Who Is Better Than Schwab? 5 Top Alternatives for Smart Investors in 2025

If you’re looking for financial services and wondering “who is better than Schwab?”, you’ve come to the right place! Charles Schwab is definitely a heavyweight in the financial world, but they’re not the only game in town. With their massive $9.41 trillion in client assets, they’re impressive – but guess what? Some competitors actually manage even MORE money!

I’ve spent hours researching the top Schwab alternatives, and I’m excited to share what I’ve found. Whether you’re looking for lower fees, better customer service, or specialized investment options, these five competitors might just have what Schwab is missing for your specific needs.

The Big Picture: Charles Schwab and Its Top Competitors

Before we dive into the alternatives, let’s get a quick understanding of Charles Schwab. Founded in 1971 and headquartered in Westlake, Texas, Schwab has grown into a multinational financial services giant with $7.38 trillion in assets under management. They operate primarily in the US and UK offering

• Banking and commercial banking
• Investment services
• Wealth management
• And many other financial services

But how do their competitors stack up? Here’s a quick comparison table of Schwab and its main rivals

As you can see some of these competitors are actually managing MORE money than Schwab! Let’s take a closer look at each one to see if they might be a better fit for your financial needs.

1. Edward Jones: Personal Touch with a Long History

Edward Jones might be smaller than Schwab in terms of assets, but they excel in personalized service with their 15,000+ branches across the US and Canada.

Edward Jones at a Glance:

• Founded: 1922 (older than Schwab!)
• AUM: $2 trillion
• Fee structure: Fee-based (0.5%-1.35%)
• Minimum investments: $5,000 or $25,000 depending on account type
• Ownership: Private company (limited liability partnership owned by current/retired employees)

What They Offer:

• Financial planning
• Basic investment strategy
• Charitable giving

Pros:

• Excellent customer service with a personal touch
• Simple, straightforward fee structure
• Relatively affordable rates

Cons:

• Limited website functionality (not great for tech-savvy investors)
• Limited specialties compared to larger firms

Edward Jones might be your best bet if you value face-to-face interaction and personalized service over cutting-edge technology. They’re particularly good for individual investors and small business owners who prefer a more traditional approach to financial services.

2. Fidelity Investments: The Heavyweight Champion

If we’re strictly talking about who manages more money than Schwab, Fidelity wins hands down with their massive $14.1 trillion in assets under administration! This Boston-based company has been around since 1946 and has grown into a global powerhouse.

Fidelity at a Glance:

• Founded: 1946
• AUM: $14.1 trillion (nearly twice Schwab’s!)
• Fee structure: Both fee-only & fee-based (0.2%-1.5%)
• Minimum account size: $50,000
• Ownership: 49% owned by founding Johnson family, 51% by employees

What They Offer:

• Retirement planning
• Brokerage services
• Wealth management
• Cryptocurrency trading (more progressive than some competitors)
• Financial planning
• Online trading

Pros:

• No account minimum for many services
• Incredibly wide range of services
• Beginner-friendly platform
• Excellent mobile app
• Extensive research provided

Cons:

• Some limited investment options

Fidelity is probably your best bet if you want the security of working with the biggest player in the game, plus you like having access to cutting-edge services like crypto trading alongside traditional investments. Their beginner-friendly approach makes them great for new investors too.

3. Vanguard: The Low-Cost Index Fund Pioneer

Vanguard is practically synonymous with low-cost index funds, making them a formidable Schwab competitor, especially for buy-and-hold investors and those focusing on retirement.

Vanguard at a Glance:

• Founded: 1975
• AUM: $9.3 trillion (beating Schwab!)
• Fee structure: Fee-based and fee-only (0.05%-0.3% – noticeably lower than many competitors)
• Minimum account size: $50,000 for personal advisor services
• Ownership: Private company owned by its funds (and ultimately its investors)

What They Offer:

• Wealth management
• Retirement planning
• Investment services with specialization in low-cost index funds

Pros:

• Great educational resources
• Easy mobile app navigation
• Super low-cost fund options (probably the best for budget-conscious investors)

Cons:

• High margins on some services
• Basic research tools compared to some competitors

Vanguard might be your ideal choice if you’re focused on long-term, low-cost investing – especially for retirement accounts. Their unique ownership structure (owned by their own funds) means they’re structured to keep costs low for investors rather than maximize profits for shareholders.

