Next.Direct conference – Schwab ready for Aussie roll out

The much anticipated Australian arrival of US based online investment giant Charles Schwab’s has been confirmed for mid June.

Charles Schwab Australia chief executive officer Lynnda Sarinke told the recent Next Direct conference that the group will roll out services from June as a part of the joint venture with ecorp.

Schwab has more than 2.5 million mainly American online customers and more than US$300 billion in assets under management. The group acquired a 50 per cent stake in Online Broker Holdings in December - a subsidiary of ecorp which offers non-advisory stockbroking capabilities to Australian investors. It will replace the already existing online brokerage service, Share Trade Australian stock broking, and be renamed Charles Schwab Australia.

Sarinke told the conference Schwab's Australian strategy revolved around education and providing transaction tools.

"We are finding ways of creating smarter investors, through the provision of a lot of education and tools online," Sarinke said.

"We are still studying the Australian market, however it is very automated. Australian dealers are the same as floor stock brokers.

"Technology has been a big part of our business at Schwab for many years. We embedded technology into all of our operations - and most importantly, into the lives and thinking of our employees so the Internet was just an obvious next step," she says.

According to Schwab, the joint venture will offer the same services currently available through the Share Trade website, providing equities and options trading on the Australian Stock Exchange. The services will be available through ShareTrade's Web site as well as its offices in Sydney, Melbourne, Brisbane and Perth.