Investment Advisors Fear Losing Out in Schwab
It is correct to depict that the article is based on the notions of investors towards profitability in Schwab. The author builds on the multiple numbers of investors that have been affected by the move of Schwab to purchase TD Ameritrade. The studies provided in the article that the merger between the two organizations is likely to develop a negative attitude towards the attraction of investors. The market investors are worried about the impact merging between the two firms would have on their clients. Furthermore, it is correct to establish that they have feelings of losing Schwab, to TD Ameritrade has resulted in massive withdrawals in the investments within the organization (Osipovich, 2019). Moreover, investors associate the move by the Schwab cooperation to buy a smaller rival firm as having adverse effects in the long-term towards the company. It also portrays the impact of enforcing merging as a business strategy that is aimed towards minimizing competition in the market. Hence, buying of TD Ameritrade is a strategy that is geared towards reducing market competition for the dominant firm.
The article extensively makes use of descriptive analysis in defining the nature of investments and the impacts that will have on clients. Descriptive statistics further helps readers to comprehend the consequences the stock-swap is likely to imply on the general nature of investment ratio. Descriptive statistics indicate the total revenue and value of transactions. In this case, the move by Schwab corporation to purchase its smaller rival in the market is projected through descriptive statistics to indicate its effect on profitability and transactions made on the value of the stocks. Thus, it appears to portray that the use of measures of frequency, such as percentage, develops a better understanding of the current status of Schwab corporation.
Hence, it can be developed that the article has a substantive impact on the general viewpoint of the world. It expounds on the moves that are made by organizations towards the reduction of competition in the market. On personal insights, it equips one with the knowledge of companies merging and expounds on the prevailing market conditions and the necessary strategies to be undertaken. It is correct to indicate that the article further provides a wide range of information, especially on the finance major in Business faculty. It demonstrates the different moves that can be conducted by chief executive officers of companies towards expanding the profitability of a company. It enables one to understand the stock-swaps between corporations, thus, realizing the effect of merging on market competition.
It worth indicating that the article makes use of a diverse number of data within it. The reason behind the measures of frequency used is to elaborate on the impact of the mergers on the prevailing market conditions. Moreover, the article utilizes frequencies and percentages to expound on the stock-market swaps and revenue changes that arose within the company as a result of the swap. The different data types are also meant to develop reveal the distinction that exists between Schwab before and after merging with the smaller rival in the market. Percentages indicate the company’s performance in association with the business strategy that has been implemented. The frequencies are used in the instance where the author depicts on the $20 billion stock value that is linked with the merging (Osipovich, 2019).