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Pepperstone vs Charles Schwab for US stocks

Charles Schwab gives you the actual share; Pepperstone gives leveraged exposure to the price without ownership. That is not a preference — it is a different product, with different tax, dividend and risk treatment.

Pick Pepperstone if non-US residents trading US shares as CFDs. Pick Charles Schwab if US residents.

PepperstoneCFD — no ownership

A CFD and spread-betting broker, not a US stockbroker. It is on this site because for most non-US traders it is one of the few regulated routes to US-share exposure with leverage.

Visit Pepperstone
Charles SchwabOwns the share

A full-service US brokerage; thinkorswim gives it a genuinely strong active-trading platform.

Visit Charles Schwab

Side by side

PepperstoneCharles Schwab
What you holdA CFD on the priceThe share
US stock access1,000+ US share CFDsFull US listed market
Minimum depositNoneNone
Fractional sharesn/aYes
Published pricingUS share CFDs are commission-based on the Razor account and spread-based on Standard; overnight financing applies to positions held past the close.$0 online commission on US listed stocks and ETFs.
PlatformsMetaTrader 4, MetaTrader 5, cTrader, TradingViewSchwab.com, thinkorswim desktop, thinkorswim mobile
Extended hoursSelected US share CFDs only — check the instrument schedulePre-market and after-hours sessions supported
RegulationFCA 684312, ASIC 414530, CySEC 388/20, DFSA F004356, BaFin 151148SEC SIPC member
Founded20101971

Where each one wins

Pepperstone

  • Non-US residents trading US shares as CFDs
  • Leveraged short-term positions
  • MetaTrader and TradingView users
  • CFDs are leveraged: you do not own the share, get no shareholder rights, and can lose more than you expect
  • Not available to US residents

Charles Schwab

  • US residents
  • Long-term investors who want research and banking in one place
  • Options traders via thinkorswim
  • International account availability is limited and varies by country

Frequently asked questions

Pepperstone or Charles Schwab — which is better for US stocks?

Charles Schwab gives you the actual share; Pepperstone gives leveraged exposure to the price without ownership. That is not a preference — it is a different product, with different tax, dividend and risk treatment. Pepperstone: non-US residents trading US shares as CFDs. Charles Schwab: US residents.

Which is cheaper?

Pepperstone: US share CFDs are commission-based on the Razor account and spread-based on Standard; overnight financing applies to positions held past the close. Charles Schwab: $0 online commission on US listed stocks and ETFs. Both figures are restated from each broker's own pricing page; for small non-USD accounts, currency conversion usually costs more than commission does.

Which is better regulated?

Pepperstone is authorised by FCA, ASIC, CySEC, DFSA, BaFin; Charles Schwab by SEC. What matters is which entity holds your account, since that determines your compensation scheme and leverage limits.

Reviewed August 2026. Figures restated from each broker's published pages.