Though Charles Schwab [profile] is dropping A shares for its own brokerage clients, the discount brokerage giant will not be entirely disconnected from that mutual fund share class.

Walt Bettinger Charles Schwab President, Chief Executive Officer

Last month the WSJ reported that Schwab would no longer sell A shares, effective May 2.

A Schwab spokeswoman clarifies that its RIA allies will continue to be able to use load-waived A shares. And retirement plans often use load-waved A shares, too. (Schwab is a 401(k) recordkeeper.)

"There is no change at all to the load-waived business we do with RIAs," the spokeswoman tells MFWire. "Advisors buy largely institutional shares or A-shares load-waived."

Meanwhile, the change does not effect Schwab's own mutual funds.

"CSIM [Charles Schwab Investment Management] has no commissionable share classes," the spokeswoman says.

Schwab already doesn't have C shares available, either. 

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