SCHW · News · 20260818N

Long-Short SMA Demand

SCHWAB CHARLES CORP · 2026-08-18 · Importance 40 · Surprise 42

Charles Schwab and Fidelity Investments are scaling back involvement in tax-aware long-short strategies used by ultrawealthy investors. The firms have expressed concerns about the complexity, risks, and transparency of these accounts, despite the strategies generating significant revenue. Schwab is restricting access or tightening requirements, which could reduce demand for and revenue from these offerings.

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