Charles Schwab Develops Patent Pending Data Analytics Algorithm

American multinational financial services company Charles Schwab announced on Thursday that it has developed a patent-pending data analytics algorithm designed to improve client experience and make investing more accessible. 

The patent-pending algorithm was developed by Schwab's Data Analytics & Insights team led by Tony Cyriac, the firm's new Chief Data & Analytics Officer who joined the firm in June 2020. Cyriac's team is responsible for leveraging data, analytics, and research to drive growth and improve the client experience across all business units at Schwab.

Schwab's proprietary algorithm analyzes billions of pieces of client data in order to detect clients' intent and automatically adapt to client-led changes in behavior and Schwab-led changes in the user experience. The asset management giant expects to use the new algorithm to make a range of client activities more efficient. For example, if a client attempts to conduct a wire transfer online but then calls the Schwab service line, they can be immediately directed to the team that can help with that type of transaction by phone. Additionally, the algorithm surfaces the web pages and searches that are driving highest call volumes, enabling Schwab to pinpoint client roadblocks and make those experiences easier and more intuitive.

In discussing the development of the new algorithm, Cyriac says, "We are proud of the focus and progress we are making to put data to work to improve our clients' experiences and anticipate their needs. In order to serve our clients holistically across business lines and channels, we must analyze their journey in the same manner in which they live it: they experience Schwab as a single entity regardless of whether they are trading, opening a brokerage account or resetting a pin on their debit card. Our goal is to meet clients where they are and help them accomplish what they need to do as quickly and seamlessly as possible."