LPL and NPH
But it was in the middle of August when the most significant broker-dealer acquisition so far this year was announced. After weeks of speculation, LPL Financial said it was acquiring the broker-dealer network of National Planning Holdings Inc., another insurance company-owned group that was getting out of the brokerage business. Already the largest broker-dealer network with more than 14,000 advisers, LPL said it was paying $325 million for 3,200 NPH advisers with $120 billion of client assets.
The firms LPL acquired are: National Planning Corp., Invest Financial Corp., Investment Centers of America Inc. and SII Investments Inc. Combined in 2016, they generated $909 million in revenue, according to InvestmentNews data. LPL set aside $100 million for advisers making the transition to LPL. And LPL could pay up to $123 million more for NPH, depending upon the number of advisers who ultimately move to LPL.