%PDF-1.5 1 0 obj <> endobj 3 0 obj <> endobj 4 0 obj <> stream /GS0 gs q 152.00 0 0 27.00 49.50 720.00 cm /I1 Do Q BT /F1 10.00 Tf ET 0 Tr /GS0 gs 0 Tw 0 Tc 100 Tz 0 TL BT /F2 10.00 Tf ET 0 Tr /GS0 gs 0 Tw 0 Tc 100 Tz 0 TL q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 54.50 702.00 Td (75 State Street, 22th Floor) Tj ET Q BT /F2 10.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 54.50 689.50 Td (Boston, MA) Tj ET Q q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 105.64 689.50 Td ( 02109) Tj ET Q BT /F2 10.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 54.50 665.00 Td (1055 LPL) Tj ET Q q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 96.95 665.00 Td ( W) Tj ET Q q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 108.79 665.00 Td (ay) Tj ET Q BT /F2 10.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 54.50 652.50 Td (Fort Mill, SC 29715) Tj ET Q BT /F2 10.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 54.50 628.00 Td (4707 Executive Drive) Tj ET Q BT /F2 10.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 54.50 615.50 Td (San Diego, CA) Tj ET Q q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 120.10 615.50 Td ( 92121) Tj ET Q BT /F2 24.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 361.25 501.80 Td (LPL) Tj ET Q q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 403.06 501.80 Td ( Financial LLC) Tj ET Q BT /F2 18.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 372.40 480.20 Td (\(SEC I.D. No. 8-17668\)) Tj ET Q BT /F2 18.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 298.35 434.10 Td (Statement of Financial Condition) Tj ET Q BT /F2 18.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 400.40 388.00 Td (December31, 2018) Tj ET Q BT /F2 18.00 Tf ET BT /F2 10.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 49.50 67.50 Td (LPL) Tj ET Q q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 66.92 67.50 Td ( Financial LLC ) Tj ET Q BT /F2 10.00 Tf ET q 0.13725490196078433 0.12156862745098039 0.12549019607843137 rg BT 49.50 55.50 Td (Member FINRA/SIPC) Tj ET Q endstream endobj 5 0 obj <> endobj 6 0 obj <> stream BT /F3 10.00 Tf ET 0 Tr /GS0 gs 0 Tw 0 Tc 100 Tz 0 TL q 0 0 0 rg BT 49.50 692.95 Td (REPORT OF INDEPENDENT REGISTERED PUBLIC ) Tj ET Q q 0 0 0 rg BT 292.48 692.95 Td (ACCOUNTING FIRM) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 665.35 Td (T) Tj ET Q q 0 0 0 rg BT 54.50 665.35 Td (o the Board of Directors of LPL) Tj ET Q q 0 0 0 rg BT 191.42 665.35 Td ( Financial Holdings Inc. and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 653.35 Td (the Member of LPL) Tj ET Q q 0 0 0 rg BT 134.17 653.35 Td ( Financial LLC ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 641.35 Td (Boston, Massachusetts) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 49.50 616.95 Td (Opinion on the Financial Statement) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 592.95 Td (W) Tj ET Q q 0 0 0 rg BT 58.76 592.95 Td (e ) Tj ET Q q 0 0 0 rg BT 66.51 592.95 Td (have ) Tj ET Q q 0 0 0 rg BT 90.39 592.95 Td (audited ) Tj ET Q q 0 0 0 rg BT 125.39 592.95 Td (the ) Tj ET Q q 0 0 0 rg BT 141.48 592.95 Td (accompanying ) Tj ET Q q 0 0 0 rg BT 208.16 592.95 Td (statement ) Tj ET Q q 0 0 0 rg BT 254.26 592.95 Td (of ) Tj ET Q q 0 0 0 rg BT 264.79 592.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 303.67 592.95 Td (condition ) Tj ET Q q 0 0 0 rg BT 345.90 592.95 Td (of ) Tj ET Q q 0 0 0 rg BT 356.43 592.95 Td (LPL) Tj ET Q q 0 0 0 rg BT 373.85 592.95 Td ( ) Tj ET Q q 0 0 0 rg BT 376.04 592.95 Td (Financial ) Tj ET Q q 0 0 0 rg BT 418.25 592.95 Td (LLC ) Tj ET Q q 0 0 0 rg BT 438.79 592.95 Td (\(the ) Tj ET Q q 0 0 0 rg BT 458.22 592.95 Td ("Company"\) ) Tj ET Q q 0 0 0 rg BT 513.64 592.95 Td (\(an ) Tj ET Q q 0 0 0 rg BT 530.28 592.95 Td (indirect ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 580.95 Td (wholly ) Tj ET Q q 0 0 0 rg BT 79.96 580.95 Td (owned ) Tj ET Q q 0 0 0 rg BT 112.09 580.95 Td (subsidiary ) Tj ET Q q 0 0 0 rg BT 159.78 580.95 Td (of ) Tj ET Q q 0 0 0 rg BT 170.78 580.95 Td (LPL) Tj ET Q q 0 0 0 rg BT 188.21 580.95 Td ( ) Tj ET Q q 0 0 0 rg BT 190.87 580.95 Td (Financial ) Tj ET Q q 0 0 0 rg BT 233.56 580.95 Td (Holdings ) Tj ET Q q 0 0 0 rg BT 275.14 580.95 Td (Inc.\) ) Tj ET Q q 0 0 0 rg BT 297.25 580.95 Td (as ) Tj ET Q q 0 0 0 rg BT 310.48 580.95 Td (of ) Tj ET Q q 0 0 0 rg BT 321.49 580.95 Td (December ) Tj ET Q q 0 0 0 rg BT 370.28 580.95 Td (31, ) Tj ET Q q 0 0 0 rg BT 386.85 580.95 Td (2018, ) Tj ET Q q 0 0 0 rg BT 414.54 580.95 Td (and ) Tj ET Q q 0 0 0 rg BT 433.89 580.95 Td (the ) Tj ET Q q 0 0 0 rg BT 450.46 580.95 Td (related ) Tj ET Q q 0 0 0 rg BT 483.71 580.95 Td (notes ) Tj ET Q q 0 0 0 rg BT 510.83 580.95 Td (\(collectively ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 568.95 Td (referred ) Tj ET Q q 0 0 0 rg BT 87.08 568.95 Td (to ) Tj ET Q q 0 0 0 rg BT 97.99 568.95 Td (as ) Tj ET Q q 0 0 0 rg BT 111.12 568.95 Td (the ) Tj ET Q q 0 0 0 rg BT 127.58 568.95 Td ("financial ) Tj ET Q q 0 0 0 rg BT 170.39 568.95 Td (statement"\). ) Tj ET Q q 0 0 0 rg BT 226.53 568.95 Td (In ) Tj ET Q q 0 0 0 rg BT 237.43 568.95 Td (our ) Tj ET Q q 0 0 0 rg BT 254.45 568.95 Td (opinion, ) Tj ET Q q 0 0 0 rg BT 292.05 568.95 Td (the ) Tj ET Q q 0 0 0 rg BT 308.52 568.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 347.77 568.95 Td (statement ) Tj ET Q q 0 0 0 rg BT 394.25 568.95 Td (presents ) Tj ET Q q 0 0 0 rg BT 435.17 568.95 Td (fairly) Tj ET Q q 0 0 0 rg BT 455.55 568.95 Td (, ) Tj ET Q q 0 0 0 rg BT 460.89 568.95 Td (in ) Tj ET Q q 0 0 0 rg BT 471.24 568.95 Td (all ) Tj ET Q q 0 0 0 rg BT 483.81 568.95 Td (material ) Tj ET Q q 0 0 0 rg BT 521.95 568.95 Td (respects, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 556.95 Td (the ) Tj ET Q q 0 0 0 rg BT 67.08 556.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 107.45 556.95 Td (position ) Tj ET Q q 0 0 0 rg BT 145.59 556.95 Td (of ) Tj ET Q q 0 0 0 rg BT 157.61 556.95 Td (the ) Tj ET Q q 0 0 0 rg BT 175.19 556.95 Td (Company ) Tj ET Q q 0 0 0 rg BT 221.66 556.95 Td (as ) Tj ET Q q 0 0 0 rg BT 235.90 556.95 Td (of ) Tj ET Q q 0 0 0 rg BT 247.92 556.95 Td (December ) Tj ET Q q 0 0 0 rg BT 297.73 556.95 Td (31, ) Tj ET Q q 0 0 0 rg BT 315.31 556.95 Td (2018 ) Tj ET Q q 0 0 0 rg BT 341.23 556.95 Td (in ) Tj ET Q q 0 0 0 rg BT 352.69 556.95 Td (conformity ) Tj ET Q q 0 0 0 rg BT 402.49 556.95 Td (with ) Tj ET Q q 0 0 0 rg BT 423.95 556.95 Td (accounting ) Tj ET Q q 0 0 0 rg BT 476.00 556.95 Td (principles ) Tj ET Q q 0 0 0 rg BT 521.92 556.95 Td (generally ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 544.95 Td (accepted ) Tj ET Q q 0 0 0 rg BT 92.86 544.95 Td (in ) Tj ET Q q 0 0 0 rg BT 103.43 544.95 Td (the ) Tj ET Q q 0 0 0 rg BT 120.11 544.95 Td (United ) Tj ET Q q 0 0 0 rg BT 151.79 544.95 Td (States ) Tj ET Q q 0 0 0 rg BT 182.92 544.95 Td (of ) Tj ET Q q 0 0 0 rg BT 193.48 544.95 Td (America. ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 49.50 520.95 Td (Basis for Opinion) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 496.95 Td (The ) Tj ET Q q 0 0 0 rg BT 68.90 496.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 107.76 496.95 Td (statement ) Tj ET Q q 0 0 0 rg BT 153.84 496.95 Td (is ) Tj ET Q q 0 0 0 rg BT 163.24 496.95 Td (the ) Tj ET Q q 0 0 0 rg BT 179.31 496.95 Td (responsibility ) Tj ET Q q 0 0 0 rg BT 239.28 496.95 Td (of ) Tj ET Q q 0 0 0 rg BT 249.79 496.95 Td (the ) Tj ET Q q 0 0 0 rg BT 265.86 496.95 Td (Company's ) Tj ET Q q 0 0 0 rg BT 317.74 496.95 Td (management. ) Tj ET Q q 0 0 0 rg BT 381.06 496.95 Td (Our ) Tj ET Q q 0 0 0 rg BT 399.90 496.95 Td (responsibility ) Tj ET Q q 0 0 0 rg BT 459.87 496.95 Td (is ) Tj ET Q q 0 0 0 rg BT 469.26 496.95 Td (to ) Tj ET Q q 0 0 0 rg BT 479.77 496.95 Td (express ) Tj ET Q q 0 0 0 rg BT 516.96 496.95 Td (an ) Tj ET Q q 0 0 0 rg BT 530.25 496.95 Td (opinion ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 484.95 Td (on ) Tj ET Q q 0 0 0 rg BT 63.75 484.95 Td (this ) Tj ET Q q 0 0 0 rg BT 82.44 484.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 122.25 484.95 Td (statement ) Tj ET Q q 0 0 0 rg BT 169.29 484.95 Td (based ) Tj ET Q q 0 0 0 rg BT 199.66 484.95 Td (on ) Tj ET Q q 0 0 0 rg BT 213.91 484.95 Td (our ) Tj ET Q q 0 0 0 rg BT 231.49 484.95 Td (audit. ) Tj ET Q q 0 0 0 rg BT 259.07 484.95 Td (W) Tj ET Q q 0 0 0 rg BT 268.33 484.95 Td (e ) Tj ET Q q 0 0 0 rg BT 277.02 484.95 Td (are ) Tj ET Q q 0 0 0 rg BT 294.60 484.95 Td (a ) Tj ET Q q 0 0 0 rg BT 303.28 484.95 Td (public ) Tj ET Q q 0 0 0 rg BT 332.54 484.95 Td (accounting ) Tj ET Q q 0 0 0 rg BT 384.03 484.95 Td (firm ) Tj ET Q q 0 0 0 rg BT 403.82 484.95 Td (registered ) Tj ET Q q 0 0 0 rg BT 451.41 484.95 Td (with ) Tj ET Q q 0 0 0 rg BT 472.32 484.95 Td (the ) Tj ET Q q 0 0 0 rg BT 489.35 484.95 Td (Public ) Tj ET Q q 0 0 0 rg BT 519.71 484.95 Td (Company ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 472.95 Td (Accounting ) Tj ET Q q 0 0 0 rg BT 100.88 472.95 Td (Oversight ) Tj ET Q q 0 0 0 rg BT 145.58 472.95 Td (Board ) Tj ET Q q 0 0 0 rg BT 174.17 472.95 Td (\(United ) Tj ET Q q 0 0 0 rg BT 208.32 472.95 Td (States\) ) Tj ET Q q 0 0 0 rg BT 241.90 472.95 Td (\(PCAOB\) ) Tj ET Q q 0 0 0 rg BT 285.48 472.95 Td (and ) Tj ET Q q 0 0 0 rg BT 304.07 472.95 Td (are ) Tj ET Q q 0 0 0 rg BT 320.43 472.95 Td (required ) Tj ET Q q 0 0 0 rg BT 359.02 472.95 Td (to ) Tj ET Q q 0 0 0 rg BT 369.27 472.95 Td (be ) Tj ET Q q 0 0 0 rg BT 382.30 472.95 Td (independent ) Tj ET Q q 0 0 0 rg BT 439.26 472.95 Td (with ) Tj ET Q q 0 0 0 rg BT 458.95 472.95 Td (respect ) Tj ET Q q 0 0 0 rg BT 493.65 472.95 Td (to ) Tj ET Q q 0 0 0 rg BT 503.89 472.95 Td (the ) Tj ET Q q 0 0 0 rg BT 519.70 472.95 Td (Company ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 460.95 Td (in ) Tj ET Q q 0 0 0 rg BT 61.04 460.95 Td (accordance ) Tj ET Q q 0 0 0 rg BT 116.49 460.95 Td (with ) Tj ET Q q 0 0 0 rg BT 138.03 460.95 Td (the ) Tj ET Q q 0 0 0 rg BT 155.69 460.95 Td (U.S. ) Tj ET Q q 0 0 0 rg BT 178.89 460.95 Td (federal ) Tj ET Q q 0 0 0 rg BT 213.22 460.95 Td (securities ) Tj ET Q q 0 0 0 rg BT 259.21 460.95 Td (laws ) Tj ET Q q 0 0 0 rg BT 282.97 460.95 Td (and ) Tj ET Q q 0 0 0 rg BT 303.41 460.95 Td (the ) Tj ET Q q 0 0 0 rg BT 321.07 460.95 Td (applicable ) Tj ET Q q 0 0 0 rg BT 369.86 460.95 Td (rules ) Tj ET Q q 0 0 0 rg BT 395.29 460.95 Td (and ) Tj ET Q q 0 0 0 rg BT 415.73 460.95 Td (regulations ) Tj ET Q q 0 0 0 rg BT 468.40 460.95 Td (of ) Tj ET Q q 0 0 0 rg BT 480.50 460.95 Td (the ) Tj ET Q q 0 0 0 rg BT 498.15 460.95 Td (Securities ) Tj ET Q q 0 0 0 rg BT 545.81 460.95 Td (and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 448.95 Td (Exchange ) Tj ET Q q 0 0 0 rg BT 96.76 448.95 Td (Commission ) Tj ET Q q 0 0 0 rg BT 154.54 448.95 Td (and ) Tj ET Q q 0 0 0 rg BT 174.01 448.95 Td (the ) Tj ET Q q 0 0 0 rg BT 190.69 448.95 Td (PCAOB.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 424.95 Td (W) Tj ET Q q 0 0 0 rg BT 58.76 424.95 Td (e ) Tj ET Q q 0 0 0 rg BT 67.27 424.95 Td (conducted ) Tj ET Q q 0 0 0 rg BT 116.37 424.95 Td (our ) Tj ET Q q 0 0 0 rg BT 133.77 424.95 Td (audit ) Tj ET Q q 0 0 0 rg BT 158.40 424.95 Td (in ) Tj ET Q q 0 0 0 rg BT 169.13 424.95 Td (accordance ) Tj ET Q q 0 0 0 rg BT 223.78 424.95 Td (with ) Tj ET Q q 0 0 0 rg BT 244.51 424.95 Td (the ) Tj ET Q q 0 0 0 rg BT 261.37 424.95 Td (standards ) Tj ET Q q 0 0 0 rg BT 308.23 424.95 Td (of ) Tj ET Q q 0 0 0 rg BT 319.52 424.95 Td (the ) Tj ET Q q 0 0 0 rg BT 336.37 424.95 Td (PCAOB. ) Tj ET Q q 0 0 0 rg BT 376.92 424.95 Td (Those ) Tj ET Q q 0 0 0 rg BT 407.66 424.95 Td (standards ) Tj ET Q q 0 0 0 rg BT 454.52 424.95 Td (require ) Tj ET Q q 0 0 0 rg BT 488.60 424.95 Td (that ) Tj ET Q q 0 0 0 rg BT 508.23 424.95 Td (we ) Tj ET Q q 0 0 0 rg BT 523.96 424.95 Td (plan ) Tj ET Q q 0 0 0 rg BT 545.82 424.95 Td (and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 412.95 Td (perform ) Tj ET Q q 0 0 0 rg BT 85.58 412.95 Td (the ) Tj ET Q q 0 0 0 rg BT 101.11 412.95 Td (audit ) Tj ET Q q 0 0 0 rg BT 124.42 412.95 Td (to ) Tj ET Q q 0 0 0 rg BT 134.39 412.95 Td (obtain ) Tj ET Q q 0 0 0 rg BT 163.26 412.95 Td (reasonable ) Tj ET Q q 0 0 0 rg BT 214.38 412.95 Td (assurance ) Tj ET Q q 0 0 0 rg BT 262.14 412.95 Td (about ) Tj ET Q q 0 0 0 rg BT 288.79 412.95 Td (whether ) Tj ET Q q 0 0 0 rg BT 326.00 412.95 Td (the ) Tj ET Q q 0 0 0 rg BT 341.53 412.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 379.84 412.95 Td (statement ) Tj ET Q q 0 0 0 rg BT 425.38 412.95 Td (is ) Tj ET Q q 0 0 0 rg BT 434.23 412.95 Td (free ) Tj ET Q q 0 0 0 rg BT 453.09 412.95 Td (of ) Tj ET Q q 0 0 0 rg BT 463.06 412.95 Td (material ) Tj ET Q q 0 0 0 rg BT 500.25 412.95 Td (misstatement, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 400.95 Td (whether ) Tj ET Q q 0 0 0 rg BT 87.85 400.95 Td (due ) Tj ET Q q 0 0 0 rg BT 107.32 400.95 Td (to ) Tj ET Q q 0 0 0 rg BT 118.44 400.95 Td (error ) Tj ET Q q 0 0 0 rg BT 142.33 400.95 Td (or ) Tj ET Q q 0 0 0 rg BT 154.00 400.95 Td (fraud. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 376.95 Td (Our ) Tj ET Q q 0 0 0 rg BT 69.95 376.95 Td (audit ) Tj ET Q q 0 0 0 rg BT 95.41 376.95 Td (included ) Tj ET Q q 0 0 0 rg BT 136.44 376.95 Td (performing ) Tj ET Q q 0 0 0 rg BT 188.02 376.95 Td (procedures ) Tj ET Q q 0 0 0 rg BT 241.82 376.95 Td (to ) Tj ET Q q 0 0 0 rg BT 253.94 376.95 Td (assess ) Tj ET Q q 0 0 0 rg BT 288.84 376.95 Td (the ) Tj ET Q q 0 0 0 rg BT 306.52 376.95 Td (risks ) Tj ET Q q 0 0 0 rg BT 330.85 376.95 Td (of ) Tj ET Q q 0 0 0 rg BT 342.97 376.95 Td (material ) Tj ET Q q 0 0 0 rg BT 382.32 376.95 Td (misstatement ) Tj ET Q q 0 0 0 rg BT 445.56 376.95 Td (of ) Tj ET Q q 0 0 0 rg BT 457.68 376.95 Td (the ) Tj ET Q q 0 0 0 rg BT 475.36 376.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 515.82 376.95 Td (statement, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 364.95 Td (whether ) Tj ET Q q 0 0 0 rg BT 89.03 364.95 Td (due ) Tj ET Q q 0 0 0 rg BT 109.67 364.95 Td (to ) Tj ET Q q 0 0 0 rg BT 121.97 364.95 Td (error ) Tj ET Q q 0 0 0 rg BT 147.04 364.95 Td (or ) Tj ET Q q 0 0 0 rg BT 159.89 364.95 Td (fraud, ) Tj ET Q q 0 0 0 rg BT 189.41 364.95 Td (and ) Tj ET Q q 0 0 0 rg BT 210.05 364.95 Td (performing ) Tj ET Q q 0 0 0 rg BT 261.81 364.95 Td (procedures ) Tj ET Q q 0 0 0 rg BT 315.79 364.95 Td (that ) Tj ET Q q 0 0 0 rg BT 336.43 364.95 Td (respond ) Tj ET Q q 0 0 0 rg BT 376.52 364.95 Td (to ) Tj ET Q q 0 0 0 rg BT 388.82 364.95 Td (those ) Tj ET Q q 0 0 0 rg BT 417.24 364.95 Td (risks. ) Tj ET Q q 0 0 0 rg BT 444.52 364.95 Td (Such ) Tj ET Q q 0 0 0 rg BT 471.27 364.95 Td (procedures ) Tj ET Q q 0 0 0 rg BT 525.26 364.95 Td (included ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 352.95 Td (examining, ) Tj ET Q q 0 0 0 rg BT 100.37 352.95 Td (on ) Tj ET Q q 0 0 0 rg BT 114.01 352.95 Td (a ) Tj ET Q q 0 0 0 rg BT 122.08 352.95 Td (test ) Tj ET Q q 0 0 0 rg BT 140.71 352.95 Td (basis, ) Tj ET Q q 0 0 0 rg BT 169.35 352.95 Td (evidence ) Tj ET Q q 0 0 0 rg BT 211.89 352.95 Td (regarding ) Tj ET Q q 0 0 0 rg BT 256.65 352.95 Td (the ) Tj ET Q q 0 0 0 rg BT 273.06 352.95 Td (amounts ) Tj ET Q q 0 0 0 rg BT 313.93 352.95 Td (and ) Tj ET Q q 0 0 0 rg BT 333.13 352.95 Td (disclosures ) Tj ET Q q 0 0 0 rg BT 385.66 352.95 Td (in ) Tj ET Q q 0 0 0 rg BT 395.96 352.95 Td (the ) Tj ET Q q 0 0 0 rg BT 412.37 352.