Charles Schwab Corp. reported record earnings per share in the third quarter as clients opened new brokerage accounts and traded more amid volatile markets.
Adjusted earnings of 84 cents a share topped the 80-cent average estimate of analysts in a Bloomberg survey. Customers opened 1.2 million retail brokerage accounts, almost double the number added in the same period a year earlier, the company said Friday in a statement.
Average daily trades almost quadrupled to 5.5 million from a year earlier but fell from the previous quarter’s 6 million level.
Schwab is the largest U.S. brokerage, with $7.6 trillion in client assets, after buying TD Ameritrade last year. The Covid-19 pandemic brought a boom in retail trading that lifted major brokerages as well as upstart rivals such as Robinhood Markets Inc., which had roughly 22.5 million funded accounts at the end of June. About 32.7 million people have brokerage accounts with Schwab.
Schwab’s trading revenue of $964 million was more than five times its level a year earlier. That helped boost overall net revenue 87%, to $4.6 billion.
Shares of the brokerage, which have climbed 53% this year, rose 3.6% to a record $80.90 at 10:15 a.m. in New York.
The "Crypto Mom" departure would leave the SEC commission with just two members and no Democratic commissioners on the panel.
IFP Securities’ owner, Bill Hamm, has a long-term plan for the firm and its 279 financial advisors.
Meanwhile, a Osaic and Envestnet ink a new adaptive wealthtech partnership to better support the firm's 10,000-plus advisors, and RIA-focused VastAdvisor unveils native integrations with leading CRMs.
A former Alabama investment advisor and ex-Kestra rep has been permanently barred and penalized after clients he promised to protect got caught in a $2.6 million fraud.
As more active strategies get packaged into the ETF wrapper, advisors and investors have to look beyond expense ratios as the benchmark for value.
Wellington explores how multi strategy hedge funds may enhance diversification
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
