Schwab, Fidelity, and Vanguard manage more than $40 trillion in combined client assets (as of May 2026: Schwab ~$11.8T, Fidelity ~$18T, Vanguard ~$11.6T). Pick one of them, and you are choosing where most of America keeps its retirement money.
Each firm has strengths. One leads on tools, another on fund variety, and the third on low-cost indexing. The right pick depends on what you want to do.
This guide breaks down Schwab vs Fidelity vs Vanguard across the categories that matter most for new investors. If you are also building credit while you save, a credit builder card can support that side of your financial plan.
The Quick Verdict
All three firms offer commission-free stock and ETF trades. They all support IRAs, taxable accounts, and 401(k) rollovers. The differences show up in the details.
- Schwab: Best for active traders and those who want strong research tools.
- Fidelity: Best for one-stop banking and investing, with strong customer support.
- Vanguard: Best for long-term, low-cost index fund investors.
If you want a faster, more app-focused experience, platforms like Robinhood and Public may also fit. The big three still lead on retirement accounts and depth of services. For head-to-head looks, see Robinhood vs Fidelity and Charles Schwab vs Robinhood.
Public
Public
Investing for those who take it seriously. Invest in stocks, bonds, options, crypto & more.
Standout feature
A 5%+ yield Bond Account paired with 3.3% APY on cash — Public is one of the only consumer apps where idle and conservative money is treated as seriously as the equity portfolio.
Fees
Free
Pros
• Invest in stocks, bonds, crypto & more• Earn 3.3% APY* on your cash with no fees• 1% match when you transfer your portfolio• Lock in a 5%+ yield with a Bond Account
Cons
Customer support is in-app and email only, no phone
Schwab vs Fidelity vs Vanguard: Fees
Fees are the easiest comparison. All three have moved to zero-commission trading on U.S. stocks and ETFs.
Mutual fund pricing varies. Schwab and Fidelity both offer thousands of no-transaction-fee funds. Vanguard's lineup is smaller, but its own index funds carry some of the lowest expense ratios in the industry.
Options trading is $0.65 per contract at all three. Margin rates vary, with Schwab and Fidelity often offering more competitive rates than Vanguard.
Investment Selection
All three firms offer wide access to stocks, ETFs, bonds, mutual funds, and CDs.
Schwab
Schwab offers fractional shares through its Stock Slices feature. You can buy slices of S&P 500 companies with as little as $5. Schwab also acquired TD Ameritrade, which brought in the thinkorswim platform for active traders.
Fidelity
Fidelity supports fractional share investing across thousands of stocks and ETFs. The company also offers its own zero-expense-ratio index funds, including FZROX and FNILX. These funds carry no expense ratio at all.
Vanguard
Vanguard recently expanded fractional share access for ETFs, though stock fractional trading is more limited. The platform shines through its low-cost index funds and ETFs like VOO and VTI.
Account Types and Banking
All three brokerages support traditional IRAs, Roth IRAs, taxable accounts, custodial accounts, and 529 plans. To choose the right wrapper for your goals, read our brokerage account vs retirement account explainer.
Fidelity stands out for its cash management features. The Fidelity Cash Management Account works like a high-yield checking account with ATM fee reimbursements worldwide.
Schwab offers similar banking through Schwab Bank, with checking accounts that refund ATM fees anywhere.
Vanguard does not offer banking products. It keeps focus on investing accounts.
Tools and Research
For active investors, the platform matters as much as the fee.
Schwab Tools
Schwab's thinkorswim platform is a favorite for options and active traders. Charts are advanced, screeners are deep, and research coverage is thorough.
Fidelity Tools
Fidelity Active Trader Pro offers professional-grade charting and real-time data. The mobile app is one of the most polished in the industry. Research includes reports from Zacks, Argus, and Morningstar.
Vanguard Tools
Vanguard's tools remain basic. The website was redesigned recently but still trails the others in functionality. For long-term investors who place a few trades a year, this may not be a problem.
Customer Service
All three offer 24/7 phone support. Fidelity and Schwab also offer in-person branches across the U.S.
Fidelity is often rated highest in customer service surveys. Schwab is a close second. Vanguard has historically lagged in this area, with longer wait times and fewer live chat options.
Schwab vs Fidelity vs Vanguard for Beginners
New investors may want simple tools, fractional shares, and low minimums.
Fidelity makes a strong case for beginners. The zero-expense-ratio funds, easy app, and strong support all add up. For a quick comparison with mobile-first apps, check out our Public.com review.
Schwab is a close runner-up. Stock Slices and thinkorswim give beginners room to grow.
Vanguard is best once you know you want to buy and hold index funds for decades. The platform is less friendly to active learners.
Which Should You Choose?
There is no wrong pick among Schwab vs Fidelity vs Vanguard. All three are reputable, well capitalized, and SIPC insured.
Go with Fidelity if you want one place for banking and investing.
Go with Schwab if you want advanced trading tools and broad branch access.
Go with Vanguard if you are committed to low-cost index investing and rarely place trades.
While you build your portfolio, tracking your credit score can support the bigger picture. Free credit monitoring runs alongside your investing progress.
Frequently Asked Questions
Which is best for a Roth IRA?
All three firms offer free Roth IRA accounts with no minimums. Fidelity may be best for beginners thanks to zero-expense-ratio funds. Vanguard is a strong choice for buy-and-hold investors. Schwab fits well if you want more trading flexibility. Mobile-first investors may also consider a Robinhood Roth IRA for its contribution match.
Are Schwab, Fidelity, and Vanguard safe?
All three are SIPC insured up to $500,000 per account. They are also among the largest financial firms in the world. No brokerage can guarantee against market losses, but the firms themselves are considered low risk.
Can I transfer my account between them?
Yes. Each firm accepts ACATS transfers from other brokerages. The process usually takes 5 to 10 business days. Some firms even reimburse transfer fees from your old account.
Do they all offer fractional shares?
Schwab and Fidelity both offer fractional shares of stocks and ETFs. Vanguard offers fractional ETF investing but is more limited on individual stocks. Check the latest features before signing up if fractional access matters to you.
