Charles Schwab is Letting Customers Invest in Personalized Indexes

  • Brokerage to allow clients to buy individual stocks of index
  • Money managers aim to appeal to tax-conscious investors
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Charles Schwab Corp. unveiled a new feature that allows customers to invest in personalized indexes, an increasingly competitive area that appeals to tax-conscious customers.

Clients will be able to invest directly in securities of an index through Schwab Personalized Indexing, according to a statement Thursday from the Westlake, Texas-based brokerage. The approach can help reduce taxes compared to investing in mutual or exchange-traded funds.