Charles Schwab exists to help people achieve better financial outcomes
We offer investors a contemporary, full-service approach to build and manage their investments, providing investment-related products, services, and sophisticated financial planning that combine the best of what people and technology have to offer.
Charles Schwab: Oh, my god. There I am.
Charles Schwab: These are sort of tinted, but I'll put them on. There I am. My prescription's changed a little bit, but this is basically what I looked like. However, my hair was a little bit of different color. Back in '75. It was very brown.
Charles Schwab: Wall Street, they're huge. They had all the money. That's where all the money was in the United States, sitting around Wall Street. I was an analyst and a portfolio manager, so I began really understanding the brokerage industry as such. What I didn't want to be.
Charles Schwab: Brokers were basically selling stories. The broker would run into you someplace and sell you, say, "Hey, I got a really good idea for you. It's going to go to the moon. You'd better hop on." Inside information was rampant then.
Speaker 2: Relax, will you? Believe me, you made the right move.
Speaker 3: You really think so?
Speaker 2: Why, sure. We got the inside track.
Charles Schwab: Some people would call that being a con man. That was the industry. There was fixed prices so extraordinary high only the wealthiest people in the world could participate. It was a highly conflicted business. I wanted to have a firm that was free of the huge conflicts that I saw in the business, so I started Charles Schwab & Company.
Charles Schwab: I was a pariah, oh, for sure. I was this little guy on the West Coast, and access to capital for me was a fundamental problem because I couldn't access Wall Street. They didn't want to finance their competitor. I mortgaged my house. You name it. I went to relatives, went to friends. "I hope Chuck doesn't come and ask me for money, because it's just not what I want to do." They regretted it later on.
Charles Schwab: The magic moment: May one of '75; May Day. Congress passed laws to outlaw fixed commissions. In essence, really democratize the business, bring it open to anybody. If you got $100, you're in. Article was in the paper, Merrill Lynch raised their rates. I was very happy that day, because I would've thought that Merrill would've dropped their rates substantially and we would've had no business. But we dropped our rates 50%, 60%, something like that, and it just created a huge opportunity for us to take our little business and grow it like crazy.
Charles Schwab: We were growing so fast, we wanted to get everybody in.
Speaker 4: At three-quarters-
Charles Schwab: We didn't incentivize our people. One way or another, they all made salaries. That was really revolutionary. Here was this little guy from the West Coast, undermining Wall Street. Right now we have about nearly $4 trillion, with a T, in client accounts with us. $4 trillion. Incredible. Yeah.
Speaker 5: Do you ever grapple with that, that you started out to balk the status quo and now you are the status quo?
Charles Schwab: I hope we're not the status quo; I hope we are not. I hope we are, continue to be, agents of change for the better. Just treat people like you'd like to be treated. It's pretty simple. Not a big something from the top of the mountain; it's right there.
Charles Schwab: Anyway, it's all true.
Our belief in the power of investing is a perspective that's influenced our company from the beginning and creates a powerful bond between us and the investors, employers, and advisors we serve.
Making a Commitment
More than 45 years ago, Schwab made a commitment to individual investors. We've been making that commitment to employers and independent advisors every day.
Soft music plays.
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Over 45 years ago
Schwab made a commitment
to individual investors.
We’ve been making that
commitment to employers
and independent advisors.
Every day.
Man [off-screen]: Cameras ready? In four, three, two…
Energetic music plays.
A woman in a newsroom walks past the cameras to the main news desk. Someone checks the sound equipment as the woman is fitted with a body mic on her blazer. The ceiling lights in the lobby of a Schwab building turn on. In the newsroom, an employee signals the woman that they’re about to roll the cameras. The sound equipment is adjusted one last time as an “ON AIR” sign lights up. People wearing headsets behind the scenes check that the equipment is running smoothly for the woman about to be recorded: Liz Ann Sonders.
Liz Ann [onscreen]: Investing should never, ever be about a moment in time. Investing should always be a process over time.
Fog rolls over an urban park at sunrise. A man unlocks a revolving door, and the lights in a Charles Schwab branch office come on. A suburban house stands in the sunlight, and inside a man is tying his tie. He speaks with his wife.
Husband: My brother called.
Wife: Oh really? How is he?
Husband: He’s retiring.
