Charles Schwab, the founder of Charles Schwab Corp, has lost nearly $3 billion since March 8 due to a drop in the value of his company’s shares. Charles Schwab Corp saw its shares fall by 11.6% on Monday amid the collapse of Silicon Valley Bank, with investors concerned that the company is sitting on significant unrealized losses on its bond assets. The company’s combined unrealized losses stood at nearly $28 billion as of December 31, causing worries that the company could suffer the same fate as SVB if it is forced to sell its bonds at a loss. However, Charles Schwab Corp has sought to reassure investors, stating that it has enough liquidity to weather any volatility.
Charles Schwab, founder of the savings and loan holding company Charles Schwab Corp, has seen his net worth drop by $2.9 billion since March 8. This follows a sharp decline in the company’s share price amid the collapse of Silicon Valley Bank. Investors are concerned that the bank could be sitting on a significant amount of unrealized losses on its bond assets, causing jitters about its stability. Despite the concerns, Charles Schwab Corp sought to reassure investors, stating that it has enough liquidity to weather any volatility.
As of March 14, Schwab’s losses mean his wealth has dropped the most among US billionaires so far this year, and he is now worth nearly $10 billion. Schwab’s losses come amid growing concerns about the massive unrealized losses banks are sitting on in their bond portfolios, causing investors to worry that Charles Schwab Corp could go the way of SVB if it is forced to sell its bonds at a loss.