This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Steve Anderson, Executive Vice President Of Schwab Retirement Plan Services (Photo: Business Wire)

Stocks in this article: SCHW

Schwab Retirement Plan Services, a Top 10 401(k) provider* to approximately 1.6 million workers saving through company retirement plans, today announced first-year results for Schwab Index Advantage, a one-of-a-kind 401(k) plan offer designed to lower fund investment costs, simplify investing and help workers better prepare for retirement.

Steve Anderson, Executive Vice President of Schwab Retirement Plan Services (Photo: Business Wire)

Steve Anderson, Executive Vice President of Schwab Retirement Plan Services (Photo: Business Wire)

“Last year we launched Schwab Index Advantage with the goal of stripping out unnecessary cost and complexity to help workers save more for retirement,” said Steve Anderson, executive vice president of Schwab Retirement Plan Services. “Today, we are seeing the effective implementation of this new breed of 401(k) plan through sharply lower investment expenses and markedly higher rates of advice usage. We believe this is the right combination for success.”

Lower Investment Costs, Higher Advice Usage

Schwab Index Advantage integrates 401(k) features in a unique way to help workers save and invest for retirement. To help drive costs down, Schwab Index Advantage includes index mutual funds with low operating expenses instead of the often more expensive actively-managed mutual funds found in many 401(k) plans. Focusing on simplicity, the program includes a professional, low-cost, independent advice service that develops an ongoing personalized savings and investment strategy for individuals.

Workers enrolled in Schwab Index Advantage have seen the weighted average operating expense ratio (OER) for investments in their 401(k) plans fall 77 percent to $14.78 per $10,000 invested because the plans now use index mutual funds. Prior to transitioning to Schwab Index Advantage, the weighted average OER for these same plans was $65.11 per $10,000 invested.** “Investment costs are significantly lower in these plans, which can positively impact the amount individuals can accumulate during their career,” Anderson said.

1 of 5

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,077.89 +47.68 0.26%
S&P 500 2,090.79 +8.91 0.43%
NASDAQ 4,802.9050 +29.4330 0.62%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs