LPL Financial Reports Monthly Activity for May 2025

Rhea-AI Summary

LPL Financial (NASDAQ:LPLA) has released its May 2025 activity report, showing strong growth in assets and client engagement. Total advisory and brokerage assets reached $1.85 trillion, marking a 3.7% increase from April 2025. The company reported $6.5 billion in total organic net new assets, representing a 4.4% annualized growth rate.

Notable metrics include $13.5 billion in net buying activity and total client cash balances of $49.2 billion. Advisory assets grew to $1.02 trillion (up 4.4% M/M), while brokerage assets reached $832.9 billion (up 2.9% M/M). The company experienced some planned separation from misaligned large OSJs, impacting $1.0 billion in assets.

Positive

• Total advisory and brokerage assets increased by $66.6 billion (3.7%) to $1.85 trillion
• Strong organic net new assets of $6.5 billion, representing 4.4% annualized growth rate
• Robust net buying activity of $13.5 billion, up from $10.4 billion in April
• Advisory assets showed significant growth of 26.2% year-over-year

Negative

• Client cash balances decreased by $2.6 billion to $49.2 billion
• Net new brokerage assets showed outflows of $1.8 billion
• Loss of $1.0 billion in assets due to planned separation from misaligned large OSJs

Insights

Investment Banking Analyst

LPL shows strong 3.7% monthly AUM growth to $1.85T despite $1B in planned separations, with healthy 4.4% annualized organic growth.

LPL Financial's May 2025 results demonstrate robust asset growth amid continued advisor-client investment activity. Total advisory and brokerage assets increased by $66.6 billion (3.7%) month-over-month to $1.85 trillion, reflecting both market appreciation and net new assets. The S&P 500's 6.2% monthly gain significantly contributed to this growth.

Organic net new assets reached $6.5 billion in May, representing a 4.4% annualized growth rate. This figure is particularly impressive considering it includes $1.0 billion in assets that left as part of a planned separation from misaligned large OSJs (Office of Supervisory Jurisdiction). Excluding this strategic realignment, organic growth would have been $7.5 billion or 5.0% annualized.

The composition of asset flows reveals important trends. Advisory assets grew 4.4% month-over-month to $1.02 trillion, while brokerage assets increased 2.9% to $832.9 billion. Net conversions from brokerage to advisory accounts totaled $2.2 billion, up from $1.7 billion in April, indicating a continued shift toward fee-based relationships.

Client cash balances decreased by $2.6 billion to $49.2 billion, a 5.0% reduction from April. This decline coincided with strong net buying activity of $13.5 billion, up from $10.4 billion in April, suggesting clients are deploying cash into investments rather than holding liquidity. The cash deployment trend reflects continued investor confidence despite already being in a strong bull market.

Year-over-year comparisons show impressive growth, with total assets up 26.5% from May 2024, significantly outpacing the S&P 500's 12.0% gain over the same period. This indicates LPL's growth extends beyond market appreciation alone, highlighting the firm's success in capturing market share in the wealth management industry.

SAN DIEGO, June 23, 2025 (GLOBE NEWSWIRE) -- LPL Financial LLC (“LPL Financial”), a wholly owned subsidiary of LPL Financial Holdings Inc. (Nasdaq: LPLA) (the “Company”), today released its monthly activity report for May 2025.

Total advisory and brokerage assets at the end of May were $1.85 trillion, an increase of $66.6 billion, or 3.7%, compared to the end of April 2025.

Total organic net new assets for May were $6.5 billion, translating to a 4.4% annualized growth rate. This included $1.0 billion of assets that off-boarded as part of the previously disclosed planned separation from misaligned large OSJs. Prior to these impacts, organic net new assets were $7.5 billion, translating to a 5.0% annualized growth rate.

Total client cash balances at the end of May were $49.2 billion, a decrease of $2.6 billion compared to the end of April 2025. Net buying in May was $13.5 billion.

