 40,000 tradeable symbols, making it an excellent choice for investors seeking diversity. With access to 73 forex pairs, Charles Schwab provides comprehensive opportunities for forex trading, whether through CFDs or spot contracts. In addition to forex, Schwab users can trade exchange-listed securities on both U.S. and international markets, adding further breadth to their investment options. Although Schwab does not provide copy trading or direct cryptocurrency purchases, it does offer cryptocurrency derivatives, appealing to some crypto investors. Schwab's expansive offerings earned it a five-star rating in the Range of Investments and a notable fifth-place ranking in the ForexBrokers.com comparison among 62 brokers.
OANDA, on the other hand, offers a more focused range of 3,928 tradeable symbols, including 68 forex pairs available through CFD or spot trading. While this brokerage does not offer direct access to U.S. or international exchange-listed securities, it compensates by enabling copy trading, a feature not provided by Schwab. Additionally, OANDA clients can purchase actual cryptocurrencies, alongside cryptocurrency derivatives, catering to the varied needs of crypto enthusiasts. Although OANDA's range of investments earns a commendable four-star rating, it ranks 27th in the ForexBrokers.com review, indicating that its offerings, while solid, are not as expansive as Charles Schwab's.
| Feature |
Charles Schwab
|
OANDA
|
|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes |
| Tradeable Symbols (Total) | 40000 | 3928 |
| Forex Pairs (Total) | 73 | 68 |
| U.S. Stock Trading (Non CFD) | Yes | No |
| Int'l Stock Trading (Non CFD) | Yes | No |
| 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 evaluating online trading platforms, Charles Schwab and OANDA each offer a variety of tools and features that cater to different traders' needs. Both brokers provide free virtual demo accounts, allowing users to practice trading without financial risk. They each offer proprietary platforms, ensuring a tailored experience developed specifically by the broker, and they both provide options for Windows-based desktop and web browser trading. A key difference lies in the support for the MetaTrader platforms, where Charles Schwab does not have options for MT4 or MT5, while OANDA supports both, giving users more flexibility and additional trading tools.
In terms of charting tools, Charles Schwab offers 24 drawing tools, whereas OANDA provides a more extensive selection with 431 drawing tools. Additionally, Charles Schwab excels in managing watch lists with 580 fields available, compared to just 6 fields from OANDA. When it comes to trading features, OANDA includes copy trading, which Charles Schwab does not. Both brokers allow trading directly from a stock chart. In ratings, Charles Schwab is rated higher, achieving 5 stars for its trading platforms and tools, ranking 5th among 62 brokers on ForexBrokers.com, while OANDA scores 4 stars, placed at 16th in the same ranking.
| Feature |
Charles Schwab
|
OANDA
|
|---|---|---|
| Virtual Trading (Demo) | Yes | Yes |
| Proprietary Platform | Yes | Yes |
| Desktop Platform (Windows) | Yes | Yes |
| Web Platform | Yes | Yes |
| Social Trading / Copy Trading | No | Yes |
| MetaTrader 4 (MT4) | No | Yes |
| MetaTrader 5 (MT5) | No | Yes |
| DupliTrade | No | No |
| ZuluTrade | No | No |
| Charting - Indicators / Studies (Total) | 374 | 81 |
| Charting - Drawing Tools (Total) | 24 | 431 |
| Charting - Trade From Chart | Yes | Yes |
| Watchlists - Total Fields | 580 | 6 |
Dive deeper: Best MetaTrader 4 Brokers, Best MetaTrader 5 Brokers.
Both Charles Schwab and OANDA offer fully-featured mobile trading apps available for iPhone and Android users, allowing traders to stay connected on the go. Users of both apps can receive stock or forex price alerts and create watchlists with real-time quotes. However, Charles Schwab provides watchlist symbol syncing, meaning changes made in the app are mirrored in the client's online account, a feature OANDA lacks. When it comes to charting tools, Charles Schwab delivers with 374 technical studies compared to OANDA's 30, giving traders more detailed analysis options.
