SCHWAB CHARLES CORP Annual Report, Year Ended Dec 31, 2021

Charles Schwab Corporation (SCHW) reported strong financial performance for the fiscal year ended December 31, 2021, demonstrating significant growth driven by the successful integration of TD Ameritrade and a generally supportive macroeconomic environment. The company saw a substantial increase in net revenues, up 58% year-over-year, reaching $18.5 billion, with net income soaring by 77% to $5.9 billion. This growth was fueled by broad-based increases across key revenue streams, including net interest revenue, asset management and administration fees, and trading revenue, which nearly tripled due to the full-year inclusion of TD Ameritrade's results and robust client trading activity. Client assets under management grew by 22% to $8.14 trillion, with active brokerage accounts increasing by 12% to 33.2 million. The company made significant progress on its TD Ameritrade integration, aiming for client conversion within 30-36 months of the acquisition. Despite facing challenges related to heightened client activity impacting service levels early in the year, Schwab implemented measures to improve client experience and managed expenses effectively. The company's capital position remained strong, with a Tier 1 Leverage Ratio of 6.2% at year-end 2021, reflecting a disciplined approach to balance sheet management.