Charles Schwab ETFs Hit $1 Billion In Assets | ETF Trends

It looks like Charles Schwab has a hit on its hands with its line of proprietary exchange traded funds (ETFs). As of this month, the well-known broker and now ETF provider has surpassed the $1 billion mark in assets under management just five months after they launched.

Naturally, the provider is pleased. Peter Crawford, senior vice president in the investment management services group, says Schwab had ambitious hopes for its ETFs when they launched and those hopes have largely been realized.

“Seeing those flows coming in, combined with the trading activity has been really encouraging, and the ‘everyone trades free’ concept has been a real hit,” he says. The most popular fund is Schwab U.S. Broad Stock Market (NYSEArca: SCHB), but five of the eight ETFs available have more than $100 million in assets.

Schwab allows anyone trading their ETFs on the Schwab platform to trade free. The provider also dropped commissions on all other ETFs traded on its platform, as well. [Schwab Launches Commission-Free ETFs.]

Crawford says Schwab feels that its best days may be ahead, since many investors and advisors tend to take a “wait-and-see” approach to new products. “As we approach the six-month mark, I think we’ll see that growth continue or accelerate.”