Including last year’s partial addition of NPH assets and transition expenses, total net revenues in 2017 came in at $4.28 billion, up 6 percent from 2016. Full-year pretax income was $365 million, up 23 percent.
The new tax law, which allows sole proprietors and pass-through entities to deduct 20 percent of business income (subject to income limits) should help “further strengthen the appeal of the independent model,” Arnold said.
LPL will remain a signatory to the broker recruitment protocol, he added.
Firms that have opted out of the protocol make up about 10 percent of LPL’s “overall recruiting portfolio,” Arnold said, so the recruiting process has not changed.
LPL recruits from both protocol and non-protocol firms, so “we understand both sides of that” process, he said.