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Thinkorswim vs Interactive Brokers (IBKR vs TOS)
Interactive Brokers versus Thinkorswim: compare online trading platforms (IBKR TWS vs TOS),
stock broker account fees, options and chart tools, differences in 2025.
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Interactive Brokers vs thinkorswim: Highlights
• Both Interactive Brokers and thinkorswim have advanced software with many trading tools.
• thinkorswim does not offer cryptocurrency trading, but Interactive Brokers does.
• Low margin rates are available at IBKR but not on thinkorswim.
Interactive Brokers vs. thinkorswim Introduction
Professional-level software will be found at Interactive Brokers and with thinkorswim from Charles Schwab. Before opening your next brokerage account, read this comparison.
Cost Comparison
Tradable Assets
At Interactive Brokers, it’s possible to trade the following asset classes:
- Futures
- Forex
- Stocks
- Options
- Mutual Funds
- ETFs
- Closed-end Funds
- Fixed Income
- Precious metals
- Cryptocurrencies
thinkorswim is an advanced trading platform from Schwab. Using the software, it’s possible to trade everything on IBKR’s list except bonds, precious metals, mutual funds, and digital currencies. Bonds and mutual funds can be traded on Schwab’s website, however.
Winner: Interactive Brokers
Promotions
Charles Schwab: Thinkorswim + $0 trades + satisfaction guarantee at Charles Schwab.
Interactive Brokers: Use this referral link to get up to $1,000 of IBKR stock for free!
Margin
Both brokerage houses in this contest offer margin accounts. Schwab charges between 12.575% and 10.825% for margin debits.
Interactive Brokers has a flat margin rate for IBKR Lite customers; it is 6.83%.
Pro clients get even lower rates.
Winner: Interactive Brokers
Websites
thinkorswim begins as a browser-based trading platform. To launch it, simply click on the Trade tab
in the main menu and select the link for “thinkorswim Web.”
In this mode, thinkorswim has some useful features, including time & sales data and an equity scanner. Charts have technical studies and a handful of drawing tools. There are two trade tickets that deliver lots of powerful order types, including stop and limit on close. To top it all off, there is a simulated mode called paperMoney that really helps to practice the software with zero risk.
Over at Interactive Brokers, there is not a discrete web-based platform. However, charting and trading are possible on the website proper, and there are some fantastic tools here. During our probing, we found one order form with 9 trade types and a price management algo feature to bring an order to a professional level. Stop-loss and take-profit orders can easily be added to an initial order.
Charts on the IBKR site have all sorts of bells and whistles with lots of plot styles and plenty of technical studies. The one downside is the lack of any paper trading.
Winner: Pretty close overall
Mobile Apps
thinkorswim makes its second appearance in mobile form. Unfortunately, demo trading is lost, although there are some extra features on the mobile system. For example, we found video news from Schwab Network and CNBC. There are also chat rooms where thinkorswim users can talk about the day’s financial news.
thinkorswim’s order ticket is borrowed from the website, although this time, there are conditions that can be attached to an order, such as custom-time submission. And charts have more technical indicators this time, with the addition of an extra 300 studies.
On the IBKR mobile app, there are far fewer technical studies (about a hundred). Nevertheless, there are three plot styles, and blowing up the chart full-screen delivers ten more plot styles. In this second version, there are lots of drawing tools. Unfortunately, a previous horizontal mode has been removed.
Interactive Brokers replaces CNBC and Schwab Network with Bloomberg TV, although it fails to have any chat rooms. We did find mobile check deposit, though, which is missing in action on the thinkorswim app.
Winner: Draw
Desktop Programs
Now we come to the highest level of trading: desktop systems. thinkorswim makes its final appearance, and Trader Workstation makes its first. TWS is Interactive Brokers’ flagship trading system. It has a demo mode and lots of tools that can be used in either live or demo mode. Highlights include advanced charting, an order ticket with powerful trade types, and sophisticated options tools.
thinkorswim has a lot of the same features, including a practice mode to learn this very advanced piece of software. Charts have tons of gadgets and gizmos, and we really like the backtesting tool on the platform.
Winner: Tie
Day Trading
Both thinkorswim and Interactive Brokers offer some really useful day-trading features.
Level II Quotes: Trader Workstation and thinkorswim both offer access to Level II data. Interactive Brokers charges for the data; Schwab does not.
Extended-hours Trading: Available at both firms for the securities markets. And in fact, Interactive Brokers now offers overnight trading in more than 10,000 securities. Plus, IBKR has 24/7 trading in cryptocurrencies.
Direct-access Routing: Available on thinkorswim and Trader Workstation. The latter platform has more choices.
Maker-Taker Fees: IBKR clients can receive and pay fees for removing and adding liquidity.
Short Positions: It’s possible to establish bearish trades at either firm. Interactive Brokers has a (hard-to-borrow) HTB list.
Winner: Interactive Brokers
Platform Reviews
Thinkorswim Platform Review
Trader Workstation Review
Promotions
Charles Schwab: Thinkorswim + $0 trades + satisfaction guarantee at Charles Schwab.
Interactive Brokers: Use this referral link to get up to $1,000 of IBKR stock for free!
Thinkorswim vs Interactive Brokers Recap
These two are very close. Day traders will probably want to use Interactive Brokers, while investors
should go with Charles Schwab.
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Updated on 10/7/2024.
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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