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 451.57 352.95 Td (statement. ) Tj ET Q q 0 0 0 rg BT 500.77 352.95 Td (Our ) Tj ET Q q 0 0 0 rg BT 519.95 352.95 Td (audit ) Tj ET Q q 0 0 0 rg BT 544.15 352.95 Td (also ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 340.95 Td (included ) Tj ET Q q 0 0 0 rg BT 91.39 340.95 Td (evaluating ) Tj ET Q q 0 0 0 rg BT 141.62 340.95 Td (the ) Tj ET Q q 0 0 0 rg BT 160.16 340.95 Td (accounting ) Tj ET Q q 0 0 0 rg BT 213.17 340.95 Td (principles ) Tj ET Q q 0 0 0 rg BT 260.05 340.95 Td (used ) Tj ET Q q 0 0 0 rg BT 286.37 340.95 Td (and ) Tj ET Q q 0 0 0 rg BT 307.69 340.95 Td (significant ) Tj ET Q q 0 0 0 rg BT 356.80 340.95 Td (estimates ) Tj ET Q q 0 0 0 rg BT 404.23 340.95 Td (made ) Tj ET Q q 0 0 0 rg BT 433.88 340.95 Td (by ) Tj ET Q q 0 0 0 rg BT 449.08 340.95 Td (management, ) Tj ET Q q 0 0 0 rg BT 514.87 340.95 Td (as ) Tj ET Q q 0 0 0 rg BT 530.07 340.95 Td (well ) Tj ET Q q 0 0 0 rg BT 551.94 340.95 Td (as ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 328.95 Td (evaluating ) Tj ET Q q 0 0 0 rg BT 98.92 328.95 Td (the ) Tj ET Q q 0 0 0 rg BT 116.65 328.95 Td (overall ) Tj ET Q q 0 0 0 rg BT 149.93 328.95 Td (presentation ) Tj ET Q q 0 0 0 rg BT 208.80 328.95 Td (of ) Tj ET Q q 0 0 0 rg BT 220.96 328.95 Td (the ) Tj ET Q q 0 0 0 rg BT 238.69 328.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 279.21 328.95 Td (statement. ) Tj ET Q q 0 0 0 rg BT 329.73 328.95 Td (W) Tj ET Q q 0 0 0 rg BT 338.98 328.95 Td (e ) Tj ET Q q 0 0 0 rg BT 348.37 328.95 Td (believe ) Tj ET Q q 0 0 0 rg BT 383.89 328.95 Td (that ) Tj ET Q q 0 0 0 rg BT 404.40 328.95 Td (our ) Tj ET Q q 0 0 0 rg BT 422.68 328.95 Td (audit ) Tj ET Q q 0 0 0 rg BT 448.19 328.95 Td (of ) Tj ET Q q 0 0 0 rg BT 460.36 328.95 Td (the ) Tj ET Q q 0 0 0 rg BT 478.08 328.95 Td (financial ) Tj ET Q q 0 0 0 rg BT 518.60 328.95 Td (statement ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 316.95 Td (provides ) Tj ET Q q 0 0 0 rg BT 90.08 316.95 Td (a ) Tj ET Q q 0 0 0 rg BT 98.42 316.95 Td (reasonable ) Tj ET Q q 0 0 0 rg BT 150.68 316.95 Td (basis ) Tj ET Q q 0 0 0 rg BT 176.80 316.95 Td (for ) Tj ET Q q 0 0 0 rg BT 191.25 316.95 Td (our ) Tj ET Q q 0 0 0 rg BT 208.48 316.95 Td (opinion.) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 49.50 248.95 Td (/s/ DELOITTE & T) Tj ET Q q 0 0 0 rg BT 129.89 248.95 Td (OUCHE LLP) Tj ET Q q 0 0 0 rg BT 186.20 248.95 Td ( ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 188.98 248.95 Td ( ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 226.95 Td (February27, 2019) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 131.22 226.95 Td ( ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 202.95 Td (W) Tj ET Q q 0 0 0 rg BT 58.76 202.95 Td (e have served as the Company's auditor since 2001.) Tj ET Q endstream endobj 7 0 obj <> endobj 8 0 obj <> stream BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 33.25 Td (2) Tj ET Q 1 1 1 rg /GS0 gs 49.50 746.50 512.00 -13.00 re f /GS0 gs 1 1 1 rg /GS0 gs 49.50 720.50 512.00 -13.00 re f /GS0 gs 1 1 1 rg /GS0 gs 49.50 694.50 434.00 -16.00 re f /GS0 gs 1 1 1 rg /GS0 gs 483.50 694.50 78.00 -16.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 663.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 663.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 633.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 633.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 603.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 603.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 573.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 573.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 543.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 543.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 513.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 513.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 483.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 483.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 453.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 453.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 419.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 419.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 389.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 389.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 359.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 359.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 329.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 329.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 299.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 299.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 269.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 269.50 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 239.50 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 239.50 78.00 -15.00 re f /GS0 gs 1 1 1 rg /GS0 gs 49.50 209.50 434.00 -14.00 re f /GS0 gs 1 1 1 rg /GS0 gs 483.50 209.50 78.00 -14.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 453.5 m 561.5 453.5 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 439.5 m 561.5 439.5 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 437.5 m 561.5 437.5 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 269.5 m 561.5 269.5 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 254.5 m 561.5 254.5 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 224.5 m 561.5 224.5 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 210.5 m 561.5 210.5 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 208.5 m 561.5 208.5 l s BT /F3 10.00 Tf ET q 0 0 0 rg BT 256.25 736.72 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.05 736.72 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 331.53 736.72 Td ( LLC) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 226.90 723.72 Td (Statement of Financial Condition) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 259.95 710.72 Td (December 31, 2018) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 270.55 697.72 Td (\(in thousands\)) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 284.95 668.12 Td (ASSETS) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 653.12 Td (Cash and cash equivalents) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 486.00 653.12 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 653.12 Td (232,644) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 638.12 Td (Cash segregated under federal and other regulations) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 638.12 Td (985,195) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 623.12 Td (Receivables from:) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 608.12 Td ( Clients, net) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 608.12 Td (412,944) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 593.12 Td ( Product sponsors, broker-dealers, and clearing organizations) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 593.12 Td (166,678) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 56.50 578.12 Td (Advisor loans, net) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 578.12 Td (298,821) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 563.12 Td ( Others, net) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 563.12 Td (233,435) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 548.12 Td (Securities owned, trading at fair value) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 527.05 548.12 Td (29,267) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 533.12 Td (Securities borrowed) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 532.60 533.12 Td (4,829) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 518.12 Td (Fixed assets, net) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 518.12 Td (254,481) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 503.12 Td (Goodwill) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 503.12 Td (195,153) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 488.12 Td (Intangible assets, net) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 488.12 Td (229,952) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 473.12 Td (Due from af) Tj ET Q q 0 0 0 rg BT 104.15 473.12 Td (filiates) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 527.05 473.12 Td (45,784) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 458.12 Td (Other assets) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 458.12 Td (106,183) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 443.12 Td (T) Tj ET Q q 0 0 0 rg BT 57.55 443.12 Td (otal assets) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 486.00 443.12 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 513.15 443.12 Td (3,195,366) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 216.10 424.12 Td (LIABILITIES ) Tj ET Q q 0 0 0 rg BT 275.73 424.12 Td (AND MEMBERS EQUITY) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 409.12 Td (LIABILITIES:) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 394.12 Td ( Drafts payable) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 486.00 394.12 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 394.12 Td (222,684) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 379.12 Td ( Payables to clients) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 379.12 Td (950,946) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 364.12 Td ( Payables to broker-dealers and clearing organizations) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 527.05 364.12 Td (76,180) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 349.12 Td ( ) Tj ET Q q 0 0 0 rg BT 57.28 349.12 Td (Accrued commission and advisory expenses payable) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 349.12 Td (163,232) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 334.12 Td ( ) Tj ET Q q 0 0 0 rg BT 57.28 334.12 Td (Accounts payable and accrued liabilities) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 521.50 334.12 Td (216,071) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 319.12 Td ( Due to af) Tj ET Q q 0 0 0 rg BT 98.05 319.12 Td (filiates) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 527.05 319.12 Td (30,409) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 304.12 Td ( Securities sold, but not yet purchased at fair value) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 540.95 304.12 Td (169) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 289.12 Td ( Unearned revenue) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 527.05 289.12 Td (80,524) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 274.12 Td ( Capital lease obligations) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 532.60 274.12 Td (2,794) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 259.12 Td ( ) Tj ET Q q 0 0 0 rg BT 82.47 259.12 Td (T) Tj ET Q q 0 0 0 rg BT 87.94 259.12 Td (otal liabilities) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 513.15 259.12 Td (1,743,009) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 244.12 Td (COMMITMENTS ) Tj ET Q q 0 0 0 rg BT 130.05 244.12 Td (AND CONTINGENCIES \(Notes 1) Tj ET Q q 0 0 0 rg BT 277.21 244.12 Td (1 and 15\)) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 229.12 Td (MEMBERS EQUITY) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 513.15 229.12 Td (1,452,357) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 52.00 214.12 Td (T) Tj ET Q q 0 0 0 rg BT 57.00 214.12 Td (otal liabilities and member) Tj ET Q q 0 0 0 rg BT 172.98 214.12 Td () Tj ET Q q 0 0 0 rg BT 175.02 214.12 Td (s equity) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 486.00 214.12 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 513.15 214.12 Td (3,195,366) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 224.10 175.12 Td (See notes to the financial statement.) Tj ET Q BT /F1 10.00 Tf ET endstream endobj 9 0 obj <> endobj 10 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 754.75 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 754.75 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 754.75 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 739.75 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 739.75 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 739.75 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 739.75 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 739.75 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 31.25 Td (3) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 698.85 Td (1) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.56 698.85 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 698.85 Td (Organization and Description of the Company) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 680.85 Td (LPL) Tj ET Q q 0 0 0 rg BT 94.42 680.85 Td ( Financial LLC \("LPL) Tj ET Q q 0 0 0 rg BT 185.42 680.85 Td ( Financial" or the "Company"\) provides an integrated platform of brokerage and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 668.85 Td (investment advisory services to independent financial advisors and financial advisors at financial institutions ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 656.85 Td (\(collectively advisors\) in the United States. ) Tj ET Q q 0 0 0 rg BT 247.11 656.85 Td (Through its custody and clearing platform, using both proprietary and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 644.85 Td (third-party technology) Tj ET Q q 0 0 0 rg BT 145.42 644.85 Td (, the Company provides access to diversified financial products and services enabling its ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 632.85 Td (advisors to of) Tj ET Q q 0 0 0 rg BT 109.29 632.85 Td (fer independent financial advice and brokerage services to retail investors \(their clients\). LPL) Tj ET Q q 0 0 0 rg BT 524.69 632.85 Td ( ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 620.85 Td (Financial is a wholly owned subsidiary of LPL) Tj ET Q q 0 0 0 rg BT 250.29 620.85 Td ( Holdings, Inc. \(LPLH\), a Massachusetts holding corporation, which ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 608.85 Td (is a wholly owned subsidiary of LPL) Tj ET Q q 0 0 0 rg BT 207.49 608.85 Td ( Financial Holdings Inc. \(LPLFH or the "Parent"\), a Delaware holding ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 596.85 Td (corporation. