Statement Reporting Section

Introduction to the redesigned statement experience

Overview

To meet the needs of individual clients, Schwab has updated the design of our statements. We now offer four statement formats: Basic, Intermediate, Advanced, and Complex.

Note: Basic is the default statement format.
 

Enrollment into the new statement experience is a phased-in approach. The order of enrollment is as follows:

  1. September 2023: Master accounts converted from TD Ameritrade
  2. October 2023: Master accounts opened at Schwab for firms with a former relationship with TD Ameritrade
  3. October – December 2024: Master accounts for firms without a dual relationship at TD Ameritrade

Enrollment will be implemented in different waves, determined by the Advisor Services (AS) Service team capacity.

To request another statement format at the master account or sub-account level, use the Statement Preferences self-service tool on Schwab Advisor Center®.

To make updates at the FA master or sub-account level, review Statement preferences self-service tool in Schwab Advisor Center®.

All formats are available for paper or paperless and are printed in a double-sided landscape layout.

The following chart compares the statement formats.

Preference/SectionBasicIntermediateAdvancedComplex
Advisor logo displayed on every page (optional)XXXX
FREQUENCY OF STATEMENT GENERATION Quarterly Tooltip DefaultAvailableAvailableAvailable
Monthly Tooltip AvailableDefaultDefaultDefault
Force Monthly Tooltip AvailableAvailableAvailableAvailable
SUMMARY SECTIONAccount ValueXXXX
Account Value Table and ChartTable OnlyTable OnlyTable and ChartTable and Chart
Positions and Transaction SummaryXXXX
Realized Gain/(Loss) Summary TableNot availableXXX
Income Summary Table and ChartNot availableTable OnlyTable OnlyTable and Chart
Asset Allocation Table and ChartNot availableTable OnlyTable and ChartTable and Chart
Investment Objective & Risk Tolerance (under the Asset Allocation Chart)Not availableNot availableXX
Top HoldingsNot availableXXX
POSITION SECTIONCost Basis Reporting (None, Position, Tax Lot)
  • All Available
  • None – Default
  • All – Available
  • Position – Default
  • All Available
  • Position – Default
  • All Available
  • Position – Default
Estimated Yield and Annual Income (On/Off)
  • On – Available
  • Off – Default
  • On – Available
  • Off – Default
  • On – Default
  • Off – Available
  • On – Default
  • Off – Available
Asset Class/TypeNot availableXXX
Change in Position Value from Prior Period (On/Off)*Not available
  • On – Available
  • Off – Default
  • On – Default
  • Off – Available
  • On – Default
  • Off – Available
Research Ratings (Fixed Income Securities Only)Not availableNot availableXX

* Feature is not currently available. Projected availability date is to be determined.

Statement formats by master account
You can set your clients' statement format at the FA master account level, and all linked sub-accounts will receive the designated statement format. You can also customize the statement format at the individual sub-account level. If an account is designated as “customized” the FA master settings will not be inherited at the sub-account level. 
 
The statement format cannot be set on the following:

  • Firm level
  • SL master account
  • BT master account

According to regulatory requirements Tooltip , Schwab account statements must be issued at quarter-end (March, June, September, and December) but may be produced more frequently. When deciding on statement frequency, please be aware that paperless delivery options are available. eStatements default to force monthly delivery, look identical to the paper reports, and are accessible in PDF format. Zip files containing historical statements for the past 12 months are available at the master level in the Documents tab on Schwab Advisor Center. Historical statements for the last ten years are available at the individual account level on Schwab Advisor Center and on Schwab Alliance. Updates must be made at the sub-account level using the Statement preferences self-service tool in Schwab Advisor Center®.

Statement frequency options include:

  • Quarterly—Generated quarterly unless there is activity which requires a statement to be generated monthly. These statements will encompass prior time periods and capture all activity not included on a prior statement.

    Note: This experience was not available on the old statement platform.

