Charles Schwab vs Merrill Edge Comparison: Fees, Features, and More (2026)

Charles Schwab and Merrill Edge are two leading discount brokerages offering commission-free stock and ETF trading. Use this head-to-head comparison table to evaluate fees, features, trading tools, and account options to help you decide which broker is right for you in 2026.

Head-to-Head Comparison: Charles Schwab vs Merrill Edge (2026)
Feature Charles Schwab Merrill Edge
Website https://www.schwab.com/ https://www.merrilledge.com/
Broker Type Full-service Self-directed discount/online brokerage
Trading: Stock & ETF? Yes Yes
ETF & Stock commission $0 online (listed stocks/ETFs) $0 online commissions (ETF sales $0.01–$0.03 per $1,000 principal)
Fractional Shares? Yes (most U.S.-listed stocks/ETFs, from $1) No
Percent Allocations? Yes (Personalized Portfolio Builder) No
Crypto Trading? Yes, via Schwab Crypto (BTC/ETH currently; not NY/LA/territories) No
Crypto Fees 0.75% of notional value (min $0.01) per buy/sell N/A
Options Trading? Yes Yes
Options Fee $0 online commission + $0.65 per contract $0 + $0.65 per contract online; $0 exercise/assignment. Broker-assisted extra.
Bond Trading Available? Yes Yes
Receives payment for order flow (PFOF)? Yes (receives PFOF rebates) No; limited options-exchange payments
Interface: Web trading? Yes Yes
Desktop trading? Yes, thinkorswim desktop (Windows/Mac; free for brokerage clients) No (MarketPro is browser-based, not a downloadable desktop app)
API Trading? Yes, Trader API (Individual) for self-directed retail accounts (orders, data; via developer.schwab.com) No (no public retail trading API)
Mutual Funds: Offered? Yes Yes
Total Mutual Funds ~14,500 from 600+ families (incl. 4,000+ NTF) Thousands
NTF Mutual Funds 4,000+ (no-load via OneSource & others) Many NTF (exact count unpublished)
Non-NTF Fund Fee Up to $74.95/buy online ($0 sell); some $49.95; 8.5% cap, <$100 exempt $19.95 per online transaction (buys, sells, exchanges) for no-load TF funds
Early Redemption Fee? No; $49.95 Schwab fee on NTF funds held ≤90 days (some exemptions) No ($39.95 short-term redemption fee on NTF funds held <90 days)
Redemption Hold (Days) 90 days (NTF/OneSource funds; some Schwab Funds exempt) 90 days (NTF funds)
Early Redemption Fee $49.95 online/automated phone; $49.95 + $25 broker-assisted $39.95 (NTF funds held <90 days)
Accounts: Margin Accounts? Yes ($2,000 min. cash or marginable securities) Yes
IRAs Offered? Yes (Traditional, Roth, SEP, Rollover, Inherited, Custodial, SIMPLE) Yes (Traditional, Roth, SEP)
HSAs Offered? Yes (HSBA via participating HSA providers; no standalone Schwab HSA) Yes (Individual HSA)
Money Market Sweep? Yes (Cash Features Program: Bank Sweep or Schwab One Interest) Yes
CDs Offered? Yes (brokered CDs via Schwab CD OneSource) Yes (brokered CDs)
Robo-Advisor: Offered Yes Yes
Robo-Advisor Service Schwab Intelligent Portfolios® (Premium also offered) Merrill Guided Investing
Robo-Advisor Fees $0 advisory (standard); $300 one-time + $30/mo (Premium); ETF OERs 0.02–0.15%. Mins $5k/$25k. 0.45% AUM online; 0.85% with advisor (monthly in advance). Preferred Rewards discounts 0.05-0.15%. Fund expenses extra.
Basics: Headquarters Westlake, TX New York, NY
Year Founded 1971 2010
Clearing Firm Charles Schwab & Co., Inc. (self-clearing) Merrill Lynch, Pierce, Fenner & Smith Inc. (self-clearing)
Local Branches? Yes, more than 420 branches in 48 U.S. states Yes (~3,530 Bank of America financial centers, U.S., as of Q2 2026)
New Account Minimum $0 $0 (self-directed)

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