Schwab Soars on Earnings Beat as Firm Pays Down Costly Debt

Executives have since said the worst of those woes have subsided as it vowed to shrink the bank over time and prioritize paying down costlier debts.

Earlier this month, Schwab named Rick Wurster as the firm’s next chief executive officer, teeing him up to take over the retail brokerage business from long-time leader Bettinger who retires at the end of the year.

Wurster’s appointment followed other leadership shuffles, including the appointment of Mike Verdeschi — a Citigroup Inc. veteran — to take over as chief financial officer from Peter Crawford.

“Third quarter net asset gathering of over $95 billion pushed year-to-date core net new assets to $252 billion — up 10% versus 2023 year-to-date,” said Schwab CEO Walt Bettinger.

The firm reported $90.8 billion of total net new assets in the quarter, an 88% increase on the same period a year ago. Client transactional sweep cash balances finished September at $384 billion, the firm said.

(Credit: Bloomberg)