  • Monthly—Generated monthly unless there is limited activity in which case it will be suppressed until the following month. If the following month’s statement is generated, it will include the activity from the prior month. If the following month’s statement is not generated due to limited activity, all activity will be reported on the quarterly statement.

    Note: This is the same experience as having the statement suppression enabled on the old statement platform.
     
  • Force Monthly—Generated each month when the account is open and there is a balance. This is the default for any account receiving paperless statements.

    Note: This is the same experience as having the statement suppression disabled on the old statement platform.

Exceptions

An account set to Quarterly will produce a statement the same month the following activities occur:An account set to Monthly will not produce a statement the same month the following non-reportable activities occur:
  • New account (funded or securities deposited)
  • Account holds an option position or has option activity
  • Dividend reinvestments or adjustments
  • ATM transfer, deposit or withdrawal
  • Electronic fund transfer or Schwab ACH (MoneyLink®) activity
  • Schwab One® transactions, such as Visa® transactions, or adjustments to interest
  • Wired funds received or withdrawn using Schwab BillPay®

Note: Check transactions do not trigger a monthly statement.

  • Internal transfer (journal) entries within the same account
  • Money market dividends
  • Schwab One interest
  • Interest on deposit accounts held through the Bank Sweep feature
  • Trading activity when trades settle the following month


Set the statement frequency setting at the master account and/or the individual sub-account level. Any changes made to the statement delivery frequency of a sub-account will affect only that account. Changes made to the statement delivery frequency of a master account will affect all linked sub-accounts except for those sub-accounts that have had any preference(s) adjusted prior. When a client account is linked to a new master account, the statement frequency settings will not change to the master account's default settings.

Can I use the current Statement Preferences form to update the statement formats if I’ve been enrolled in the new statement experience?
No. You must make elections using the Statement Preferences self-service tool on Schwab Advisor Center®.

Why does the Estimated Annual Income (EAI) and Estimated Yield (EY) display “N/A” for some positions?
Schwab provides the EAI and EY for most equities, exchange-traded funds (ETFs) and fixed income positions. However, the EAI and EY for mutual fund positions is not provided. While the data provided on the statement continues to be accurate, there is a small number of positions (primarily ETF positions) that display “N/A” for the EAI and EY. The information used to calculate these items in the statement system comes from various sources. The data received for these positions has become so complex that the statement system is unable to calculate an accurate figure. The EAI and EY will display as “N/A” in these scenarios. The update that needs to be performed in the statement system is not something that can be easily accomplished because of the complicated rules for displaying EAI dictated by FINRA.

The EAI shown on schwaballiance.com comes from a different system that is not available to the statement platform and provides the EAI for most positions held in the account. The client should be encouraged to access the information online.

How can I access data that has been removed from the statements?
To improve the overall design and experience, we made changes to the statement layout, including the removal of certain details. To access the data, see below:

  • Original cost basis for fixed income positions: The new design displays the original and adjusted cost basis information for shares currently held in the account. However, the realized gain/(loss) provided for sale transactions in the Transaction Details section is based on the adjusted cost basis only. In addition, the original cost basis is not provided for each individual tax lot. The original cost basis at the individual lot level and the realized gain/(loss) based on the original cost basis can be obtained by exporting the relevant data to a downloadable spreadsheet.
    • To download original cost basis for shares currently held on Schwab Advisor Center, go to Accounts > Cost Basis > Unrealized Gain/(Loss) and select a specific account. Click Export in upper-right corner of the table to export the information into an excel spreadsheet. All available original cost basis data will appear when you use any of the three export options.
    • To download the realized gain/(loss) based on the original cost basis, the advisor will follow the same instructions provided above except they will access the Realized Gain/(Loss) vs. the Unrealized Gain/(Loss) section.
  • Year to date (YTD) information: We updated the first page of the statement to emphasize period-to-period values for credits, debits, transfers, income reinvested, and change in the value of investments, to help readers better understand current trends. YTD information related to 1099 reporting, gain/loss reporting and contributions or distributions for retirement accounts is found on subsequent pages of the statement. Your clients can view all YTD information by logging into Schwab Alliance and clicking Portfolio Performance on the Accounts page. Three-month, one-year, previous year, year-to-date, maximum, and custom date range views are available. This information is expected to be added back to the statements in October 2024.

