Costs of Investing: A Breakdown

1. Standard online US$0 commission does not apply to over-the-counter (OTC) equities, futures, fixed-income investments, or trades placed directly on a foreign exchange or in the Canadian market. Options trades will be subject to the standard US$0.65 per-contract fee. Service charges apply for trades placed through a broker (US$25). Exchange process, ADR, and Stock Borrow fees still apply. Schwab One International^® accounts require a minimum deposit to open. Please contact Schwab for details. See the Charles Schwab Pricing Guide for Individual Investors for full fee and commission schedules.

2. Please see the Charles Schwab Pricing Guide for detailed information on equity and options commissions. Multiple-leg options strategies will involve multiple commissions.

Multiple leg online option orders such as spreads, straddles, combinations, and rollouts are charged per-contract fees for the total number of option contracts. Complex online option orders involving both an equity and an option leg, including Buy/Writes or Write/Unwinds, are charged per-contract fees for the option leg. Service charges apply for trades placed through a broker (US$25) or by automated phone (US$5).

The Securities and Exchange Commission (SEC) assesses transaction fees on national securities exchanges and self-regulatory organizations based on the aggregate dollar amount of sales of certain securities. The SEC recalculates the amount of this fee periodically—at least once per year but sometimes more often. National securities exchanges and self-regulatory organizations offset the transaction fees by charging their member broker-dealers such as Schwab, and we, in turn, offset this fee by charging you an Exchange Process Fee for covered sell transactions. U.S. option exchanges charge Schwab and other broker-dealers per-contract fees for purchases and sales of exchange-listed options. The exchanges may charge these fees even on transactions executed on other exchanges, which can result in multiple fees being imposed on Schwab for a single transaction. Schwab offsets these fees by charging you a single Exchange Process Fee for each covered transaction. Any Exchange Process Fee that appears on your trade confirmation for a sale of an exchange-listed option will combine the offsets for the fees charged both by the U.S. option exchanges and by the national securities and self-regulatory organizations.

The Exchange Process Fee will rise or fall periodically depending upon the rates set by the SEC or by the U.S. option exchanges, as applicable. Several U.S. option exchanges currently assess a fee upon Schwab for covered transactions. Of them, the Chicago Board Options Exchange (CBOE) and the International Securities Exchange (ISE) fees, as shown in the table below, will be included in the Exchange Process Fee.

3. Broker-assisted trades: Online pricing + US$25 per trade service charge

Schwab reserves the right to act as principal on any fixed income transaction, public offering or securities transaction. When Schwab acts as principal, the bond price includes our transaction fee and may also include a markup that reflects the bid-ask spread and is not subject to a minimum or maximum. When trading as principal, Schwab may also be holding the security in its own account prior to selling it to you and, therefore, may make (or lose) money depending on whether the price of the security has risen or fallen while Schwab has held it. When Schwab acts as agent, a commission will be charged on the transaction.

4.  Example model for Dedicated Financial Advice is limited to services defined as non-discretionary advice for a wrap fee. Additional discretionary advice or advised offers may be available and typically come with higher management fees versus non-discretionary advice.

5. There are certain eligibility requirements for working with a dedicated Financial Consultant. Schwab Private Client ("SPC") is a non-discretionary investment advisory service sponsored by Charles Schwab & Co., Inc. ("Schwab"). Schwab Private Client Investment Advisory, Inc. ("SPCIA") is a registered investment advisor and provides portfolio management for the SPC service. Schwab and SPCIA are affiliates and are subsidiaries of The Charles Schwab Corporation.