Charles Schwab financial advisors: what are the pros and cons?

1 min readLast updated January 24, 2024by Unbiased team

Discover what Charles Schwab offers as well as the pros, cons, and other useful information about this popular financial services firm.


  • Charles Schwab is a US-based financial advisory firm that’s been operating for over 30 years. 

  • Like all financial services firms, Charles Schwab has unique pros and cons. 

  • Money management, financial planning, and investment portfolio expansion are just some of Charles Shwab's core services. 

Charles Schwab: Who are they? 

Charles Schwab is a financial advisory firm based in the US that offers a wide range of services relating to money management, financial planning, investment portfolio expansion, taxes, and retirement accounts.  

As a publicly traded company on the New York Stock Exchange with more than 30 years of experience in the financial services industry, Charles Schwab's advisor services are well known.  

This firm is widely regarded as a safe, efficient, and reliable place for the American public to seek out a variety of general financial services.  

What does Charles Schwab do? 

Charles Schwab is a business that provides expert financial advice to clients. It is known for its excellent customer service and a broad range of service offerings in the financial advice and planning sphere, such as retirement planning, investment strategies, trading, estate management, mutual funds, bank loan management, financial planning, and more.  

Charles Schwab’s financial advisors are adept at providing a multitude of different financial services in order to accommodate a broad range of client needs.  

What are the pros and cons of Charles Schwab? 

Like every business, Charles Schwab has strengths and weaknesses.  

To gain a broader perspective on what this financial advisory firm offers, take a look at these Charles Schwab pros and cons: 


  • Impressive phone and in-person customer support system  

  • Robust trading platform  

  • Highly personalized and curated services for individual clients 

  • Extensive market research and insights   


  • It doesn’t offer cryptocurrency trading advice 

  • Average margin rates  

  • No paper trading platform is available 

  • Paid for order flow  

Charles Schwab: financial services 

Charles Schwab’s financial advisors don’t just deal with one aspect of money management. In fact, part of what has attracted so many clients to this firm is the fact that its services are far-reaching.  

The main services that Charles Schwab provides include the following offerings:

  • Accounts management: Retirement accounts, education funding, small businesses, personal finances  

  • Trading: Research, strategy, money market 

  • Investment Products: Mutual funds, indexes, ETFs, stocks, bonds, annuities  

  • Banking and borrowing: Bank offerings, savings, home loans, and banking from Charles Schwab Bank 

By offering such a wide range of services, Charles Schwab’s advisor services can assist many different types of clients with unique challenges and circumstances.  

Charles Schwab: fees and commissions 

Charles Schwab’s fees and commissions are set at a competitive rate.  

Online trading is free, but all other forms of investment come at a reasonable cost, such as: 

  • Options: $0.65 per option contract 

  • Futures and futures options: $2.25 per contract fee 

  • Bonds, CDs and other secondary trades: $1 per bond, $10 minimum fee and $250 maximum fee per trade 

  • Mutual funds not part of Schwab Mutual Fund OneSource: up to $49.95 depending on the fund 

  • Broker-assisted trades: $25 service fee per transaction 

The payment system used by Charles Schwab is an order flow. That means their brokerage earns a fee for every trade processed via a given market maker. 

Their investment margin rates are considered average for this industry. Their rates start at 8.325% for loans up to $25,000 and get lower as the borrowed sum increases. The lowest rate is 6.575% for loans over $250,000. 

Charles Schwab: technology 

In terms of technology, Charles Schwab has an efficient online website and comprehensive research tools available.  

The use of tech helps to provide clients with the best financial services possible.  

It offers customers both a customizable online platform and a simple but efficient mobile app. 

Charles Schwab security: is it secure? 

With multi-level security access points such as voice recognition, firewalls, two-factor authentication, robust mobile security features, and 128-bit encryption methods, their client’s sensitive data is well-protected and secure.  

Charles Schwab: customer service 

Charles Schwab's advisor customer service has a reputation for excellence, and the firm is well known for its exemplary support record.  

With 24/7 customer service lines and a team of helpful, informed servicepeople available, they ensure clients of this firm have access to both practical and information-based support whenever the need arises.  

Seek expert financial advice 

Charles Schwab is a well-established financial services firm with numerous product offerings designed to suit a wide range of needs. Weighing up the Charles Schwab pros and cons will help you determine if this is the right option for you and if the services available suit your requirements. 

Choosing a financial services firm that meets your needs is important for taking control of your finances.  

If you need help navigating your finances, it’s always best to seek out a financial advisor so that you can get expert advice. Let Unbiased match you with the right advisor now. 


Unbiased team

Our team of writers, who have decades of experience writing about personal finance, including investing and retirement, are here to help you find out what you must know about life’s biggest financial decisions.