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 578.85 Td (LPL) Tj ET Q q 0 0 0 rg BT 94.42 578.85 Td ( Financial is a clearing broker-dealer registered with the Financial Industry Regulatory ) Tj ET Q q 0 0 0 rg BT 474.61 578.85 Td (Authority \(FINRA\) ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 566.85 Td (and the Securities and Exchange Commission \(SEC\) pursuant to the Securities Exchange ) Tj ET Q q 0 0 0 rg BT 456.88 566.85 Td (Act of 1934 and an ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 554.85 Td (investment adviser registered with the SEC pursuant to the Investment ) Tj ET Q q 0 0 0 rg BT 364.60 554.85 Td (Advisers ) Tj ET Q q 0 0 0 rg BT 405.18 554.85 Td (Act of 1940 with primary of) Tj ET Q q 0 0 0 rg BT 523.38 554.85 Td (fices in ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 542.85 Td (Fort Mill, South Carolina; San Diego, California; and Boston, Massachusetts. ) Tj ET Q q 0 0 0 rg BT 391.09 542.85 Td (The Company is registered as an ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 530.85 Td (introducing broker-dealer with the Commodity Futures ) Tj ET Q q 0 0 0 rg BT 291.04 530.85 Td (T) Tj ET Q q 0 0 0 rg BT 296.77 530.85 Td (rading Commission \(CFTC\) and is a member of the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 518.85 Td (National Futures ) Tj ET Q q 0 0 0 rg BT 125.60 518.85 Td (Association \("NF) Tj ET Q q 0 0 0 rg BT 199.17 518.85 Td (A"\). LPL) Tj ET Q q 0 0 0 rg BT 235.70 518.85 Td ( Financial introduces commodities and futures products to ) Tj ET Q q 0 0 0 rg BT 493.61 518.85 Td (ADM Investor ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 506.85 Td (Services Inc. \("ADM"\), and all commodities accounts and related positions are held by ) Tj ET Q q 0 0 0 rg BT 432.28 506.85 Td (ADM. LPL) Tj ET Q q 0 0 0 rg BT 477.48 506.85 Td ( Financial is ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 494.85 Td (regulated by the CFTC and the NF) Tj ET Q q 0 0 0 rg BT 202.86 494.85 Td (A.) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 473.85 Td (2) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.56 473.85 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 473.85 Td (Summary of Significant ) Tj ET Q q 0 0 0 rg BT 191.09 473.85 Td (Accounting Policies) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 452.85 Td (Basis of Presentation ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 434.85 Td (This financial statement is prepared in accordance with accounting principles generally accepted in the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 422.85 Td (United States \(GAAP\), which require the Company to make estimates and assumptions regarding the valuation of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 410.85 Td (certain financial instruments, intangible assets, allowance for doubtful accounts, accruals for liabilities, income ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 398.85 Td (taxes, revenue and expense accruals, and other matters that af) Tj ET Q q 0 0 0 rg BT 329.99 398.85 Td (fect the financial statement and related disclosures. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 386.85 Td (Actual results could dif) Tj ET Q q 0 0 0 rg BT 149.87 386.85 Td (fer materially from those estimates under dif) Tj ET Q q 0 0 0 rg BT 344.21 386.85 Td (ferent assumptions or conditions and the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 374.85 Td (dif) Tj ET Q q 0 0 0 rg BT 60.38 374.85 Td (ference may be material to the financial statement. ) Tj ET Q q 0 0 0 rg BT 286.98 374.85 Td (The Company has evaluated subsequent events up to and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 362.85 Td (including the date this financial statement was issued.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 341.85 Td (Cash and Cash Equivalents) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 323.85 Td (Cash equivalents are highly liquid investments with an original maturity of 90 days or less that are not ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 311.85 Td (required to be segregated under federal or other regulations. ) Tj ET Q q 0 0 0 rg BT 320.55 311.85 Td (The Company's cash and cash equivalents are ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 299.85 Td (composed of interest and noninterest-bearing deposits, money market funds, and United Statesgovernment ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 287.85 Td (obligations.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 266.85 Td (Cash Segregated Under Federal and Other Regulations ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 248.85 Td (As a broker-dealer carrying client accounts, the Company is required to maintain cash or qualified securities ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 236.85 Td (in a segregated reserve account for the exclusive benefit of its customers in accordance with Rule 15c3-3 of the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 224.85 Td (Security Exchange ) Tj ET Q q 0 0 0 rg BT 135.61 224.85 Td (Act of 1934, as amended \(the "Exchange ) Tj ET Q q 0 0 0 rg BT 319.83 224.85 Td (Act"\), and other regulations. Held within this account is ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 212.85 Td (approximately $100,000 for the proprietary accounts of broker dealers.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 191.85 Td (Fair V) Tj ET Q q 0 0 0 rg BT 77.42 191.85 Td (alue of Financial Instruments ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 173.85 Td (The Company's financial assets and liabilities are carried at fair value or at amounts that, because of their ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 161.85 Td (short-term nature, approximate current fair value. ) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 140.85 Td (Receivables from and Payables to Clients ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 122.85 Td (Receivables from clients include amounts due on cash and margin transactions. ) Tj ET Q q 0 0 0 rg BT 433.12 122.85 Td (The Company extends credit ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 110.85 Td (to clients of its advisors to finance their purchases of securities on margin and receives income from interest ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 98.85 Td (charged on such extensions of credit. Payables to clients represent credit balances in client accounts arising from ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 86.85 Td (deposits of funds, proceeds from sales of securities, and dividend and interest payments received on securities held ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 74.85 Td (in client accounts. ) Tj ET Q q 0 0 0 rg BT 132.08 74.85 Td (The Company pays interest on certain client payable balances. ) Tj ET Q q 0 0 0 rg BT 412.80 74.85 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 425.03 74.85 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 512.86 74.85 Td (, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 518.42 74.85 Td ($935.5 ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 62.85 Td (million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 78.34 62.85 Td ( of the balance represents free credit balances that are held pending re-investment by the clients.) Tj ET Q endstream endobj 11 0 obj <> endobj 12 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 31.25 Td (4) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 716.75 Td (Receivables from clients are generally fully secured by securities held in the clients' account. ) Tj ET Q q 0 0 0 rg BT 488.37 716.75 Td (T) Tj ET Q q 0 0 0 rg BT 493.37 716.75 Td (o the extent ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 704.75 Td (that margin loans and other receivables from clients are not fully collateralized by client securities, management ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 692.75 Td (establishes an allowance that it believes is suf) Tj ET Q q 0 0 0 rg BT 253.82 692.75 Td (ficient to cover any probable losses. When establishing this ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 680.75 Td (allowance, management considers a number of factors, including its ability to collect from the client or the client's ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 668.75 Td (financial advisor and the Company's historical experience in collecting on such transactions. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 650.75 Td (The following schedule reflects the Company's activity in providing for an allowance for uncollectible amounts ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 638.75 Td (due from clients for the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 207.31 638.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 295.14 638.75 Td ( \(in thousands\): ) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 628.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 484.50 628.25 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 598.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 484.50 598.25 78.00 -15.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 484.5 598.25 m 562.5 598.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 484.5 584.25 m 562.5 584.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 484.5 582.25 m 562.5 582.25 l s BT /F2 10.00 Tf ET q 0 0 0 rg BT 53.00 617.87 Td (Beginning Balance January 1) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 487.00 617.87 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 541.95 617.87 Td (466) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 59.00 602.87 Td (Provision for bad debts, net of recoveries) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 541.95 602.87 Td (174) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 53.00 587.87 Td (Ending Balance December 31) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 487.00 587.87 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 541.95 587.87 Td (640) Tj ET Q BT /F1 10.00 Tf ET BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 562.75 Td (Advisor Loans ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 544.75 Td (The Company periodically extends credit to its advisors in the form of recruiting loans, commission advances, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 532.75 Td (and other loans. ) Tj ET Q q 0 0 0 rg BT 124.32 532.75 Td (The decisions to extend credit to advisors are generally based on the advisor's credit history and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 520.75 Td (their ability to generate future commissions. Certain loans made in connection with recruiting are forgivable over ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 508.75 Td (terms ranging from three to eight years provided that the advisor remains licensed through LPL) Tj ET Q q 0 0 0 rg BT 469.30 508.75 Td ( Financial. ) Tj ET Q q 0 0 0 rg BT 517.10 508.75 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 496.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 137.83 496.75 Td (, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 143.39 496.75 Td ($233.3 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 205.09 496.75 Td ( of the advisor loan balance was forgivable. If an advisor terminates their ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 484.75 Td (arrangement with the Company prior to the forgivable loan term date or repayment of another loan, an allowance ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 472.75 Td (for uncollectible amounts is recorded using an analysis that takes into account the advisor's registration status and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 460.75 Td (the specific type of receivable. ) Tj ET Q q 0 0 0 rg BT 186.56 460.75 Td (The aging thresholds and specific percentages used represent management's best ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 448.75 Td (estimates of probable losses. Management monitors the adequacy of these estimates through periodic evaluations ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 436.75 Td (against actual trends experienced.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 418.75 Td (The following schedule reflects the Company) Tj ET Q q 0 0 0 rg BT 278.04 418.75 Td (s activity in providing for an allowance for uncollectible amounts ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 406.75 Td (for advisor loans for the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 210.09 406.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 297.92 406.75 Td ( \(in thousands\):) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 390.25 432.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 390.25 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 361.25 432.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 361.25 78.00 -14.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 482.5 347.25 m 560.5 347.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 482.5 333.25 m 560.5 333.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 482.5 331.25 m 560.5 331.25 l s BT /F2 10.00 Tf ET q 0 0 0 rg BT 53.00 379.87 Td (Beginning Balance January 1) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 485.00 379.87 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 531.60 379.87 Td (3,264) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 59.00 365.47 Td (Provision for bad debts, net of recoveries) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 531.60 365.47 Td (2,206) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 59.00 351.47 Td (Charge-of) Tj ET Q q 0 0 0 rg BT 103.29 351.47 Td (fs) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 536.60 351.47 Td (\(390) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 556.65 351.47 Td (\)) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 53.00 336.87 Td (Ending Balance December 31) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 485.00 336.87 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 531.60 336.87 Td (5,080) Tj ET Q BT /F1 10.00 Tf ET BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 311.75 Td (Receivables From Others ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 293.75 Td (Receivables from others primarily consist of accrued fees from product sponsors and amounts due from ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 281.75 Td (advisors. Management maintains an allowance for uncollectible amounts using an aging analysis that takes into ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 269.75 Td (account the specific type of receivable. ) Tj ET Q q 0 0 0 rg BT 224.36 269.75 Td (The aging thresholds and specific percentages used represent ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 257.75 Td (management's best estimates of probable losses. Management monitors the adequacy of these estimates through ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 245.75 Td (periodic evaluations against actual trends experienced. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 227.75 Td (The following schedule reflects the Company's activity in providing for an allowance for uncollectible amounts ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 215.75 Td (due from others for the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 206.76 215.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 294.59 215.75 Td ( \(in thousands\): ) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 205.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 484.50 205.25 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 176.25 434.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 484.50 176.25 78.00 -14.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 484.5 162.25 m 562.5 162.