Both apps allow for drawing trendlines and viewing various time frames such as daily, weekly, or intraday, with automatic saving of any chart annotations. Despite having similar overall features and both receiving a 5-star rating for their mobile trading experience, Charles Schwab edges out slightly in the rankings, placing 6th among 62 brokers according to ForexBrokers.com, with OANDA following closely at 7th place.
| Feature |
Charles Schwab
|
OANDA
|
|---|---|---|
| Android App | Yes | Yes |
| Apple iOS App | Yes | Yes |
| Mobile Alerts - Basic Fields | Yes | Yes |
| Watchlist Syncing | Yes | No |
| Mobile Charting - Indicators / Studies | 374 | 30 |
| Mobile Charting - Draw Trendlines | Yes | Yes |
| Mobile Charting - Multiple Time Frames | Yes | Yes |
| Mobile Charting - Drawings Autosave | Yes | Yes |
| Mobile Watchlist | Yes | Yes |
Dive deeper: Best Forex Trading Apps.
When comparing Charles Schwab and OANDA for market research tools and offerings, both online brokers provide a solid foundation for traders with their daily market commentary and access to high-quality forex news from top-tier sources like Bloomberg and Reuters. Each platform ensures that users are well-informed about current market trends and developments. Additionally, traders on both platforms can benefit from comprehensive economic calendars that display pivotal global economic events, aiding in insightful decision-making.
However, a deeper dive into their tools reveals some differences. OANDA distinguishes itself by offering technical analysis tools from Autochartist and a sentiment-based trading tool that provides insight into the ratio of long or short positions across various currency pairs. These features cater to traders looking for specific analytical capabilities that are not available with Charles Schwab. Despite these differences, both brokers receive high praise, each earning a 5-star rating for research, with Charles Schwab narrowly edging out OANDA in rankings by ForexBrokers.com, placing fourth compared to OANDA's fifth out of 62 brokers evaluated.
| Feature |
Charles Schwab
|
OANDA
|
|---|---|---|
| Daily Market Commentary | Yes | Yes |
| Forex News (Top-Tier Sources) | Yes | Yes |
| Autochartist | No | Yes |
| Trading Central (Recognia) | No | No |
| Social Sentiment - Currency Pairs | No | Yes |
| TipRanks | No | No |
| Signal Centre (Acuity Trading) | No | No |
| Economic Calendar | Yes | Yes |
Dive deeper: Best Brokers for Forex Research.
When it comes to educational resources for beginners, both Charles Schwab and OANDA offer a comprehensive array of materials to help traders learn about forex and CFDs. Both brokers provide a minimum of 10 educational pieces, including articles, videos, and archived webinars, focusing on forex or CFDs. Additionally, they each host at least one online educational client webinar per month, ensuring continuous learning opportunities. For those who prefer learning at their own pace, both platforms offer a searchable archive of previously recorded webinars. Video content is also abundant, with more than 10 beginner-specific trading videos and an equal number of advanced videos that cater to experienced traders. Moreover, both Charles Schwab and OANDA offer dictionaries with definitions of over 50 investing terms, aiding users in understanding the trading world better.
Despite these educational offerings, Charles Schwab edges out OANDA in terms of overall educational recognition. Both brokers received a perfect five-star rating for education, reflecting the quality of their resources. However, Charles Schwab ranks higher, securing the 6th position out of 62 brokers according to ForexBrokers.com, compared to OANDA's 22nd place ranking. This distinction highlights Schwab's slightly superior reputation in providing educational content, though both brokers undoubtedly equip beginners with the knowledge they need to start trading with confidence.
| Feature |
Charles Schwab
|
OANDA
|
|---|---|---|
| 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 62 of the best forex brokers, our research and account testing finds that Charles Schwab is better than OANDA. Charles Schwab finished with an overall rank of #6, while OANDA finished with an overall rank of #12.
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
|
OANDA
|
|---|---|---|
| Overall Rating |
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| Trust Score | 99 | 93 |
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While Charles Schwab provides options for cryptocurrency derivatives without offering the purchase of actual delivered cryptocurrency, OANDA allows users to buy both actual delivered cryptocurrency and cryptocurrency derivatives.
Both Charles Schwab and OANDA support ACH or SEPA transfers and bank wires for deposits and withdrawals, but OANDA offers additional flexibility with options like PayPal, Skrill, and Visa or Mastercard, whereas Charles Schwab does not.
