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Schwab Stock Plummets as Client Assets Witness a Decline in August

Assets, August, Client, Decline, Plummets, Schwab, Stock, Witness

Charles Schwab Corp. Stock Falls in Pre-Market Trading

Charles Schwab Corp.’s stock, with the ticker symbol SCHW, fell 2.5% in premarket trading on Friday. This drop in stock price came after the company reported a decline in average interest-earning assets for the month of August.

Decline in Assets

  • In August, average interest-earning assets were down 23% compared to the same period last year, amounting to $449.5 billion.
  • Compared to July, these assets were down by 4%.

Successful Conversion of Ameritrade Customers

Despite the decline in assets, Charles Schwab Corp. announced that its Labor Day Weekend conversion of former Ameritrade customers was a “tremendous success.” The company successfully migrated $1.3 trillion in client assets from over 7,000 registered advisory firms and 3.6 million retail accounts.

Core Net New Assets

In August, the company brought in $28.1 billion in core net new assets, excluding Ameritrade.

Total Client Assets

As of the end of August, total client assets for Charles Schwab Corp. were $8.09 trillion. This represents a 14% increase compared to the previous year, but a 2% decrease compared to the previous month.

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