TD Ameritrade Institutional has attracted a record number of breakaway brokers to its custody platform during the fiscal year ended in September
TD Ameritrade Institutional has attracted a record number of breakaway brokers to its custody platform during the fiscal year ended in September.
A record 348 breakaway brokers came aboard in 2011, up nearly 20% from the 293 in the previous fiscal year. The firm is enjoying a trend of advisers' seeking independent channels. In 2009, TD Ameritrade added 212 breakaways, up from 145 in 2008.
TD Ameritrade Holding Corp. on Tuesday reported net new-client assets for the year of $41.5 billion, another record.
Two-thirds of new assets typically come from registered investment advisers who custody at the firm.
The holding company reported net income of $638 million, or $1.11 per diluted share, up 11% from last year. The company also boosted its dividend up 20% to $0.06 per share quarterly.
Other custodians are also seeing higher asset flows and breakaways.
At Fidelity Institutional Wealth Services, the overall number of breakaways has dropped over the 12-month period through September, but the amount of new assets is up, spokesman Steve Austin said.
Average assets per team coming to Fidelity went from $70 million in the third quarter of 2010 to $88 million in the latest quarter.
Year-to-date through September, the number of adviser teams coming to Schwab Advisor Services was up 9% to 130, compared with the comparable period a year ago, said Schwab spokeswoman Jennifer Davis.