The Charles Schwab Corp. (SCHW) overcame outlooks for its third-quarter performance.

The San Francisco-based brokerage company released its quarterly earnings Monday, and net income and revenues surpassed most expectations.

Schwab’s third-quarter net income was $503 million, an increase of 11% from the second quarter, which produced $452 million. The outcome also represents a 34% rise from the third quarter of 2015, according to a press release.

Schwab listed revenues at $1.91 billion, which trumped Zacks’ estimate of $1.88 billion.

Focused on the investor space, Schwab’s client assets grew to $2.73 trillion as of Sept. 30. During the third quarter, Schwab added $30 billion of additional core net assets, Zacks reported.

Bolstered by the third-quarter results, Schwab President and CEO Walt Bettinger looked ahead. “The growing importance of scale and increasing fee awareness across financial services are among the longer-term trends in our industry that we view as important guides in shaping our strategy going forward,” Bettinger said. “We will continue to invest in our clients with these themes in mind.”

Investors initially appeared to be reacting positively as Schwab experienced a 1% boost during Monday’s pre-trading session. As of 11:31 a.m. Tuesday, Schwab’s stocks were at $32.27, an increase of 1.83%.

Zacks rates Schwab’s stock as a "buy" but noted it could be trending up. Bank of America/Merrill Lynch on Oct. 13 upgraded Schwab from neutral to buy.

Schwab, which had a market cap of $42.69 billion, received a third-quarter boost by leveraging its asset management scale and introducing the Schwab Target Index Funds. The funds are billed as affordable mutual funds connected with Schwab ETFs, Bettinger said.

“These funds are the lowest cost of their kind available to employer-sponsored retirement plans, with an expense ratio of just eight basis points and no minimum investment,” Bettinger said.