(better known as LPL Financial Services) has tapped PFPC
to provide omnibus processing and subaccounting for the mutual funds carried on its Global Enterprise Platform
. The agreement is an expansion of an existing relationship between the two firms.
Previously, PFPC provided full-service subaccounting for approximately 125,000 of LPL's "no-load" fund positions. With the deal, PFPC claims that it now provides subaccounting processing for more than 30 million shareholder accounts.
LPL Financial, headquartered in Boston and San Diego, is an independent broker-dealer with a network of more than 4,600 registered representatives managing and investing approximately $45 billion in client assets.
LPL selected PFPC based in part on its experience in converting major fund families to their Global Enterprise Platform, said Steven M. Black, managing director of operations at LPL Financial Services. He added that PFPC's open platform is able to integrate with the firm's brokerage systems using existing file and record formats.
"Through our extensive review, we found PFPC to be the preeminent provider of subaccounting capabilities and a superior alternative to maintaining individual account positions at the funds," said Black. "The enhanced control our representatives will gain over their activity will help them to further improve service levels for their clients. Our selection of PFPC reinforces our commitment to providing a path for success for independent financial advisors in an increasingly competitive environment. This commitment has contributed to LPL's spectacular growth during the past five years."
"LPL's selection of PFPC strengthens our leadership in the important and growing arena of omnibus processing," said Kevin Melancon, senior vice president, PFPC. "The increasing appeal of subaccounting reflects brokers' desire for greater and more direct control of their client accounts through omnibus processing. FPC services almost all of the major brokerage firms that have shifted from the networking environment to subaccounting."
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