July 18 (Reuters) - U.S. brokerage firm Charles Schwab said on Friday its profit rose nearly 60% in the second quarter, driven by robust trading activity and increased asset management fees.
Shares of Charles Schwab, which have gained nearly 26% in 2025, rose 2.5% in premarket trading.
Market uncertainty from President Trump's broad tariff measures sparked heightened volatility earlier this year, driving investors to actively rebalance portfolios and boosting trading revenue at firms like Charles Schwab.
Trading revenue at the company came in at $952 million in the second quarter compared to $777 million in the year earlier.
A late-quarter market rebound not only lifted assets under management at brokerages but also enabled firms like Schwab to collect higher fees.
The Westlake, Texas-based company's total client assets rose 14% to a record $10.76 trillion.
Its asset management and administration fees, earned from managing mutual funds and exchange-traded funds, jumped 13.5% to $1.57 billion.
Charles Schwab's net income came in at $2.13 billion, or $1.08 per share, for the three months ended June 30, compared with $1.33 billion, or 66 cents per share, in the year-ago quarter.
Reporting by Prakhar Srivastava and Pritam Biswas in Bengaluru; Editing by Tasim Zahid
Source: Reuters