Ameriprise attracts 88 advisers in third quarter

Eighty-eight advisers joined Ameriprise Financial Inc. from other firms in the third quarter, in addition to 215 who joined the firm as part of the acquisition of Investment Professionals Inc., Ameriprise said in announcing its third-quarter results. The company said that total adviser head count now stands at 9,890, and retail client assets are at a record $539 billion. In a release, Ameriprise said that its overall strong performance in the third quarter was driven by strong revenue and reduced costs in its advice and wealth management business. Pretax operating earnings in that segment increased 29% to $298 million, driven by asset growth, higher earnings on cash balances and expense cuts. This resulted in a pretax operating margin of 21.5%, up from 18.2% a year ago. Operating net revenue in its retail business of $1.4 billion was up 14%, reflecting net inflows into wrap accounts, higher earnings on cash balances, and market appreciation. Ameriprise said client asset growth remains strong, with growth in fee-based wrap accounts outpacing growth in brokerage account balances. (For more: In a turnaround, Wells Fargo Advisors sees slight bump in headcount)