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 484.5 148.25 m 562.5 148.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 484.5 146.25 m 562.5 146.25 l s BT /F2 10.00 Tf ET q 0 0 0 rg BT 53.00 194.87 Td (Beginning Balance January 1) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 487.00 194.87 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 533.60 194.87 Td (5,913) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 59.00 180.47 Td (Provision for bad debts, net of recoveries) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 533.60 180.47 Td (3,785) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 59.00 166.47 Td (Charge-of) Tj ET Q q 0 0 0 rg BT 103.29 166.47 Td (fs) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 530.25 166.47 Td (\(1,599) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 558.65 166.47 Td (\)) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 53.00 151.87 Td (Ending Balance December 31) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 487.00 151.87 Td ($) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 533.60 151.87 Td (8,099) Tj ET Q BT /F1 10.00 Tf ET BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 126.75 Td (Securities Owned and Securities Sold, But Not ) Tj ET Q q 0 0 0 rg BT 273.75 126.75 Td (Y) Tj ET Q q 0 0 0 rg BT 280.05 126.75 Td (et Purchased ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 108.75 Td (Securities owned and securities sold, but not yet purchased include trading securities, which are carried at ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 96.75 Td (fair value. ) Tj ET Q q 0 0 0 rg BT 95.95 96.75 Td (The Company generally classifies its investments in debt and equity instruments \(including mutual funds, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 84.75 Td (annuities, corporate bonds, government bonds, and municipal bonds\) as trading securities. ) Tj ET Q q 0 0 0 rg BT 453.95 84.75 Td (The Company has not ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 72.75 Td (classified any investments as available-for-sale. Investment classifications are subject to ongoing review and can ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 60.75 Td (change. ) Tj ET Q endstream endobj 13 0 obj <> endobj 14 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 31.25 Td (5) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 716.75 Td (The ) Tj ET Q q 0 0 0 rg BT 97.01 716.75 Td (Company ) Tj ET Q q 0 0 0 rg BT 142.59 716.75 Td (uses ) Tj ET Q q 0 0 0 rg BT 166.49 716.75 Td (prices ) Tj ET Q q 0 0 0 rg BT 195.94 716.75 Td (obtained ) Tj ET Q q 0 0 0 rg BT 237.09 716.75 Td (from ) Tj ET Q q 0 0 0 rg BT 259.87 716.75 Td (independent ) Tj ET Q q 0 0 0 rg BT 317.70 716.75 Td (third) Tj ET Q /GS0 gs q 3.00 0 0 10.38 337.15 714.65 cm /I2 Do Q q 0 0 0 rg BT 340.15 716.75 Td (party ) Tj ET Q q 0 0 0 rg BT 365.16 716.75 Td (pricing ) Tj ET Q q 0 0 0 rg BT 397.40 716.75 Td (services ) Tj ET Q q 0 0 0 rg BT 436.85 716.75 Td (to ) Tj ET Q q 0 0 0 rg BT 447.97 716.75 Td (measure ) Tj ET Q q 0 0 0 rg BT 489.65 716.75 Td (the ) Tj ET Q q 0 0 0 rg BT 506.33 716.75 Td (fair ) Tj ET Q q 0 0 0 rg BT 523.00 716.75 Td (value ) Tj ET Q q 0 0 0 rg BT 549.69 716.75 Td (of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 704.75 Td (its trading securities. Prices received from the pricing services are validated using various methods, including ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 692.75 Td (comparison to prices received from additional pricing services, comparison to available quoted market prices, and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 680.75 Td (review of other relevant market data including implied yields of major categories of securities. In general, these ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 668.75 Td (quoted prices are derived from active markets for identical assets or liabilities. When quoted prices in active ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 656.75 Td (markets for identical assets and liabilities are not available, the quoted prices are based on similar assets and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 644.75 Td (liabilities or inputs other than the quoted prices that are observable, either directly or indirectly) Tj ET Q q 0 0 0 rg BT 462.81 644.75 Td (. For certificates of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 632.75 Td (deposit and treasury securities, the Company utilizes market-based inputs including observable market interest ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 620.75 Td (rates that correspond to the remaining maturities or the next interest reset dates. ) Tj ET Q q 0 0 0 rg BT 407.96 620.75 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 420.19 620.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 508.02 620.75 Td (, the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 608.75 Td (Company did not adjust prices received from the independent third-party pricing services. ) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 587.75 Td (Securities Borrowed ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 569.75 Td (The Company borrows securities from other broker-dealers to make deliveries or to facilitate customer short ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 557.75 Td (sales. Securities borrowed are accounted for as collateralized financings and are recorded at contract value, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 545.75 Td (representing the amount of cash provided for securities borrowed transactions \(generally in excess of market ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 533.75 Td (values\). ) Tj ET Q q 0 0 0 rg BT 87.61 533.75 Td (The adequacy of the collateral deposited, which is determined by comparing the market value of the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 521.75 Td (securities borrowed to the cash loaned, is continuously monitored and adjusted when considered necessary to ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 509.75 Td (minimize the risk associated with this activity) Tj ET Q q 0 0 0 rg BT 246.54 509.75 Td (. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 491.75 Td (As of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 102.57 491.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 190.40 491.75 Td (, the contract and collateral market value of borrowed securities was ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 494.43 491.75 Td ($4.8 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 545.01 491.75 Td ( ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 479.75 Td (and $5.0 million, respectively) Tj ET Q q 0 0 0 rg BT 177.66 479.75 Td (. ) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 458.75 Td (Fixed ) Tj ET Q q 0 0 0 rg BT 78.53 458.75 Td (Assets ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 440.75 Td (Internally developed software, computers and software, leasehold improvements, and furniture and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 428.75 Td (equipment are recorded at historical cost, net of accumulated depreciation and amortization. Depreciation is ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 416.75 Td (recognized using the straight-line method over the estimated useful lives of the assets. ) Tj ET Q q 0 0 0 rg BT 435.03 416.75 Td (The Company charges ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 404.75 Td (software development costs to operations as incurred during the preliminary project stage, while capitalizing costs ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 392.75 Td (at the point at which the conceptual formulation, design and testing of possible software project alternatives are ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 380.75 Td (complete and management authorizes and commits to funding the project. ) Tj ET Q q 0 0 0 rg BT 381.12 380.75 Td (The costs of internally developed ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 368.75 Td (software that qualify for capitalization are capitalized as fixed assets and subsequently amortized over the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 356.75 Td (estimated useful life of the software, which is generally three years. ) Tj ET Q q 0 0 0 rg BT 349.41 356.75 Td (The Company does not capitalize pilot projects ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 344.75 Td (or projects for which it believes that the future economic benefits are less than probable. Leasehold improvements ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 332.75 Td (are amortized over the lesser of their useful lives or the terms of the underlying leases. Computers and software, as ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 320.75 Td (well as furniture and equipment, are depreciated over a period of three to seven years. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 302.75 Td (Management reviews fixed assets for impairment whenever events or changes in circumstances indicate the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 290.75 Td (carrying amount of the assets may not be recoverable. No impairment of fixed assets occurred for the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 278.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 137.83 278.75 Td (.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 260.75 Td (Acquisitions ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 242.75 Td (When acquiring companies, the Company recognizes separately from goodwill the assets acquired and the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 230.75 Td (liabilities assumed at their acquisition date fair values. Goodwill as of the acquisition date is measured as the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 218.75 Td (excess of consideration transferred and the net of the acquisition date fair values of the assets acquired and the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 206.75 Td (liabilities assumed. While the Company uses its best estimates and assumptions as a part of the purchase price ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 194.75 Td (allocation process to accurately value assets acquired and liabilities assumed at the acquisition date, these ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 182.75 Td (estimates are inherently uncertain and subject to refinement. ) Tj ET Q q 0 0 0 rg BT 320.15 182.75 Td (As a result, during the measurement period, which ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 170.75 Td (may be up to one year from the acquisition date, the Company records adjustments to the assets acquired and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 158.75 Td (liabilities assumed, with the corresponding of) Tj ET Q q 0 0 0 rg BT 248.26 158.75 Td (fset to goodwill.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 140.75 Td (Accounting for business combinations requires the Company's management to make significant estimates ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 128.75 Td (and assumptions, especially at the acquisition date with respect to intangible assets, support liabilities assumed, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 116.75 Td (and pre-acquisition contingencies. ) Tj ET Q q 0 0 0 rg BT 203.80 116.75 Td (These assumptions are based in part on historical experience, market data, and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 104.75 Td (information obtained from the management of the acquired companies and are inherently uncertain.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 86.75 Td (Examples of critical estimates in valuing certain of the intangible assets the Company has acquired include, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 74.75 Td (but are not limited to: \(i\) future expected cash flows from assets and advisor relationships; and \(ii\) discount rates.) Tj ET Q endstream endobj 15 0 obj <> endobj 16 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 31.25 Td (6) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 716.75 Td (Goodwill and Other Intangible ) Tj ET Q q 0 0 0 rg BT 194.63 716.75 Td (Assets ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 698.75 Td (Goodwill and other indefinite-lived assets are not amortized; however) Tj ET Q q 0 0 0 rg BT 382.17 698.75 Td (, intangible assets that are deemed to ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 686.75 Td (have definite lives are amortized over their useful lives, generally ranging from 5to 20years. See Note 8. ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 516.91 686.75 Td (Goodwill ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 50.00 674.75 Td (and Other Intangible ) Tj ET Q q 0 0 0 rg BT 143.03 674.75 Td (Assets) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 173.04 674.75 Td (, for additional information regarding the Company's goodwill and other intangible ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 662.75 Td (assets.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 644.75 Td (Goodwill and other indefinite-lived intangible assets are tested annually for impairment in the fourth fiscal ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 632.75 Td (quarter and between annual tests if certain events occur indicating that the carrying amounts may be impaired. If a ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 620.75 Td (qualitative assessment is used and the Company determines that the fair value of a reporting unit or indefinite-lived ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 608.75 Td (intangible asset is more likely than not \(i.e., a likelihood of more than 50%\) less than its carrying amount, a ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 596.75 Td (quantitative impairment test will be performed. If goodwill or other indefinite-lived intangible assets are quantitatively ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 584.75 Td (assessed for impairment, a two-step approach is applied. For goodwill, the Company first compares the estimated ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 572.75 Td (fair value of the reporting unit in which the asset resides to its carrying value. For indefinite-lived intangible assets, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 560.75 Td (the Company first compares the estimated fair value of the indefinite-lived intangible asset to its carrying value. ) Tj ET Q q 0 0 0 rg BT 542.29 560.75 Td (The ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 548.75 Td (second step, if necessary) Tj ET Q q 0 0 0 rg BT 162.09 548.75 Td (, measures the amount of such impairment by comparing the implied fair value of the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 536.75 Td (asset to its carrying value. No impairment of goodwill or other indefinite-lived intangible assets was recognized for ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 524.75 Td (the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 119.50 524.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 207.33 524.75 Td (.