Schwab Asset Management Announces Zero Capital Gains Distributions for Schwab ETFs for 2024
Schwab Asset Management has announced that none of its 32 exchange-traded funds (ETFs) will distribute capital gains for the 2024 tax year. This achievement aligns with the company's commitment to tax efficiency and low costs, which are key factors for ETF investors according to their latest ETFs and Beyond Study. The announcement comes as Schwab Asset Management celebrates its 15th anniversary in the ETF space, where it has grown to become the fifth-largest ETF provider.
Schwab Asset Management ha annunciato che nessuno dei suoi 32 fondi negoziati in borsa (ETF) distribuirà guadagni in conto capitale per l'anno fiscale 2024. Questo risultato è in linea con l'impegno dell'azienda per l'efficienza fiscale e i costi contenuti, che sono fattori chiave per gli investitori ETF secondo il loro recente studio 'ETFs and Beyond'. L'annuncio arriva mentre Schwab Asset Management festeggia il suo 15° anniversario nel settore degli ETF, dove è cresciuta diventando il quinto più grande fornitore di ETF.
Schwab Asset Management ha anunciado que ninguno de sus 32 fondos cotizados en bolsa (ETF) distribuirá ganancias de capital para el año fiscal 2024. Este logro está en línea con el compromiso de la empresa hacia la eficiencia fiscal y los bajos costos, que son factores clave para los inversores en ETF, según su más reciente estudio 'ETFs and Beyond'. El anuncio se produce mientras Schwab Asset Management celebra su 15° aniversario en el espacio ETF, donde ha crecido para convertirse en el quinto proveedor de ETF más grande.
슈왑 자산 관리는 자사의 32개 상장지수펀드(ETF) 중 아무것도 2024 세금 연도에 자본 이득을 분배하지 않을 것이라고 발표했습니다. 이 성과는 회사가 세금 효율성과 낮은 비용에 대한 헌신을 보여주며, 이는 최근의 'ETFs and Beyond' 연구에 따르면 ETF 투자자들에게 중요한 요소입니다. 이번 발표는 슈왑 자산 관리가 ETF 분야에서 15주년을 기념하는 가운데 이루어졌으며, 이곳에서 다섯 번째로 큰 ETF 제공업체로 성장했습니다.
Schwab Asset Management a annoncé qu'aucun de ses 32 fonds négociés en bourse (ETF) ne distribuerait de gains en capital pour l'année fiscale 2024. Cette réussite s'inscrit dans l'engagement de l'entreprise en faveur de l'efficacité fiscale et des coûts réduits, qui sont des facteurs clés pour les investisseurs en ETF selon leur récente étude 'ETFs and Beyond'. L'annonce coïncide avec le 15ème anniversaire de Schwab Asset Management dans le secteur des ETF, où elle est devenue le cinquième plus grand fournisseur d'ETF.
Schwab Asset Management hat angekündigt, dass keine seiner 32 börsengehandelten Fonds (ETFs) im Steuerjahr 2024 Kapitalgewinne ausschütten wird. Dieser Erfolg steht im Einklang mit dem Engagement des Unternehmens für steuerliche Effizienz und niedrige Kosten, die laut ihrer neuesten Studie 'ETFs and Beyond' entscheidende Faktoren für ETF-Investoren sind. Die Ankündigung erfolgt, während Schwab Asset Management sein 15-jähriges Bestehen im ETF-Bereich feiert, in dem es zum fünftgrößten ETF-Anbieter gewachsen ist.
- Zero capital gains distributions across all 32 ETFs for 2024 tax year
- Fifth-largest ETF provider status demonstrates market leadership
- Strong tax efficiency performance benefits investors
- None.
Insights
The zero capital gains distributions announcement for Schwab's 32 ETFs showcases exceptional tax efficiency management, a critical factor for long-term investors. This tax-advantaged status means investors won't face additional tax burdens from fund distributions, effectively keeping more money invested. The achievement is particularly noteworthy given Schwab's position as the fifth-largest ETF provider.
