SCHW Charles Schwab Corporation

The Charles Schwab Corporation released its Monthly Activity Report today. Company highlights for the month of May 2019 include:

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• Core net new assets brought to the company by new and existing clients in May 2019 totaled $17.3 billion. Net new assets excluding mutual fund clearing totaled $17.0 billion.

• Total client assets were $3.53 trillion as of month-end May, up 5% from May 2018 and down 4% compared to April 2019.
• Average interest-earning assets on the company’s balance sheet were $263.7 billion in May, up 9% from May 2018 and down 2% compared to April 2019.

  The Charles Schwab Corporation Monthly Activity Report For May 2019                                  

2018

2019  

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Market Indices (at month end) Dow Jones Industrial Average 24,416 24,271 25,415 25,965 26,458 25,116 25,538 23,327 25,000 25,916 25,929 26,593 24,815 (7%) 2% Nasdaq Composite 7,442 7,510 7,672 8,110 8,046 7,306 7,331 6,635 7,282 7,533 7,729 8,095 7,453 (8%) - Standard & Poor’s 500 2,705 2,718 2,816 2,902 2,914 2,712 2,760 2,507 2,704 2,784 2,834 2,946 2,752 (7%) 2% Client Assets (in billions of dollars) Beginning Client Assets 3,312.1 3,378.1 3,397.0 3,477.9 3,555.9 3,563.7 3,388.1 3,431.9 3,252.2 3,447.7 3,533.0 3,585.4 3,668.5 Net New Assets 19.4 24.1 16.3 20.8 16.4 14.9 15.6 24.8 15.1 18.3 18.3 (0.3 ) 17.3 N/M (11%) Net Market Gains (Losses) 46.6     (5.2 )   64.6     57.2     (8.6 )   (190.5 )   28.2     (204.5 )   180.4     67.0     34.1     83.4     (155.2 ) Total Client Assets (at month end) 3,378.1     3,397.0     3,477.9     3,555.9     3,563.7     3,388.1     3,431.9     3,252.2     3,447.7     3,533.0     3,585.4     3,668.5     3,530.6   (4%) 5% Core Net New Assets (1) 19.4 24.1 16.3 20.8 16.4 14.9 15.6 24.8 15.1 18.3 18.3 (0.3 ) 17.3 N/M (11%) Receiving Ongoing Advisory Services (at month end) Investor Services 279.1 280.0 287.0 292.0 292.7 280.3 284.7 272.4 286.9 294.2 298.4 305.7 298.5 (2%) 7% Advisor Services (2) 1,478.0 1,488.7 1,525.5 1,555.3 1,559.2 1,485.8 1,510.1 1,436.1 1,514.2 1,551.6 1,572.8 1,608.0 1,554.6 (3%) 5% Client Accounts (at month end, in thousands) Active Brokerage Accounts (3) 11,145 11,202 11,243 11,310 11,423 11,479 11,529 11,593 11,653 11,712 11,787 11,870 11,929 - 7% Banking Accounts (4) 1,240 1,250 1,262 1,274 1,283 1,289 1,297 1,302 1,312 1,313 1,300 1,310 1,323 1% 7% Corporate Retirement Plan Participants 1,599 1,599 1,611 1,621 1,627 1,634 1,639 1,655 1,679 1,685 1,684 1,690 1,699 1% 6% Client Activity New Brokerage Accounts (in thousands) 122 121 118 132 119 133 115 132 131 115 140 147 123 (16%) 1% Inbound Calls (in thousands) 1,852 1,814 1,849 1,964 1,715 1,976 1,681 1,839 1,924 1,742 1,882 1,966 1,671 (15%) (10%) Web Logins (in thousands) 56,234 56,491 57,137 62,797 53,923 59,261 54,654 53,920 64,563 60,121 63,692 65,669 61,522 (6%) 9% Client Cash as a Percentage of Client Assets (5) 10.6% 10.7% 10.5% 10.4% 10.3% 11.1% 11.2% 12.8% 11.7% 11.5% 11.3% 10.9% 11.3% 40 bp 70 bp

