Schwab Expands Advisor ProDirect to Existing RIAs
Charles Schwab’s advisor services division launched a membership program in July, targeting advisors who want to break away from captive models and launch their own registered investment advisor firms. Now, the company is expanding Schwab Advisor ProDirect to current RIA clients of the custodian.
The program will help established RIAs expand their impact, streamline operations and improve their enterprise value, Schwab said in a company announcement at the Schwab Impact conference in Denver. The program targets RIAs with assets in the $50 million to $300 million range, but beyond asset size, it focuses on growth-oriented RIAs with a “coachable” mindset.
“Advisors are navigating more complexity than ever, and we’re here to help clear the way,” said Jon Beatty, head of Schwab Advisor Services, in a statement. “Schwab Advisor ProDirect demonstrates how we champion the independent model with structure, experience and conviction as we consistently innovate to support client growth beyond traditional custody. We’re excited to welcome our first class of both new and existing clients to the program this January, and we’ll be with them every step of the way.”
The membership services fall into four areas: helping RIAs launch; providing coaching and educational resources, including dedicated business consultants; curated products from third-party vendors with potential discounts; and ongoing access to Schwab research and training.
The program also includes a community element, with focused sessions supported by pre-work and guided discussions.
Membership for ProDirect costs $5,250 per quarter, or $21,000 annually, with a one-year initial membership that is then renewable quarterly thereafter.
ProDirect is “additive” to the firm’s core onboarding and custody services, which remain unchanged and continue to offer no AUM minimums or custody fees.
“From the start, we expected Schwab Advisor ProDirect would resonate with new entrants as well as established RIA clients—and that’s exactly what we’ve seen,” said Shawnette Gauer, managing director of enterprise solutions, Schwab Advisor Services, in a statement. “Our goal is to help firms operate with greater clarity, efficiency, and confidence as they pursue sustainable growth. This brings together consulting expertise, peer connection, and real-world best practices that help advisors become stronger leaders and business owners.”