4. Goldman Sachs: For the Ultra-Wealthy Investor

Goldman Sachs isn’t for everyone – with a $10 million minimum investment, they’re clearly targeting the ultra-wealthy. But for those who qualify, they offer services that might exceed what Schwab can provide.

Goldman Sachs at a Glance:

• Founded: 1869 (the oldest on our list!)
• AUM: $2.81 trillion
• Fee structure: Advisory fees from 1.90% (up to $10M) to 1.30% (above $250M)
• Minimum account size: A whopping $10 million!
• Ownership: Public company

What They Offer:

• Investment management
• Wealth planning
• Family office services
• Advisory services for institutions and families

Pros:

• Tailored solutions for complex financial situations
• Expertise in managing ultra-high-net-worth assets
• Comprehensive private banking services
• Custom investment vehicles

Cons:

• That $10 million minimum excludes most people
• Potential conflicts of interest from advisor compensation
• Additional costs for specific services

Goldman Sachs is probably only worth considering if you’re extremely wealthy and need services specifically designed for managing and preserving significant wealth. Their expertise in complex financial situations might make them better than Schwab for ultra-high-net-worth individuals.

5. BlackRock: The Global Investment Giant

BlackRock is literally the world’s largest asset manager, with a mind-boggling $10.5 trillion under management. They’re known for their institutional focus but also serve wealthy individuals.

BlackRock at a Glance:

• Founded: 1988
• AUM: $10.5 trillion (significantly more than Schwab)
• Fee structure: Fee-based (0.09%-2.50% – wide range)
• Minimum account size: $250,000 to $1 million depending on services
• Ownership: Public company

What They Offer:

• Investment management
• Risk management
• Portfolio management
• Advisory services
• Future-oriented investments

Pros:

• Collaborative, diverse workforce
• Cutting-edge investment strategies and technology
• Strong focus on sustainability

Cons:

• Generally expensive
• Formal advice delivery style

BlackRock might be better than Schwab if you’re interested in cutting-edge investment approaches, particularly in sustainable investing. They’re also known for their risk management expertise through their Aladdin software platform.

How to Choose the Right Alternative to Schwab

Finding the right financial firm really depends on YOUR specific needs. Here are some key factors to consider:

1. Budget Considerations

Each firm has its own pricing structure. Generally, the bigger your budget, the more services and personalized attention you can access. If fees are your primary concern, Vanguard stands out with their ultra-low-cost offerings.

2. Communication Style

You’ll likely work with your financial advisor through many of life’s big events, so choosing someone whose communication style matches yours is crucial. Edward Jones excels with personal relationships, while some of the bigger firms might feel more corporate.

3. Service Requirements

Some firms specialize in certain services. For example:

• Vanguard for low-cost index funds
• Fidelity for all-around comprehensive services
• Goldman Sachs for ultra-high-net-worth services
• BlackRock for cutting-edge investment approaches

4. Advice Delivery

Different firms have different ways of delivering advice:

• Edward Jones: Very personalized, often face-to-face
• Fidelity: More tech-forward with excellent digital tools
• BlackRock: More formal approach

5. Experience Level

If you need sophisticated advice, firms with more experience in specific areas might be better. For basic financial management like savings and retirement, smaller or less specialized firms might be perfectly adequate.

So, Who IS Better Than Schwab?

The honest answer is: it depends on what YOU need. Here’s my quick summary:

• Fidelity is better than Schwab if you want the biggest player with comprehensive services and beginner-friendly tools.
• Vanguard is better than Schwab if low costs are your priority, especially for retirement investing.
• Edward Jones is better than Schwab if you value personal relationships and face-to-face service.
• Goldman Sachs is better than Schwab if you have $10+ million and need ultra-high-net-worth services.
• BlackRock is better than Schwab if you’re interested in cutting-edge investment strategies and sustainability.

Remember, the “best” financial advisor is ultimately the one that aligns with your personal financial goals, communication preferences, and budget. Don’t just pick the biggest name or the one with the most assets – choose the one that feels right for YOUR specific situation.

Have you had experiences with any of these Schwab alternatives? I’d love to hear your thoughts in the comments below!

5 Largest Brokerage Firms of 2025

The top five brokerage firms can vary depending on the criteria, but leading companies based on assets under management (AUM) or market capitalization include Charles Schwab, Vanguard, Fidelity, JPMorgan Chase, and UBS.