They stand at the kitchen island. The wife takes off her glasses.
Wife: Wow, nice for him.
Husband: Yeah, but what about us?
They stand silently for a moment, looking at each other.
A hospital admin walks down the stairs of Metropolitan General Hospital with a Schwab representative. They continue talking while walking down a hallway.
Hospital admin: What are my peers doing with their 401(k) plans? What’s going on out there? Are we competitive?
People ride bikes outside an office building while others walk up the stairs inside. A company representative approaches the entrance with two Schwab reps. An employee in the lobby looks up from his computer, and a woman somewhere inside the office is giving a presentation. The company rep and Schwab reps sit on sunlit couches in a common area talking.
Company rep: In tech, getting talent is the name of the game, and our stock plan is key. How can you help us?
A young man hugs a woman before getting into the back of a car. He types on his phone while facing the open window, and then video-calls a Schwab Intelligent Portfolios Premium advisor.
Young man: If I want to buy a house in, say, five years, what do I need to do today?
A financial consultant in a suit walks onto a train, sits down, pulls out his computer, and begins typing an email to his Schwab advisor.
Financial consultant: My advisory firm is growing. How can Schwab help me spend more time with my clients?
A blonde-haired man unrolls a building plan inside a space that is being renovated. Two Schwab reps walk up to him and shake his hand. The man then goes on a walk with one of the reps to chat.
Man: I put a lot on the line going independent. You guys really going to have my back?
A gray-haired man walks down a city street with dozens of other people and boards a ferry, with the city shoreline in the background. He stands by the railing while talking into an earpiece.
Gray-haired man: I’m looking for core products for my client’s 401(k). Something with a track record.
The Schwab rep sits across from the company rep in the sunlit common area and answers his question with confidence.
Schwab rep: We have lots of ways to help.
The Schwab rep walking down the hallway with the hospital admin responds to her question.
Schwab rep: We can help you with that.
The Schwab rep meeting with the blonde-haired man answers his question.
Schwab rep: We are here to support you.
The music swells as an aerial view of a suburban area appears.
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Our answers today
The husband and wife stand close together in front of their house.
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help investors
The hospital admin stands with her arms crossed in the hospital hallway.
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help employers
The financial advisor stands in the train terminal.
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help advisors
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Own your tomorrow®
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The Charles Schwab Corporation provides a full range of brokerage, banking and financial advisory services through its operating subsidiaries.
©2021 The Charles Schwab Corporation. All rights reserved. (0921-1ZL6)
Who We Serve
Who We Serve
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Individual InvestorsDriven, motivated people who believe that personal engagement, a sense of ownership, and a commitment to investing gives them control over their financial futures.
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AdvisorsIndependent registered investment advisors who believe, like Schwab, that there's a better way to serve investors.
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EmployersEmployers, and the companies that serve them, understand the long-term, bottom-line value of helping employees toward achieving a secure retirement and optimizing other financial benefits.
Helping our clients
Everything we do as a company is focused on helping our clients take ownership of their financial future.
From the beginning, Schwab has championed investors, and the advisors and employers who serve them.
We measure our success by getting investing right for our clients so they can achieve their goals and take charge of their financial future.
“…Schwab is a place that I think has deep empathy for people who start out in life with meager beginnings... but they have a spirit, a spirit about the opportunities out there...”
“… I studied investments quite a bit through school and got to know the landscape pretty well back then… It was very much closed off to the common man…”
“and I began becoming very aware of all the kinds of abuses that I saw towards individual investors…”
“And so…I started to form in my own mind, the kind of company I wanted to develop, one that was really focused on individual investors…”
… That mission of ours was to make it more and more open, for the public to invest and discover…”
“…So we laid-out to bare all the costs…and that’s why all of a sudden…we saw floods of people, average people coming to firms like Schwab”.
“And it was this transparency that really, I think, above everything else made the public see the advantage of dealing with firms like ourselves…”
“Investing is – in a country like America – is absolutely essential for almost everyone…”
“And when you go to – investing – it requires engagement…”
“...engagement is about commitment. It’s about spending time on the things that are really important to you. This means asking tough questions, doing your homework.”
“…there’s nothing more powerful for someone to accept the fact that they are truly the owners of their own future…”
“and Owners are engaged. They don’t let someone else run their life. They run their own life. They take full responsibility for their outcomes.”
