U.S. discount broker Charles Schwab Corp. is in talks to buy rival TD Ameritrade in a $26 billion deal that would create an online brokerage behemoth, according to media reports. The discount brokerage business model is facing increasing pressure, as financial technology disruptors like Robinhood pushed legacy firms to cut commissions to zero, and the increased use of technology has required huge spending on platforms. The solution to managing costs is getting bigger and acquiring more clients, which is exactly what Schwab could achieve by acquiring its smaller rival. …read more
Source:: Yahoo Finance
