Three customers have sued Charles Schwab Corp. over its payment-for-order-flow practices, charging that the brokerage giant didn't get them the best possible price for their orders.
The three — Jonathan Corrente, Charles Shaw and Leo Williams, represented by the law firm Bathaee Dunne — seek class certification, punitive and treble damages and restitution. They also want the court to order Schwab to disgorge its ill-gotten gains.
The plaintiffs claim that in the wake of Schwab’s acquisition of TD Ameritrade, the company receives more than half the order-flow payments made to brokerage firms. That, the plaintiffs claim, results in reduced competition among retail firms to remit more of the payments they receive in the form of rebates or price improvements to customers.
[More: Creative Planning lawsuit: Creative Planning, Schwab, Fidelity fighting adviser’s collusion charges]
Schwab called the complaints and lawsuit baseless, saying the action is “an obvious attempt to garner media attention.”
Chicago-based Mesirow Fiduciary Solutions adds flexPATH's plan-level outsourced fiduciary book, boosting its retirement market reach to $164 billion.
Also, Raymond James's employee advisor channel adds breakaways from Wells Fargo and Stifel, while UBS welcomes an ex-Morgan Stanley duo in Indiana.
It promised guaranteed principal and 10% monthly returns. The SEC says it invested nothing.
Ten years after entering the fee-based annuity market, MassMutual Ascend says nearly half its lifetime sales came in the past two years alone – but barriers remain among fee-only advisors.
Amplify, WealthReach, Zeplyn and Zocks have unveiled partnerships aimed at automating portfolio management, content creation, account opening, and client communication.
Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains
Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income
