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LPL Financial (LPLA) Stock Up 3.5% as August Metrics Rise

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Shares of LPL Financial Holdings Inc. (LPLA - Free Report) rallied 3.5% in response to the release of its monthly assets data. The company’s total brokerage and advisory assets of $1.16 trillion at the end of August 2021 grew 2.4% from the prior month and 40.6% year over year. Of the total assets, brokerage assets were $552.3 billion and advisory assets totaled $604.6 billion.

The increase was mainly driven by the impressive performance of the equity markets and brokerage assets from M&T Bank that onboarded in August.

Total net new assets were $7.6 billion in the reported month. This included $1.3 billion of brokerage assets from M&T Bank that onboarded in the month. Net new assets were $10 billion and $3.1 billion in July 2021 and August 2020, respectively.

LPL Financial reported $49.7 billion of total client cash balance, up 2.5% from July 2021 and 10.2% from August 2020. Of the total balance, $33.2 billion was insured cash and $8.2 billion was deposit cash while the remaining was money-market balance.

Shares of LPL Financial have surged 41.4% so far this year, outperforming 29.1% growth recorded by the industry.

Zacks Investment Research
Image Source: Zacks Investment Research

The company currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


Performance of Other Brokerage Firms

Interactive Brokers Group (IBKR - Free Report) released the Electronic Brokerage segment’s performance metrics for August 2021. The segment, which deals with the clearance and settlement of trades for individual and institutional clients globally, reported a 24% year-over-year rise in client Daily Average Revenue Trades to 2,170,000.

Tradeweb Markets Inc. (TW - Free Report) reported total trading volume of $19.8 trillion in August 2021. Average daily volumes were $900.4 billion, up 20.6% year over year.

Charles Schwab (SCHW - Free Report) reported total client assets of $7.84 trillion in August 2021, up 3% from July 2021 and 75% from August 2020. Client assets receiving ongoing advisory services were $3.88 trillion, up 2% from the prior month and 71% year over year.