NEW YORK, April 17, 2019 /PRNewswire/ -- Broadridge
Financial Solutions, Inc. (NYSE: BR), a global Fintech leader and
part of the S&P 500® Index, today announced it has entered
into a purchase agreement to acquire the retirement plan custody
and trust assets from TD Ameritrade Trust Company, a subsidiary of
TD Ameritrade Holding Company (Nasdaq: AMTD). The acquisition will
expand Broadridge's suite of solutions for the growing qualified
and non-qualified retirement plan services market and the support
it provides for third-party administrators, financial advisors,
record-keepers, banks, and brokers.
The acquisition of TD Ameritrade's retirement plan custody and
trust assets represents the continued expansion of Broadridge's
Matrix Financial Solutions ("Matrix"), a best-in-class mutual fund
and ETF trade processing platform for the retirement industry with
access to more than 25,000 funds. This additional capacity to
provide directed trustee, custody, mutual fund, and ETF trading
services enables Broadridge to meet an even greater variety of
client needs, unlock new growth opportunities and serve a broader
set of retirement stakeholders. Upon closing of the transaction,
Matrix is expected to have approximately $420 billion in assets under administration and
over 118,000 plan accounts in custody.
"The TD Ameritrade trust and custody assets are a strong
complement to Broadridge's established mutual fund and retirement
business, and uniquely positions us as one of the largest neutral,
independent service providers of custodial and sub-custodial
solutions," said Broadridge Head of Mutual Fund and Retirement
Solutions, Michael Liberatore. "The
acquisition represents the next step forward in Broadridge's
strategy of serving a broader set of retirement stakeholders and
unlocking new opportunities for our clients."
"After careful consideration, we decided to exit a part of our
retirement plan trust business, one that's better served by a scale
player dedicated to expanding and investing in this business.
Broadridge is a leader in this space with the proven technology and
experience to provide advisors with access to innovative
solutions and high-level client service," said Tom
Nally, President of TD Ameritrade Institutional. "With this
deal, TD Ameritrade Institutional can increase its focus on
developing and delivering industry-leading technology,
products and service that can help independent RIAs grow and
compete."
TD Ameritrade Institutional, a division of TD Ameritrade, Inc.
that provides custody and brokerage services to more than 7,000
independent registered investment advisors, will continue offering
the TD Ameritrade Retirement Plan (TDARP), a turn-key solution for
advisors that combines record-keeping, administration and other
plan services in one convenient bundle. TD Ameritrade Institutional
will maintain its TDARP sales, service and marketing teams as well
as its vendor relationships with TDARP service providers.
Terms of the deal were not disclosed. The transaction is
expected to be completed in the second quarter of the calendar
year, subject to customary closing conditions and regulatory
approvals.
Wachtell, Lipton, Rosen & Katz is serving as legal advisor
to TD Ameritrade.
To Learn More
For more information, independent RIAs can contact their TD
Ameritrade Institutional relationship manager or call (800)
934-6124. Retirement plan record-keepers and TPAs are invited to
call the TD Ameritrade Retirement Plan Solutions team at (866)
827-5894.
About TD Ameritrade Institutional
TD Ameritrade Institutional empowers more than 7,000
independent registered investment advisors to transform the lives
of their clients. It provides powerful technology and resources
that help simplify running a business and let advisors spend time
more time doing what matters most — serving their clients. Through
meaningful innovation, steadfast advocacy and unwavering service,
TD Ameritrade Institutional supports RIAs as they build businesses
that positively impact their clients and communities. TD Ameritrade
Institutional is a division of TD Ameritrade, Inc., member
FINRA/SIPC, a brokerage subsidiary of TD Ameritrade Holding
Corp.
About TD Ameritrade Holding Corporation
TD Ameritrade (Nasdaq: AMTD) provides investing services and
education to more than 11 million client accounts totalling
approximately $1.2 trillion in
assets, and custodial services to more than 7,000 registered
investment advisors. We are a leader in U.S. retail trading,
executing an average of approximately 900,000 trades per day for
our clients, more than a quarter of which come from mobile devices.
We have a proud history of innovation, dating back to our start in
1975, and today our team of 10,000-strong is committed to carrying
it forward. Together, we are leveraging the latest in cutting edge
technologies and one-on-one client care to transform lives, and
investing, for the better. Learn more by visiting TD Ameritrade's
newsroom at www.amtd.com, or read our stories at Fresh Accounts.
