Back to top

Image: Bigstock

LPL Financial (LPLA) January Brokerage & Advisory Assets Up

Read MoreHide Full Article

LPL Financial Holdings Inc.’s (LPLA - Free Report) total brokerage and advisory assets of $767 billion at the end of January 2020 grew 0.3% from the prior month and 16.1% year over year. Of the total brokerage and advisory assets, brokerage assets were $397.7 billion while advisory assets totaled$369.3 billion.

Total net new assets were an inflow of $3.4 billion in January.

LPL Financial reported $33.5 billion of total client cash sweep balance, down 0.6% from December 2019 but up4% from January 2019. Of the total, $24.4 billion was insured cash and $4.8 billion was deposit cash while the remaining $4.2 billion was money market balance.

Backed by decent equity markets performance, trading activities are expected to improve. This, in turn, will support revenues.

Shares of LPL Financial have rallied 13.5% over the past year, outperforming 7.5% growth for the industry.


 

LPL Financial currently has 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

E*TRADE Financial (ETFC - Free Report) has reported a rise in Daily Average Revenue Trades (DARTs) for January. According to its monthly-market activity, the company’s DARTs came in at 463,739, jumping 31% from the previous month and 68% year over year.

Interactive Brokers Group, Inc. (IBKR - Free Report) has released its Electronic Brokerage segment’s performance metrics for January. Total client DARTs were 1,019,000, up 32% from December 2019 and 20% from January 2019.

Charles Schwab (SCHW - Free Report) has released the monthly activity report for January 2020, which shows decent results compared with the prior month. Net new assets of $20.9 billion plunged 31% from the previous month. Nonetheless, it improved 38% year over year.

The Hottest Tech Mega-Trend of All

Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce ""the world's first trillionaires,"" but that should still leave plenty of money for regular investors who make the right trades early.

See Zacks' 3 Best Stocks to Play This Trend >>