LPL Financial Up to Nearly 22,000 Advisors
LPL Financial Holdings Inc. (Nasdaq: LPLA), the parent of LPL Financial LLC – the nation’s largest independent broker-dealer, released its second quarter 2022 financial results and reported an advisor count of 21,942, up 421 sequentially and 1,071 year-over-year.
LPL today announced results for its second quarter ended June 30, 2023, reporting net income of $286 million, or $3.65 per share. This compares with $161 million, or $1.97 per share, in the second quarter of 2022 and $339 million, or $4.24 per share, in the prior quarter.
LPL also reported that total advisory and brokerage assets increased 16% year-over-year to $1.24 trillion. In the previous quarter, advisory and brokerage assets totaled nearly $1.16 trillion.
Advisory assets increased 18% year-over-year to $662 billion, while advisory assets as a percentage of total assets increased to 53.3%, up from 52.5% a year ago.
Total organic net new assets for the quarter were $22 billion, translating to 7.4% annualized growth. Prior to large enterprises, organic net new assets for the year ago period were $12 billion, representing 4.1% annualized growth.
Recruited assets were $19 billion for the quarter. Recruited assets over the trailing 12 months were $60 billion, up more than 4% from a year ago.
“Over the past quarter, we remained focused on our mission of taking care of our advisors, so they can take care of their clients,” said Dan Arnold, president and chief executive officer. “This focus led to another quarter of solid recruiting, retention, and business growth. As we look ahead, we will continue to invest in order to enhance the appeal of our model, as we strive to increase our market share within the advisor-centered marketplace.”
As The DI Wire reported, LPL acquired Crown Capital Securities, L.P., a wealth management firm with 260 advisors who collectively serve $6.5 billion of brokerage and advisory assets.
“We delivered another quarter of solid results,” said Matt Audette, chief financial officer. “We recorded strong organic growth, while continuing to invest in our industry leading value proposition. Additionally, in July we signed an agreement to acquire the wealth management business of Crown Capital and onboarded Bank of the West, and we are preparing to onboard Commerce Bank later this quarter. As we look ahead, our business momentum and financial strength position us well to continue creating long-term shareholder value.”
LPL supports approximately 22,000 financial advisors, 1,100 institution-based investment programs and 500 independent RIA firms nationwide.
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