Charles Schwab CEO Walt Bettinger is retiring from his position at the end of December after leading the brokerage firm for 16 years, the company announced Tuesday.
Bettinger will be replaced by Charles Schwab President Rick Wurster on January 1, 2025. Bettinger remains co-chairman of the Schwab board.
Stock chart iconStock chart icon
Charles Schwab, 5 years
In a statement, Bettinger cited his 65th birthday next year as the reason for his resignation and praised Wurster's choice.
“The Schwab Board’s thoughtful and disciplined approach to succession planning will help ensure a smooth transition. Rick Wurster and I have worked together every day for more than eight years. I have full confidence in his leadership and am very pleased that the Schwab Board of Directors has elected him as my successor,” the statement said.
In an interview on CNBC's “Squawk Box,” Wurster indicated that there would be no immediate change in strategy with the CEO handover.
“I don't think there will be a transition in the sense that we'll continue to do what we've been doing, which is providing and delighting our customers,” Wurster said.
Since Bettinger acquired it in 2008, the company's customer assets have increased from $1.14 trillion to $9.74 trillion, and customer brokerage accounts have grown from less than 10 million to over 43 million. This growth is due in part to Schwab's acquisition of TD Ameritrade, which closed in 2020.
Bettinger said on “Squawk Box” that the Ameritrade integration was completed earlier this year, another reason he believes this is a good time to step down from the CEO role.
Schwab shares have risen about 150% during Bettinger's tenure, which began in the midst of the financial crisis, but have underperformed the broader market over the past two years.
“I often say that not many CEOs cut their company's stock price in half in the first 90 days, but that's exactly what I saw in the financial crisis,” Bettinger said on “Squawk Box.”
Shares of Schwab fell 1.4% on Tuesday as the broader stock market fell.
