03:40 PM EST, 01/07/2025 (MT Newswires) -- Toronto-Dominion Bank ( MLWIQXX ) is reviewing its stake in Charles Schwab ( SCHW ) as part of a strategic review, TD CEO Raymond Chun said at a conference on Tuesday.

Toronto-Dominion is reviewing the 185 million shares it owns in Schwab as part of a broader strategic and capital-allocation review, Chun said at RBC Capital Markets Canadian Bank CEO conference. Chun added that updates will be provided quarterly, and an investor day is planned for later this year.

The bank has been subject various anti-money laundering investigations. Last year, it reportedly entered a roughly $3.1 billion settlement with US Department of Justice and bank regulators related to anti-money laundering controls. This has forced the company to regauge its strategy and control costs.

To also comply with the asset cap, Toronto-Dominion is restructuring its US balance sheet by exiting certain loan portfolios and repositioning bond holdings, a process expected to conclude by fiscal 2025, while prioritizing anti-money-laundering improvements with significant investments and oversight.

TD's deposit agreement with Charles Schwab ( SCHW ) is separate from its stake. Chung said the deposit agreement will continue as normal on go-forward basis.

Price: 54.62, Change: +0.38, Percent Change: +0.70