Schwab's Financial and Other Relationships with Mutual Funds

No Transaction Fee Funds
Transaction Fee Funds
Load Funds
Schwab-Affiliated Funds
Share Classes, Investment Minimums, Fees and Expenses
Fund Marketing and Sponsorships
Fund Education
Additional Information

Marketing & Sponsorships

Certain mutual fund families with funds available through the Mutual Fund OneSource® service ("OneSource Funds") their investment advisors or other service providers to the funds pay fees to Schwab for the program administrative services Schwab provides in connection with various marketing opportunities. These opportunities allow mutual funds to communicate directly with Schwab clients. The types of marketing opportunities Schwab makes available to Funds vary depending on the client segment. For example, certain sponsorship events are designed to reach Schwab's registered investment advisor clients, while others are intended to reach Schwab's individual or "retail" clients. Below is a list of the various opportunities made available to funds in the 2015 calendar year for each client segment through the time of the last update to this site, along with the program administrative fees charged in connection with a fund's participation in the event. In addition to the activities listed below, Schwab may from time to time create and make available to mutual funds or their affiliates additional marketing opportunities that are not described below.

The fees Schwab receives for administering these marketing opportunities are separate and distinct from, and in addition to, the asset-based, per position, and other fees paid to Schwab for the shareholder services. The total amount of the fee paid by each fund will vary depending on the types and number of opportunities in which the fund participates. The marketing opportunities are generally available on a first-come, first-serve basis to OneSource Funds and then to other funds available through Schwab's Mutual Fund Marketplace, but in certain cases Schwab may invite a fund to participate in speaking opportunities based on the fund's investment expertise, without a fee,  given the nature, audience, and subject matter of a particular speaking event.

A. Retail (i.e., Investor Services) Marketing/Sponsorship Opportunities. Participating funds may pay for advertisement space in Schwab's client magazine or opportunities to sponsor conferences, educational workshops and similar events attended by Schwab's client-facing employees "On Investing" Advertisement Pages: $70,000 per full-page  or $28,000 for a half-page ad space (frequency discounts are available). The total payments Schwab expects to receive from the approximately 3 fund companies advertising in On Investing/OnWard is $322,000.

B. Schwab Advisor Services Marketing/Sponsorship Opportunities. Participating sponsors pay for the opportunity to sponsor conferences and similar events attended by registered investment advisor clients of Schwab (e.g., lunch and dinner sponsorships, golf outings, and similar entertainment events). Such fees are intended to offset Schwab's costs of hosting the events.  These events include IMPACT, a Schwab hosted conference that provides education and networking opportunities to independent registered investment advisors, as well as other national (EXPLORE) and regional (Investment Outlook Symposiums, SOLUTIONS) events. IMPACT and certain small regional events may include speaking opportunities. IMPACT sponsorship and participation opportunities are made available first to OneSource Funds, and thereafter any remaining opportunities are made available to Transaction Fee and Load Funds. 

The total payments Schwab received from the approximately 145 fund companies participating in the Schwab Advisor Services marketing opportunities for 2015 is approximately $7.2 million.