LPL Financial Reports Monthly Activity for May 2019
SAN DIEGO, June 20, 2019 (GLOBE NEWSWIRE) -- Leading retail investment advisory firm and independent broker-dealer LPL Financial LLC, a wholly owned subsidiary of LPL Financial Holdings Inc. (Nasdaq: LPLA), today released its monthly activity report for May 2019.
Total brokerage and advisory assets served at the end of May were approximately $677 billion, a $22.0 billion decrease, or 3.1 percent, compared to the end of April 2019.
Total net new assets (NNA) for May were an inflow of $1.4 billion. This included $0.4 billion of outflows related to a large hybrid firm that is setting up its own broker/dealer and departing as discussed during the Company’s Q1 2019 earnings call. Prior to these outflows, total net new assets for May were an inflow of $1.8 billion.
Total client cash balances at the end of May were $29.8 billion, a $0.2 billion increase compared to April 2019. Net buying in May was $3.8 billion.
| (End of Period $ in billions, unless noted) | May | April | Change | May | Change | |||||
| 2019 | 2019 | M/M | 2018 | Y/Y | ||||||
| Assets Served | ||||||||||
| Advisory Assets | 311.3 | 320.5 | (2.9 | %) | 290.3 | 7.2 | % | |||
| Brokerage Assets | 366.0 | 378.8 | (3.4 | %) | 369.2 | (0.9 | %) | |||
| Total Brokerage and Advisory Assets | 677.3 | 699.3 | (3.1 | %) | 659.5 | 2.7 | % | |||
| Net New Assets | ||||||||||
| Net New Advisory Assets | 2.5 | 1.6 | n/m | 1.9 | n/m | |||||
| Net New Brokerage Assets | (1.1 | ) | (1.0 | ) | n/m | (1.6 | ) | n/m | ||
| Total Net New Assets | 1.4 | 0.7 | n/m | 0.3 | n/m | |||||
| Net Brokerage to Advisory Conversions | 0.8 | 0.6 | n/m | 0.6 | n/m | |||||
| Client Cash Balances | ||||||||||
| Insured Cash Account Balances | 20.9 | 20.7 | 1.0 | % | 21.8 | (4.1 | %) | |||
| Deposit Cash Account Balances | 4.2 | 4.1 | 2.4 | % | 4.0 | 5.0 | % | |||
| Total Insured Sweep Balances | 25.1 | 24.8 | 1.2 | % | 25.8 | (2.7 | %) | |||
| Money Market Sweep Accounts | 4.0 | 4.4 | (9.1 | %) | 2.8 | 42.9 | % | |||
| Purchased Money Market Funds | 0.8 | 0.4 | n/m | n/a | n/a | |||||
| Total Money Market Balances | 4.7 | 4.8 | (2.1 | %) | 2.8 | n/a | ||||
| Total Client Cash Balances | 29.8 | 29.6 | 0.7 | % | 28.6 | 4.2 | % | |||
| Net Buy (Sell) Activity | 3.8 | 3.9 | n/m | 3.1 | n/m | |||||
| Market Indices | ||||||||||
| S&P 500 (end of period) | 2,752 | 2,946 | (6.6 | %) | 2,705 | 1.7 | % | |||
| Fed Funds Effective Rate (average bps) | 239 | 242 | (1.2 | %) | 170 | 40.6 | % |
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 (https://www.lpl.com) is a leader in the retail financial advice market and the nation’s largest independent broker/dealer(*). We serve independent financial advisors and financial institutions, providing them with the technology, research, clearing and compliance services, and practice management programs they need to create and grow thriving practices. LPL enables them to provide objective guidance to millions of American families seeking wealth management, retirement planning, financial planning and asset management solutions.
* Based on total revenues, Financial Planning magazine June 1996-2018.
Securities and Advisory Services offered through LPL Financial. A Registered Investment Advisor, Member FINRA/SIPC.
| Investor Relations – Chris Koegel, (617) 897-4574 |
| Media Relations – Jeff Mochal, (704) 733-3589 |
| investor.lpl.com/contact-us |