Why wasn’t a statement generated for my fee account?
If the statement delivery frequency for the fee account is set to quarterly, a fee transaction will not trigger a monthly statement. To receive a statement for any month a fee transaction occurs, update the statement delivery frequency to monthly or force monthly on the Profiles tab. Consult the Statement preferences self-service tool in Schwab Advisor Center® for instructions.

Can I receive my fee account statement in a paperless format?
Statements for fee accounts are not currently eligible for paperless delivery and are not provided online.

Why are some of our clients not receiving statements on the same schedule as before?
Accounts set to receive the basic statement format will now receive statements quarterly vs. monthly by default unless the account previously had the suppression option turned off. If the suppression option was turned off or if the client is signed up for paperless statements, the delivery frequency defaults to force monthly. All other formats default to a monthly frequency.

Note:

  • Accounts set to receive monthly statements that have no reportable activity in a given month will not receive that month’s statement, but accounts with a balance, position, or any activity will receive all quarterly statements. If clients require statements for inactive accounts on a monthly basis, you can choose the “force monthly” option to ensure they receive these statements regardless of activity. This replaces the previous “suppression off” option. We recommend paperless enrollment for these accounts. Accounts must have a balance, position, or any activity to receive a quarterly statement.
  • Regardless of statement frequency, each new statement will include all activity occurring since the prior statement was issued—for example, if an account receiving monthly statements had no activity for October, but does in November, the November statement will cover all activity from October 1–November 30. To change statement frequency on the Profiles tab, consult the Statement preferences self-service tool in Schwab Advisor Center® for instructions. Perform any updates at least two business days prior to the end of the reporting period. See the statement frequency options above for an explanation of the activities that trigger a statement.

My client did not get a statement. Can you generate a statement for a prior month?
No. Statement settings and run dates are built on an intricate system to ensure regulatory fulfillment and oversight. Due to this complexity, we are unable to generate a statement that was not initially produced. Note that all activity since the previous statement will be reflected in the next statement issued.

Can the client get an annual statement?
Schwab does not offer annual account statements at this time.

Did the monthly statement frequency setting my client had at TD Ameritrade transfer to Schwab?
The statement generation frequency preference did not automatically convert to Schwab during conversion. The equivalent to the TD Ameritrade frequency is Monthly. If your client wishes to receive a statement each month, select the force monthly generation frequency using the self-service tool to ensure the client receives a statement every month as long as there is an account balance.

To request a different statement frequency at the master account or sub-account level, use the Statement Preferences self-service tool on Schwab Advisor Center®.

Will the statement frequency setting for my Schwab legacy clients change?
If the account is receiving monthly statements regardless of account activity (statement suppression is disabled), the force monthly delivery frequency will be applied automatically to ensure a consistent experience.

Accounts with statement suppression enabled will receive the default statement frequency based on the new statement format.

Which one of the new statement formats will my clients receive?
The new default statement format and features for each master and sub-linked account are based on the old statement experience. If the old statement format was Compact, clients can expect the new Basic Format. If the old statement format was Customizable, see the table below for the new statement format mapping.

OLD STATEMENT EXPERIENCENEW STATEMENT EXPERIENCE
Charts and Table DisplayCost Basis DisplayStatement FormatEstimated Yield and Estimated Annual Income (On/Off)Cost Basis Display
OffNoneBasic FormatOffNone
OffPosition levelIntermediateOffPosition level
OffLot-levelAdvancedOnLot-level
OnNoneAdvancedOffNone
OnPosition levelAdvancedOnPosition level
OnLot-levelComplexOnLot-level


Will my logo continue to be displayed on the new statement format?
Yes. Logos displayed on the old statement format will continue to be displayed on the new statement format automatically.
 

