SCHWAB ACTIVATES FREE INVESTING IN MUTUAL FUNDS
SCHWAB ACTIVATES FREE INVESTING IN MUTUAL FUNDS SAN FRANCISCO, July 20 /PRNewswire/ -- Charles Schwab & Co. Inc.
(NYSE: SCH) today introduced an innovative service that enables investors to purchase shares in over 80 no-load mutual funds from well- known fund companies without brokerage transaction fees. Schwab is the first brokerage firm in the industry to develop this service for investors.
Schwab's service allows investors to build a portfolio of funds for the same costs associated with purchasing shares directly from a fund company and to make periodic investments in fund shares more attractive to investors by eliminating the brokerage transaction fees with every investment. Schwab also does not charge for automatic reinvestment of fund dividends paid to investors. Investors can select from a total of 82 no-load funds offered by fund companies such as Janus, Berger, Dreyfus, Founders, Stein Roe, INVESCO'S Financial Funds, Neuberger & Berman and Schwab. A broad selection of equity and bond funds are available from all investment categories. The 82 mutual funds participating in the no transaction fee service currently represent 25 percent of client assets held in the Schwab's Mutual Fund Marketplace(R). The Marketplace now offers investors over 600 funds from 90 fund companies. Schwab was an early pioneer in offering a variety of no-load and low-load funds through it Marketplace in 1984. Clients could buy, sell and switch between funds with one telephone call for a minimal transaction fee and consolidate all of their assets in one account with one monthly statement. The service gained popularity with investors as client assets grew from $100 million in 1984 to $8.4 billion by July 1992 -- now representing over 15 percent of the $54 billion in client assets custodied at Schwab. "This cost-effective service makes it easier for investors to diversify their portfolios with greater potential return," stated Charles R. Schwab, chairman and chief executive officer of The Charles Schwab Corp. "Matching low-cost investing with one-stop shopping and the convenience of consolidating assets will be the new way to invest in mutual funds." Prospectuses for any of the funds available through Schwab can be obtained by calling 800-526-8600. Charles Schwab & Co. Inc. is one of the nation's largest brokerage firms serving 1.8 million active accounts with over $54 billion in client assets through a nationwide network of 171 offices in 44 states. -0- 7/20/92 /CONTACT: Tom Taggart, 415-627-8947; or Emily Scott, 415-403-5736, both of Charles Schwab/ (SCH) CO: Charles Schwab & Co. Inc. ST: California IN: FIN SU:
JL-DG -- SF004 -- 0740 07/20/92 12:33 EDT
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|Date:||Jul 20, 1992|
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