Seeing the world "Through Clients' Eyes" has shaped our trajectory
Putting clients at the heart of the experience has enabled us to create products, services and platforms that have shaped our industry and helped clients meet their financial goals. Here are some highlights:
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1975Chuck Schwab Creates a Discount Brokerage
When the SEC deregulated securities commissions, many Wall Street firms raised their commissions. Chuck Schwab cut his and established one of the first discount brokerages
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1982Schwab Embraces 24/7 Service
The accepted rule was that firms closed when the markets closed. Schwab understood that clients didn't keep bankers' hours and chose to offer 24/7 order entry and quote service.
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1987Financial Advisor Service Launches
Serving independent investment advisors, Financial Advisor Service exceeds $1 billion in client assets after just one year of business.
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1992Mutual Funds: Access, Convenience, Low Cost
Mutual fund investors used to face sales loads and other transaction fees through their broker, or had to set up multiple accounts with multiple mutual fund companies to buy direct without transaction fees. Schwab thought this an unnecessary compromise and created Schwab Mutual Fund OneSource®—a one-stop way to invest in a wide array of no-load funds without transaction fees.1
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1996Low-Cost Online Trading
At the risk of substantial cuts to its commission revenue, Schwab embraced low-cost online investing in the early days of the internet because it benefited the consumer.
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2002Quantitative Fact-Based Ratings
Investors deserved a fact-based system to assess whether a stock was right to consider buying, selling, or holding. Stock lists at traditional firms were biased toward "buy" and depended heavily on qualitative, subjective assessments. Schwab didn't think that benefited the clients, so it launched Schwab Equity Ratings, a system that ranked over 3,000 stocks, with equal numbers of buys and sells.
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2005Checking Meets Investing
Clients should have easy access to their money at all times, whether depositing a check or investing in a mutual fund. That's why Schwab Bank created its Investor Checking™ account, to provide investors with banking without unnecessary costs.
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2006Affordable Professional Investment Advice
Managed portfolios provide a convenient way to access professional investment advice, but the cost had been historically high. Schwab Managed Portfolios™ addressed this by providing broadly diversified portfolios with competitive costs.
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2009Commission-Free ETFs
ETFs provide a great way to get access to a range of asset classes and to build a diversified portfolio. But with commissions, an investor who dollar-cost averages can have their investment undercut by expenses. Commission-free ETFs at Schwab broke new ground by making it possible to build a low-cost diversified portfolio simply.2
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2012A New 401(k) Option
Personalized low-cost advice may help 401(k) participants reach their retirement goals and achieve better outcomes, but they typically receive single-factor advice found in target-date funds. Schwab Retirement Plan Services, Inc. (SRPS) believed there was another way and developed a groundbreaking approach to the 401(k) combining low-cost index mutual funds or exchange-traded funds offered through SRPS, an FDIC-insured deposit feature, and professional savings and investment advice provided by an independent third-party advisor.
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2013Accountability as Policy
At Schwab, we believe that every investor deserves accountability. The Schwab Accountability Guarantee™ provides that if, for any reason, a client is not happy with one of our participating investment advisory services, we'll refund the client's service fee from the previous quarter.3 While it's no guarantee against loss, and other fees and expenses may still apply, we stand by our word and will work with the client to make things right.
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2015Automated and Simple Investing
Many investors want and need help managing their money but don't want to spend a lot of time on it and don't want to pay a fee for the service. Schwab Intelligent Portfolios™, offered by Schwab Wealth Investment Advisory, Inc., is an online investment advisory service that builds, monitors, and rebalances your portfolio automatically, making access to automated portfolio management convenient and with no advisory fees, account service fees, or commissions charged.
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2019$0 Commissions on Online Stock, ETF, and Options Trades
Schwab makes an industry-leading move that eliminates a barrier to making investing more accessible to everyone, reducing U.S. stock, ETF and options online trade commissions from $4.95 to $0.4
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2020Combining Two Award-Winning Companies
Charles Schwab completes the acquisition of TD Ameritrade and starts the integration of the two companies that will be uniquely positioned to serve the investment, trading and wealth management needs of investors across every phase of their financial journeys.5
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For more information:
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Disclosures
[1] Schwab’s short-term redemption fee of $49.95 will be charged on redemption of funds purchased through Schwab’s Mutual Fund OneSource service (and certain other funds with no transaction fees) and held for 90 days or less. Schwab reserves the right to exempt certain funds from this fee, including Schwab Funds, which may charge a separate redemption fee, and funds that accommodate short-term trading.
