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Charles Schwab SCHW has reported its monthly activity report for April 2024. The company’s core net new assets of $1 billion declined 98% from the previous month’s level but increased 143% from the prior-year month.

Schwab’s total client assets in April 2024 were $8.85 trillion, down 3% from the March 2024 level and up 16% from April 2023. Client assets receiving ongoing advisory services were $4.50 trillion, down 3% from the prior month and up 15% year over year.

Schwab’s average interest-earning assets of $423.5 billion in April declined 2% from the March 2024 level and 14% year over year. Average margin balances were $68.8 billion, up 4% from the previous month’s level and 14% on a year-over-year basis. Average bank deposit account balances totaled $88.8 billion in April, down 2% from last month’s actual and down 15% from April 2023.

The company opened 361,000 new brokerage accounts in April 2024, down 6% sequentially and up 9% from the year-earlier month.

Schwab’s active brokerage accounts totaled 35.43 million at the end of April 2024, which was stable on a sequential basis and up 3% from the year-ago month. Client banking accounts were 1.90 million, up 1% sequentially and 8% from the April 2023 figure. The number of workplace plan participant accounts was unchanged from the prior month’s level and up 8% year over year to 5.28 million.

In the past six months, Schwab shares have rallied 38.4% compared with the industry’s rise of 31.4%.

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Currently, SCHW carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Competitive Landscape

Interactive Brokers Group, Inc. IBKR released the Electronic Brokerage segment’s performance metrics for April 2024. The segment deals with the clearance and settlement of trades for individual and institutional clients globally. It reported a rise in client Daily Average Revenue Trades (DARTs) on a year-over-year basis. However, the metric declined sequentially.

IBKR’s total client DARTs for April were 2,339,000, which increased 32.5% from April 2023 but dipped 3% from the last month.

Another brokerage firm, LPL Financial LPLA, is expected to come out with its monthly activity report soon.

Currently, IBKR carries a Zacks Rank #2 (Buy) and LPLA has a Zacks Rank of 3.

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