Thread regarding Charles Schwab Corp. layoffs

@1wf RH is running circles around Schwab. While Schwab is patching Cobol code, RH is implementing new and innovative services that customers love

@1v1 Schwab is not behind on crypto because of regulation. That is the same for all, so that is a stupid excuse.

The fact is that Schwab does not have the skills and leadership to implement anything new.

The times when acing maintenance of mainframe apps gave an edge are long gone.

Robinhood is “thin” tech. Know what that means? They don’t own any of the trading infrastructure that they use. We could pull the rug out from under them at any point, and they pay us millions every year for the privilege of using our platforms. Not a true threat, just like Tesla to the Big 3. Overall time they will be seen as the fad they are.

We along with others are behind on crypto bc of sec regulation which made it difficult to adopt. That regulation basically went away with trump admin.
But also most of our clientele will not care about the above if at all. The value of providing this is eaten away by the cost.

No surprise here. Just compare any interview of Rick vs Vlad (RH V
CEO). Rick just parrots the same mumbo jumbo you heard from Walt the last 15+ years ("client experience", "virtual cycle", "thru clients eyes"...blah blah blah)...just a tired, old stock broker's sales pitch. Vlad is way more dynamic, forward thinking and he knows the tech end of the business better than anyone.
I used to chuckle at Walt when so many times he belittled RH and now RH is eating their lunch. I bought RH stock years ago and am laughing all the way to the bank.

@dy while CS doesn't have prediction markets, don't think it hasn't been discussed at CS. I could go to anyone's platform and lose my shirt... risky forex bets, not using options correctly, etc.

At the end of the day brokerage and banking are everyday commodities. There is no future in either. CS doesn't seem to know which direction to go and even when the magazine in the back of the airplane seat gives leadership the right direction, we can't execute. RH is at least being innovative and looking for ways to grow revenue for shareholders... in another 5 years they could equal our size... while we just continue to flounder.

Our stock price going down while rates are going up. How do you not justify a higher stock price when we make a fortune on the float and lending out money with higher rates? You offset that positive with far more negative... execution & leadership.

Getting the millions of 530A accounts was an enormous win for RH. A potential of millions of future customers that will stay with them.

CS was SO sure that they would get a piece of those accounts. It was hyped internally. And when RH was chosen, there was NO communication within CS. It hurt. A lot.

I just applied for a job at RH. It may not be a good investing platform, but he-l of a better place to work at then this bureaucratic company that is mostly interested in more and more process

@dj
What I was referring to is Prediction Markets. If someone wants to grow their money for critical life goals, it seems a company that mixes standard investing with betting is not a choice that is well aligned on values and principles. Seems shady.
Sure you can pursue the same wealth management strategy on RH, Tasty Trade or wherever. But some firms are better fits from a value perspective.

by low risk I was saying like 90% equities in broad non-leveraged market etfs. This actually carries a decent amount and would have done quite well but shies away from prediction markets; leveraged etfs and other exotic trading strategies.

Also, not sure if this is the case, but RH achieved the lowest execution prices among competitors.

So buying S&P 500 at Schwab is different than buying S&P 500 at Robinhood, IB, Fidelity, etc? We are all at zero commissions, we make money on the float and some kick back from the ECNs. Doing things like agents adds to the churn of the account which ultimately means more money for the company, which lets us fund innovation. Right now the pipeline is empty.

Building wealth in a low risk manner? You need to go take some classes on MPT and maybe some FA classes. If that's your plan, good luck working forever.

Schwab's market cap right now is 170B, Robinhood is at 101B. If you recall when Schwab bought TDA, Robinhood's market cap was 25B. Schwab after the merge was around 180B... so what are we even doing. If you want a stock going nowhere, this is the one to own.

more important in this space is a company you can trust and offers products to build wealth in a low risk manner. would go with schwab on those counts.

You really have no brain cells

Then go work there