Extended Hours Trading from Schwab

Schwab now offers investors the ability to trade stocks after the normal closing time of the major U.S. stock exchanges during our Extended Hours Trading Sessions.

Extended Hours Trading may not be for everyone—it's important for you to understand the differences and the associated risks before deciding whether to participate in Schwab's Extended Hours Trading Sessions.

Overview | Commissions and trade settlement | Standard market vs. extended hours sessions | What is an Electronic Market?

Overview

Extended hours trading is made possible by computerized order matching systems known as Electronic Markets (either Electronic Communications Networks or Electronic Stock Exchanges). These Electronic Markets may have relationships with other Electronic Markets that participate in an extended hours trading network in order to provide access to orders or prices available on these other participating Electronic Markets.

Separate Trading Session—Schwab's Extended Hours Trading offering has two components, the Pre-Market Trading session and After Hours Trading session. These are completely independent from the standard trading session. Extended hours orders must be placed on the special Extended Hours Trading screens at schwab.com, or by calling +1-415-667-7870 and asking for an Extended Hours Trading representative.
Commissions and Trade Settlement—Commissions for extended hours trading are based on Schwab's standard fee and commission schedule. Please note that the commissions for trades executed in multiple sessions (i.e. Pre-Market, standard or After Hours) are not aggregated. Extended hours trades will normally settle three business days from the date the order is executed, just like orders placed during standard market hours.

Standard Market vs. Extended Hours Sessions
Standard Market	Pre-Market and After Hours Trading
Orders can be placed at any time and will only be executed from 9:30 a.m. to 4:00 p.m. ET	Pre-Market: Orders can be placed between 8:05 p.m. (previous trading day) and 9:25 a.m. ET and will be eligible for execution between 8:00 a.m. and 9:25 a.m. ET. After Hours: Orders can be placed between 4:05 p.m. and 8:00 p.m. ET and will be eligible for execution between 4:15 p.m. and 8:00 p.m. ET
Trading primarily occurs on exchanges (NYSE, Euronext, AMEX and other regionals) and on NASDAQ through a variety of venues including market makers and ECNs	Trading occurs through a leading Electronic Market
Many order types and restrictions are accepted. Including: market, limit, stop-limit, all-or-none, etc	Only limit orders for the particular Extended Hours session are accepted
All order sizes are accepted	5000 shares is the maximum quantity on a single order
Many security types are available, including: stocks, options, bonds, mutual funds, etc.	Most listed and NASDAQ securities are available in the extended hours session
Different time limits are available, including: Day, GTC, IOC and FOK	All orders are only good for the particular session in which they are placed. There is no carryover into any following session
In general higher trading activity means more liquidity and a greater likelihood of order execution	Lower trading activity may result in lower likelihood of order execution, plus wider spreads and greater price fluctuation
The quotes you receive are consolidated and represent the best available prices across all trading venues. Market makers and specialists work to ensure customers get the best buy or sell prices displayed on Nasdaq and the exchanges	Quotes are not consolidated and represent the current prices available through the Electronic Market. As a participant in the Extended Hours Trading Network, the Electronic Market may also offer access to prices available on other participating Electronic Markets, but not necessarily all venues open for EHT

What is an Electronic Market?

(Electronic Stock Exchange) is a computerized trading network or market used to display and execute limit orders. Professional traders, such as those who trade for big financial institutions, have been using Electronic Markets for over 15 years now.

How does it work?

An Electronic Market is simply a matching service set up to match buy and sell orders. For example, if there are no sell orders for a particular stock displayed on an Electronic Markets, an investor who places an order to buy that stock has to wait for a matching sell order to come in before an order execution can take place.

The result?

Buyers and sellers trading through an Electronic Markets may experience significant delays before their orders are filled, and some orders may not be executed at all.

Extended Hours Trading Sessions will not take place on official Exchange holidays or when Exchanges close early. Schwab reserves the right to change or modify hours of operation for extended hours trading at any time. A Schwab Extended Hours Trading Session, or any security traded therein, may be temporarily or permanently suspended without prior notice at any time at our discretion.

Please note that U.S. market hours can vary due to different Day-light Saving switching times in the U.S., U.K. and Switzerland.

(0809-10498)

In the U.K. 0800 917-1039
In Switzerland 0800 56-3821

Visit Schwab's London
Investor Centre

10 King William Street,
London EC4N 7TW,
United Kingdom

Office Hours:
Monday - Friday, 09:00 - 18:00

Request a brochure on the range of services provided by Schwab

Email Us

This site is designed for residents of the U.K. and Switzerland only.

Site Map | About Schwab | Schwab Business Continuity | Schwab Business Practices | Contact Us

Privacy & Security

| SchwabSafe|

SEC Disclosure | Pillar 3 Disclosure | USA Patriot Act | Terms of Use

©2010 Charles Schwab, U.K., Limited. All rights reserved. Unauthorised access is prohibited. Usage will be monitored. The site content and functions are directed at residents of the U.K. and Switzerland. Charles Schwab, U.K., Limited is authorised and regulated by the Financial Services Authority and entered on the FSA Register under Registration Number 225116. Registered in England and Wales No. 4709153, registered office: 78-84 Colmore Row, Birmingham B3 2AB. Designated a foreign branch office of Charles Schwab & Co., Inc. (member SIPC)