Investing, Your Way

June 10, 2022 Walter W. Bettinger II
Schwab Personalized Indexing™ allows you to customize your investments to your preferences and goals.

It's difficult to overstate the appeal of index investing. You can get diversified access to nearly any area of the market via a fund designed to replicate an index's performance, all for a relatively low cost. But there's a drawback to investing this way: lack of personalization.

That's why we created Schwab Personalized Indexing, a new professionally managed product that takes index investing a step further. Rather than your owning an index fund, this separately managed account allows you to own a subset of an index's individual securities—including the opportunity to exclude a limited number of stocks to reflect your goals and values. The resulting portfolio still aims to replicate the performance of a benchmark index but in a way that more closely matches your preferences. And because you own the individual securities in your portfolio, our portfolio managers can seek out tax-loss-harvesting opportunities to help minimize your tax bill.

I believe that Schwab Personalized Indexing is another step toward the future of investing—one where investors have more access to individualized portfolio management without the high fees and minimums. To learn more about creating a personalized index tailored to your preferences, visit schwab.com/direct-indexing or talk to your financial consultant.

Sincerely,

Walt Bettinger Signature

Walt Bettinger

Chief Executive Officer