Mutual Fund and Exchange-Traded Fund

Net Buys (Sells) (6, 7) (in millions of dollars) Large Capitalization Stock 953 981 486 918 311 308 331 717 1,343 1,109 1,045 980 1,114 Small / Mid Capitalization Stock 753 1,195 768 (186 ) 151 (1,344 ) (456 ) (1,414 ) 1,329 638 302 136 (190 ) International 372 (498 ) (529 ) 186 (88 ) (109 ) (418 ) (2,163 ) 2,212 1,086 1,274 863 (100 ) Specialized (19 ) 383 520 (245 ) 73 (914 ) (397 ) (2,105 ) 124 609 750 (109 ) (440 ) Hybrid (241 ) (288 ) (548 ) (678 ) (324 ) (1,313 ) (1,248 ) (2,985 ) (321 ) (309 ) (357 ) (228 ) (316 ) Taxable Bond 1,002 928 879 965 1,371 (351 ) (836 ) (4,342 ) 3,956 2,871 1,923 3,029 1,821 Tax-Free Bond 449 588 306 559 262 (591 ) (407 ) (409 ) 1,184 1,111 1,133 760 1,057 Net Buy (Sell) Activity (in millions of dollars) Mutual Funds (6) (88 ) 555 (522 ) (1,936 ) (1,538 ) (5,734 ) (7,955 ) (21,372 ) 6,740 2,312 1,850 1,860 86 Exchange-Traded Funds (7) 3,357 2,734 2,404 3,455 3,294 1,420 4,524 8,671 3,087 4,803 4,220 3,571 2,860 Money Market Funds (2,245 ) (4,919 ) (4,801 ) 704 (1,933 ) 2,546 8,515 13,548 4,944 (1,577 ) 1,785 (2,097 ) 5,067 Average Interest-Earning Assets (8) (in millions of dollars) 242,584 249,432 254,211 259,137 261,741 264,156 265,648 274,913 277,068 270,718 272,727 270,308 263,718   (2%) 9% (1)   Net new assets before significant one-time inflows or outflows, such as acquisitions/divestitures or extraordinary flows (generally greater than $10 billion) relating to a specific client. These flows may span multiple reporting periods. (2) Excludes Retirement Business Services. (3) In September 2018, the definition of active brokerage accounts was standardized across all account types as accounts with activity within the preceding 270 days. This change increased active accounts by approximately 63,000. (4) In March 2019, banking accounts were reduced by approximately 23,000 as a result of inactive account closures. (5) Schwab One®, certain cash equivalents, bank deposits and money market fund balances as a percentage of total client assets. (6) Represents the principal value of client mutual fund transactions handled by Schwab, including transactions in proprietary funds. Includes institutional funds available only to Investment Managers. Excludes money market fund transactions. (7) Represents the principal value of client ETF transactions handled by Schwab, including transactions in proprietary ETFs.

(8)

Represents average total interest-earning assets on the company's balance sheet. N/M Not meaningful.  

About Charles Schwab

The Charles Schwab Corporation (NYSE: SCHW) is a leading provider of financial services, with more than 360 offices and 11.9 million active brokerage accounts, 1.7 million corporate retirement plan participants, 1.3 million banking accounts, and $3.53 trillion in client assets as of May 31, 2019. Through its operating subsidiaries, the company provides a full range of wealth management, securities brokerage, banking, asset management, custody, and financial advisory services to individual investors and independent investment advisors. Its broker-dealer subsidiary, Charles Schwab & Co., Inc. (member SIPC, http://www.sipc.org), and affiliates offer a complete range of investment services and products including an extensive selection of mutual funds; financial planning and investment advice; retirement plan and equity compensation plan services; referrals to independent fee-based investment advisors; and custodial, operational and trading support for independent, fee-based investment advisors through Schwab Advisor Services. Its banking subsidiary, Charles Schwab Bank (member FDIC and an Equal Housing Lender), provides banking and lending services and products. More information is available at www.schwab.com and www.aboutschwab.com.

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MEDIA:Mayura HooperCharles SchwabPhone: 415-667-1525

INVESTORS/ANALYSTS:Rich FowlerCharles SchwabPhone: 415-667-1841