Mar. 8 - Schwab Active Trader's Kelli Keough discusses how the use of social media and trader communities is changing the landscape for retail traders and says regulators will watch the industry.
The growth of social media has changed the way many companies do business and that includes house stop traders share information about the market. Kelly -- vice president and active traders Charles Schwab joins me now but her -- good to see -- Console thanks for having me here and how you use social media it to grow your business and isn't measurable revenue driver. Well it is -- is a me first and foremost that we think of it through our client side that's a -- and it Schwab we've gone to where the client side. And clients are in all of the different social channels social element. I don't say there's three -- is that we really try to. Interact with and then to add value for them first supposed to provide the opportunity for them to connect with one another. So that we provide a community for our traders to share trading ideas talk throughout the trading day amongst themselves and the great safe place that entity that. Another way is through listening and gathering feedback we're constantly listening to what's going on. On Twitter on FaceBook and we've learned so much by doing that. And then there's an issue of somebody expresses out there will actually interact directly with that client. And let them know one we're here to try to solve their problems and answer their questions about. Issues -- risk control compliance. Legality. Things like somebody going on -- popping up -- stopped me how you address some of these. Overall industry concerns that are always there but perhaps more friends that are when -- and -- an active chat room. But while just pumping up the stock right away so. EO -- we have very mature and responsible our participants in our community and we do not see issues of that. If there ever -- -- are issues of pumping up the stuck those posts are taking on immediately. So we remove those from day eight the active trader community. In terms of compliance. And legal restrictions. That's part of over our life within financial services is to work with in the regulations that we have that are really there to help protect our customers. As we've. Expanded our social media opportunities offerings we do that in close partnership with compliance and legal. So that every step of the way they're our partner. Yes in some cases I think firms think of compliance and the regulations as -- we really think of -- friend and we we have to in this together as one navigating this space our regulators listening in to on the conversations. They could. Yes anybody content conversations are considered. In some cases especially if it's a case where we -- posting information. That is information that is considered written communications and falls under the same requirements of of surveillance that -- advertising experts like communications with the public. And that's cases we actually have to we have a principal review doesn't regulators can view than at any point in time. I regulator could ask for information on how we've been monitoring it as well as approving. Kelly you have got great content you think somebody had. I'm Rhonda schaffler is its writers.