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 506.75 Td (Long-lived assets, such as intangible assets subject to amortization, are reviewed for impairment when there ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 494.75 Td (is evidence that events or changes in circumstances indicate that the carrying amount of an asset or asset group ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 482.75 Td (may not be recoverable. Recoverability of assets to be held and used is measured by comparing the carrying ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 470.75 Td (amount of an asset or asset group to estimated undiscounted future cash flows expected to be generated by the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 458.75 Td (asset or asset group. If the carrying amount of an asset or asset group exceeds its estimated future cash flows, an ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 446.75 Td (impairment charge is recognized for the amount by which the carrying amount of the asset or asset group exceeds ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 434.75 Td (the estimated fair value of the asset or asset group. Long-lived assets to be disposed of by sale are reported at the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 422.75 Td (lower of their carrying amounts or their estimated fair values less costs to sell and are not depreciated. ) Tj ET Q q 0 0 0 rg BT 504.48 422.75 Td (There was ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 410.75 Td (no material impairment of definite-lived intangible assets recognized for the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 437.44 410.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 525.27 410.75 Td (.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 389.75 Td (Commitments and Contingencies ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 371.75 Td (The Company recognizes a liability with regard to loss contingencies when it believes it is probable a liability ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 359.75 Td (has occurred and the amount can be reasonably estimated. If some amount within a range of loss appears at the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 347.75 Td (time to be a better estimate than any other amount within the range, the Company accrues that amount. When no ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 335.75 Td (amount within the range is a better estimate than any other amount, however) Tj ET Q q 0 0 0 rg BT 389.64 335.75 Td (, the Company accrues the minimum ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 323.75 Td (amount in the range.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 305.75 Td (The Company has established an accrual for those legal proceedings and regulatory matters for which a loss ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 293.75 Td (is both probable and the amount can be reasonably estimated.Assessing the probability of a loss occurring, the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 281.75 Td (timing, and amount of any loss related to a legal proceeding or regulatory matter is inherently dif) Tj ET Q q 0 0 0 rg BT 473.94 281.75 Td (ficult and requires ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 269.75 Td (management to make significant judgments. For additional information, see Note ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 409.63 269.75 Td (1) Tj ET Q q 0 0 0 rg BT 414.45 269.75 Td (1) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 420.01 269.75 Td (, ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 425.57 269.75 Td (Commitments and ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 50.00 257.75 Td (Contingencies) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 113.37 257.75 Td ( - Legal & Regulatory Matters.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 239.75 Td (Income T) Tj ET Q q 0 0 0 rg BT 93.53 239.75 Td (axes ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 221.75 Td (As a single member limited liability corporation, the Company is considered similar to a corporate division and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 209.75 Td (recognizes an allocation of income taxes in its financial statements because it has an income tax allocation ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 197.75 Td (agreement \(the T) Tj ET Q q 0 0 0 rg BT 128.93 197.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 141.71 197.75 Td (Agreement\) with LPLH and LPLFH and is included in the consolidated federal and certain ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 185.75 Td (state income tax returns filed by LPLFH. In accordance with the terms of the ) Tj ET Q q 0 0 0 rg BT 388.87 185.75 Td (T) Tj ET Q q 0 0 0 rg BT 393.87 185.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 406.66 185.75 Td (Agreement, the Company shall ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 173.75 Td (pay to or receive from LPLH an amount equal to the total provision for income taxes that the Company discloses on ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 161.75 Td (its financial statements, less the amount of certain income tax benefits that are excluded from the calculation of the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 149.75 Td (total provision for income taxes in accordance with GAAP) Tj ET Q q 0 0 0 rg BT 302.72 149.75 Td (. Since the ) Tj ET Q q 0 0 0 rg BT 352.57 149.75 Td (T) Tj ET Q q 0 0 0 rg BT 357.57 149.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 370.36 149.75 Td (Agreement calls for a cash settlement ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 137.75 Td (based on the total income tax provision, the Company does not reflect a separate deferred income tax provision ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 125.75 Td (and corresponding deferred tax assets or liabilities. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 107.75 Td (The Company recognizes the tax ef) Tj ET Q q 0 0 0 rg BT 234.68 107.75 Td (fects of a position in the financial statements only if it is more-likely-than-) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 95.75 Td (not to be sustained based solely on its technical merits, otherwise no benefits of the position are recognized. ) Tj ET Q q 0 0 0 rg BT 531.21 95.75 Td (The ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 83.75 Td (more-likely-than-not threshold must continue to be met in each reporting period to support continued recognition of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 71.75 Td (a benefit. Moreover) Tj ET Q q 0 0 0 rg BT 135.61 71.75 Td (, each tax position meeting the recognition threshold is required to be measured as the largest ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 59.75 Td (amount that is greater than 50 percent likely to be realized upon ultimate settlement with a taxing authority that has ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 47.75 Td (full knowledge of all relevant information.) Tj ET Q endstream endobj 17 0 obj <> endobj 18 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 31.25 Td (7) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 716.75 Td (Recently Issued ) Tj ET Q q 0 0 0 rg BT 128.55 716.75 Td (Accounting Pronouncements ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 698.75 Td (In February 2016, the Financial ) Tj ET Q q 0 0 0 rg BT 217.64 698.75 Td (Accounting Standards Board \(F) Tj ET Q q 0 0 0 rg BT 359.94 698.75 Td (ASB\) issued ) Tj ET Q q 0 0 0 rg BT 420.52 698.75 Td (Accounting Standards Update ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 686.75 Td (\(ASU\) 2016-02, ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 128.92 686.75 Td (Leases) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 161.16 686.75 Td (, which establishes a right-of-use model that requires a lessee to record a right-of-use ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 674.75 Td (asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 662.75 Td (classified as either finance or operating, with classification af) Tj ET Q q 0 0 0 rg BT 317.18 662.75 Td (fecting the pattern of expense recognition in the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 650.75 Td (statement of operations. ) Tj ET Q q 0 0 0 rg BT 159.88 650.75 Td (The new standard also requires disclosures that provide additional information on recorded ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 638.75 Td (lease arrangements. In July 2018, the F) Tj ET Q q 0 0 0 rg BT 225.66 638.75 Td (ASB issued) Tj ET Q q 0 0 0 rg BT 279.58 638.75 Td (ASU2018-1) Tj ET Q q 0 0 0 rg BT 333.32 638.75 Td (1,) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 344.43 638.75 Td (Leases T) Tj ET Q q 0 0 0 rg BT 392.99 638.75 Td (argeted Improvements,) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 495.82 638.75 Td (which ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 626.75 Td (provides an optional transition method that allows entities to initially apply the new lease standard at the adoption ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 614.75 Td (date and recognize a cumulative-ef) Tj ET Q q 0 0 0 rg BT 205.47 614.75 Td (fect adjustment to the opening balance of retained earnings in the period of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 602.75 Td (adoption. ) Tj ET Q q 0 0 0 rg BT 93.75 602.75 Td (The Company adopted the provisions of this guidance, including the optional transition method, on ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 590.75 Td (January 1, 2019.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 572.75 Td (In ) Tj ET Q q 0 0 0 rg BT 87.57 572.75 Td (August 2018, the F) Tj ET Q q 0 0 0 rg BT 171.52 572.75 Td (ASB issued) Tj ET Q q 0 0 0 rg BT 225.44 572.75 Td (ASU2018-13, ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 291.03 572.75 Td (Fair V) Tj ET Q q 0 0 0 rg BT 317.33 572.75 Td (alue Measurement \(T) Tj ET Q q 0 0 0 rg BT 411.45 572.75 Td (opic 820\): Disclosure Framework-) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 50.00 560.75 Td (Changes to the Disclosure Requirements for Fair V) Tj ET Q q 0 0 0 rg BT 275.84 560.75 Td (alue Measurement) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 358.66 560.75 Td (. ) Tj ET Q q 0 0 0 rg BT 363.67 560.75 Td (ASU2018-13removes or modifies certain ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 548.75 Td (current disclosures, and adds additional disclosures. ) Tj ET Q q 0 0 0 rg BT 284.39 548.75 Td (The changes are meant to provide more relevant information ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 536.75 Td (regarding valuation techniques and inputs used to arrive at measures of fair value, uncertainty in the fair value ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 524.75 Td (measurements, and how changes in fair value measurements impact an entity's performance and cash flows.) Tj ET Q BT /F2 10.00 Tf ET 0 Tr /GS0 gs 0 Tw 0 Tc 100 Tz 0 TL q 0 0 1 rg BT 533.26 524.75 Td ( ) Tj ET Q BT /F2 10.00 Tf ET 0 Tr /GS0 gs 0 Tw 0 Tc 100 Tz 0 TL q 0 0 0 rg BT 50.00 512.75 Td (Certain disclosures in) Tj ET Q q 0 0 0 rg BT 147.82 512.75 Td (ASU2018-13will need to be applied on a retrospective basis and others on a prospective ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 500.75 Td (basis. Early adoption is permitted. ) Tj ET Q q 0 0 0 rg BT 202.67 500.75 Td (The Company expects to adopt the provisions of this guidance on January 1, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 488.75 Td (2020, and is currently evaluating the impact that ) Tj ET Q q 0 0 0 rg BT 264.58 488.75 Td (ASU 2018-13 will have on its related disclosures.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 470.75 Td (Recently ) Tj ET Q q 0 0 0 rg BT 94.09 470.75 Td (Adopted ) Tj ET Q q 0 0 0 rg BT 137.05 470.75 Td (Accounting Pronouncements) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 452.75 Td (In ) Tj ET Q q 0 0 0 rg BT 87.57 452.75 Td (August 2016, the F) Tj ET Q q 0 0 0 rg BT 171.52 452.75 Td (ASB issued ) Tj ET Q q 0 0 0 rg BT 225.44 452.75 Td (ASU 2016-15, ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 291.03 452.75 Td (Statements of Cash Flows \(T) Tj ET Q q 0 0 0 rg BT 419.05 452.75 Td (opic 230\):) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 462.96 452.75 Td ( ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 465.74 452.75 Td (Classification of ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 50.00 440.75 Td (Certain Cash Receipts and Cash Payments) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 242.87 440.75 Td (, which clarifies how companies present and classify certain cash ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 428.75 Td (receipts and cash payments in the statement of cash flows. ) Tj ET Q q 0 0 0 rg BT 314.40 428.75 Td (The Company adopted the provisions of this guidance ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 416.75 Td (on January 1, 2018 and the adoption had no impact on its financial statements. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 398.75 Td (In November 2016, the F) Tj ET Q q 0 0 0 rg BT 187.06 398.75 Td (ASB issued ) Tj ET Q q 0 0 0 rg BT 240.98 398.75 Td (ASU 2016-18, ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 306.58 398.75 Td (Statements of Cash Flows \(T) Tj ET Q q 0 0 0 rg BT 434.59 398.75 Td (opic 230\):) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 478.51 398.75 Td ( ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 481.29 398.75 Td (Classification and ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 50.00 386.75 Td (Presentation of Restricted Cash in the Statements of Cash Flows, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 343.47 386.75 Td (which requires that restricted cash and restricted ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 374.75 Td (cash equivalents be included as components of total cash and cash equivalents in the statement of cash flows. ) Tj ET Q q 0 0 0 rg BT 542.34 374.75 Td (The ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 362.75 Td (Company adopted the provisions of this guidance on January 1, 2018, and began presenting cash segregated for ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 350.75 Td (regulatory purposes and restricted cash activity as a component of cash and cash equivalent on the statements of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 338.75 Td (cash flows using a retrospective transition method for each period presented.) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 49.50 317.75 Td (3) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.06 317.75 Td (. ) Tj ET Q q 0 0 0 rg BT 76.50 317.75 Td (Acquisitions) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 299.75 Td (In 2017, the Company entered into an asset purchase agreement with National Planning Holdings, Inc. