TD Ameritrade Holding Corporation
TD Ameritrade — Merger or Acquisition (February 2020)
14 slides from TD Ameritrade's merger presentation, Feb 4, 2020
Slide 1: Winter Business Update February 4, 2020
Winter Business Update February 4, 2020
Slide 2: Forward-Looking Statements
Charles Schwab Corporation Forward - Looking Statements 5 This presentation contains “forward - looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward - looking statements include statements that refer to ex
Slide 3: Additional Statements
Charles Schwab Corporation Additional Statements Important Information About the Transaction and Where to Find it In connection with the proposed transaction between The Charles Schwab Corporation (“Schwab”) and TD Ameritrade Holding Corporation (“TD Ameritrade”), Schwab and TD Ameritrade will file
Slide 4: Total Client Assets and EOCA: driving profitable growth through efficiency
Charles Schwab Corporation T otal Client Assets ($T) and EOCA (bps ) Over the years, we’ve driven profitable growth through a consistent focus on efficiency and investing in our clients… 9 We’ve built scale and sustained efficiency over time … …allowing us to drive value for clients and owners… …whi
Slide 5: Enhancing scale and efficiency within our existing business model
Charles Schwab Corporation 18 Note: 1. Data as of 12/31/2019. 2. Mobile User growth is December 2018 vs. December 2019. Disclaimer: For J.D. Power 2019 award information, visit jdpower.com/awards. Enhancing incremental scale and efficiency within our existing business model,… Digital Transformation
Slide 6: I'll focus on two areas today
Charles Schwab Corporation I’ll focus on two areas today: 31 1 Update on the TD Ameritrade transaction 2 Update on how we’ve progressed our digital transformation over the past year
Slide 7: This transaction enables Schwab to press forward on behalf of clients
Charles Schwab Corporation This transaction enables Schwab to press forward on behalf of clients while building the future of modern wealth management. 32
Slide 8: The combined firm will be positioned to meet the needs of investors
Charles Schwab Corporation The combined firm will be positioned to meet the needs of investors and to support the independent advisors who serve them… 33 Unlocks attractive long - term stockholder value via potential synergy opportunities Leverages merits of both platforms to further improve client
Slide 9: Opportunity for significant expense synergies and revenue lift
Charles Schwab Corporation …and will create opportunity for significant expense synergies and revenue lift. 34 Expense Synergies Revenue Synergies Illustrative Sources ▪ Potential cost savings of $1.8 – 2.0 billion ▪ Approximately 60 - 65% of AMTD’s expense base or 18 - 20% of blended cost base ▪ Ex
Slide 10: Guiding principles that will govern our approach to the integration
Charles Schwab Corporation We have committed to a set of guiding principles that will govern our approach to the integration. 35 Minimize client disruption through all phases of the integration to build trust and help meet or exceed retention targets. Capture identified synergies as soon as possible
Slide 11: Integration Management Office (IMO) will provide governance
Charles Schwab Corporation And we’ve created an Integration Management Office (IMO) that will provide governance over the entire process. 36 We’re near complete with “Phase Zero” of integration planning, including standing up and staffing the IMO, establishing “clean room” protocols, and engaging Bo
Slide 12: Enabling our success in meeting the goals of the integration
Charles Schwab Corporation 37 …which will enable our success in meeting the goals of the integration. Create a seamless, multi - channel experience , removing friction and making Schwab “easy to do business with” Reduce the cost of serving our clients, to allow us to continue to reduce prices and ma
Slide 13: Key takeaways
Charles Schwab Corporation Key takeaways Schwab’s acquisition of TD Ameritrade enables Schwab to press forward on behalf of clients while building the future of modern wealth management: » Enhances scale and efficiency while helping to drive profitable growth » Leverages merits of both platforms to
Slide 14: Levers to drive net new assets and new households
Charles Schwab Corporation We have a number of levers to drive net new assets and new households… Inorganic growth levers Select organic asset and household growth levers Announced intent to acquire: USAA’s investment management business x 1M brokerage accounts and $90B client assets x Exclusive ref
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