Brokerage services provided by TD Ameritrade, Inc., member FINRA /
SIPC
About Broadridge
Broadridge Financial Solutions, Inc. (NYSE: BR) a $4 billion global Fintech leader and a part of
the S&P 500® Index, is a leading provider of investor
communications and technology-driven solutions to banks,
broker-dealers, asset managers and corporate issuers globally.
Broadridge's investor communications, securities processing and
managed services solutions help clients reduce their capital
investments in operations infrastructure, allowing them to increase
their focus on core business activities. With over 50 years of
experience, Broadridge's infrastructure underpins proxy voting
services for over 50 percent of public companies and mutual funds
globally, and processes on average more than US $5 trillion in fixed income and equity trades per
day. Broadridge employs over 10,000 full-time associates in 18
countries.
For more information about Broadridge, please
visit www.broadridge.com.
Forward-Looking Statements
This communication contains forward-looking statements within
the meaning of the federal securities laws, including the Private
Securities Litigation Reform Act of 1995, including statements
giving expectations or predictions of future financial or business
performance or conditions. We intend these forward-looking
statements to be covered by the safe harbor provisions of the
federal securities laws. Forward-looking statements are
typically identified by words such as "believe," "expect,"
"anticipate," "intend," "target," "estimate," "continue,"
"positions," "prospects" or "potential," by future conditional
verbs such as "will," "would," "should," "could" or "may", or by
variations of such words or by similar expressions. In particular,
any projections or expectations regarding the proposed transaction
between TD Ameritrade and Broadridge described herein, future
revenues, expenses, earnings, capital expenditures, effective tax
rates, client trading activity, accounts or stock price, as well as
the assumptions on which such expectations are based, are
forward-looking statements. These statements reflect only our
current expectations and are not guarantees of future performance
or results. These statements involve risks, uncertainties and
assumptions that change over time and could cause actual results or
performance to differ materially from those contained in the
forward-looking statements and historical performance. In
addition to the risks, uncertainties and assumptions previously
disclosed in our respective reports and documents filed with the
Securities and Exchange Commission ("SEC") and those identified
elsewhere in this communication, these risks, uncertainties and
assumptions include, but are not limited to: the ability to obtain
regulatory approval and meet other closing conditions to the
proposed transaction on the expected terms and schedule or at all;
delay in closing the transaction; difficulties and delays in
integrating the acquired assets or fully realizing cost savings and
other benefits; business disruption following the proposed
transaction; TD Ameritrade's and Broadridge's respective businesses
experiencing disruptions due to transaction-related uncertainty or
other factors making it more difficult to maintain relationships
with employees, customers, other business partners or governmental
entities; the inability to realize synergies or to implement
integration plans and other consequences associated with mergers,
acquisitions and divestitures; economic conditions; and the impact,
extent and timing of technological changes, capital management
activities, and other actions of regulatory bodies and legislative
and regulatory actions and reforms, general economic and political
conditions and other securities industry risks, fluctuations in
interest rates, stock market fluctuations and changes in client
trading activity, credit risk with clients and counterparties,
increased competition, systems failures, delays and capacity
constraints, network security risks, liquidity risks, new laws and
regulations affecting our businesses, regulatory and legal matters
and uncertainties and other risk factors described in TD Ameritrade
Holding Corporation's latest Annual Report on Form 10-K, filed with
the SEC on November 16, 2018, and its
subsequent Quarterly Reports on Form 10-Q filed thereafter and
other reports and documents it files with the SEC, and in
Broadridge Financial Solutions, Inc.'s latest Annual Report on Form
10-K filed with the SEC on August 7,
2018, and its subsequent Quarterly Reports on Form 10-Q
filed thereafter and other reports and documents it files with the
SEC. Annualized, pro forma, projected and estimated numbers
are used for illustrative purpose only, are not forecasts and may
not reflect actual results.
These forward-looking statements are subject to numerous
assumptions, risks and uncertainties which change over time and
speak only as of the date on which the statements were made. We
undertake no obligation to update or revise publicly any
forward-looking statements, whether as a result of new information,
future events or otherwise, except to the extent required by the
federal securities laws.
Investors:
W. Edings Thibault
Head of Investor Relations
Broadridge Financial Solutions
+1 516-472-5129
edings.thibault@broadridge.com
Jeffrey Goeser
Managing Director, Investor Relations
TD Ameritrade
+1 402-597-8464
jeffrey.goeser@tdameritrade.com
Media:
Tina
Wadhwa
Broadridge Financial Solutions
+1
212-973-6164
tina.wadhwa@broadridge.com
Rebecca Niiya
TD Ameritrade
+1 402-574-6652
rebecca.niiya@tdameritrade.com
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SOURCE Broadridge Financial Solutions, Inc.