NEW YORK, Feb. 18, 2023 (GLOBE NEWSWIRE) —

WHY: Rosen Law Firm, a global investor rights law firm, continues to investigate potential securities claims on behalf of shareholders of Charles Schwab Corporation BLACK based on allegations that Schwab may have disclosed materially misleading business information to the investing public.

SO WHAT: If you have purchased Schwab securities, you may be entitled to compensation without payment of expenses or costs through a contingency fee arrangement. Law firm Rosen is preparing a class action lawsuit to recover investor losses.

WHAT TO DO NEXT: To participate in the prospective class action lawsuit, go to https://rosenlegal.com/submit-form/?case_id=6945 or call Phillip Kim, Esq. toll free at 866-767-3653 or by email pkim@rosenlegal.com or cases@rosenlegal.com for information about the Class Action.

WHAT IS THIS ABOUT: On July 1, 2021, Schwab announced that the company “has responded to an investigation by the US Securities and Exchange Commission (SEC) that resulted from a compliance audit.” The investigation primarily concerned “historical disclosures in connection with the digital consulting solution Schwab Intelligent Portfolios® (SIP)”. Schwab further announced that its “second quarter 2021 financial results will include a liability and related non-deductible expenses of $200 million.”

Then, on June 13, 2022, the SEC announced that it had “indicted three Charles Schwab investment advisor affiliates” who “agreed to pay $187 million to aggrieved clients to settle the charges.” The SEC accused Schwab of misleading investors who used its robo-adviser product, Schwab Intelligent Portfolios. Instead of the touted “disciplined portfolio construction methodology” that strived for “optimal return.”[s]Schwab’s “own data showed that under most market conditions, the money in the portfolios would result in clients making less money, even if they were taking on the same risk.”

As a result of this news, Schwab’s stock price fell $1.98 per share, or about 3%,…