LPL Financial Announces the Acquisition of AdvisoryWorld

SAN DIEGO – Dec. 3, 2018 – Leading retail investment advisory firm and independent broker/dealer LPL Financial LLC, a wholly owned subsidiary of LPL Financial Holdings Inc. (NASDAQ: LPLA) (collectively, the “Company”), today announced it has acquired technology firm AdvisoryWorld. The technology company provides an award-winning* suite of digital solutions designed to help financial advisors attract and serve client assets.

AdvisoryWorld is a Carlsbad, Calif.-based technology company founded in 1987, which serves more than 30,000 U.S. financial advisors and institutions. Its suite of products includes proposal generation, investment analytics and portfolio modeling capabilities that serve the wealth management industry.

In addition to bringing this offering to all LPL Financial advisors, LPL will continue to offer AdvisoryWorld’s services as a stand-alone solution to the wealth management industry. The Company intends to retain the talented team of employees that will continue to evolve and expand the AdvisoryWorld technology offering.

“We believe AdvisoryWorld’s industry-leading capabilities will help our advisors grow their business, gain efficiencies and enhance the way they serve their clients,” said Dan Arnold, LPL Financial president and CEO. “This acquisition is another example of our capacity to invest in our advisors’ business as we remain focused on delivering best-in-class capabilities and tools to help them differentiate and win in the marketplace.”

The transaction closed on Dec. 3, 2018. The Company paid a $28 million lump sum purchase price, which was funded with cash available for corporate use from its balance sheet.

Learn more about the value this acquisition brings to LPL Financial advisors.

About LPL Financial

LPL Financial is a leader in the retail financial advice market and the nation’s largest independent broker/dealer**. We serve independent financial advisors and financial institutions, providing them with the technology, research, clearing and compliance services, and practice management programs they need to create and grow thriving practices.  LPL enables them to provide objective guidance to millions of American families seeking wealth management, retirement planning, financial planning and asset management solutions.

*WealthManagement.com 2018 Industry Award winner

**Based on total revenues, Financial Planning magazine June 1996-2018.

Securities and Advisory Services offered through LPL Financial. A Registered Investment Advisor, Member FINRA/SIPC.

Forward-Looking Statements

Statements in this press release, as well as the linked article, regarding the Company’s future financial and operating results, growth, business plans, and technology strategies, including statements related to expected benefits of AdvisoryWorld’s services for LPL Financial advisors, the future provision of AdvisoryWorld’s services to LPL Financial advisors and as a stand-alone solution, the Company’s future technology solutions, including plans for ClientWorks Connected, and the future evolution and expansion of AdvisoryWorld’s service offerings, as well as any other statements that are not related to present facts or current conditions or that are not purely historical, constitute forward-looking statements. These forward-looking statements are based on the Company’s historical performance and its plans, estimates and expectations as of Dec. 3, 2018. Forward-looking statements are not guarantees that the future results, plans, intentions or expectations expressed or implied by the Company will be achieved. Matters subject to forward-looking statements involve known and unknown risks and uncertainties, including economic, legislative, regulatory, competitive and other factors, which may cause actual financial or operating results, levels of activity, or the timing of events, to be materially different than those expressed or implied by forward-looking statements. In particular, the Company can provide no assurance that the expected strategic benefits, synergies, capabilities, service enhancements and efficiencies expected to result from its acquisition of AdvisoryWorld will be achieved. Important factors that could cause or contribute to such differences include: difficulties or delays in providing AdvisoryWorld’s service offerings to LPL Financial advisors, including the integration of AdvisoryWorld’s service offerings into the ClientWorks technology platform; the attractiveness of AdvisoryWorld’s current and future service offerings to current and future LPL Financial advisors and external clients of AdvisoryWorld; the performance of AdvisoryWorld’s software as designed; the effectiveness of employees and third-party service providers in supporting AdvisoryWorld’s current and future service offerings; the Company’s ability to control operating risks, information technology systems risks and cybersecurity risks; changes in general economic and financial market conditions, including retail investor sentiment; and the other factors set forth in Part I, “Item 1A. Risk Factors” in the Company’s 2017 Annual Report on Form 10-K and any subsequent SEC filing. Except as required by law, the Company specifically disclaims any obligation to update any forward-looking statements as a result of developments occurring after the date of this press release, even if its estimates change, and you should not rely on those statements as representing the Company’s views as of any date subsequent to Dec. 3, 2018.