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LPL Financial Reports Monthly Activity for August 2022

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SAN DIEGO, Sept. 22, 2022 (GLOBE NEWSWIRE) — LPL Financial LLC (“LPL Financial”), a wholly owned subsidiary of LPL Financial Holdings Inc. (Nasdaq: LPLA) (the “Company”), today released its monthly activity report for August 2022.

Total advisory and brokerage assets at the end of August were $1.10 trillion, a decrease of $19.5 billion, or 1.7%, compared to the end of July 2022.

Total net new assets for August were $9.7 billion, translating to a 10.4% annualized growth rate. This included $2.6 billion of brokerage assets and $0.2 billion of advisory assets from People’s United and $1.4 billion of brokerage assets from CUNA that onboarded in August(1). Total net new advisory assets were $4.2 billion, translating to an 8.5% annualized growth rate.

Total client cash balances at the end of August were $65.8 billion, a decrease of $3.6 billion compared to the end of July 2022. Net buying in August was $9.3 billion, a new monthly high.

(End of period $ in billions, unless noted) August July Change August Change
2022 2022 M/M 2021 Y/Y
Advisory and Brokerage Assets
Advisory assets 580.0 593.4 (2.3 %) 604.6 (4.1 %)
Brokerage assets 524.9 530.9 (1.1 %) 552.3 (5.0 %)
Total Advisory and Brokerage Assets 1,104.8 1,124.3 (1.7 %) 1,156.9 (4.5 %)
Total Net New Assets
Net new advisory assets 4.2 3.0 n/a 6.4 n/a
Net new brokerage assets 5.5 1.8 n/a 1.2 n/a
Total Net New Assets 9.7 4.8 n/a 7.6 n/a
Organic Net New Assets
Net new organic advisory assets 4.2 3.0 n/a 6.4 n/a
Net new organic brokerage assets 5.5 1.8 n/a 1.2 n/a
Total Organic Net New Assets 9.7 4.8 n/a 7.6 n/a
Net brokerage to advisory conversions 0.9 0.4 n/a 1.2 n/a
Client Cash Balances
Insured cash account sweep 47.1 41.9 12.4 % 33.2 41.9 %
Deposit cash account sweep 12.4 12.3 0.8 % 8.2 51.2 %
Total Bank Sweep 59.5 54.2 9.8 % 41.4 43.7 %
Money market sweep 3.2 13.9 (77.0 %) 6.3 (49.2 %)
Total Client Cash Sweep Held by Third Parties 62.7 68.1 (7.9 %) 47.7 31.4 %
Client cash account 3.1 1.3 n/a 1.5 n/a
Total Client Cash Balances 65.8 69.4 (5.2 %) 49.2 33.7 %
Net buy (sell) activity 9.3 4.7 n/a 5.6 n/a
Market Drivers
S&P 500 Index (end of period) 3,955 4,130 (4.2 %) 4,523 (12.6 %)
Russell 2000 Index (end of period) 1,844 1,885 (2.2 %) 2,274 (18.9 %)
Fed Funds daily effective rate (average bps) 233 164 42.1 % 9 n/a

Note: Totals may not be due to rounding.
(1) As of the end of August, $2.8 billion of client assets have been onboarded from People’s United out of a total of ~$5 billion and $27.6 billion of client assets have been onboarded from CUNA out of a total of ~$30 billion.

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

Contacts

Investor Relations
[email protected]
(617) 897-4574

Media Relations
[email protected]
(980) 321-1232

About LPL Financial

LPL Financial Holdings Inc. (Nasdaq: LPLA) 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 nearly 21,000 financial advisors, including advisors at approximately 1,100 institution-based investment programs and at approximately 500 registered investment advisor (“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, 2020 US RIA Marketplace Report); No. 1 Independent Broker-Dealer in the US (Based on total revenues, Financial Planning magazine 1996-2022); among third-party providers of brokerage services to banks and credit unions, No. 1 in AUM Growth from Financial Institutions; No. 1 in Market Share of AUM from Financial Institutions; No. 1 in Market Share of Revenue from Financial Institutions; No. 1 on Financial Institution Market Share; No. 1 on Share of Advisors (2021-2022 Kehrer Bielan Research & Consulting Annual TPM Report). Fortune 500 as of June 2021.

LPL and its affiliated companies provide financial services only from the United States.

Securities and Advisory services offered through LPL Financial, an SEC-registered broker-dealer and 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.

We routinely disclose information that may be important to shareholders in the “Investor Relations” or “Press Releases” section of our website.

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