(Reuters) -U.S. brokerage firm Charles Schwab beat third-quarter profit expectations on Thursday as client assets hit a new record and trading revenue soared.

Shares of the company rose 2.9% in premarket trading. The stock has jumped 27.5% this year as of its last close.

Schwab's results offer an insight into the trends in the investment landscape, with its diversified business model spanning across brokerage services, asset management, banking, and other financial services, and its results offer

The Westlake, Texas-based company added core net new assets of $137.5 billion in the quarter, while total client assets jumped 17% to record $11.59 trillion.

"Strengthening organic growth trends, increasing adoption of wealth solutions, and favorable macroeconomic tailwinds powered another quarter of record revenue and earnings per share, said CEO Rick Wurster.

Profit jumped 67% to a record $2.36 billion, or $1.26 per share, in the three months ended September 30.

Excluding one-time items, Schwab earned $1.31 per share, beating Wall Street expectations of $1.25, according to estimates compiled by LSEG.

Trading was another bright spot for Schwab as stocks reached new highs, buoyed by strong corporate earnings and optimism around potential Federal Reserve interest rate cuts.

The benchmark S&P 500 index gained roughly 8% in the third quarter and hit multiple record closing highs in September, historically a weak month for stock markets.

Schwab's trading revenue jumped 25% to $995 million, driven by robust volumes and strong client interest in derivatives.

The company's net revenue soared 27% to a record $6.14 billion in the quarter.