Charles Schwab & Co. today announced a settlement with the SEC over late-trading enforcement proceedings the agency began last fall. The SEC found that Schwab permitted clients to change their mutual fund orders after the 4 p.m. ET market close, creating the possibility that they could unfairly capitalize on late-breaking news at the expense of other mutual fund investors, according to the SEC. Schwab agreed to a cease-and-desist order and a $350,000 penalty but did not admit or deny any wrongdoing. "Although the SEC found that the practice at issue created a risk of 'potential abuse,' it did not find any instances where Schwab customers or employees actually placed trades based on the use of post-close market information," Schwab said in a statement.