Charles Schwab is better suited for beginner and retail investors due to its no account minimums, commission-free trading, and user-friendly platform. BlackRock is more appropriate for sophisticated and institutional investors seeking advanced portfolio management tools, diverse investment options, and ESG-focused investments, but it comes with higher account minimums.
| Attribute | Charles Schwab | BlackRock |
|---|---|---|
| Assets Under Management (AUM) | $10.76 trillion (July 2025), Schwab Asset Management: $1.4 billion discretionary, $33.8 billion non-discretionary (March 2025) | $12.5 trillion by Q2 2025; $11.5 trillion in 2024; CAGR of 19% since 1995 |
| Investment Options | Stocks, bonds, ETFs, mutual funds, options, precious metals | Stocks, Bonds, ETFs (iShares), Mutual Funds, Alternative investments (private equity, real estate, hedge funds), Digital assets |
| Account Minimums | No minimum | Varies; Premier Government Institutional Fund: $10,000,000; Treasury Strategies Institutional Fund: $3,000,000; Select Treasury Strategies Institutional Fund: $10,000,000; Private Investors account with a personal Portfolio Manager: Generally requires a minimum investment of $1 million; Equity/Fixed income accounts below $1 million (minimum $250,000) are serviced by a managed account team and have limited customization capabilities. |
| Commission Fees for Trading | Stocks and ETFs: $0 online; Options: $0 online base + $0.65/contract; Futures and Futures Options: $2.25/contract; Treasury bonds: $0; Other bonds: $1/bond (min $10, max $250) | iShares ETFs trade commission-free online through Fidelity; IBKR Lite: $0 on US listed ETFs; IBKR Pro: USD 0.0005 to USD 0.0035 per share on ETFs; Sale of ETFs subject to activity assessment fee ($0.01 to $0.03 per $1,000 of principal) |
| Advisory Services Offered | Schwab Intelligent Portfolios (robo-advisor), Financial planning services | Robo-advisor (FutureAdvisor), Financial Planning (tools and resources for financial advisors), Aladdin platform for portfolio management and risk analysis |
| Research and Educational Resources | Comprehensive courses, articles, Schwab Center for Financial Research (SCFR) | Financial education course platform, Market and portfolio insights, iShares investor education center |
| Platform and Mobile App Usability | Easy-to-use web and mobile platforms, advanced trading platforms | Aladdin platform for investment managers, Advisor Center for financial professionals |
| Customer Service Quality and Availability | 24/7 live online and phone support, high J.D. Power rankings | Contact information and resources available on the BlackRock website |
| Portfolio Management Tools | Tools for portfolio diversification and rebalancing | Aladdin, Portfolio comparison tools, Stress test portfolios, Performance analysis tools, Expected Return Analyzer |
| Expense Ratios (for Funds) | Schwab market cap index mutual funds < 0.10%, asset-weighted average 0.03%; Low-cost equity ETFs generally no more than 0.25%, and low-cost equity mutual funds have expense ratios of 0.5% or lower. | Average 0.30% for ETFs, varies and can be found in fund prospectuses |
| Tax Optimization Strategies | Tax-loss harvesting | Tax-loss harvesting, Tax-efficient investing, Tax Evaluator tool, Tax-aware model portfolios, Strategies include asset allocation, asset location, and vehicle selection |
| ESG (Environmental, Social, and Governance) Investing Options | Not available | Range of sustainable investing products, ESG data as portfolio construction input, Screened, uplift, thematic, and impact investing options |