November 14, 2016

E*TRADE Financial Corporation Reports Monthly Activity for October 2016

NEW YORK--(BUSINESS WIRE)-- E*TRADE Financial Corporation (NASDAQ:ETFC) today released its Monthly Activity Report for October 2016.

Daily Average Revenue Trades ("DARTs") for October were 168,739, a two percent increase from September and a 17 percent increase from the year-ago period. The Company added 30,747 gross new brokerage accounts in October and ended the month with approximately 3.4 million brokerage accounts—a decrease of 630 from September.

Net new brokerage assets were $0.2 billion in the month. During the month, customer security holdings decreased by $4.0 billion, and brokerage-related cash decreased by $0.2 billion to $48.1 billion. Other customer cash and deposits remained flat, ending the month at $5.2 billion. Customers were net buyers of approximately $0.7 billion in securities during the month.

Monthly Activity Data

Oct-16   Sep-16   Oct-15   % Chg. M/M   % Chg. Y/Y
Trading days 21.0 21.0 22.0 N.M. N.M.
 
DARTs 168,739 165,326 144,607 2.1 % 16.7 %
 
Gross new brokerage accounts 30,747 172,929 24,227

(82.2)

%

26.9 %
Gross new stock plan accounts 27,075 16,640 39,860 62.7 %

(32.1)

%

Gross new banking accounts 312   389   345  

(19.8)

%

(9.6)

%

Total gross new accounts 58,134 189,958 64,432

(69.4)

%

(9.8)

%

 
Net new brokerage accounts(1) (630 ) 154,190 363 N.M. N.M.
Net new stock plan accounts 8,865 (4,139 ) 26,055 N.M. N.M.
Net new banking accounts (1,381 ) (2,001 ) (1,396 ) N.M. N.M.
Net new accounts 6,854 148,050 25,022 N.M. N.M.
 
End of period brokerage accounts(1) 3,438,345 3,438,975 3,203,894 0.0 % 7.3 %
End of period stock plan accounts 1,463,286 1,454,421 1,384,525 0.6 % 5.7 %
End of period banking accounts 323,269   324,650   342,693  

(0.4)

%

(5.7)

%

End of period total accounts 5,224,900 5,218,046 4,931,112 0.1 % 6.0 %
 

Customer Assets ($B)

Security holdings $ 218.1 $ 222.1 $ 211.1

(1.8)

%

3.3 %
Sweep deposits 26.5 26.5 21.6 0.0 % 22.7 %
Customer assets held by third parties(2) 14.1 14.0 13.0 0.7 % 8.5 %
Customer payables (cash) 7.5   7.8   6.4  

(3.8)

%

17.2 %
Brokerage customer assets 266.2   270.4   252.1  

(1.6)

%

5.6 %
Unexercised stock plan customer holdings (vested) 29.0 31.2 37.3

(7.1)

%

(22.3)

%

Savings, checking and other banking customer assets 5.2   5.2   5.3   0.0 %

(1.9)

%

Total customer assets $ 300.4   $ 306.8   $ 294.7  

(2.1)

%

1.9 %
 
Net new brokerage assets(3) $ 0.2 $ 4.2 $ 0.5 N.M. N.M.
Net new banking assets(3)       N.M.

 

N.M.
Net new customer assets(3) $ 0.2 $ 4.2 $ 0.5 N.M. N.M.
 
Brokerage related cash $ 48.1 $ 48.3 $ 41.0

(0.4)

%

17.3 %
Other customer cash and deposits 5.2   5.2   5.3   0.0 %

(1.9)

%

Total customer cash and deposits $ 53.3 $ 53.5 $ 46.3

(0.4)

%

15.1 %
 
Customer net (buy) / sell activity $ (0.7 ) $ - $ 0.9 N.M. N.M.

(1) Net new brokerage accounts in September 2016 include 147,761 accounts acquired as part of the OptionsHouse acquisition. Net new brokerage accounts in October 2015 include the closure of 753 accounts related to the shutdown of the Company's global trading platform.

(2) Customer assets held by third parties are held outside E*TRADE Financial and include money market funds and sweep deposit accounts at unaffiliated financial institutions.

(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 related banking products and services to retail investors. Securities products and services are offered by E*TRADE Securities LLC (Member FINRA/SIPC). 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, and the E*TRADE logo are trademarks or registered trademarks of E*TRADE Financial Corporation. ETFC-G

© 2016 E*TRADE Financial Corporation. All rights reserved.

E*TRADE Media Relations
Thayer Fox, 646-521-4418
thayer.fox@etrade.com
or
E*TRADE Investor Relations
Brett Goodman, 646-521-4406
ir@etrade.com

Source: E*TRADE Financial Corporation

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