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Products September 23, 2014
Schwab Expands OneSource ETF Platform
Charles Schwab announced the addition of more than 60 exchange-traded funds (ETFs) to the Schwab ETF OneSource platform, bringing the total to about 180 ETFs.
Reported by PLANADVISER staff
The new funds are offered by seven firms joining the original roster of six ETF providers on OneSource, Schwab says. Investors can trade ETFs covering 65 Morningstar Categories, all with zero online trade commissions at Schwab. There are also no early redemption fees or enrollment requirements, according to the firm.
The new ETF providers joining Schwab’s ETF OneSource are ALPS, Direxion Investments, Global X Funds, IndexIQ, PIMCO, ProShares and WisdomTree. They join founding providers ETF Securities, Guggenheim Investments, PowerShares, State Street SPDR ETFs, United States Commodity Funds and Charles Schwab Investment Management.
Heather Fischer, vice president of ETF platform management at Charles Schwab, says it’s important for investors to consider how trading commissions “can really add up, so they are crucial when evaluating the total cost of an ETF.”
As of August 31, 2014, Schwab says the ETF OneSource platform has $31 billion in assets under management, and year-to-date flows into ETFs in the program are $5.9 billion, representing about 45% of the total ETF flows at Schwab.
In total, 65 ETFs have been added to the program, with 28 coming from new participants and 37 coming from existing providers. A complete list of Schwab ETF OneSource ETFs is available here.