Though Charles Schwab and Vanguard both offer brokerage services, each firm showcases two considerably different business models. Schwab and Vanguard, both pioneer discount brokerages, generally offer the same investment products, including exchange-traded funds (ETFs) and mutual funds.

Schwab offers clients a wider range of services, but Vanguard’s investment advice and low costs could be more suitable for a retirement saver or less-active investor.

Both companies offer wealth management services, although Vanguard is more suitable overall for passive investors interested in mutual funds, ETFs and other low-cost investment strategies. These represent some of the best ways to invest over the long-term.

Charles Schwab vs. Vanguard: Overview