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 287.75 Td (\(NPH\) and its four broker-dealer subsidiaries \(collectively with NPH, NPH Sellers\) to acquire certain assets and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 275.75 Td (rights of the NPH Sellers, including business relationships with financial advisors who become af) Tj ET Q q 0 0 0 rg BT 475.64 275.75 Td (filiated with the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 263.75 Td (Company) Tj ET Q q 0 0 0 rg BT 91.56 263.75 Td (. In accordance with ) Tj ET Q q 0 0 0 rg BT 182.72 263.75 Td (ASC 805, ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 228.30 263.75 Td (Business Combinations, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 338.35 263.75 Td (control transferred when the Company onboarded ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 251.75 Td (NPH advisors and client assets onto its platform, which occurred in two waves. ) Tj ET Q q 0 0 0 rg BT 400.02 251.75 Td (The first wave was completed in the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 239.75 Td (fourth quarter of 2017 and the second wave was completed in the first quarter of 2018. Following the completion of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 227.75 Td (wave two, the Company recorded intangible assets of $1) Tj ET Q q 0 0 0 rg BT 300.01 227.75 Td (12.7 million in advisor relationships and $49.0 million in ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 215.75 Td (goodwill.) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 194.75 Td (4) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.56 194.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 194.75 Td (Fair V) Tj ET Q q 0 0 0 rg BT 104.24 194.75 Td (alue Measurements) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 176.75 Td (Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 164.75 Td (\(an exit price\) in the principal or most advantageous market for the asset or liability in an orderly transaction ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 152.75 Td (between market participants at the measurement date. Inputs used to measure fair value are prioritized within a ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 140.75 Td (three) Tj ET Q /GS0 gs q 3.00 0 0 10.38 72.79 138.65 cm /I3 Do Q q 0 0 0 rg BT 75.79 140.75 Td (level ) Tj ET Q q 0 0 0 rg BT 99.14 140.75 Td (fair ) Tj ET Q q 0 0 0 rg BT 115.81 140.75 Td (value ) Tj ET Q q 0 0 0 rg BT 142.49 140.75 Td (hierarchy) Tj ET Q q 0 0 0 rg BT 182.88 140.75 Td (. ) Tj ET Q q 0 0 0 rg BT 188.25 140.75 Td (This ) Tj ET Q q 0 0 0 rg BT 209.92 140.75 Td (hierarchy ) Tj ET Q q 0 0 0 rg BT 253.83 140.75 Td (requires ) Tj ET Q q 0 0 0 rg BT 292.73 140.75 Td (entities ) Tj ET Q q 0 0 0 rg BT 327.20 140.75 Td (to ) Tj ET Q q 0 0 0 rg BT 338.32 140.75 Td (maximize ) Tj ET Q q 0 0 0 rg BT 383.32 140.75 Td (the ) Tj ET Q q 0 0 0 rg BT 400.00 140.75 Td (use ) Tj ET Q q 0 0 0 rg BT 418.90 140.75 Td (of ) Tj ET Q q 0 0 0 rg BT 430.02 140.75 Td (observable ) Tj ET Q q 0 0 0 rg BT 481.72 140.75 Td (inputs ) Tj ET Q q 0 0 0 rg BT 511.18 140.75 Td (and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 128.75 Td (minimize the use of unobservable inputs. ) Tj ET Q q 0 0 0 rg BT 233.81 128.75 Td (The three levels of inputs used to measure fair value are as follows:) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 77.00 110.75 Td (Level1) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 109.25 110.75 Td ( Quoted prices in active markets for identical assets or liabilities.) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 77.00 92.75 Td (Level2) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 109.25 92.75 Td ( Observable inputs other than quoted prices included in Level1, such as quoted prices for similar ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 80.75 Td (assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 68.75 Td (that are not active; or other inputs that are observable or can be corroborated by observable market data.) Tj ET Q endstream endobj 19 0 obj <> endobj 20 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 31.25 Td (8) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 77.00 716.75 Td (Level3) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 109.25 716.75 Td ( Unobservable inputs that are supported by little or no market activity and that are significant to the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 704.75 Td (fair value of the assets or liabilities. ) Tj ET Q q 0 0 0 rg BT 234.67 704.75 Td (This includes certain pricing models, discounted cash flow ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 692.75 Td (methodologies, and similar techniques that use significant unobservable inputs.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 674.75 Td (There were no transfers of assets or liabilities between fair value measurement classifications during the year ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 662.75 Td (ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 80.59 662.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 168.42 662.75 Td (. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 644.75 Td (The Company's fair value measurements are evaluated within the fair value hierarchy) Tj ET Q q 0 0 0 rg BT 453.91 644.75 Td (, based on the nature of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 632.75 Td (inputs used to determine the fair value at the measurement date. ) Tj ET Q q 0 0 0 rg BT 338.51 632.75 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 350.73 632.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 438.56 632.75 Td (, the Company had the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 620.75 Td (following financial assets and liabilities that are measured at fair value on a recurring basis: ) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 77.00 602.75 Td (Cash Equivalents) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 154.82 602.75 Td ( ) Tj ET Q q 0 0 0 rg BT 170.20 602.75 Td (The Company) Tj ET Q q 0 0 0 rg BT 235.05 602.75 Td (s cash equivalents include money market funds, which are short term in ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 590.75 Td (nature with readily determinable values derived from active markets.) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 77.00 572.75 Td (Securities Owned and Securities Sold, But Not ) Tj ET Q q 0 0 0 rg BT 285.81 572.75 Td (Y) Tj ET Q q 0 0 0 rg BT 291.93 572.75 Td (et Purchased ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 353.64 572.75 Td ( ) Tj ET Q q 0 0 0 rg BT 366.23 572.75 Td (The Company's trading securities consist of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 560.75 Td (house account model portfolios established and managed for the purpose of benchmarking the performance ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 548.75 Td (of its fee-based advisory platforms and temporary positions resulting from the processing of client ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 536.75 Td (transactions. Examples of these securities include money market funds, United States treasury obligations, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 524.75 Td (mutual funds, certificates of deposit, and traded equity and debt securities.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 506.75 Td (The Company uses prices obtained from independent third-party pricing services to measure the fair value of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 494.75 Td (its trading securities. Prices received from the pricing services are validated using various methods including ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 482.75 Td (comparison to prices received from additional pricing services, comparison to available quoted market prices, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 470.75 Td (and review of other relevant market data including implied yields of major categories of securities. In general, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 458.75 Td (these quoted prices are derived from active markets for identical assets or liabilities. When quoted prices in ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 446.75 Td (active markets for identical assets and liabilities are not available, the quoted prices are based on similar ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 434.75 Td (assets and liabilities or inputs other than the quoted prices that are observable, either directly or indirectly) Tj ET Q q 0 0 0 rg BT 540.96 434.75 Td (. For ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 422.75 Td (certificates of deposit and treasury securities, the Company utilizes market-based inputs, including ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 410.75 Td (observable market interest rates that correspond to the remaining maturities or the next interest reset dates. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 398.75 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 89.23 398.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 177.06 398.75 Td (, the Company did not adjust prices received from the independent third-party pricing ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 386.75 Td (services.) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 77.00 368.75 Td (Other ) Tj ET Q q 0 0 0 rg BT 104.42 368.75 Td (Assets) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 134.43 368.75 Td ( ) Tj ET Q q 0 0 0 rg BT 149.80 368.75 Td (The Company) Tj ET Q q 0 0 0 rg BT 214.65 368.75 Td (s other assets primarily consist of deferred compensation plan assets that are ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 356.75 Td (invested in money market and other mutual funds, which are actively traded and valued based on quoted ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 344.75 Td (market prices.) Tj ET Q endstream endobj 21 0 obj <> endobj 22 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.20 31.25 Td (9) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 716.75 Td (The following table summarizes the Company's financial assets and financial liabilities measured at fair value ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 704.75 Td (on a recurring basis at ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 151.72 704.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 239.55 704.75 Td ( \(in thousands\):) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 666.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 666.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 666.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 666.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 666.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 666.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 666.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 666.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 636.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 636.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 636.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 636.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 636.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 636.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 636.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 636.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 606.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 606.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 606.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 606.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 606.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 606.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 606.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 606.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 576.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 576.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 576.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 576.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 576.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 576.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 576.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 576.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 546.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 546.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 546.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 546.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 546.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 546.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 546.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 546.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 516.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 516.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 516.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 516.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 516.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 516.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 516.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 516.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 486.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 486.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 486.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 486.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 486.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 486.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 486.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 486.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 456.25 197.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 247.50 456.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 322.50 456.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 327.50 456.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 402.50 456.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 407.50 456.25 75.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 482.50 456.25 5.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 487.50 456.25 75.00 -15.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 681.25 m 322.5 681.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 681.25 m 402.5 681.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 681.25 m 482.5 681.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 681.25 m 562.5 681.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 561.25 m 322.5 561.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 561.25 m 402.5 561.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 561.25 m 482.5 561.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 561.25 m 562.5 561.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 546.25 m 322.5 546.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 546.25 m 402.5 546.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 546.25 m 482.5 546.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 546.25 m 562.5 546.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 546.25 m 322.5 546.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 531.25 m 322.5 531.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 546.25 m 402.5 546.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 531.25 m 402.5 531.