Segment Information

3 Months Ended

Mar. 31, 2018

Schwab’s two reportable segments are Investor Services and Advisor Services. Schwab structures the operating segments according to its clients and the services provided to those clients. The Investor Services segment provides retail brokerage and banking services to individual investors and retirement plan services, as well as other corporate brokerage services, to businesses and their employees. The Advisor Services segment provides custodial, trading, banking, and support services, as well as retirement business services to independent RIAs, independent retirement advisors, and recordkeepers. Revenues and expenses are allocated to the two segments based on which segment services the client.

Management evaluates the performance of the segments on a pre-tax basis. Segment assets and liabilities are not used for evaluating segment performance or in deciding how to allocate resources to segments. There are no revenues from transactions between the segments.

Financial information for the segments is presented in the following table:



	Investor Services				Advisor Services				Total
Three Months Ended March 31,	2018		2017		2018		2017		2018		2017
Net Revenues:
Net interest revenue	$	957	$	753	$	306	$	247	$	1,263	$	1,000
Asset management and administration fees	593		566		258		257		851		823
Trading revenue	127		119		74		73		201		192
Other	64		50		19		16		83		66
Total net revenues	1,741		1,488		657		593		2,398		2,081
Expenses Excluding Interest	1,042		930		354		308		1,396		1,238
Income before taxes on income	$	699	$	558	$	303	$	285	$	1,002	$	843