E*TRADE Financial Corporation Reports Monthly Activity for November 2012; Provides Updates to Its Lo

E*TRADE Financial Corporation Reports Monthly Activity for November 2012; Provides Updates to Its Loan Delinquencies

NEW YORK--(BUSINESS WIRE)-- E*TRADE Financial Corporation (NAS: ETFC) today released its Monthly Activity Report for November 2012.

Daily Average Revenue Trades ("DARTs") for November were 130,202, a five percent increase from October and an eight percent decrease from the year-ago period. The Company added 26,312 gross new brokerage accounts in November, ending the month with approximately 2.9 million brokerage accounts - an increase of 7,361 from October. Total accounts ended the month at approximately 4.5 million.


Net new brokerage assets were positive $0.8 billion in the month. During the month, customer security holdings increased by one percent, or $1.3 billion, and brokerage-related cash increased by $0.2 billion to $31.9 billion, while customers were net buyers of approximately $0.3 billion in securities. Bank-related cash and deposits ended the month unchanged, at $7.1 billion.

The Company also updated delinquency statistics in its loan portfolio. For the Company's entire loan portfolio; total special mention delinquencies (30 to 89 days delinquent) increased three percent from September 30, 2012 to November 30, 2012 and decreased two percent from October 31, 2012 to November 30, 2012, while total "at risk" delinquencies (30 to 179 days delinquent) increased two percent from September 30, 2012 to November 30, 2012 and decreased two percent from October 31, 2012 to November 30, 2012. Additional loan delinquency data is provided in the second table of this release.

Monthly Activity Data

Nov-12

Oct-12

Nov-11

% Chg. M/M

% Chg. Y/Y

Trading days

20.5

21.0

20.5

N.M.

N.M.

DARTs

130,202

124,246

141,361

4.8 %

(7.9)%

Gross new brokerage accounts

26,312

23,365

24,541

12.6 %

7.2 %

Gross new stock plan accounts

27,360

14,164

11,383

93.2 %

140.4 %

Gross new banking accounts

782

857

1,391

(8.8)%

(43.8)%

Total gross new accounts

54,454

38,386

37,315

41.9 %

45.9 %

Net new brokerage accounts

7,361

(5,153)

207

N.M.

N.M.

Net new stock plan accounts

16,423

2,251

(781)

N.M.

N.M.

Net new banking accounts

(2,315)

(3,608)

(3,541)

N.M.

N.M.

Net new accounts

21,469

(6,510)

(4,115)

N.M.

N.M.

End of period brokerage accounts

2,895,060

2,887,699

2,772,187

0.3 %

4.4 %

End of period stock plan accounts

1,137,514

1,121,091

1,062,904

1.5 %

7.0 %

End of period banking accounts

431,961

434,276

466,024

(0.5)%

(7.3)%

End of period total accounts

4,464,535

4,443,066

4,301,115

0.5 %

3.8 %

Customer Assets ($B)

Security holdings

$

139.9

$

138.6

$

120.1

0.9 %

16.5 %

Customer payables (cash)

5.6

5.5

5.1

1.8 %

9.8 %

Customer cash balances held by third parties(1)

6.0

5.9

3.3

1.7 %

81.8 %

Unexercised stock plan customer options (vested)

22.1

21.3

19.1

3.8 %

15.7 %

Customer assets in brokerage and stock plan accounts

173.6

171.3

147.6

1.3 %

17.6 %

Sweep deposits

20.3

20.3

17.9

0.0 %

13.4 %

Savings, transaction and other

7.1

7.1

7.8

0.0 %

(9.0)%

Customer assets in banking accounts

27.4

27.4

25.7

0.0 %

6.6 %

Total customer assets

$

201.0

$

198.7

$

173.3

1.2 %

16.0 %

Net new brokerage assets ($B)(2)

$

0.8

$

0.3

$

0.6

N.M.

N.M.

Net new banking assets ($B)(2)

(0.0)

(0.1)

(0.1)

N.M.

N.M.

Net new customer assets ($B)(2)

$

0.8

$

0.2

$

0.5

N.M.

N.M.

Brokerage related cash ($B)

$

31.9

$

31.7

$

26.3

0.6 %

21.3 %

Other customer cash and deposits ($B)

7.1

7.1

7.8

0.0 %

(9.0)%

Total customer cash and deposits ($B)

$

39.0

$

38.8

$

34.1

0.5 %

14.4 %

Customer net (purchase) / sell activity ($B)

$

(0.3)

$

(1.3)

$

(1.6)

N.M.

N.M.

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

(2) 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.

Loan Delinquency Data

Nov-12

Oct-12

Sep-12

% Chg.
Nov 12 -
Oct 12

% Chg.
Oct 12 -
Sep 12

% Chg.
Nov 12 -
Sep 12

One- to Four-Family ($MM)

Current

$

4,943

$

5,005

$

5,122

(1)%

(2)%

(3)%

30-89 days delinquent

222

231

210

(4)%

10 %

6 %

90-179 days delinquent

110

115

108

(4)%

6 %

2 %

Total 30-179 days delinquent

332

346

318

(4)%

9 %

4 %

180+ days delinquent

287

294

300

(2)%

(2)%

(4)%

Total delinquent loans(1)

619

640

618

(3)%

4 %

0 %

Gross loans receivable(2)

$

5,562

$

5,645

$

5,740

(1)%

(2)%

(3)%

Home Equity ($MM)

Current

$

4,135

$

4,206

$

4,277

(2)%

(2)%

(3)%

30-89 days delinquent

94

93

99

1 %

(6)%

(5)%

90-179 days delinquent

62

65

65

(5)%

0 %

(5)%

Total 30-179 days delinquent

156

158

164

(1)%

(4)%

(5)%

180+ days delinquent

43

44

42

(2)%

5 %

2 %

Total delinquent loans(1)

199

202

206

(1)%

(2)%

(3)%

Gross loans receivable(2)

$

4,334

$

4,408

$

4,483

(2)%

(2)%

(3)%

Consumer and Other ($MM)

Current

$

847

$

869

$

892

(3)%

(3)%

(5)%

30-89 days delinquent

22

20

18

10 %

11 %

22 %

90-179 days delinquent

4

3

3

33 %

0 %

33 %

Total 30-179 days delinquent

26

23

21

13 %

10 %

24 %

180+ days delinquent

-

-

-

N.M.

N.M.

N.M.

Total delinquent loans