Charles Schwab, the NYSE-listed American wealth manager and brokerage, is giving up on the Australian market for a second time after two years.
The company's Sydney-based office led by managing director John-Paul Drysdale will close next month but the firm will continue to service Australian clients through US operations.
Schwab used to have an operation in the country, but closed it, and left the Australian market, in 2000, in response to what the company said was "a range of market circumstances at that time". At the time, TD Waterhouse Investor Services was reported as having agreed to buy Charles Schwab Australia's 51,000 customer accounts.
Charles Schwab has made the decision to close their Australian office"
In 2017 it decided to make a comeback, describing Australia as "a compelling market, with the ongoing growth of SMSFs [self-managed super funds] demonstrating the clear demand and need for easy, low-cost access to US markets".
"The combination of this demand and through the optionsXpress integration, we have a clear strategy and approach to serve the market and are confident about our future in this important region," it said.
It's pitch was aimed at helping "self-directed" Australian investors to easily and cost-effectively access the US markets.
"Charles Schwab has made the decision to close their Australian office. However, Charles Schwab will continue to serve their Australian customers through the US based broker-dealer Charles Schwab & Co, Inc. and their US based international teams," a spokesperson told local news outlet Financial Standard.