Charles Schwab Corp. completed its acquisition of 401(k) Co. from Nationwide Financial Services Inc.
401(k) Co. will continue to operate from Austin as a Schwab subsidiary and is now part of the corporate and retirement services division. With the acquisition, completed Monday, the division now directly serves more than a million retirement plan participants nationally, the San Francisco parent company said.
Schwab traditionally has enjoyed strong growth in the small, midsize, and large retirement plan markets, but 401(k) Co. serves large plans. During the past two years its newly acquired plans have averaged more than $500 million of assets and more than 8,000 participants.
In the first quarter Schwab and 401(k) Co. secured commitments for 26 retirement plans with $2.8 billion of assets and more than 53,000 participants.
As of Dec. 31, Schwab has more than 300 offices, 6.8 million client brokerage accounts, more than a million corporate retirement plan participants, 150,000 banking accounts, and $1.3 trillion of client assets.
