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Stifel’s AUM Grows 11.2% in Q1

By Alex Padalka May 2, 2019

Stifel Financial’s wealth management business added few advisors in the first quarter but was able to substantially grow its assets under management, the company says.

Total client assets have reached a record $300 billion in the first three months of the year, which is 9.2% higher than the year prior and an 11.2% increase over the last three months of 2018, according to Stifel’s first-quarter earnings report.

Fee-based assets grew 10.4% from the previous quarter, to $99.6 billion, the company says.

Stifel added eight net new advisors and around $31 million to $32 million in net new production in the first quarter, Ronald Kruszewski, Stifel’s chairman and CEO, said in a call with analysts. The firm’s financial advisor ranks grew to 2,061, compared to 2,051 in the prior quarter, while its independent contractor force shrank by two, to 99, according to the report. Kruszewski said that the firm expects to exceed its 2019 recruiting figures this year.

Brokerage revenue in Stifel’s global wealth management business shrank 2.6% in the first quarter to $153.2 million, which was also 5.9% lower than the same quarter last year, according to the report. But net revenue in the unit grew 0.3% in the first quarter, reaching a record $510.6 million, which is also 5.2% higher than the first quarter of 2018, according to the report.