What to Make of Schwab-TD Ameritrade Integration Plans

"They're not going to tell either set of existing users they're shutting down their platform. Instead this freezes the market and kicks the can down the road, which is exactly what I would do," explained Spitzner.

"The tougher work is ahead because, of course, long-term it doesn't make sense to maintain two separate, but similar, capabilities," he added.

Since November when the acquisition was announced, Schwab said it "would carefully evaluate the existing technologies from each firm as part of a single, unified, world-class platform that combines the great capabilities, education and service clients enjoy at both firms," according to a spokesperson.

"We are committed to leveraging material advantages in TD Ameritrade's platforms when doing so enables us to deliver a differentiated experience to all of our clients. That commitment drove this decision," the firm added in a statement.

The plan to adopt the thinkorswim suite of products and related educational resources "reflects its status as one of the strongest retail active trader platforms in the industry," said Barry Metzger, senior vice president of Trading Services at Schwab, in the firm's announcement late Wednesday.

Schwab's plan is to "combine the great capabilities, tools and service at both firms to provide a unified, world-class trading experience for clients," Metzger added.

Platform in Progress

The combination of the two firms' "respective trading teams' experience and capabilities with the advanced trading technology of thinkpipes will create an even more compelling offer for advisors when integration is complete," according to Bernie Clark, executive vice president and head of Schwab Advisor Services.

Tom Bradley, the TD Ameritrade veteran whom Schwab hired to oversee the integration of the two advisory businesses, said early this year that Schwab's plan was to "come up with a best-of-breed platform."

However, there continued to be concerns by some in the industry that Schwab would favor its own tech and tech executives over TD's, and that only continued after the Department of Justice approved the acquisition and the vast majority of shareholders of both firms voted to support the deal in June.

Dani Fava, who led innovation for TD Ameritrade Institutional since 2016, recently left the company and joined Envestnet as head of strategic development, and industry watchers expect other TD talent to follow.

Related on ThinkAdvisor:

• Dani Fava Has New Gig at Envestnet
• Does Fava's Exit Signal More Departures From TD Ameritrade?
• TD Ameritrade's Dani Fava Has Left the Firm