Schwab Bets $660 Million on Private-Markets Platform Forge Global
Deal Expands Access to Private Market Trading
Charles Schwab (SCHW.N) said Thursday it will acquire private shares trading platform Forge Global (FRGE.N) in a transaction valued at $660 million, deepening Wall Street’s push into the private markets as investors viewk exposure to high-growth beginups.
The all-cash deal values Forge at $45 per share, a 72% premium to its last closing price. Forge Global’s stock surged 65% in premarket trading following the announcement. The companies said they expect to complete the acquisition in the first half of 2026.
The acquisition comes amid rising demand from individual and institutional investors for access to private company shares. With venture-backed firms such as OpenAI, SpaceX and ByteDance now valued on par with major S&P 500 companies, the gap between public and private markets has narrowed sharply.
Investor Takeaway
Wall Street’s Race to Tap Private Equity Liquidity
Major financial institutions have been expanding platforms that give clients access to pre-IPO shares and secondary trading opportunities. The Forge deal follows Morgan Stanley’s October agreement to acquire EquityZen, a rival private shares marketplace, as competition intensifies to dominate liquidity in private equity trading.
Forge operates a trading marketplace that has facilitated more than $17 billion in private share transactions, connecting accredited investors with ahead-stage companies viewking liquidity. The platform went public in 2021 through a merger with a special purpose acquisition company (SPAC) during the peak of the blank-check boom. Its stock has gained 87% so far this year on takeover speculation.
Strategic Fit for Schwab
Charles Schwab, one of the largest U.S. financial institutions, manages about $11.6 trillion in client assets and has a market capitalization near $170 billion. The brokerage said the deal will broaden its suite of investment offerings and strengthen its position among wealth management clients interested in diversified exposure beyond public equities.
The acquisition aligns with Schwab’s broader effort to provide clients with alternative investment access, including venture capital and private equity funds. Analysts said the move underscores how large brokerages are responding to demand from high-net-worth clients viewking ahead-stage exposure traditionally limited to institutional investors.
Investor Takeaway
Private Markets Go Mainstream
Private company valuations have soared in recent years as firms opt to stay private longer, using direct placements and venture rounds to raise capital instead of pursuing IPOs. According to market data, secondary trading in pre-IPO shares has more than tripled since 2020, reflecting investor efforts to participate earlier in the growth cycle.
Analysts said Schwab’s acquisition reflects a growing recognition that private assets will play a larger role in diversified portfolios. Forge’s marketplace, coupled with Schwab’s distribution network, could assist bridge liquidity gaps and offer clients access to previously restricted deal flow.
“Some of the world’s largest beginups now rival public companies in size and influence,” one analyst said. “Investors want access to those returns before the IPO window reopens.”
For Schwab, the acquisition offers both strategic and competitive advantages. As more high-growth beginups delay listings, demand for secondary market liquidity is expected to remain robust. The deal positions the brokerage to service both retail and institutional investors viewking private equity exposure under a regulated umbrella.
The companies did not disclose financial details beyond the $660 million valuation. The transaction is subject to customary regulatory approvals.
