Vanguard announced that it would close its legacy mutual fund platform by the end of next year, with its clients being transferred to brokerage accounts if nothing is done. In 2022, Vanguard began charging extra fees for this legacy platform. Schwab will phase in 24-hour trading of all S&P 500 and Nasdaq-100 stocks, along with hundreds of ETFs, stemming from increased demand.
BARRON’S
These changes illustrate a general modernization wave among financial firms to increase client service. The companies show a marked switch toward technology-infused solutions, meeting the transformed needs of investors. The transfer towards brokerage accounts and into extended trading hours reflects a definite change towards broader selection and availability for the client.
Such developments have captured the interest of many in the industry, for these developments may generate a renewed bar on how the industry engages and serves its clients. The ramifications of these decisions could influence how investors act and how the markets behave in the next few years.