The wealth management and investment needs of a millionaire client and those of a multimillionaire are not the same ,and Charles Schwab wants to make the distinction.
With a fast-growing cohort of high-net-worth and ultra-high-net-worth clients among the $7.6 trillion in client assets it manages, the company is sharpening its focus on these two groups.
From now, Schwab has two brands to manage its wealthiest clients, with their level of investible assets determining which they will be automatically enrolled into:
Both sets of clients will have access to one of the firm’s dedicated consultants, who will help them manage every aspect of their finances, including creating a financial plan and directing them to other specialists within the firm on topics including tax, trust and estate planning, equity compensation, retirement planning, trading, and education and family support.
Several other benefits are common to both client streams but UNHW clients will also have an integrated banking and wealth management experience including access to a senior banker from Charles Schwab Premier Bank.
“These new experiences reflect our commitment to deliver meaningful differentiation for the growing number of wealthy clients we serve, who are increasingly attracted to our breadth of services and outstanding value,” said Jonathan Craig, managing director and head of investor services at Charles Schwab. “While we have been providing some of these benefits to clients for some time, we’re excited to introduce new benefits and package them all together into a premier experience, and we will continue to build on it with additional benefits and capabilities in the future.”
The wealthier segment of Schwab’s client base has seen significant growth in recent years and now represents more than two-thirds of its total retail client assets.
In the last five years, the HNW group has grown 10% annually, while the UHNW group has grown by almost 20% over the same period.
“These branded experiences underscore Schwab’s ability to meet the specific needs of our wealthier clients, but we are equally committed to ensuring that every client at Schwab receives a great experience, from those just getting started to those building wealth,” Craig said. “We are proud to offer a range of services and capabilities for investors at every stage of their investing journey with a focus on delivering low costs and great value, products and experiences that make investing easy and accessible, and exceptional client service.”
RIA aggregator adds $4.8 billion in client assets across seven states as demand grows for alternatives to traditional succession models.
As technical expertise becomes increasingly commoditized, advisors who can integrate strategy, relationships, and specialized expertise into a cohesive client experience will define the next era of wealth management
Shareholder targets FS KKR Capital's directors over alleged portfolio valuation and dividend missteps.
UBS has a history of costly litigation stemming from the sale of volatile investment products.
New director David Woodcock puts firms on notice over fees, conflicts, and liquidity risk as private credit shows signs of stress.
As technical expertise becomes increasingly commoditized, advisors who can integrate strategy, relationships, and specialized expertise into a cohesive client experience will define the next era of wealth management
Growth may get the headlines, but in my experience, longevity is earned through structure, culture, and discipline
