August 10, 2017

E*TRADE Financial Corporation Reports Monthly Activity for July 2017

NEW YORK--(BUSINESS WIRE)-- E*TRADE Financial Corporation (NASDAQ:ETFC) today released its Monthly Activity Report for July 2017.

Daily Average Revenue Trades (DARTs) for July were 208,156, a three percent decrease from June and a 42 percent increase from the year-ago period. Derivatives represented 34 percent of DARTs during the month. The Company added 29,287 gross new brokerage accounts in July and ended the month with approximately 3.6 million brokerage accounts—a decrease of 3,007 from June. July's decrease in brokerage accounts was attributable to the outflow of stock plan proceeds following elevated stock plan transactions in the first half of 2017.

Net new brokerage assets were $0.1 billion in the month. During the month, customer security holdings increased by $5.6 billion, while brokerage-related cash remained flat, ending the month at $51.7 billion. Customer margin balances decreased $0.1 billion, ending the month at $8.1 billion. Customers were net buyers of approximately $0.1 billion in securities during the month.

Monthly Activity Data

      Jul-17     Jun-17     Jul-16     % Chg. M/M     % Chg. Y/Y
Trading days 19.5 22.0 20.0 N.M. N.M.
 
DARTs 208,156 215,415 147,100 (3 )% 42 %
Derivatives DARTs % 34 % 33 % 25 % 1 % 9 %
 
Gross new brokerage accounts 29,287 34,461 22,899 (15 )% 28 %
Gross new stock plan accounts 32,804 23,613 25,192 39 % 30 %
Gross new banking accounts 242   248   323   (2 )% (25 )%
Total gross new accounts 62,333 58,322 48,414 7 % 29 %
 
Net new brokerage accounts (3,007 ) 10,161 387 N.M. N.M.
Net new stock plan accounts 18,238 6,771 12,095 169 % 51 %
Net new banking accounts (1,500 ) (1,221 ) (1,194 ) 23 % 26 %
Net new accounts 13,731 15,711 11,288 (13 )% 22 %
 
End of period brokerage accounts 3,559,482 3,562,489 3,277,477 % 9 %
End of period stock plan accounts 1,492,930 1,474,692 1,455,148 1 % 3 %
End of period banking accounts 307,229   308,729   328,531   % (6 )%
End of period total accounts 5,359,641 5,345,910 5,061,156 % 6 %
 
Customer margin balances ($B)(1) $ 8.1 $ 8.2 $ 6.4 (1 )% 27 %
 
Customer Assets ($B)
Security holdings $ 260.9 $ 255.3 $ 216.7 2 % 20 %
Sweep deposits 35.0 34.9 27.5 % 27 %
Customer cash held by third parties(2) 8.5 8.8 10.0 (3 )% (15 )%
Customer payables (cash) 8.2   8.0   7.5   3 % 9 %
Brokerage customer assets 312.6   307.0   261.7   2 % 19 %
Unexercised stock plan holdings (vested) 37.6 36.1 31.9 4 % 18 %
Savings, checking and other banking assets 5.1   5.1   5.2   % (2 )%
Total customer assets $ 355.3   $ 348.2   $ 298.8   2 % 19 %
 
Net new brokerage assets(3) $ 0.1 $ 1.4 $ 0.3 (93 )% (67 )%
Net new banking assets(3) (0.1 )     N.M. N.M.
Net new customer assets(3) $ $ 1.4 $ 0.3 (100 )% (100 )%
 
Brokerage related cash $ 51.7 $ 51.7 $ 45.0 % 15 %
Other cash and deposits 5.1   5.1   5.2   % (2 )%
Total customer cash and deposits $ 56.8 $ 56.8 $ 50.2 % 13 %
 
Managed products $ 4.7 $ 4.6 $ 3.5 2 % 34 %
Customer net (buy) / sell activity $ (0.1 ) $ (1.7 ) $ 2.0 N.M. N.M.
(1)   Customer margin balances include margin receivables held on the balance sheet and customer margin balances held by a third party.
(2) Customer cash held by third parties is held outside E*TRADE Financial and includes money market funds and sweep deposit accounts at unaffiliated financial institutions and customer cash held by a third party clearing firm. 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 customer assets are total inflows to all new and existing customer accounts less total outflows from all closed and existing 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 online brokerage and banking products and services to retail customers. Securities products and services are offered by E*TRADE Securities LLC (Member FINRA/SIPC/NFA) and OptionsHouse (Member FINRA/SIPC/NFA). Bank products and services are offered by E*TRADE Bank, a Federal savings bank, Member FDIC, or its subsidiaries. More information is available at www.etrade.com.

Important Notices
E*TRADE Financial, E*TRADE, the E*TRADE logo, and OptionsHouse are trademarks or registered trademarks of E*TRADE Financial Corporation. ETFC-G

© 2017 E*TRADE Financial Corporation. All rights reserved.

E*TRADE Media Relations
646-521-4418
mediainq@etrade.com
or
E*TRADE Investor Relations
646-521-4406
ir@etrade.com

Source: E*TRADE Financial Corporation

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