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 531.25 m 482.5 531.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 546.25 m 562.5 546.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 531.25 m 562.5 531.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 517.25 m 322.5 517.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 515.25 m 322.5 515.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 517.25 m 402.5 517.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 515.25 m 402.5 515.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 517.25 m 482.5 517.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 515.25 m 482.5 515.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 517.25 m 562.5 517.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 515.25 m 562.5 515.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 456.25 m 322.5 456.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 456.25 m 402.5 456.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 456.25 m 482.5 456.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 456.25 m 562.5 456.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 441.25 m 562.5 441.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 441.25 m 322.5 441.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 427.25 m 322.5 427.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 247.5 425.25 m 322.5 425.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 441.25 m 402.5 441.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 427.25 m 402.5 427.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 327.5 425.25 m 402.5 425.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 441.25 m 482.5 441.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 427.25 m 482.5 427.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 407.5 425.25 m 482.5 425.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 427.25 m 562.5 427.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 487.5 425.25 m 562.5 425.25 l s BT /F3 8.00 Tf ET q 0 0 0 rg BT 270.90 685.48 Td (Level1) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 350.90 685.48 Td (Level2) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 430.90 685.48 Td (Level3) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 515.20 685.48 Td (T) Tj ET Q q 0 0 0 rg BT 519.49 685.48 Td (otal) Tj ET Q BT /F3 9.00 Tf ET q 0 0 0 rg BT 53.00 670.65 Td (Assets) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 59.00 655.65 Td (Cash equivalents) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 250.00 655.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 310.00 655.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 330.00 655.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.00 655.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 410.00 655.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 655.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 490.00 655.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 550.00 655.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 59.00 640.65 Td (Securities owned trading:) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 625.65 Td ( Money market funds) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 303.95 625.65 Td (194) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.00 625.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 625.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 543.95 625.65 Td (194) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 610.65 Td ( Mutual funds) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 296.45 610.65 Td (7,434) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.00 610.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 610.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 536.45 610.65 Td (7,434) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 595.65 Td ( Equity securities) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 296.45 595.65 Td (1,931) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.00 595.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 595.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 536.45 595.65 Td (1,931) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 580.65 Td ( Debt securities) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 310.00 580.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 393.95 580.65 Td (1) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 580.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 553.95 580.65 Td (1) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 565.65 Td ( U.S. treasury obligations) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 291.45 565.65 Td (19,707) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.00 565.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 565.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 531.45 565.65 Td (19,707) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 59.00 550.65 Td (T) Tj ET Q q 0 0 0 rg BT 64.00 550.65 Td (otal securities owned trading) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 291.45 550.65 Td (29,266) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 393.95 550.65 Td (1) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 550.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 531.45 550.65 Td (29,267) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 59.00 535.65 Td (Other assets) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 296.45 535.65 Td (3,160) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 376.45 535.65 Td (1,788) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 535.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 536.45 535.65 Td (4,948) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 520.65 Td (T) Tj ET Q q 0 0 0 rg BT 76.00 520.65 Td (otal assets at fair value) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 250.00 520.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 291.45 520.65 Td (32,426) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 330.00 520.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 376.45 520.65 Td (1,789) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 410.00 520.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 520.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 490.00 520.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 531.45 520.65 Td (34,215) Tj ET Q BT /F3 9.00 Tf ET q 0 0 0 rg BT 53.00 505.65 Td (Liabilities) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 59.00 490.65 Td (Securities sold, but not yet purchased:) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 475.65 Td ( Equity securities) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 250.00 475.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 303.95 475.65 Td (163) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 330.00 475.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.00 475.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 410.00 475.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 475.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 490.00 475.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 543.95 475.65 Td (163) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 460.65 Td ( Debt securities) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 310.00 460.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 393.95 460.65 Td (6) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 460.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 553.95 460.65 Td (6) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 59.00 445.65 Td (T) Tj ET Q q 0 0 0 rg BT 63.50 445.65 Td (otal securities sold, but not yet purchased) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 303.95 445.65 Td (163) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 393.95 445.65 Td (6) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 445.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 543.95 445.65 Td (169) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 430.65 Td (T) Tj ET Q q 0 0 0 rg BT 75.50 430.65 Td (otal liabilities at fair value) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 250.00 430.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 303.95 430.65 Td (163) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 330.00 430.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 393.95 430.65 Td (6) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 410.00 430.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 470.00 430.65 Td () Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 490.00 430.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 543.95 430.65 Td (169) Tj ET Q BT /F1 10.00 Tf ET BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 405.75 Td (5) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.56 405.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 405.75 Td (Receivables from Product Sponsors, Broker-Dealers, and Clearing Organizations and Payables to ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 77.00 393.75 Td (Broker-Dealers and Clearing Organizations) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 375.75 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 89.23 375.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 177.06 375.75 Td (, receivables from product sponsors, broker-dealers, and clearing organizations and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 363.75 Td (payables to broker-dealers and clearing organizations were as follows \(in thousands\): ) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 338.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 338.25 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 308.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 308.25 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 278.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 278.25 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 241.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 241.25 78.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 211.25 434.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 211.25 78.00 -15.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 278.25 m 561.5 278.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 264.25 m 561.5 264.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 262.25 m 561.5 262.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 196.25 m 561.5 196.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 196.25 m 561.5 196.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 182.25 m 561.5 182.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 180.25 m 561.5 180.25 l s BT /F3 9.00 Tf ET q 0 0 0 rg BT 52.00 342.65 Td (Receivables:) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 58.00 327.65 Td (Commissions receivable from product sponsors and others) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 486.00 327.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 525.45 327.65 Td (135,046) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 58.00 312.65 Td (Receivables from clearing organizations) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 312.65 Td (20,281) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 58.00 297.65 Td (Receivables from broker-dealers) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 535.45 297.65 Td (2,065) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 58.00 282.65 Td (Securities failed-to-deliver) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 535.45 282.65 Td (9,286) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 70.00 268.45 Td (T) Tj ET Q q 0 0 0 rg BT 75.00 268.45 Td (otal receivables) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 486.00 267.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 525.45 267.65 Td (166,678) Tj ET Q BT /F3 9.00 Tf ET q 0 0 0 rg BT 52.00 245.65 Td (Payables:) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 58.00 230.65 Td (Payables to clearing organizations) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 486.00 230.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 230.65 Td (24,818) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 58.00 215.65 Td (Payables to broker-dealers) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 215.65 Td (37,583) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 58.00 200.65 Td (Securities failed-to-receive) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 200.65 Td (13,779) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 70.00 186.45 Td (T) Tj ET Q q 0 0 0 rg BT 74.50 186.45 Td (otal payables) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 486.00 185.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 185.65 Td (76,180) Tj ET Q BT /F1 10.00 Tf ET endstream endobj 23 0 obj <> endobj 24 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 300.40 33.25 Td (10) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 716.75 Td (6) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.56 716.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 716.75 Td (Fixed ) Tj ET Q q 0 0 0 rg BT 105.53 716.75 Td (Assets) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 698.75 Td (The components of fixed assets at ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 232.08 698.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 319.92 698.75 Td ( were as follows \(in thousands\): ) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 688.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 492.50 688.25 70.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 658.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 492.50 658.25 70.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 628.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 492.50 628.25 70.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 598.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 492.50 598.25 70.00 -15.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 492.5 613.25 m 562.5 613.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 492.5 583.25 m 562.5 583.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 492.5 569.25 m 562.5 569.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 492.5 567.25 m 562.5 567.25 l s BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 677.65 Td (Internally developed software) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 495.00 677.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 677.65 Td (225,763) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 662.65 Td (Computers and software) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 662.65 Td (136,139) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 647.65 Td (Leasehold improvements) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 536.45 647.65 Td (2,058) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 632.65 Td (Furniture and equipment) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 543.95 632.65 Td (903) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 617.65 Td (Construction in progress) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 531.45 617.65 Td (90,276) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 71.00 602.65 Td (T) Tj ET Q q 0 0 0 rg BT 75.50 602.65 Td (otal fixed assets) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 602.65 Td (455,139) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 587.65 Td (Accumulated depreciation and amortization) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 523.45 587.65 Td (\(200,658) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 559.00 587.65 Td (\)) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 572.65 Td (Fixed assets, net) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 495.00 572.