(End of period $ in billions, unless noted)	May	April	Change	May	Change
	2025	2025	M/M	2024	Y/Y
Advisory and Brokerage Assets
Advisory assets	1,021.6	978.6	4.4%	809.4	26.2%
Brokerage assets	832.9	809.4	2.9%	657.0	26.8%
Total Advisory and Brokerage Assets	1,854.5	1,787.9	3.7%	1,466.4	26.5%
Organic Net New Assets
Organic net new advisory assets	8.3	6.9	n/m	9.9	n/m
Organic net new brokerage assets	(1.8)	(0.8)	n/m	1.3	n/m
Total Organic Net New Assets	6.5	6.1	n/m	11.2	n/m
Acquired Net New Assets
Acquired net new advisory assets	0.0	0.0	n/m	0.0	n/m
Acquired net new brokerage assets	0.0	0.0	n/m	0.0	n/m
Total Acquired Net New Assets	0.0	0.0	n/m	0.0	n/m
Total Net New Assets
Net new advisory assets	8.3	6.9	n/m	9.9	n/m
Net new brokerage assets	(1.8)	(0.8)	n/m	1.3	n/m
Total Net New Assets	6.5	6.1	n/m	11.2	n/m
Net brokerage to advisory conversions	2.2	1.7	n/m	1.2	n/m
Client Cash Balances
Insured cash account sweep	33.4	35.2	(5.1%)	31.8	5.0%
Deposit cash account sweep	10.6	10.7	(0.9%)	9.0	17.8%
Total Bank Sweep	44.0	45.9	(4.1%)	40.8	7.8%
Money market sweep	3.9	4.2	(7.1%)	2.3	69.6%
Total Client Cash Sweep Held by Third Parties	47.9	50.2	(4.6%)	43.1	11.1%
Client cash account	1.3	1.6	(18.8%)	1.3	—%
Total Client Cash Balances	49.2	51.8	(5.0%)	44.5	10.6%
Net buy (sell) activity	13.5	10.4	n/m	15.0	n/m
Market Drivers
S&P 500 Index (end of period)	5,912	5,569	6.2%	5,278	12.0%
Russell 2000 Index (end of period)	2,066	1,964	5.2%	2,070	(0.2%)
Fed Funds daily effective rate (average bps)	433	433	—%	533	(18.8%)

For additional information regarding these and other LPL Financial business metrics, please refer to the Company’s most recent earnings announcement, which is available in the quarterly results section of investor.lpl.com.

Contacts

Investor Relations
investor.relations@lplfinancial.com

Media Relations
media.relations@lplfinancial.com

About LPL Financial

LPL Financial Holdings Inc. (Nasdaq: LPLA) is among the fastest growing wealth management firms in the U.S. As a leader in the financial advisor-mediated marketplace, LPL supports over 29,000 financial advisors and the wealth management practices of approximately 1,200 financial institutions, servicing and custodying approximately $1.8 trillion in brokerage and advisory assets on behalf of approximately 7 million Americans. The firm provides a wide range of advisor affiliation models, investment solutions, fintech tools and practice management services, ensuring that advisors and institutions have the flexibility to choose the business model, services, and technology resources they need to run thriving businesses. For further information about LPL, please visit www.lpl.com.

Securities and advisory services offered through LPL Financial LLC (“LPL Financial”) and LPL Enterprise, LLC (“LPL Enterprise”), both registered investment advisers and broker-dealers. Member FINRA/SIPC.

Throughout this communication, the terms “financial advisors” and “advisors” are used to refer to registered representatives and/or investment advisor representatives affiliated with LPL Financial or LPL Enterprise.

We routinely disclose information that may be important to shareholders in the “Investor Relations” or “Press Releases” section of our website.

FAQ

What were LPL Financial's (LPLA) total assets under management in May 2025?

LPL Financial reported total advisory and brokerage assets of $1.85 trillion at the end of May 2025, representing a 3.7% increase from April 2025.

How much organic net new assets did LPLA generate in May 2025?

LPL Financial generated $6.5 billion in total organic net new assets, translating to a 4.4% annualized growth rate. Before the impact of planned separations, organic net new assets were $7.5 billion.

What happened to LPL Financial's client cash balances in May 2025?

Total client cash balances decreased by $2.6 billion to $49.2 billion at the end of May 2025, compared to April 2025.

How did LPL Financial's advisory assets perform in May 2025?

Advisory assets reached $1.02 trillion, showing a 4.4% increase month-over-month and a significant 26.2% increase year-over-year.

What was LPLA's net buying activity in May 2025?

LPL Financial reported net buying activity of $13.5 billion in May 2025, an increase from $10.4 billion in April 2025.