Some firms are aimed at highly experienced traders. Other
brokerage companies are intended for beginners, providing different products and services designed
to help new investors get started. Two of these best brokerage firms for beginners are
Charles Schwab and Robinhood. Here’s what each has to offer:
Pricing
| Broker Fees |
Stock/ETF
Commission |
Mutual Fund
Commission |
Margin
Rate |
Maintenance
Fee |
Annual IRA
Fee |
|
Charles Schwab
|
$0
|
$49.95 ($0 to sell)
|
12.075%
|
$0
|
$0
|
|
Robinhood
|
$0
|
na
|
5%
|
$0
|
$0
|
Services
| Broker Review |
Cost |
Investment Products |
Trading Tools |
Customer Service |
Research |
Overall Rating |
|
Charles Schwab
|
|
|
|
|
|
|
|
Robinhood
|
|
|
|
|
|
|
Promotions
Charles Schwab: $0 commissions + ACAT rebate + satisfaction guarantee at Charles Schwab.
Robinhood:
3% deposit match and up to $200 FREE stock at Robinhood.
Education
Starting with Robinhood, educational materials are neatly organized into
categories at the top of the website.
Complete beginners should start with the Education tab. Under this tab, there are several sections. "Overview" is a good starting point. This page shows all educational resources available under Education. You’ll find learning materials about:
- Stocks
- Options
- ETFs
- Mutual Funds
- Bonds and fixed-income products
There is an article explaining how margin works. What we especially like on this page is a link to an investment glossary. It defines hundreds of terms clearly, which new traders might find helpful.
At the bottom of the Education Center, there's a collection of videos and webinars. These cover topics useful to beginners, such as:
- Options wizard basics
- Funding your account
- ETF basics
- Placing stock trades
Services
So far, we’ve covered many resources under one tab. Moving to
the Service tab on Robinhood’s site, there are many more resources beginners
will want to explore.
First is a Help Center, featuring articles on topics like brokerage account taxes and withdrawing money. There's a search bar to find articles by keyword.
Also under the Service tab is a Contact Us page. Here, Robinhood lists all available customer support methods. They include fax, weekday phone support, and email.
Another resource under the Service tab is the Form Center. It offers many forms grouped into categories. Some are PDFs, while others are online forms. This area also includes a document upload tool.
The Home tab offers useful tools for beginners, including market news, quick links (like market holidays and fund transfers), and advertisements for upcoming webinars.
Research
Robinhood provides excellent investment research through its partnership with Morningstar. This respected third-party analyst offers much of its research free on Robinhood’s site.
This information is located under the Research & Tools tab. Stocks, ETFs, and mutual funds have profiles with Morningstar data. Popular securities feature star ratings and price targets.
Robinhood also offers easy-to-use screeners for ETFs, and stocks. The results can be sorted and clicking on ticker symbols leads directly to asset profiles.
Lastly, the Analyst Research page under Research & Tools provides valuable reports in PDF format. There's also a search bar for quickly finding reports on specific stocks or funds.
Robinhood Review
Review of Robinhood Account »
Free Robinhood Account
3% deposit match and up to $200 FREE stock at Robinhood.
Visit Robinhood Website
Customer Service
Beginners often need customer support, and Charles Schwab delivers with several options. Its website and mobile app include help pages with phone and chat support. Both methods start automated but offer human support. Schwab’s customer service is available 24/7.
The site and app include messaging widgets for less urgent issues needing document uploads. Schwab also has hundreds of branch offices across the country for face-to-face assistance.
Managed Accounts
Beginners needing assistance will appreciate Charles Schwab’s investment advisory services. In addition to self-directed trading resources, Schwab provides extensive investment advice, portfolio management, and financial planning at affordable prices. Intelligent Portfolios® is Schwab’s free robo-advisor service.
Beginners seeking full financial management can opt for Schwab’s traditional advisory programs, which offer estate planning, insurance advice, custom financial plans, charitable giving, and tax help.
Schwab’s hybrid option, Intelligent Portfolios Premium®, combines robo-management with consultations from CFP® professionals.
Free Charles Schwab Account
Visit Schwab Website
Education
Rookies who decide to forgo the investment-advisory options and go it alone will find plenty of assistance through Schwab’s very extensive investment library. On both its website and mobile app, there is a treasure trove of financial education that both beginners and seasoned pros will find helpful.
Not surprisingly, a good place to begin is on the broker’s website under the Learn tab. Here, we found all kinds of resources that beginning investors will find helpful. Examples include:
- Self-guided courses on all kinds of topics
- Onward magazine, a quarterly financial publication from Schwab
- Podcasts
- New client welcome center
- Live broadcast and on-demand videos from Schwab Network
- Market commentary
- Tax center
- Planning and retirement tools
And that’s just the Learn tab. There’s much more under the Products and Research tabs. There are calculators, security research tools, news on markets and products, planning resources, and the list goes on.
Complimentary Financial Plan
Self-directed traders at Schwab who didn’t get a financial plan through the company’s advisory channel can get one anyway. Like many of Schwab’s other services, this one is free of charge. The link to sign up for this great service is on the financial-planning page, which can be found under the Products tab.
Paper Trading
Once the necessary education and financial roadmap are complete, Schwab steps up to the plate once again. This time, it delivers simulated trading, which is the next step on the trading journey. Before putting real money on the line in a self-directed account, it’s a good idea to practice the myriad trade types just to prevent any mistakes in live trading.
Schwab’s desktop platform, Thinkorswim, has a demo mode that provides this practice environment. There’s no charge to use this simulated system, and it has all the same tools that Edge has in live mode. To use the simulated program, just check the box on the login window for the demo mode. It’s possible to practice trading outside of regular hours, which is super convenient. It’s a great way for novices to get some experience trading with zero risk.
Research Tools
The final piece of the puzzle is to find something to trade. Newcomers will find user-friendly research tools on Schwab’s website (under the Research tab, conveniently enough). There are security scanners for stocks, options, bonds, and funds (exchange-traded and mutual). These digital search wizards are really easy to use, which is why we’re recommending Schwab here for beginning investors.
Free Charles Schwab Account
Review of Charles Schwab Account »
Charles Schwab Promotion
$0 commissions + ACAT rebate + satisfaction guarantee at Charles Schwab.
Visit Schwab Website
Updated on 12/8/2025.
Chad Morris is a financial writer with more than 20 years experience
as both an English teacher and an avid trader. When he isn’t writing
expert content for Brokerage-Review.com, Chad can usually be found
managing his portfolio or building a new home computer.
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