Bronstein, Gewirtz & Grossman, LLC Notifies The Charles Schwab Corporation (SCHW) Investors of Investigation
NEW YORK, July 5, 2022 /PRNewswire/ -- Attorney Advertising - Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of The Charles Schwab Corporation ("Charles Schwab" or the "Company") (NYSE: SCHW). Investors who purchased Charles Schwab shares are encouraged to obtain additional information and assist the investigation by visiting the firm's site: www.bgandg.com/schw.
The investigation concerns whether Charles Schwab and certain of its officers and/or directors have violated federal securities laws.
On July 2, 2021, Charles Schwab disclosed in a filing with the U.S. Securities and Exchange Commission ("SEC") that the Company "has been responding to an investigation by the [SEC] arising from a compliance examination" and that "[t]he investigation largely concerns historic disclosures related to the Schwab Intelligent Portfolios® (SIP) digital advisory solution." Accordingly, Charles Schwab disclosed that "[g]iven the investigation's status, Schwab's second quarter 2021 financial results will include a liability and related non-deductible charge of $200 million." On this news, Charles Schwab's stock price fell $2.03 per share, or 2.79%, to close at $70.77 per share on July 6, 2021, the next trading day. Then, on June 13, 2022, the SEC announced that it "charged three Charles Schwab investment adviser subsidiaries" who "agreed to pay $187 million to harmed clients to settle the charges." The SEC charged Charles Schwab with misleading investors that used its robo-adviser product, Schwab Intelligent Portfolios. Instead of the touted "disciplined portfolio construction methodology" that sought "optimal return[s]", Charles Schwab's "own data showed that under most market conditions, the cash in the portfolios would cause clients to make less money even while taking on the same amount of risk." On this news, Charles Schwab's stock price fell $1.98 per share, or 3.18%, to close at $60.24 per share on June 13, 2022.
If you are aware of any facts relating to this investigation or purchased Charles Schwab shares, you can assist this investigation by visiting the firm's site: www.bgandg.com/schw. You can also contact Peretz Bronstein or law clerk and client relations manager, Yael Nathanson of Bronstein, Gewirtz & Grossman, LLC: 212-697-6484.
Bronstein, Gewirtz & Grossman, LLC represents investors in securities fraud class actions and shareholder derivative suits. The firm has recovered hundreds of millions of dollars for investors nationwide. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact:
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Nathanson
212-697-6484 | [email protected]
SOURCE Bronstein, Gewirtz & Grossman, LLC
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