Key facts
- Charles Schwab reported a record second-quarter profit.
- Daily average trading volume rose 57% to 11.9 million.
- Trading revenue increased by 28%.
- 1.4 million new brokerage accounts were opened.
- The firm attracted $119.8 billion in core net new assets.
- Asset management and administration fees grew to $1.83 billion.
- Net income was $2.8 billion, or $1.54 per share.
Charles Schwab announced a record second-quarter profit, driven by increased trading activity and higher asset management fees. The brokerage firm reported a 57% year-over-year increase in daily average trading volume, which reached 11.9 million, and a 28% surge in trading revenue. Investors opened 1.4 million new brokerage accounts and brought $119.8 billion in core net new assets to the firm during the quarter. U.S. stock markets also experienced a rally, contributing to optimism. Asset management and administration fees grew by 16.2% to $1.83 billion. The company's net income for the three months ended June 30 was $2.8 billion, or $1.54 per share, compared to $2.13 billion, or $1.08 per share, a year earlier. CFO Mike Verdeschi attributed the robust results to the firm's ability to serve clients throughout their financial lives.