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TD Bank projects lower returns from Charles Schwab investment

EditorAhmed Abdulazez Abdulkadir
Published 18/01/2024, 18:44
Updated 18/01/2024, 18:44
© Reuters.

TORONTO - TD Bank Group has projected a decrease in its investment returns from Charles Schwab (NYSE:SCHW) for the first quarter of fiscal 2024, indicating a broader trend of financial challenges within U.S. banking sectors. The forecasted equity net income from Schwab is expected to be C$141 million, a significant drop from the C$285 million reported in the previous year.

The bank has also made adjustments for various expenses and costs, including acquisition-related expenses, restructuring costs, FDIC assessments, and the amortization of intangibles. After these adjustments, TD Bank's contribution from Schwab is estimated at approximately C$230 million. This anticipated decline in returns is reflective of the current economic environment that U.S. banks are navigating.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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