The structural advantage of ETFs over mutual funds in managing capital gains is clearly demonstrated here. Through the creation/redemption mechanism, ETFs can minimize taxable events, allowing investors to control their tax timing through their own trading decisions. For retail investors, this means potentially higher after-tax returns compared to equivalent mutual fund investments.
This track record of tax efficiency, combined with Schwab's typically competitive expense ratios, strengthens their value proposition in the increasingly competitive ETF marketplace. The focus on tax efficiency aligns with current market trends where investors are increasingly sensitive to total cost of ownership, not just management fees.
“Once more the Schwab ETFs distributed zero capital gains, reinforcing our commitment to clients and highlighting the expertise of our portfolio management team,” said Nicohl Bogan, Head of Passive Product Management & Innovation for Schwab Asset Management. “This achievement is particularly important because according to our latest ETFs and Beyond Study, over the past year, ETF investors primarily use ETFs to begin investing and building wealth, and total cost and tax efficiency are among the top factors they look at when selecting an ETF.”1
This announcement occurs as Schwab Asset Management is celebrating 15 years since entering the ETF space. Since that time, Schwab Asset Management has become the fifth-largest provider of ETFs2 and is known for its commitment to low costs and taking a thoughtful approach to growing its lineup. To learn more visit www.schwabassetmanagement.com/about.
About Schwab Asset Management
One of the industry’s largest and most experienced asset managers, Schwab Asset Management offers a focused lineup of competitively priced ETFs, mutual funds and separately managed account strategies designed to serve the central needs of most investors. By operating through clients’ eyes, and putting them at the center of our decisions, we aim to deliver exceptional experiences to investors and the financial professionals who serve them. As of September 30, 2024, Schwab Asset Management managed approximately
More information is available at www.schwabassetmanagement.com.
About Charles Schwab
At Charles Schwab we believe in the power of investing to help individuals create a better tomorrow. We have a history of challenging the status quo in our industry, innovating in ways that benefit investors and the advisors and employers who serve them, and championing our clients’ goals with passion and integrity.
More information is available at www.aboutschwab.com. Follow us on Twitter, Facebook, YouTube and LinkedIn.
More information is available at www.aboutschwab.com. Follow us on Twitter/X, Facebook, and LinkedIn.
Disclosures:
Investors should consider carefully information contained in the prospectus, or if available, the summary prospectus, including investment objectives, risks, charges and expenses. You can obtain a prospectus, or if available, a summary prospectus by visiting https://www.schwabassetmanagement.com/prospectus. Please read it carefully before investing.
Investment returns will fluctuate and are subject to market volatility, so that an investor’s shares, when redeemed or sold, may be worth more or less than their original cost. Unlike mutual funds, shares of ETFs are not individually redeemable directly with the ETF. Shares of ETF are bought and sold at market price, which may be higher or lower than the net asset value (NAV).
Diversification and asset allocation strategies do not ensure a profit and do not protect against losses in declining markets.
Schwab Asset Management® is the dba name for Charles Schwab Investment Management, Inc., the investment adviser for Schwab Funds, Schwab ETFs, and separately managed account strategies. Schwab Funds are distributed by Charles Schwab & Co, Inc. (Schwab), Member SIPC. Schwab ETFs are distributed by SEI Investments Distribution Co. (SIDCO). Schwab Asset Management and Schwab are separate but affiliated companies and subsidiaries of The Charles Schwab Corporation, and are not affiliated with SIDCO.
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1 Source: https://content.schwab.com/web/retail/public/about-schwab/Schwab-ETFs-and-Beyond-Study-2024_findings.pdf
2 Source: ETF.com, ETF League Table, December 2, 2024.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241220537024/en/
Christine Underhill
Charles Schwab
415-961-3790
Source: The Charles Schwab Corporation
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