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 | OANDA | |
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| Trust Score | 99 | 93 | |
| Winner | check_circle | ||
| Review | Charles Schwab Review | OANDA Review |
| Broker Screenshots | Charles Schwab | OANDA | |
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| Regulation | Charles Schwab | OANDA | |
|---|---|---|---|
| Trust Score | 99 | 93 | |
| Year Founded | 1971 | 1996 | |
| Publicly Traded (Listed) | Yes | No | |
| Bank | Yes | No | |
| Regulated in one or more EU or EEA countries (MiFID). | No | Yes | |
| Tier-1 Licenses | 5 | 7 | |
| Tier-2 Licenses | 0 | 0 | |
| Tier-3 Licenses | 0 | 0 | |
| Tier-4 Licenses | 0 | 1 |
| Tier-1 Licenses (Highly Trusted) | Charles Schwab | OANDA | |
|---|---|---|---|
| Australia (ASIC Authorised) | No | Yes | |
| Canada (CIRO Authorised) | Yes | Yes | |
| Hong Kong (SFC Authorised) | Yes | No | |
| Japan (SFC Authorised) | No | Yes | |
| Singapore (MAS Authorised) | Yes | Yes | |
| Switzerland (FINMA Authorised) | No | No | |
| United Kingdom (U.K.) (FCA Authorised) | Yes | Yes | |
| USA (CFTC Authorized) | Yes | Yes | |
| New Zealand (FMA Authorised) | No | No | |
| Regulated in one or more EU or EEA countries (MiFID). | No | Yes |
| Tier-2 Licenses (Trusted) | Charles Schwab | OANDA | |
|---|---|---|---|
| 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 | OANDA | |
|---|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes | |
| Tradeable Symbols (Total) | 40000 | 3928 | |
| Forex Pairs (Total) | 73 | 68 | |
| U.S. Stock Trading (Non CFD) | Yes | No | |
| Int'l Stock Trading (Non CFD) | Yes | No | |
| 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 | OANDA | |
|---|---|---|---|
| Average Spread EUR/USD - Standard | 1.35 | 1.61 | |
| All-in Cost EUR/USD - Active | 1.35 | 1.61 | |
| Active Trader or VIP Discounts | No | Yes | |
| Inactivity Fee | No | Yes | |
| Execution: Agency Broker | Yes | No | |
| Execution: Market Maker | No | Yes |
| Funding | Charles Schwab | OANDA | |
|---|---|---|---|
| Minimum Deposit | $0 | $0 | |
| 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 | OANDA | |
|---|---|---|---|
| Proprietary Platform | Yes | Yes | |
| Desktop Platform (Windows) | Yes | Yes | |
| Web Platform | Yes | Yes | |
| Social Trading / Copy Trading | No | Yes | |
| MetaTrader 4 (MT4) | No | Yes | |
| MetaTrader 5 (MT5) | No | Yes | |
| cTrader | No | No | |
| DupliTrade | No | No | |
| ZuluTrade | No | No |
| Trading Tools | Charles Schwab | OANDA | |
|---|---|---|---|
| Virtual Trading (Demo) | Yes | Yes | |
| Alerts - Basic Fields | Yes | Yes | |
| Watchlists - Total Fields | 580 | 6 | |
| Charting - Indicators / Studies (Total) | 374 | 81 | |
| Charting - Drawing Tools (Total) | 24 | 431 | |
| Charting - Trade From Chart | Yes | Yes | |
| Charts can be saved | Yes | Yes |
| Mobile Trading | Charles Schwab | OANDA | |
|---|---|---|---|
| Android App | Yes | Yes | |
| Apple iOS App | Yes | Yes | |
| Mobile Alerts - Basic Fields | Yes | Yes | |
| Mobile Watchlist | Yes | Yes | |
| Watchlist Syncing | Yes | No | |
| Mobile Charting - Indicators / Studies | 374 | 30 | |
| Mobile Charting - Draw Trendlines | Yes | Yes | |
| Mobile Charting - Multiple Time Frames | Yes | Yes | |
| Mobile Charting - Drawings Autosave | Yes | Yes | |
| Mobile Economic Calendar | Yes | Yes |
| Research | Charles Schwab | OANDA | |
|---|---|---|---|
| Daily Market Commentary | Yes | Yes | |
| Forex News (Top-Tier Sources) | Yes | Yes | |
| Autochartist | No | Yes | |
| Trading Central (Recognia) | No | No | |
| TipRanks | No | No | |
| Social Sentiment - Currency Pairs | No | Yes | |
| Economic Calendar | Yes | Yes |
| Education | Charles Schwab | OANDA | |
|---|---|---|---|
| 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 | OANDA | |
|---|---|---|---|
| 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 | OANDA Review |
| Overall | Charles Schwab | OANDA | |
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| Trust Score | 99 | 93 | |
| Winner | check_circle | ||
| Review | Charles Schwab Review | OANDA Review |
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