LPL adds 125 advisers in third quarter

LPL adds 125 advisers in third quarter
Additional brokers an improvement of both prior and year-ago quarters when the firm lost people.
OCT 26, 2018

LPL Financial added 125 advisers in the quarter that ended Sept. 30, compared with a net loss of 18 advisers in the prior quarter and a loss of three advisers in the same quarter a year ago. In its earnings report, the company reported combined brokerage and advisory assets of $681 billion, up 0.3% from the prior quarter. Advisory assets, totaling $306.1 billion, increased by 0.6% during the quarter, while brokerage assets of $374.9 billion, were up 0.1%. Dan Arnold, LPL's CEO, credited the growth in the adviser ranks to a renewed effort to respond to changes in the "landscape of investor demographics. "We expect adviser practices to evolve in order to meet the market opportunity created by serving more diverse clients," he said during a conference call with market analysts after the market closed on Thursday. "Thus, we are investing to be a destination of choice for a diversity of advisers, as exemplified this quarter by our addition of an all-woman firm and a team of Hispanic advisers," Mr. Arnold added. Along with enhanced recruiting efforts, Mr. Arnold talked about an LPL program of pairing advisers who are new to the industry with "seasoned LPL advisers. "This structure helps new advisers learn the profession in a hands-on environment, and it also helps existing advisers with another lever of growth and a potential succession path," he said. Mr. Arnold added that the program will "drive the expansion of our experiment of bringing new advisors to the industry." The company's net income increased by 84% year over year to $107 million, that translates to an earnings-per-share gain of 89% to $1.19. LPL shares were up more than 3% in mid-day trading Friday, which compares with a 1.5% decline in the S&P 500 Index.

Latest News

A year after sale, Commonwealth Financial and LPL start cutting staff
A year after sale, Commonwealth Financial and LPL start cutting staff

Commonwealth Financial joins a number of firm that have recently cut jobs.

Pension funds sue Primoris, allege it hid solar cost overruns from investors
Pension funds sue Primoris, allege it hid solar cost overruns from investors

A slow drip of disclosures, an executive exit, and a stock that fell hard before the suit landed

Unpaid caregivers face steeper financial hurdles on path to retirement, EBRI finds
Unpaid caregivers face steeper financial hurdles on path to retirement, EBRI finds

New research finds unpaid caregivers are more likely to struggle with debt, lower savings and diminished retirement confidence than non-caregivers.

Volatility: Best and worst of times
Volatility: Best and worst of times

Large broker-dealers and registered investment advisors have, since 2020, been developing or sticking to strategies and tactics to combat the pain of intense, short-term market volatility

Want to win in the advisor wars? Then make sure you’re offering plenty of choices
Want to win in the advisor wars? Then make sure you’re offering plenty of choices

Centaurus Financial touts its independence as a key selling point at a time when many firms are being swallowed up.

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income