Oct 9 2017

Self-Directed Brokerage Accounts #brokerage #accounts

(Last Updated On: 02/10/2019)


Self-directed brokerage accounts

For employees who want more options.

A self-directed brokerage account expands your retirement offering beyond a preselected investment lineup. It gives participants more flexibility to select the individual investments in their plan. The Schwab Personal Choice Retirement Account ® (PCRA) is our self-directed account option, and it’s designed to fit seamlessly into any plan you offer, can be rolled out digitally, and is backed by a dedicated team of self-directed-account specialists.

What makes PCRA different?

The next level of choice.

PCRA is built with flexibility. Keep the choices wide open or restrict employees’ access to specific trading types. You can offer choices across a range of asset classes, including stocks, bonds, mutual funds, and fixed income products.

Priced competitively.

Employees can purchase thousands of no-load, no-transaction-fee mutual funds, 1 as well as Schwab ETF OneSource™ funds, which trade electronically in a Schwab account commission-free.* 2

Extensive resources for employees.

Employees can learn more about the investment choices available to them by accessing independent third-party and proprietary research reports, 3 advanced online screening tools, and market commentary from industry experts.

Backed by dedicated service and support.

Employees can rely on the assistance of dedicated Schwab PCRA Registered Representatives who are familiar with the investments in their plan and can help them place trade orders. Since PCRA is a self-directed option, the representatives cannot provide investment recommendations.

Gain insight into employees’ market perceptions and investment decisions through quarterly and yearly Schwab Self-Directed Brokerage Account Indicators Reports

Investors should carefully consider information contained in the prospectus, including investment objectives, risks, trading policies, charges, and expenses. You can request a prospectus by calling Schwab’s dedicated PCRA Call Center at 888-393-PCRA (7272). You may also request a prospectus online at Please read the prospectus carefully before investing.

Investment returns will fluctuate and are subject to market volatility, so that an investor’s shares, when redeemed or sold, may be worth more or less than their original cost. Unlike mutual funds, shares of ETFs are not individually redeemable directly with the ETF.

*Restrictions apply: Trades in ETFs available through Schwab ETF OneSource (including Schwab ETFs™) are available without commissions when placed online through a Schwab account. Service charges apply for trade orders placed through a broker ($25). An exchange processing fee applies to sell transactions. Certain types of Schwab ETF OneSource transactions are not eligible for the commission waiver, such as short sells and buys to cover (not including Schwab ETFs). Schwab reserves the right to change the ETFs we make available without commissions. All ETFs are subject to management fees and expenses. Please see the Charles Schwab Pricing Guide for Retirement Plan Accounts (the “Pricing Guide”) for additional information.

  1. Charles Schwab & Co. Inc. (member SIPC ) receives remuneration from fund companies for recordkeeping and shareholder services and other administrative services for shares purchased through Schwab’s Mutual Fund OneSource® program. Schwab also may receive remuneration from transaction fee fund companies for certain administrative services. Trades in no-load mutual funds available through Schwab OneSource (including Schwab Funds®), as well as certain other funds, are available without transaction fees when placed through or our automated phone channels. Schwab reserves the right to change the funds we make available without transaction fees and to reinstate fees on any funds. Funds are also subject to management fees and expenses. Schwab’s short-term redemption fee will be charged on redemption of funds (except certain Schwab Funds) bought through Schwab’s Mutual Fund OneSource program (and certain other funds) with no transaction fee and held for 90 days or less. Schwab reserves the right to exempt certain funds from this fee, including Schwab Funds, which may charge a separate redemption fee, and funds that accommodate short-term trading.
  2. Schwab ETFs are distributed by SEI Investments Distribution Co. (SIDCO). SIDCO is not affiliated with Schwab.
  3. Third-party report providers are not affiliated with or employed by Charles Schwab & Co. Inc. The views expressed are for general information purposes only and are not intended to provide specific financial, accounting, or legal advice. Schwab makes no representation about the accuracy of the information or its appropriateness for any given situation.

The information contained herein does not constitute an endorsement, investment recommendation, solicitation to buy, or investment advice from Schwab. Schwab is restricted from providing advice on PCRAs. Schwab has no discretionary authority, responsibility, or control with respect to such matters. Schwab is not an investment advisor or fiduciary to your employer’s retirement plan, does not recommend any particular mutual fund or collective trust fund or category of mutual funds or collective trust funds, is not responsible for your choice of mutual funds and collective investment funds, and may receive remuneration for recordkeeping and shareholder services and other administrative services. Charles Schwab Co. Inc. does not guarantee the suitability or potential value of any particular investment or information source.

Schwab Personal Choice Retirement Account (PCRA) is offered through Charles Schwab Co. Inc. a registered broker-dealer that also provides other brokerage and custody services to its customers.

CC0007145 (1015-8RDS) (02/16)

Investment Products: Not FDIC-Insured • No Bank Guarantee • May Lose Value

Outcomes are not guaranteed.

Schwab Corporate Services refers to products and services offered through Schwab Retirement Plan Services, Inc.; Schwab Stock Plan Services; Schwab Designated Brokerage Services (DBS); and Schwab Compliance Technologies, Inc. (“SchwabCT”).

Schwab Retirement Plan Services, Inc. is a subsidiary of The Charles Schwab Corporation providing recordkeeping and related services with respect to retirement plans.

Schwab Stock Plan Services and Schwab Designated Brokerage Services are divisions of Charles Schwab Co. Inc. respectively providing equity compensation plan services and brokerage solutions for corporate clients who monitor their employees’ securities activity.

Schwab Compliance Technologies, Inc. (“SchwabCT”), a wholly owned subsidiary of the Charles Schwab Corporation, provides technology solutions for corporate clients to help facilitate their compliance technology program implementation.

Through its operating subsidiaries, the Charles Schwab Corporation provides a full range of securities brokerage, banking, money management, and financial advisory services, as well as services to retirement and other benefit plans. Charles Schwab Co. Inc. (member SIPC ) and affiliates offer investment services and products. Charles Schwab Bank (member FDIC and an Equal Housing Lender) provides trust, custody, deposit, and lending products and services. Schwab Retirement Technologies, Inc. (“Schwab RT”) is engaged in developing and licensing proprietary retirement plan recordkeeping systems to independent third-party administrators.

2017 The Charles Schwab Corporation. All rights reserved.

Written by CREDIT

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