LPL Financial Reports Monthly Activity for October 2021

Joseph B. Hash

SAN DIEGO, Nov. 18, 2021 (GLOBE NEWSWIRE) — LPL Financial LLC, a wholly owned subsidiary of LPL Financial Holdings Inc. (Nasdaq: LPLA) (the “Company”), today released its monthly activity report for October 2021.

Total advisory and brokerage assets at the end of October were approximately $1.18 trillion, an increase of $48 billion, or 4.2%, compared to the end of September 2021.

Total net new assets for October were $7.2 billion, translating to a 7.6% annualized growth rate. Total net new advisory assets were $6.6 billion, translating to a 13.2% annualized growth rate.

Total client cash balances at the end of October were $50.9 billion, an increase of $0.2 billion compared to the end of September 2021. Net buying in October was $5.8 billion.

(End of Period $ in billions, unless noted) October September Change October Change
2021 2021 M/M 2020 Y/Y
Advisory and Brokerage Assets          
Advisory Assets 623.3 594.0 4.9% 406.0 53.5%
Brokerage Assets 557.2 538.6 3.5% 401.6 38.7%
Total Advisory and Brokerage Assets 1,180.5 1,132.6 4.2 % 807.6 46.2 %
Total Net New Assets          
Net New Advisory Assets 6.6 9.6 n/m 5.7 n/m
Net New Brokerage Assets 0.7 1.8 n/m 0.8 n/m
Total Net New Assets 7.2 11.4 n/m 6.5 n/m
Organic Net New Assets          
Net New Organic Advisory Assets 6.6 9.0 n/m 4.8 n/m
Net New Organic Brokerage Assets 0.7 0.1 n/m 0.2 n/m
Total Organic Net New Assets 7.2 9.1 n/m 5.0 n/m

 

Net Brokerage to Advisory Conversions 1.1 1.1 n/m 0.9 n/m
Client Cash Balances          
Insured Cash Account Balances 29.3 30.5 (3.9%) 36.0 (18.6%)
Deposit Cash Account Balances 8.5 8.6 (1.2%) 8.6 (1.2%)
Total Bank Sweep Balances 37.8 39.0 (3.1%) 44.6 (15.2%)
Money Market Account Cash Balances 11.3 9.9 14.1% 1.6 n/m
Purchased Money Market Funds 1.8 1.8 0.0% 2.2 (18.2%)
Total Money Market Balances 13.1 11.7 12.0 % 3.8 n/m
Total Client Cash Balances 50.9 50.7 0.4 % 48.3 5.4%

 

Net Buy (Sell) Activity 5.8 5.5 n/m 2.5 n/m
Market Indices          
S&P 500 (end of period) 4,605 4,308 6.9% 3,270 40.8%
Fed Funds Effective Rate (average bps) 8 8 0.0% 9 (11.1%)
           

For additional information regarding these and other LPL Financial business metrics, please refer to the Company’s most recent earnings announcement, which is available in the quarterly results section of investor.lpl.com.

About LPL Financial
LPL Financial was founded on the principle that the firm should work for the advisor, and not the other way around. Today, LPL is a leader* in the markets we serve, supporting more than 19,000 financial advisors, and approximately 800 institution-based investment programs and 450 independent RIA firms nationwide. We are steadfast in our commitment to the advisor-centered model and the belief that Americans deserve access to personalized guidance from a financial advisor. At LPL, independence means that advisors have the freedom they deserve to choose the business model, services, and technology resources that allow them to run their perfect practice. And they have the freedom to manage their client relationships, because they know their clients best. Simply put, we take care of our advisors, so they can take care of their clients.

* Top RIA custodian (Cerulli Associates, 2019 U.S. RIA Marketplace Report)
No. 1 Independent Broker-Dealer in the U.S. (Based on total revenues, Financial Planning magazine 1996-2021)
No. 1 provider of third-party brokerage services to banks and credit unions (2020-2021 Kehrer Bielan Research & Consulting Annual TPM Report)
Fortune 500 as of June 2021

Securities and Advisory services offered through LPL Financial LLC, a registered investment advisor. Member FINRA/SIPC.

Throughout this communication, the terms “financial advisors” and “advisors” are used to refer to registered representatives and/or investment advisor representatives affiliated with LPL Financial LLC. We routinely disclose information that may be important to shareholders in the “Investor Relations” or “Press Releases” section of our website.

Investor Relations – Chris Koegel, (617) 897-4574
Media Relations – Lauren Hoyt-Williams, (980) 321-1232
investor.lpl.com/contact-us

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