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What the Charles Schwab-TD Ameritrade acquisition means

Source: https://theweek.com/articles/880718/what-charles-schwabtd-ameritrade-acquisition-means?utm_source=pocket-newtab - Dec 3, 2019

n our capitalist system, the supposed purposes of financial markets are twofold: To coordinate resources, getting them to their most productive economic uses, and to provide corporate governance via the votes that come with stock ownership. By trading assets and pursuing personal profit, investors on financial markets are supposed to power both goals.

This is because trading is presumably happening with some kind of strategy and intent: human beings investigate companies and industries and make their trades accordingly — or they rely on other people who specialize in giving that advice. That's why brokerage giants like Charles Schwab and the somewhat-less-gigantic TD Ameritrade traditionally provided their customers with financial advisers as a core part of their business. They act as financial middle men, linking investors to trading opportunities, facilitating the transactions, and providing financial advice along the way.\

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Category: General Business