SAN FRANCISCO--(BUSINESS WIRE)--The Charles Schwab Corporation (“Schwab”) today announced it plans to integrate the award-winning thinkorswim® and thinkpipes® trading platforms, education and tools into its trader offerings for retail and independent advisor clients following its acquisition of TD Ameritrade.
“Our plan to adopt the thinkorswim suite of products and educational resources reflects its status as one of the strongest retail active trader platforms in the industry,” said Barry Metzger, Senior Vice President of Trading Services at Charles Schwab. “For users of Schwab’s StreetSmart Edge® platforms, there is no change. As we look ahead, we intend to thoughtfully combine the great capabilities, tools and service at both firms to provide a unified, world-class trading experience for clients.”
For advisors, the thinkpipes platform offers a multitude of features, including real-time charting and efficient trading and allocation, which have made it a market leader. “The combination of our respective trading teams’ experience and capabilities with the advanced trading technology of thinkpipes will create an even more compelling offer for advisors when integration is complete,” said Bernie Clark, Executive Vice President and Head of Schwab Advisor Services. Schwab also plans to retain TD Ameritrade Institutional’s customizable portfolio rebalancing solution iRebal® as part of its offering for independent advisor clients. Additional technology solutions continue to be evaluated for consideration as part of the combined platform.
While the company has said that adopting Schwab platforms and systems generally will be the most effective way to achieve a successful and timely integration, Executive Vice President of Schwab’s Integration Management Office Jason Clague asserted that “We are committed to leveraging material advantages in TD Ameritrade’s platforms when doing so enables us to deliver a differentiated experience to all of our clients. That commitment drove these decisions.”
“These decisions demonstrate Schwab’s dedication to continually innovating and enhancing the experience for our clients,” added Clague. “We will keep clients informed as plans take shape and the integration process unfolds in the months ahead.”
Integration is expected to take between 18 to 36 months to complete following the close.
On June 4, Schwab announced that the Antitrust Division of the United States Department of Justice (DOJ) informed Schwab that the DOJ closed its investigation of Schwab’s proposed acquisition of TD Ameritrade. Schwab stockholders approved the acquisition later that day during a special meeting of stockholders. Completion of the transaction remains subject to the satisfaction (or, to the extent permitted by applicable law, waiver) of the customary closing conditions set forth in the merger agreement, including receipt of other regulatory approvals. Subject to the satisfaction of those conditions, the parties continue to expect that the transaction will close in the second half of the year.
Once the deal closes, where and how clients of the two firms access their accounts, their pricing, and who they contact for service or advice will remain unchanged until the account conversion process begins.
About Charles Schwab
The Charles Schwab Corporation (NYSE: SCHW) is a leading provider of financial services, with more than 360 offices and 12.7 million active brokerage accounts, 1.7 million corporate retirement plan participants, 1.4 million banking accounts, and $3.50 trillion in client assets as of March 31, 2020. 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, 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.aboutschwab.com. Follow us on Twitter, Facebook, YouTube and LinkedIn.
Forward-Looking Statements
This press release contains forward-looking statements relating to Schwab’s acquisition of TD Ameritrade, including timing of the closing and integration. Achievement of these expectations is subject to risks and uncertainties that could cause actual results to differ materially from the expressed expectations.
Important factors that may cause such differences include, but are not limited to, failure of the parties to satisfy the closing conditions in the merger agreement in a timely manner or at all, including regulatory approvals; litigation challenging the merger; the risk that expected revenue, expense and other synergies from the transaction may not be fully realized or may take longer to realize than expected; the parties are unable to successfully implement their integration strategies; and disruptions to the parties’ businesses as a result of the announcement and pendency of the merger. Other important factors are set forth in Schwab’s and TD Ameritrade’s definitive joint proxy statement/prospectus dated May 4, 2020, as supplemented, and Schwab’s and TD Ameritrade’s most recent reports on Form 10-K and Form 10-Q.
Disclosures
TD Ameritrade, Inc., member FINRA/SIPC, and TD Ameritrade Clearing, Inc., member FINRA/SIPC, are subsidiaries of TD Ameritrade Holding Corporation (NASDAQ: AMTD). TD Ameritrade is a trademark jointly owned by TD Ameritrade IP Company, Inc. and The Toronto-Dominion Bank. TD AMERITRADE is the registered trademark of TD Ameritrade IP Company, Inc.
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