LPL Financial Reports Monthly Activity for November 2021

SAN DIEGO, Dec. 16 28, 2021 (GLOBE NEWSWIRE) — LPL Financial LLC, a wholly owned subsidiary of LPL Financial Holdings Inc. (Nasdaq: LPLA) (the “Company”), today released its Monthly Business Report for November 2021.

Total advisory and brokerage assets at the end of November were approximately $1.17 trillion, down $10 billion, or 0.8%, from the end of October 2021.

Total net new assets for November were $6.9 billion, translating to an annualized growth rate of 7.0%. Total net new consulting assets were $7.1 billion, translating to an annualized growth rate of 13.7%.

Total customer cash balances at the end of November were $51.9 billion, an increase of $1.0 billion from the end of October 2021. Net purchases in November were $5.5 billion of dollars.

(End of period in billions of dollars, unless otherwise indicated) November October Change November Change
2021 2021 M/M 2020 Y/Y
Advisory and brokerage assets
Advisory assets 620.1 623.3 (0.5 %) 442.0 40.3 %
Brokerage assets 550.7 557.2 (1.2 %) 431.3 27.7 %
Total advisory and brokerage assets 1,170.8 1,180.5 (0.8 %) 873.3 34.1 %

Total net new assets

Net new advisory assets 7.1 6.6 n/m 5.8 n/m
Net new brokerage assets (0.3 ) 0.7 n/m 1.6 n/m
Total net new assets 6.9 7.2 n/m 7.4 n/m

New organic net assets

New Net Organic Advice Assets 7.1 6.6 n/m 4.2 n/m
Net new organic brokerage assets (0.3 ) 0.7 n/m 0.7 n/m
Total organic net new assets 6.9 7.2 n/m 4.9 n/m
Net Brokerage to Advice Conversions 1.2 1.1 n/m 0.7 n/m

Customer cash balances

Insured cash account balances 29.9 29.3 2.0 % 36.1 (17.2 %)
Deposit of cash account balances 8.5 8.5 0.0 % 8.3 2.4 %
Total bank scan balances 38.4 37.8 1.6 % 44.5 (13.7 %)
Money Market Account Cash Balances 11.6 11.3 2.7 % 1.5 n/m
Money market funds purchased 1.9 1.8 5.6 % 2.1 (9.5 %)
Total Money Market Balances 13.5 13.1 3.1 % 3.6 n/m
Total customer cash balances 51.9 50.9 2.0 % 48.1 7.9 %
Net buying (selling) activity 5.5 5.8 n/m 4.2 n/m
Market indices
S&P 500 (end of period) 4,567 4,605 (0.8 %) 3,622 26.1 %
Effective federal funds rate (basis point average) 8 8 0.0 % 9 (11.1 %)

For more information regarding these and other LPL Financial business metrics, please see the company’s most recent earnings announcement, which is available in the quarterly earnings section of investor.lpl.com.

About LPL Financial
LPL Financial was founded on the principle that the business should work for the advisor, 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 institutional investment programs and 450 independent RIA firms nationwide. We are unwavering in our commitment to the advisor-centric model and the belief that Americans deserve access to personalized advice from a financial advisor. At LPL, independence means advisors have the freedom they deserve to choose the business model, services and technology resources that allow them to run their practice perfectly. And they have the freedom to manage their relationships with their customers because they know their customers best. Simply put, we take care of our advisors, so they can take care of their clients.

* Best RIA Custodian (Cerulli Associates, 2019 US RIA Marketplace Report); #1 independent brokerage in the United States (based on total revenue, Financial Planning magazine 1996-2021); #1 provider of third-party brokerage services to banks and credit unions (2020-2021 Kehrer Bielan Research & Consulting Annual TPM Report); Fortune 500 in June 2021

Securities and advisory services offered by LPL Financial LLC, an SEC-registered broker-dealer and investment adviser. FINRA/SIPC member.

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

Marianne R. Winn