LPL Financial said Monday that it completed its acquisition of National Planning Holdings’ broker-dealer assets. It announced the deal in August.
The independent broker-dealer also provided details on the second wave of advisors and teams joining it. The first wave came on board in December.
There are nine groups moving from INVEST Financial and SII Investments with between $500 million and $999 million of client brokerage and advisory assets and five groups with $1 billion or more in early 2018.
Thus, the second wave includes teams with a range of at least $5.5 billion and perhaps over $10 billion in assets.
“On behalf of all of us at LPL, we warmly welcome these firms to the LPL family … ,” said Bill Morrissey, head of Business Development, in a statement. “We extend our thanks to each new advisor for giving us the opportunity to serve their business.”
On its fourth-quarter conference call (held Feb. 1), LPL executives explained that the first wave of NHP reps totaled about 1,000 and that the second wave is similar in size — for a total retention rate of approximately 70%, representing about $75 billion in client assets.
At the time it struck the deal, the IBD said the four NPH broker-dealers included some 3,200 advisors with $120 billion of assets.
It paid an initial purchase price for the NPH reps of $325 million and said it could pay up to $123 million more if 72% or more of the advisors’ production (fee and commission revenue) are retained.
Groups moving with over $1 billion in assets are:
- Advisors Southeastern Alliance, Atlanta
- Central Trust Bank, Jefferson City, Mo.
- Community Investment Services Inc., Canton, N.Y.
- Johnson Bank, Racine, Wis.
- Life Brokerage Financial Group, Clearwater, Fla.
The teams joining LPL with between $500 million and $999 million in assets are:
- Bethpage Federal Credit Union, Bethpage, N.Y.
- Christopher Edwards Financial Associates, Chester, N.J.
- Fross & Fross Wealth Management, The Villages, Fla.
- Logix Federal Credit Union, Burbank, Calif.
- Members 1st Federal Credit Union, Mechanicsburg, Pa.
- Oak Partners, Crown Point, Ind.
- Parsons Financial Associates, Concord, N.H.
- R Group Financial Marketing Inc., Eagan, Minn.
- United Community Banks Inc., Blairsville, Ga.