Charles Schwab Corp. SCHW

The Charles Schwab Corporation (CSC), incorporated on November 25, 1986, is a savings and loan holding company. The Company, through its subsidiaries, engages in wealth management, securities brokerage, banking, money management and financial advisory services. The Company provides financial services to individuals and institutional clients through two segments: Investor Services and Advisor Services. The Investor Services segment provides retail brokerage and banking services, retirement plan services and other corporate brokerage services. The Advisor Services segment provides custodial, trading, and support services as well as retirement business services. The Company's subsidiaries include Charles Schwab & Co., Inc. (Schwab), which is a securities broker-dealer with over 335 domestic branch offices in 46 states, as well as a branch in each of the Commonwealth of Puerto Rico and London, England, and serves clients in Hong Kong through one of the Company's subsidiaries, as of December 31, 2016; Charles Schwab Bank (Schwab Bank), which is a federal savings bank located in Nevada, and Charles Schwab Investment Management, Inc. (CSIM), which is the investment advisor for Schwab's mutual funds referred to as the Schwab Funds, and Schwab's exchange-traded funds (ETFs), referred to as the Schwab ETFs.

The Company offers a range of products to address individuals' varying investment and financial needs. Its product offerings include brokerage, mutual funds, ETFs, advice solutions, banking and trust. Brokerage provides a range of brokerage accounts with cash management capabilities. Mutual funds offer third-party mutual funds through the Mutual Fund Marketplace, including no-transaction fee mutual funds through the Mutual Fund OneSource service, which also includes proprietary mutual funds, plus mutual fund trading and clearing services to broker-dealers. Exchange-traded funds provide an offering of ETFs, including various third-party ETFs available without a commission through Schwab ETF OneSource. Advice solutions offer managed portfolios of both third-party mutual funds and ETFs, separately managed accounts, customized personal advice for portfolios, and specialized planning and full-time portfolio management. Banking offers checking and savings accounts, certificates of deposit, first lien residential real estate mortgage loans (First Mortgages), home equity loans and lines of credit (HELOCs), and pledged asset lines (PALs). Trust offers trust custody services, personal trust reporting services, and administrative trustee services.

Investor Services

The Company offers individual investors a multi-channel service delivery model, which includes online, mobile, telephone, and branch capabilities. Under this model, the Company offers personalized service while giving clients the choice of where, when, and how they do business with the Company. The Company's service delivery model provides access to a range of information, research, tools, trade execution, and administrative services, which clients can access according to their needs. It strives to educate and assist clients in reaching their financial goals. Educational tools include workshops, interactive courses, and online information about investing. Additionally, it provides various online research and analysis tools. Schwab Private Client features a personal advice relationship with a designated Portfolio Consultant (PC).

The Company provides investors access to professional investment management in a diversified account that is invested exclusively in either mutual funds or ETFs through the Schwab Managed Portfolios and Windhaven Investment Management, Inc. (Windhaven), or equity securities and ETFs through ThomasPartners programs. The Company also refers investors wanting to utilize a specific third-party money manager to direct a portion of their investment assets to the Schwab Managed Account program. Schwab Intelligent Portfolios are for clients looking to have their assets professionally managed through an automated online investment advisory service. Schwab and optionsXpress, Inc. (optionsXpress) both offer integrated Web and software-based trading platforms, which incorporate intelligent order routing technology, real-time market data, options trading, premium stock and futures research, and multi-channel access, as well as account and trade management features, risk management and decision support tools and dedicated personal support.

The Company offers a range of global investing capabilities, including online access to certain foreign equity markets with the ability to trade in their local currencies. The Investor Services segment also includes the retirement plan services, stock plan services, compliance solutions, mutual fund clearing services and off-platform sales business units. Retirement plan services offer a retirement plan product that provides plan sponsors a range of investment options, trustee or custodial services, and participant-level recordkeeping. Stock plan services offer equity compensation plan sponsors full-service recordkeeping for stock plans, stock options, restricted stock, performance shares and stock appreciation rights. Specialized services for executive transactions and reporting, grant acceptance tracking, and other services are offered to employers to meet the needs of administering the reporting and compliance aspects of an equity compensation plan. Compliance Solutions provide software and services for compliance departments of regulated companies and firms with special requirements to monitor employee personal trading, including trade surveillance technology. Mutual fund clearing services provide custody, recordkeeping, and trading services to banks, brokerage firms and trust companies.

Advisor Services

The Company is the provider of custodial, trading, banking and support services to registered investment advisors (RIAs). It also provides retirement business services to independent retirement advisors and record keepers. Advisor Services sponsors a range of national, regional, and local events. The Company offers a range of services, including business management and technology and operations consulting on a range of topics critical to an RIA's, including strategic business planning, client segmentation, growth strategies, technological strategies and succession planning. The Advisor Services Website provides interactive tools, educational content, and research reports to assist advisors thinking about establishing and managing their own independent practices.

The Advisor Services Website is the platform for RIAs to conduct business activities online with Schwab, including viewing and managing client account information and accessing news and market information. The Website provides account servicing capabilities for RIAs, including account opening, money movement, transfer of assets, trading, checking status and communicating with the Company's service team. The site provides multi-year archiving of statements, trade confirms, and tax reports, along with document search capabilities. The Company offers a range of services to help advisors establish their own independent practices through the business start-up solutions package. These services include access to service teams and outsourcing of back-office operations, as well as third-party firms providing assistance with real estate, errors and omissions insurance, and company benefits. The Company offers a range of educational materials, programs and events to RIAs.

The Advisor Services segment also includes the retirement business services and corporate brokerage retirement services business units. Retirement business services provide trust, custody, and retirement business services to independent retirement plan advisors and independent recordkeepers. Retirement business services also offers the Schwab Personal Choice Retirement Account, a self-directed brokerage offering for retirement plans. Corporate brokerage retirement services serve plan sponsors, advisors and independent recordkeepers focusing a brokerage-based account to hold retirement plan assets. Corporate Brokerage Retirement Services also offers the Schwab Personal Choice Retirement Account and the Company Retirement Account, both of, which are self-directed brokerage-based solutions designed to hold the assets of company-sponsored retirement plans.