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E*TRADE Financial Corporation Reports Monthly Activity for February 2019

NEW YORK--(BUSINESS WIRE)--

E*TRADE Financial Corporation (ETFC) today released its Monthly Activity Report for February 2019.

Daily Average Revenue Trades (DARTs) for February were 298,395, a six percent increase from January and a 10 percent decrease from the year-ago period. Derivatives represented 30 percent of DARTs during the month. The Company added 54,706 gross new brokerage accounts in February and ended the month with approximately 4.9 million brokerage accounts—an increase of 29,992 from January.

Net new brokerage assets were $1.3 billion in the month. During the month, customer security holdings increased by $15.1 billion, and brokerage-related cash increased by $0.7 billion to $54.3 billion. Customer margin balances increased $0.1 billion, ending the month at $9.9 billion. Customers were net buyers of approximately $0.6 billion in securities during the month.

                   

Monthly Activity Data

 
Feb-19 Jan-19 Feb-18 % Chg. M/M % Chg. Y/Y
Trading days 19.0 21.0 19.0 N.M. N.M.
 
DARTs (1) 298,395 282,499 330,121 6 % (10 )%
Derivative DARTs 88,675 92,511 102,304 (4 )% (13 )%
Derivative DARTs % 30 % 33 % 31 % (3 )% (1 )%
 
Gross new brokerage accounts 54,706 48,211 51,988 13 % 5 %
Gross new stock plan accounts 30,976 35,633 30,435 (13 )% 2 %
Gross new banking accounts 5,113   6,330   341   (19 )% N.M.
Total gross new accounts 90,795 90,174 82,764 1 % 10 %
 
Net new brokerage accounts(1) 29,992 18,288 26,486 64 % 13 %
Net new stock plan accounts 11,931 19,988 10,381 (40 )% 15 %
Net new banking accounts 3,133   4,207   (1,163 ) (26 )% N.M.
Net new accounts 45,056 42,483 35,704 6 % 26 %
 
End of period brokerage accounts(1) 4,945,044 4,915,052 3,686,924 1 % 34 %
End of period stock plan accounts 1,795,748 1,783,817 1,515,932 1 % 18 %
End of period banking accounts 305,517   302,384   296,084   1 % 3 %
End of period total accounts 7,046,309 7,001,253 5,498,940 1 % 28 %
 
Customer margin balances ($B) $ 9.9 $ 9.8 $ 9.4 1 % 5 %
 

Customer Assets ($B)

Security holdings $ 363.1 $ 348.0 $ 300.2 4 % 21 %
Sweep deposits 38.7 37.7 38.6 3 % %
Customer cash held by third parties(2) 4.7 5.7 4.9 (18 )% (4 )%
Customer payables (cash) 10.9   10.2   9.6   7 % 14 %
Brokerage customer assets 417.4   401.6   353.3   4 % 18 %
Unexercised stock plan holdings (vested) 48.6 45.0 40.9 8 % 19 %
Savings, checking and other banking assets 7.0   6.4   4.9   9 % 43 %
Total customer assets $ 473.0   $ 453.0   $ 399.1   4 % 19 %
 
Net new brokerage assets(1)(3) $ 1.3 $ 0.7 $ 2.0 86 % (35 )%
Net new banking assets(3) 0.6   0.4     50 % N.M.

Net new customer assets(1)

$ 1.9 $ 1.1 $ 2.0 73 % (5 )%
 
Brokerage related cash $ 54.3 $ 53.6 $ 53.1 1 % 2 %
Other cash and deposits 7.0   6.4   4.9   9 % 43 %
Total customer cash and deposits $ 61.3 $ 60.0 $ 58.0 2 % 6 %
 
Managed products $ 6.2 $ 6.0 $ 5.6 3 % 11 %
Customer net (buy) / sell activity(1) $ (0.6 ) $ (1.3 ) $ (1.8 ) N.M. N.M.

(1) Includes the impact of the April 9, 2018, Trust Company of America (TCA) acquisition, including post-acquisition activity, as follows:

  • February 2019: net new brokerage accounts of 147, end of period brokerage customer assets of $19.2 billion, net new brokerage assets of negative $34 million, DARTs of 3,116, and customer net buy activity of $0.4 billion.
  • January 2019: net new brokerage accounts of 353, end of period brokerage customer assets of $18.9 billion, net new brokerage assets of negative $24 million, DARTs of 2,995, and customer net buy activity of $0.3 billion.

(2) Customer cash held by third parties is held outside E*TRADE and includes money market funds and sweep deposit accounts at unaffiliated financial institutions. Customer cash held by third parties is not reflected in the Company's consolidated balance sheet and is not immediately available for liquidity purposes.

(3) Net new brokerage assets are total inflows to all new and existing brokerage customer accounts less total outflows from all closed and existing brokerage customer accounts, excluding the effects of market movements in the value of brokerage customer assets. Net new banking assets are total inflows to all new and existing banking customer accounts less total outflows from all closed and existing banking customer accounts. The net new banking assets and net new brokerage assets metrics treat asset flows between E*TRADE entities in the same manner as unrelated third-party accounts.

Historical metrics and financials can be found on E*TRADE Financial's corporate website at https://about.etrade.com.

About E*TRADE Financial

E*TRADE Financial and its subsidiaries provide financial services including brokerage and banking products and services to retail customers. Securities products and services are offered by E*TRADE Securities LLC (Member FINRA/SIPC). Commodity futures and options on futures products and services are offered by E*TRADE Futures LLC (Member NFA). Managed Account Solutions are offered through E*TRADE Capital Management, LLC, a Registered Investment Adviser. Bank products and services are offered by E*TRADE Bank, and RIA custody solutions are offered by E*TRADE Savings Bank, both of which are federal savings banks (Members FDIC). E*TRADE Securities LLC, E*TRADE Capital Management, LLC, E*TRADE Futures LLC, E*TRADE Bank and E*TRADE Savings Bank are separate but affiliated companies. More information is available at www.etrade.com.

Important Notices

E*TRADE, E*TRADE Financial, E*TRADE Bank, E*TRADE Savings Bank, the E*TRADE logo and Trust Company of America are trademarks or registered trademarks of E*TRADE Financial Corporation. ETFC-G

© 2019 E*TRADE Financial Corporation. All rights reserved.

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