Charles Schwab Shares Slide 7.3% As Fallout of Silicon Valley Bank Collapse Continues

By Denny Jacob

Charles Schwab Corp. shares slid 7.3% to $54.40 Monday as investors continued to react to the fallout from Silicon Valley Bank's collapse.

The multinational financial institution, which offers banking, brokerage, retirement investing and wealth management services, said it has access to significant liquidity and disclosed that more than 80% of its total bank deposits fall within the U.S. Federal Deposit Insurance Corp.'s insurance limits.

Charles Schwab said it expects revenue growth of about 10% in the first quarter, compared with a year earlier.

Trading was paused for volatility multiple times on Monday.

The FDIC on Sunday announced emergency measures to guarantee all depositors with money at Silicon Valley Bank and a second bank, Signature Bank, rather than the standard $250,000 allowed in insured deposits.

State regulators also took control of Silicon Valley Bank, which is based in Santa Clara, Calif., and New York-based Signature Bank, what was one of the main banks to cryptocurrency companies.

Write to Denny Jacob at [e-mail]

(END) Dow Jones Newswires

March 13, 2023 12:05 ET (16:05 GMT)

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