Inside the $26 billion Charles Schwab-TD Ameritrade deal: Analysis - Business Insider

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Charles Schwab's $26 billion deal for TD Ameritrade is an aggressive play for size that was set in motion before brokers started slashing commissions

The Schwab-TD Ameritrade deal is expected to close during the second half of 2020, the companies said in a statement.

Execs from Schwab and TD Ameritrade held a Q&A call after Monday's announcement, where analysts pressed for details on the timing of the decision, how combining the operations of the two firms would work, and what cost-cutting would look like in practice. "There are some elements like branch consolidation and real estate decisions that we expect will be decided and achieved relatively quickly," Peter Crawford, Charles Schwab's chief financial officer, said on the call. "Other areas like systems and technology platforms will require work that will span longer timeframes."

The two firms also cater to slightly different groups of clients, which analysts said could further complicate an integration.

 

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