Schwab Investments says it’s shutting down its investment banking operations
Schwab Investment Holdings has announced it will shut down its banking operations by the end of June 2019.
Schwab says it will not be issuing new credit lines, nor will it be providing additional services to its customers, according to a news release.
The company will instead begin focusing on capital and liquidity management.
The announcement follows a recent review by the company’s investment banking team that concluded the company was not in the best financial position to continue serving its customers.
Schwabs statement does not specify the financial terms of its proposed sale to another investor.
Schwabby, which is based in Boston, has more than $10 billion in assets under management.
In the last two years, Schwab has increased its investment in companies including Twitter, Amazon, Tesla and Intel.