Charles Schwab, TD Ameritrade Merger Antitrust Complaint

June 2, 2022

In October 2020, the Charles Schwab Corporation merged with TD Ameritrade. This antitrust class action alleges that the resulting brokerage company “has created an unprecedented market concentration in which the merged entity has captured and maintained fully half of the retail order flow in the United States” and “has substantially decreased competition[.]” But retail investors have also made less money, the complaint alleges, among other things because it profits by selling their order flow to market makers, “who then trade against them for profit.”