Trades in no-load mutual funds available through the Mutual Fund OneSource service (including Schwab Funds), as well as certain other funds, are available without transaction fees when placed through Schwab.com or our automated phone channels. For each of these trade orders placed through a broker, a $25 service charge applies. Schwab reserves the right to change the funds we make available without transaction fees and to reinstate fees on any funds. Charles Schwab & Co., Inc. receives remuneration from fund companies participating in the Mutual Fund OneSource service for recordkeeping and shareholder services and other administrative services. Schwab also may receive remuneration from transaction fee fund companies for certain administrative services.
[2] Conditions Apply: Trades in ETFs available through Schwab ETF OneSource™ (including Schwab ETFs™) are available without commissions when placed online in a Schwab account. Service charges apply for trade orders placed through a broker ($25) or by automated phone ($5). An exchange processing fee applies to sell transactions. Certain types of Schwab ETF OneSource transactions are not eligible for the commission waiver, such as short sells and buys to cover (not including Schwab ETFs). Schwab reserves the right to change the ETFs we make available without commissions. All ETFs are subject to management fees and expenses. Please see Charles Schwab Pricing Guide for additional information.
Charles Schwab & Co., Inc. receives remuneration from third-party ETF companies participating in Schwab ETF OneSource™ for record keeping, shareholder services and other administrative services, including program development and maintenance.
[3] Schwab Accountability Guarantee is now Schwab Satisfaction Guarantee. If you are not completely satisfied for any reason, at your request, Charles Schwab & Co., Inc. ("Schwab"), Charles Schwab Bank, SSB ("Schwab Bank"), or another Schwab affiliate, as applicable, will refund any eligible fee related to your concern. Refund requests must be received within 90 days of the date the fee was charged. Schwab reserves the right to change or terminate the guarantee at any time. Go to schwab.com/satisfaction to learn what's included and how it works.
[4] Standard online $0 commission does not apply to over-the-counter (OTC) equities, transaction-fee mutual funds, futures, fixed-income investments, or trades placed directly on a foreign exchange or in the Canadian market. Options trades will be subject to the standard $0.65 per-contract fee. Service charges apply for trades placed through a broker ($25) or by automated phone ($5). Exchange process, ADR, and Stock Borrow fees still apply. See the Charles Schwab Pricing Guide for Individual Investors for full fee and commission schedules.
Investment returns will fluctuate and are subject to market volatility, so that an investor's shares, when redeemed or sold, may be worth more or less than their original cost. Unlike mutual funds, shares of ETFs are not individually redeemable directly with the ETF. Shares are bought and sold at market price, which may be higher or lower than the net asset value (NAV).
Outcomes are not guaranteed.
Fund operating expenses represent the total of all of a fund's annual fund operating expenses. Management fees are one component of the fund operating expenses. Index funds generally have low management fees because they don't have to pay investment managers to actively manage underlying investments.
Schwab Bank High Yield Investor Checking accounts are available only as linked accounts with Schwab One® accounts. The Schwab One brokerage account has no minimum balance requirements, and there is no requirement to fund this account, when it is opened with a linked High Yield Investor Checking account.
Schwab Index Advantage® provides a combination of index funds with low operating expenses, built-in independent professional advice available through Schwab Retirement Planner®, and Schwab Bank Savings, an interest-bearing, FDIC-insured savings feature available through Charles Schwab Bank. Schwab Retirement Planner provides participants with a fee-based retirement savings and investment strategy, a major component of which is a discretionary investment management service furnished by independent registered investment advisors GuidedChoice Asset Management, Inc.® ("GuidedChoice") or Morningstar Associates, LLC, a wholly owned subsidiary of Morningstar, Inc. GuidedChoice and Morningstar Associates are not affiliated with or agents of Schwab Retirement Plan Services, Inc.; Charles Schwab & Co., Inc., a federally registered investment advisor; or their affiliates. Schwab Index Advantage, including the Schwab Retirement Planner feature, is only available in select retirement plans serviced by Schwab Retirement Plan Services, Inc. Schwab Retirement Plan Services, Inc. and Schwab Retirement Plan Services Company provide recordkeeping and related services with respect to retirement plans.