Why can’t I see the Update Statement Preferences link on the Profiles tab?

  • The master account has not been enrolled in the new statement experience yet. Refer to the Enrollment section for an enrollment timeline.
  • The user has not been granted permission to the firm security group (FSG) CSR Firms by the firm security administrator (FSA). To learn more about granting permission, refer to How to work with Schwab Advisor Center® user security groups.
  • The profile tab for the firm is displayed vs the profile tab for the FA master level.

Why does the Profiles page at the master-level on Schwab Advisor Center list “compact” or “customizable” as the statement type instead of reflecting the new statement preferences?
Because of the different statement platforms running simultaneously during the integration process, Schwab Advisor Center is not able to display the new statement preferences. You can check what the current statement format is under the Profiles page for each account, under the Reporting level field in the Statement Preferences section.

Statement bundling for accounts enrolled in the redesigned statement experience do not have the same capabilities as statement bundling on the legacy statement platform. Accounts receiving the new statement offer can only be bundled under a single tax ID.

Bundling Summary Report
The Statement Bundling Summary Report is no longer included in the bundle envelope.

Automatic bundling
Clients’ statements are automatically bundled when accounts have the same:

  • Tax ID
  • Registration/Mailing Label
  • Statement Type

When Tax ID and Registration/Mailing label match—Individual and Joint accounts can be auto-bundled.

Revocable Living Trust accounts are eligible for statement auto-bundling if they meet all of the following criteria:

  • The Revocable Living Trust is added to the statement bundle of the Primary Trustee.
  • The tax id listed on the Revocable Living Trust matches that of the Primary Trustee.
  • The address listed on the Revocable Living Trust matches that of the Primary Trustee.

Each statement bundle will be assigned a primary account

  • The primary account will be used for the mailing block as it appears on the envelope for delivery (all accounts in an auto-bundle must have the same address).
  • The primary account number will be automatically assigned.
  • Statements will appear in ascending order in the envelope with the lowest account number in the first position.

Auto-bunding exclusions:

  • Pension Trust accounts
  • Company Retirement accounts
  • Charity Non-Profit
  • Charity for Profit
  • Charity Account – Donor Advised
  • Investment Club
  • Health Savings Account Master
  • Health Savings Account Custodial Program
  • Health Savings Brokerage Account
  • Trusteed Traditional IRA
  • Trusteed Roth IRA
  • Trusteed Rollover Traditional IRA
  • Trusteed Inherited Traditional IRA
  • Trusteed Inherited Roth IRA
  • International Accounts

Manual bundling
Under select conditions, your clients may request additional account statements to be bundled by completing the Statement Bundling Letter of Authorization. The authorization form must be signed by all the account holders of each account (if there are multiple account holders) in order to be bundled.

Clients’ statements can be manually bundled when accounts have the same:

  • Tax ID
  • Statement Type

Manual bunding exclusions:

  • Closed Accounts
  • Donor Advised Fund Account
  • Corporate
  • Limited Liability Company
  • Non-Incorporated Association
  • Partnership
  • Pension Trust accounts
  • Testamentary Trust
  • Fiduciary Trust
  • Health Savings Account Master
  • Health Savings Account Custodial Program
  • Health Savings Brokerage Account
  • Trusteed Traditional IRA
  • Trusteed Roth IRA
  • Trusteed Rollover Traditional IRA
  • Trusteed Inherited Traditional IRA
  • Trusteed Inherited Roth IRA
  • Designated Brokerage
  • International Accounts

See the following tools and resources to assist you with statement options:

If you have questions about cost basis reporting, statement preferences, and tax reporting, contact your service team or call Advisor Services Cost Basis Service at 877-762-6446.

If you have questions about statement bundling, contact your service team.

Introduction to paperless documents
How to set up clients with paperless documents
Introduction to Schwab Alliance
How to work with Schwab Advisor Center® user security groups