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Table: How To Get Schwab Back On Track


Concentrate on its basic businesses and dump the rest

PROBLEM: Retail brokerage's menu of advice services is confusing, and fees are high

SOLUTION: Focus on affluent middle-class clients, simplify services, and reduce fees

PROBLEM: U.S. Trust's rarefied culture clashes with Schwab's

SOLUTION: Run it as a standalone operation, downplaying Schwab link, or sell it

PROBLEM: Schwab SoundView Capital Markets, which serves institutional clients, is outside its core expertise

SOLUTION: Sell it

PROBLEM: Relations with independent advisers have been tense since Schwab encroached on their business

SOLUTION: Placate them by staying away from their clients

Data: BusinessWeek


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