TIAA vs. Vanguard
Points to consider:
• At Schwab, Vanguard, and TIAA, several types of investment accounts can be opened.
• Vanguard and Schwab, but not TIAA, have robo accounts available to new clients.
• Only Schwab has professional-level trading software.
Before opening your next brokerage account, you need to consider the investment services of Vanguard, Schwab, and TIAA. These three firms differ in key areas.
Cost
| Broker Fees |
Stock/ETF
Commission |
Mutual Fund
Commission |
Options
Commission |
Maintenance
Fee |
Annual IRA
Fee |
|
Charles Schwab
|
$0
|
$49.95 ($0 to sell)
|
$0.65 per contract
|
$0
|
$0
|
|
TIAA
|
$0
|
$50
|
$0 per contract
|
$0
|
$0
|
|
Vanguard
|
$0
|
$20
|
$1.00 per contract
|
$25*
|
$25*
|
Services
Promotions
Charles Schwab:
$0 commissions + ACAT fee rebates + a satisfaction guarantee with Charles Schwab.
TIAA: none right now.
Vanguard: none right now.
First Category: Tradable Assets
With a brokerage account at TIAA, Schwab, or Vanguard, the following asset classes are available:
• Stocks
• Funds (mutual, closed-end, and exchange-traded)
• Bonds and other fixed-income vehicles
• Option contracts
The stock category includes over-the-counter stocks at TIAA and Schwab. Vanguard no longer accepts purchases or incoming transfers of most OTC securities, although customers can sell existing positions and purchase a limited selection of global ADRs. Only Schwab customers can trade foreign stocks directly on foreign exchanges. Schwab goes another step further with forex and futures trading.
All three investment firms in this comparison also have advisory programs that provide managed accounts and financial planning. Schwab and Vanguard offer robo accounts, which can no longer be opened at TIAA.
All three have traditional human-managed accounts with a variety of fees and minimums. Tradable products vary by the advisory program selected. Schwab and TIAA have branch locations to help their customers; Vanguard does not.
Winner: Schwab
Second Category: Margin
Besides cash accounts, margin accounts are available at all three broker-dealers in this comparison. Only Schwab’s software displays the maintenance requirement for each security. Here is the cost of borrowing at each firm:
| TIAA: | 10.875% to 9.875% |
| Schwab: | 12.075% to 10.325% (rate offers at $500k+) |
| Vanguard: | 12.25% to 10.25% (rate offers at $500k+) |
At Vanguard and Schwab, a cash account can upgrade to margin status online. TIAA requires a margin application form. Only Schwab offers advanced trading software with option spreads.
Winner: Debatable
Third Category: Mobile Apps
The Vanguard mobile app has gradually improved over the past few years; however, it remains very simple. Charts, for example, cannot be rotated horizontally, and there are no graphing tools of any kind. Options and non-Vanguard mutual funds cannot be traded.
The situation improves slightly at TIAA. The broker’s mobile app can be used to trade mutual funds from many fund families. But charts remain very elementary, and there are no option chains at all. There is some market news, though, which is helpful.
To reach a higher trading level, a Schwab account is required. With this account, you’ll get two mobile apps. One of them is the thinkorswim app, which is designed for advanced trading. There is an order ticket on thinkorswim with professional-level choices, including the ability to submit an order at a specific time and date. Schwab’s main app has many useful features, including live streaming from Schwab Network and CNBC.
Winner: Schwab
Fourth Category: Computer Trading
The Vanguard website permits the trading of options and non-Vanguard mutual funds. Charting also improves drastically. During our investigation, we found 3 company events, 7 technical studies, and 4 plot styles. The site doesn’t have a trade bar or a browser platform, although the trade ticket does have separate selections for buy to cover and sell short. Overall, the site is not well designed and can be difficult to navigate at times.
The TIAA site is a little better laid out, thanks to tabs and buttons at the top. Using these, we were able to find a research section with in-depth stock profiles. We found chains for calls and puts, plus charts with more than 7 technical indicators. A graph cannot be displayed across the full width of the computer screen, though.
At Schwab, a chart can be expanded to full-screen mode. Plus, Schwab has a browser platform, which is the only one in this survey. Keeping the thinkorswim name, it has some advanced features, such as Level II quotes. Schwab also offers thinkorswim in a desktop version, where serious traders will find much to like.
Winner: Schwab
Fifth Category: Additional Services
DRIP Service: Vanguard, TIAA, and Schwab all offer dividend reinvestment plans.
Periodic Mutual Fund Investing: Investors at all three brokerage houses can establish recurring mutual-fund purchases. Vanguard supports recurring purchases of Vanguard funds and certain transaction-fee non-Vanguard funds, although recurring purchases of transaction-fee funds may carry a per-transaction charge.
Fractional Shares: Schwab offers fractional trading in most U.S.-listed stocks and ETFs starting at $1. Vanguard offers dollar-based purchases of Vanguard ETFs starting at $1. TIAA supports fractional quantities and dollar-based purchases of certain stocks and ETFs.
Extended Hours: Vanguard has a limited post-market trading session. Schwab offers pre-market and post-market trading, plus 24/5 trading in more than 1,100 stocks and ETFs. TIAA has neither. Foreign stock exchanges, futures, and forex provide additional opportunities to trade outside regular U.S. market hours at Schwab.
Individual Retirement Accounts: IRAs can be opened at all three investment firms in this contest in both managed and self-directed modes. TIAA lists a $130 IRA termination fee, although the fee does not apply to certain TIAA self-directed IRA accounts or qualifying internal transfers. Vanguard may charge $100 for an account closure or transfer to another firm for clients with less than $5 million in qualifying assets. Schwab charges $50 for a full outgoing account transfer and nothing for a partial transfer.
Fully Paid Securities Lending: Available at Schwab and Vanguard.
Initial Public Offerings: With a brokerage account at Schwab, eligible customers can buy shares of stocks before they begin trading on the secondary market.
Winner: Schwab
Recommendations
Beginning Investors: We suggest a managed account with any investment firm in this contest. Adding a human advisor to the picture helps a lot, too.
Long-Term Investors & Retirement Savers: A retirement account at any of the three would be a decent start. Schwab and TIAA have branch locations and annuities, which aren’t available to Vanguard customers, so they seem like better options.
Frequent Stock & ETF Trading: This one is easy: Schwab with thinkorswim.
Small Investors: For robo investing, Vanguard requires only $100, while Schwab requires $5,000. Standard self-directed brokerage accounts at all three firms have no opening minimum. Schwab and TIAA offer fractional trading in eligible stocks and ETFs, while Vanguard offers fractional purchases of Vanguard ETFs.
Mutual Funds: Schwab has the best fund screener and the largest selection of fund resources on its website. TIAA has a very large list of funds. Take your pick.
Promotions
Charles Schwab:
$0 commissions + ACAT fee rebates + a satisfaction guarantee with Charles Schwab.
TIAA: none right now.
Vanguard: none right now.
TIAA vs Vanguard Judgment
Although TIAA and Vanguard are famous for some financial products and services, the best trading experience is clearly at Charles Schwab.
Updated on 7/24/2026.
Chad Morris has been analyzing investment firms for Brokerage-Review.com since 2015. Backed by FINRA Series 65, 66, and SIE credentials, his work reflects a deep knowledge of the retail brokerage industry and digital trading tools.
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