[5] TD Ameritrade, Inc. and TD Ameritrade Clearing, Inc., members FINRA/SIPC, are separate but affiliated companies and subsidiaries of TD Ameritrade Holding Corporation. TD Ameritrade Holding Corporation is a wholly owned subsidiary of The Charles Schwab Corporation. TD Ameritrade is a trademark jointly owned by TD Ameritrade IP Company, Inc. and The Toronto-Dominion Bank.
The Charles Schwab Corporation provides a full range of securities, brokerage, banking, money management, and financial advisory services through its operating subsidiaries. Its broker-dealer subsidiary, Charles Schwab & Co., Inc. (“Schwab”), Member SIPC, offers investment services and products, including Schwab brokerage accounts. Its banking subsidiary, Charles Schwab Bank (member FDIC and an Equal Housing Lender), provides deposit and lending services and products.
Schwab Advisor Services™ serves independent investment advisors and includes the custody, trading, and support services of Schwab. Independent investment advisors are not owned, affiliated with, or supervised by Schwab. Schwab Retirement Plan Services, Inc. and Schwab Retirement Plan Services Company provide recordkeeping and related services with respect to retirement plans.
Schwab Intelligent Portfolios™ charges no advisory fees. Schwab affiliates do earn revenue from the underlying assets in Schwab Intelligent Portfolios accounts. This revenue comes from managing Schwab ETFs™ and providing services related to certain third-party ETFs that can be selected for the portfolios, and from the cash feature on the accounts. Revenue may also be received from the market centers where ETF trade orders are routed for execution. Accounts must maintain a minimum balance of $5,000 to be eligible for automatic rebalancing. Please read the Schwab Intelligent Portfolios™ disclosure brochures for important information.
Schwab Intelligent Portfolios™ is made available through Schwab Wealth Investment Advisory, Inc. (“SWIA”), a registered investment advisor. Portfolio management services are provided by Charles Schwab Investment Advisory, Inc. (“CSIA”). SWIA and CSIA are affiliates of Charles Schwab & Co., Inc. (“Schwab”) and subsidiaries of The Charles Schwab Corporation.
Schwab Equity Ratings and the general buy/hold/sell guidance are not personal recommendations for any particular investor or client and do not take into account the financial, investment or other objectives or needs of, and may not be suitable for, any particular investor or client. Investors and clients should consider Schwab Equity Ratings as only a single factor in making their investment decision while taking into account the current market environment.
Schwab Equity Ratings are assigned to approximately 3,000 of the largest (by market capitalization) U.S. headquartered stocks using a scale of A, B, C, D and F. Schwab's outlook is that A-rated stocks, on average, will strongly outperform and F-rated stocks, on average, will strongly underperform the equities market over the next 12 months. Each of the approximately 3,000 stocks rated in the Schwab Equity Ratings universe is given a score that is derived from several research factors. The assignment of a final Schwab Equity Rating depends on how well a given stock scores on each of the factors and then how that stock stacks up against all other rated stocks.
Investment returns will fluctuate and are subject to market volatility, so that an investor's shares, when redeemed or sold, may be worth more or less than their original cost. Unlike mutual funds, shares of ETFs are not individually redeemable directly with the ETF. Shares are bought and sold at market price, which may be higher or lower than the net asset value (NAV).
Schwab ETFs are distributed by SEI Investments Distribution Co. (SIDCO). SIDCO is not affiliated with Charles Schwab & Co., Inc. Learn more at schwab.com/SchwabETFs.
Schwab Retirement Plan Services, Inc., a wholly owned subsidiary of The Charles Schwab Corporation provides recordkeeping and related services with respect to retirement plans.
Equity compensation plan services and other financial and retirement services to corporations and executives are provided through Charles Schwab & Co., Inc.
Schwab Wealth Advisory™ ("SWA") is a non‐discretionary investment advisory program sponsored by Charles Schwab & Co., Inc. ("Schwab"). Schwab Wealth Advisory, Inc. ("SWAI") is a Registered Investment Adviser and provides portfolio management for the SWA program. Schwab and SWAI are affiliates and are subsidiaries of The Charles Schwab Corporation.