“We’ve been price leaders for some time,” Schwab spokesman Greg Gable told InvestmentNews. “We have every intention of being competitive on price and we know price matters to investors in this space. We don’t want price to be the inhibiting factor in someone choosing our products and a relationship at Schwab.”
The combination of low-cost and strong performances have made Schwab ETFs attractive options for any investor.
For instance, Morningstar director of global ETF research, Ben Johnson, recently singled out the Schwab US Dividend Equity ETF (NYSEArca: SCHD), arguing that the “fund’s high-quality portfolio and low cost make it a suitable core equity holding.”
Related: SCHD: A Dependable Dividend ETF
Moreover, Schwab has also helped steer investors to its line of ETFs and to a number of other partnered ETF providers through its commission-free ETF OneSource program.
Nevertheless, Schwab still has a ways to go before catching up to ETF industry giants like BlackRock. BlackRock’s iShares, the largest ETF sponsor, has accumulated $912 billion in assets under management while Charles Schwab, the fifth largest ETF providers, has $50.6 billion in AUM.
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