Charles Schwab vs Chase

Charles Schwab vs JP Morgan Chase


2022 Charles Schwab vs JP Morgan Self-Directed Investing (Chase): which firm is better? Compare IRA/Roth accounts, online investing fees, stock broker mutual fund rates, and differences.


Overview of JP Morgan Chase and Schwab


Charles Schwab and J.P. Morgan Self-Directed Investing try to attract investors with brand name and discounted rates. There are many differences between these two companies, however. You’ll definitely want to be aware of them before opening an account with one of the two firms. Here they are in important categories:


Cost


Broker Fees Stock/ETF
Commission
Mutual Fund
Commission
Options
Commission
Maintenance
Fee
Annual IRA
Fee
Charles Schwab $0 $49.95 $0.65 per contract $0 $0
Chase $0 $0 $0.65 per contract $0 $0
Ally Invest $0 $9.95 $0.50 per contract $0 $0


Services


Broker Review Cost Investment Products Trading Tools Customer Service Research Overall Rating
Charles Schwab
Chase
Ally Invest


Promotions


Ally Invest: Up to $3,000 cash bonus + $0 commission trades.

Charles Schwab: Get commission-free online stock trades.

Chase: Get up to $625 when you fund a J.P. Morgan Self-Directed Investing account.



Trading Software


Schwab’s website is easy to use and has lots of helpful resources. There’s a trade bar that appears at the bottom of the screen. It provides important security data, such as volume and bid and ask numbers. Clicking on ‘News’ or ‘Chart’ produces a small pop-up window with the relevant topic. Unfortunately, trades cannot be placed directly on the tool; although an order ticket on the website is a good replacement. Extended hours are available, and time-in-force options include day only, GTC, fill or kill, and immediate or cancel.


Charles Schwab or JP Morgan Chase


The next step up from the regular website is StreetSmart Central, a browser-based trading system. It is taken from optionsXpress, which Schwab purchased. It is able to trade stocks, ETF’s, options, and futures. Because the software comes from optionsXpress, there are very good derivative tools.

Now we come to Schwab’s crown jewel for trading software. Called StreetSmart Edge, it is the company’s desktop platform. It offers live streaming of CNBC and a simulated trading login.

Advanced charting is available at all three locations: the website, Central, and Edge. We found company events, comparisons, drawing tools, and technical studies. Central and Edge are better than the website, although this third option is very usable for most purposes.

Now we come to Chase, and there’s not going to be much comparison. J.P. Morgan Self-Directed Investing doesn’t offer a trade bar, a browser platform, or a desktop program. All trading takes place on simple web pages, and we’re emphasizing simple here. The broker’s trading ticket is comparable to Schwab’s website ticket, although J.P. Morgan Chase offers fewer time-in-force options. Direct-access routing is not possible at J.P. Morgan Chase, although it is available on StreetSmart Edge.


JP Morgan Chase vs Schwab


Charting is even worse. The J.P. Morgan Chase site only provides a small chart with a handful of time frames. There are no technical studies, nor are there company events, comparisons, or drawing tools. A graph cannot be shown full screen, and there are no display options or customization choices. You would be better off using a free service on the Web, such as Yahoo or Barchart.


Mobile Platforms


A mobile app can be used to buy and sell investments at either firm. We thought J.P. Morgan Chase’s would be very good because it’s the same app as the regular Chase Bank app. But when we logged into our brokerage account, we couldn’t find mobile check deposit, funds transfer, or bill pay. These functions are available on Schwab’s mobile app.

For charting, the J.P. Morgan Chase app offers the same basic chart as the website does, which means it’s almost useless. On the Schwab platform, by comparison, there are several charting tools, including company events and indicators. A graph can be rotated horizontally, and there are quite a few graph styles.


JP Morgan Chase Trade App


Also on Schwab’s app are option chains. Clicking on a bid or ask price produces the appropriate derivative trading ticket. We found live streaming of NBC’s business channel along with several other audio and video resources. We liked Schwab’s market news section better than Chase’s. On the flip side, the Schwab app did crash a few times during our testing. Both apps are compatible with Touch ID.


Schwab vs Chase


Customer Support


Schwab clients can reach a company representative anytime of the night or day. There is an online chat function on its website, and a dedicated phone line is for Chinese speakers. On top of all this, Schwab operates a large nationwide system of brick-and-mortar offices that provide traditional service.

If you would rather try to take care of issues yourself, the Schwab website has a very useful self-help section where it’s possible to manage alerts, sign up for paperless documents, submit a travel alert, and more.

Chase’s new discount broker is only open from 8 till 9, EST—and these hours are only during the week. The brokerage firm is closed on Sunday, although a Saturday session lasts from 9 until 5. J.P. Morgan Chase does not offer any branch locations.


Mutual Funds and ETF’s


Using the J.P. Morgan Chase mutual fund screener in our trial account, we found just north of 3,500 securities that were available for purchase by new investors. This is a very small list compared to most rivals, although it actually is close to the 5,700 we found at Schwab. One difference is that all of J.P. Morgan Chase’s mutual funds have no load and no transaction fee. On Schwab’s list, there are about 3,400 that have the same fee structure.

Both brokers offer ETFs. The biggest difference here is Schwab’s excellent ETF resource center on its website, whereas J.P. Morgan Chase has just a few materials. Both brokers offer all ETFs commission-free.


Schwab vs J.P. Morgan Chase


Promotions


Ally Invest: Up to $3,000 cash bonus + $0 commission trades.

Charles Schwab: Get commission-free online stock trades.

Chase: Get up to $625 when you fund a J.P. Morgan Self-Directed Investing account.



Recommendation


If you’re going to buy and sell mutual funds, we definitely suggest Schwab over J.P. Morgan Chase. Besides the sheer number of securities, Schwab has much better mutual fund resources.

If you need advanced trading tools, once again go with Schwab.

We can recommend J.P. Morgan Chase for active option traders. Other than the value that $0 commissions provides, Schwab seems to outperform Chase’s new broker in most categories.


Broker Reviews


Go to JP Morgan Review or to Schwab Review


JP Morgan vs Schwab: Results


Chase's new online broker J.P. Morgan doesn’t quite measure up to its rival here. Spending a little bit more money will get you a lot more at Schwab.

Anyone looking for the top-rated brokerage firm on the market should go with TD Ameritrade or read TD Ameritrade review.



Disclaimer


INVESTMENT AND INSURANCE PRODUCTS ARE: NOT A DEPOSIT • NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE


About the Author
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.