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 572.65 Td (254,481) Tj ET Q BT /F1 10.00 Tf ET BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 547.75 Td (7) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.56 547.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 547.75 Td (Goodwill and Other Intangible ) Tj ET Q q 0 0 0 rg BT 221.63 547.75 Td (Assets) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 529.75 Td (A) Tj ET Q q 0 0 0 rg BT 83.12 529.75 Td ( summary of the activity in goodwill is presented below \(in thousands\):) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 519.25 450.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 500.50 519.25 62.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 491.25 450.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 500.50 491.25 62.00 -14.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 500.5 491.25 m 562.5 491.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 500.5 491.25 m 562.5 491.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 500.5 478.25 m 562.5 478.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 500.5 476.25 m 562.5 476.25 l s BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 509.65 Td (Balance at January 1, 2018) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 503.00 509.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 509.65 Td (146,147) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 62.00 495.65 Td (Goodwill acquired) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 531.45 495.65 Td (49,006) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 481.65 Td (Balance at December 31, 2018) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 503.00 481.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 481.65 Td (195,153) Tj ET Q BT /F1 10.00 Tf ET BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 456.75 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 89.23 456.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 177.06 456.75 Td (, intangible assets was as follows \(dollars inthousands\):) Tj ET Q 1 1 1 rg /GS0 gs 50.50 446.25 218.00 -29.00 re f /GS0 gs 1 1 1 rg /GS0 gs 268.50 446.25 80.00 -29.00 re f /GS0 gs 1 1 1 rg /GS0 gs 348.50 446.25 4.00 -29.00 re f /GS0 gs 1 1 1 rg /GS0 gs 352.50 446.25 69.00 -29.00 re f /GS0 gs 1 1 1 rg /GS0 gs 421.50 446.25 4.00 -29.00 re f /GS0 gs 1 1 1 rg /GS0 gs 425.50 446.25 66.00 -29.00 re f /GS0 gs 1 1 1 rg /GS0 gs 491.50 446.25 4.00 -29.00 re f /GS0 gs 1 1 1 rg /GS0 gs 495.50 446.25 67.00 -29.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 417.25 218.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 268.50 417.25 80.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 348.50 417.25 4.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 352.50 417.25 69.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 421.50 417.25 4.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 425.50 417.25 66.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 491.50 417.25 4.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 495.50 417.25 67.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 50.50 388.25 218.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 268.50 388.25 80.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 348.50 388.25 4.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 352.50 388.25 69.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 421.50 388.25 4.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 425.50 388.25 66.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 491.50 388.25 4.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 495.50 388.25 67.00 -14.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 352.5 417.25 m 421.5 417.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 425.5 417.25 m 491.5 417.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 495.5 417.25 m 562.5 417.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 352.5 374.25 m 421.5 374.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 425.5 374.25 m 491.5 374.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 495.5 374.25 m 562.5 374.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 352.5 361.25 m 421.5 361.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 352.5 359.25 m 421.5 359.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 425.5 361.25 m 491.5 361.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 425.5 359.25 m 491.5 359.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 495.5 361.25 m 562.5 361.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 495.5 359.25 m 562.5 359.25 l s BT /F3 8.00 Tf ET q 0 0 0 rg BT 273.45 437.48 Td (W) Tj ET Q q 0 0 0 rg BT 280.93 437.48 Td (eighted ) Tj ET Q q 0 0 0 rg BT 311.38 437.48 Td (A) Tj ET Q q 0 0 0 rg BT 316.86 437.48 Td (verage) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 279.30 429.48 Td (Life Remaining) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 290.20 421.48 Td (\(in years\)) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 357.35 429.48 Td (Gross Carrying) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 371.35 421.48 Td (Amount) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 432.85 429.48 Td (Accumulated) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 433.55 421.48 Td (Amortization) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 504.45 429.48 Td (Net Carrying) Tj ET Q BT /F3 8.00 Tf ET q 0 0 0 rg BT 518.00 421.48 Td (V) Tj ET Q q 0 0 0 rg BT 522.89 421.48 Td (alue) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 406.65 Td (Advisor relationships) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 332.45 406.65 Td (3.7) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 355.00 406.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 385.45 406.65 Td (271,342) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 428.00 406.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 457.45 406.65 Td (\(59,810) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 488.00 406.65 Td (\)) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 498.00 406.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 406.65 Td (21) Tj ET Q q 0 0 0 rg BT 536.46 406.65 Td (1,532) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 392.65 Td (Product sponsor relationships) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 332.45 392.65 Td (7.9) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.45 392.65 Td (31,087) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 457.45 392.65 Td (\(17,465) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 488.00 392.65 Td (\)) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 531.45 392.65 Td (13,622) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 378.65 Td (Client relationships) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 332.45 378.65 Td (6.3) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 390.45 378.65 Td (12,736) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 462.45 378.65 Td (\(7,938) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 488.00 378.65 Td (\)) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 536.45 378.65 Td (4,798) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 53.00 364.65 Td (T) Tj ET Q q 0 0 0 rg BT 57.50 364.65 Td (otal) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 355.00 364.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 385.45 364.65 Td (315,165) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 428.00 364.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 457.45 364.65 Td (\(85,213) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 488.00 364.65 Td (\)) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 498.00 364.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 526.45 364.65 Td (229,952) Tj ET Q BT /F1 10.00 Tf ET BT /F3 10.00 Tf ET q 0 0 0 rg BT 49.50 339.75 Td (8) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.06 339.75 Td (. ) Tj ET Q q 0 0 0 rg BT 76.50 339.75 Td (Accounts Payable and ) Tj ET Q q 0 0 0 rg BT 185.61 339.75 Td (Accrued Liabilities) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 321.75 Td (Accounts payable and accrued liabilities were as follows at ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 338.86 321.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 426.70 321.75 Td ( \(in thousands\):) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 311.25 450.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 499.50 311.25 62.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 281.25 450.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 499.50 281.25 62.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 251.25 450.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 499.50 251.25 62.00 -15.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 499.5 251.25 m 561.5 251.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 499.5 237.25 m 561.5 237.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 499.5 235.25 m 561.5 235.25 l s BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 300.65 Td (Accrued compensation) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 502.00 300.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 300.65 Td (69,721) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 285.65 Td (Accounts payable) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 285.65 Td (31,31) Tj ET Q q 0 0 0 rg BT 552.97 285.65 Td (1) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 270.65 Td (Advisor deferred compensation plan liability) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 535.45 270.65 Td (3,342) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 255.65 Td (Other accrued liabilities) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 525.45 255.65 Td (1) Tj ET Q q 0 0 0 rg BT 530.46 255.65 Td (1) Tj ET Q q 0 0 0 rg BT 535.46 255.65 Td (1,697) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 69.00 240.65 Td (T) Tj ET Q q 0 0 0 rg BT 73.50 240.65 Td (otal accounts payable and accrued liabilities) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 502.00 240.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 525.45 240.65 Td (216,071) Tj ET Q BT /F1 10.00 Tf ET BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 215.75 Td (9) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 55.56 215.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 215.75 Td (Debt) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 197.75 Td (The Company maintains three uncommitted lines of credit. ) Tj ET Q q 0 0 0 rg BT 338.05 197.75 Td (T) Tj ET Q q 0 0 0 rg BT 343.61 197.75 Td (wo of the lines have unspecified limits, which are ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 185.75 Td (primarily dependent on the Company's ability to provide suf) Tj ET Q q 0 0 0 rg BT 311.87 185.75 Td (ficient collateral.) Tj ET Q q 0 0 0 rg BT 386.17 185.75 Td (The third line has a ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 473.99 185.75 Td ($200.0 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 535.70 185.75 Td ( limit ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 173.75 Td (and allows for both collateralized and uncollateralized borrowings. During the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 445.79 173.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 533.62 173.75 Td (, the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 161.75 Td (Company drew ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 120.03 161.75 Td ($160.0 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 181.73 161.75 Td ( on one of the lines of credit at a weighted average interest rate of 2.99%. In addition, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 149.75 Td (LPLH provides the Company access to a credit facility) Tj ET Q q 0 0 0 rg BT 288.26 149.75 Td (,there were no funds drawn under this credit facility at ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 137.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 137.83 137.75 Td (.) Tj ET Q endstream endobj 25 0 obj <> endobj 26 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 300.80 33.25 Td (1) Tj ET Q q 0 0 0 rg BT 305.62 33.25 Td (1) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 49.50 739.75 Td (10) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 60.62 739.75 Td (. ) Tj ET Q q 0 0 0 rg BT 76.50 739.75 Td (Income T) Tj ET Q q 0 0 0 rg BT 119.65 739.75 Td (axes) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 721.75 Td (The following table reflects a reconciliation of the beginning and ending balances of the total amounts of gross ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 709.75 Td (unrecognized tax benefits including interest and penalties \(in thousands\): ) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 699.25 434.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 699.25 78.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 671.25 434.00 -14.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 483.50 671.25 78.00 -14.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 657.25 m 561.5 657.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 644.25 m 561.5 644.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 483.5 642.25 m 561.5 642.25 l s BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 689.65 Td (Balance January 1, 2018) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 486.00 689.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 535.45 689.65 Td (5,887) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 61.00 675.65 Td (Increases for tax positions taken in the current year) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 535.45 675.65 Td (8,585) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 61.00 661.65 Td (Decrease related to transfers to LPLH) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 532.45 661.65 Td (\(5,887) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 558.00 661.65 Td (\)) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 647.65 Td (Balance December 31, 2018) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 486.00 647.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 535.45 647.65 Td (8,585) Tj ET Q BT /F1 10.00 Tf ET BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 625.75 Td (Gross unrecognized tax benefits of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 233.81 625.75 Td ($5.9 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 284.39 625.75 Td ( were transferred to LPLH during ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 432.24 625.75 Td (2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 454.49 625.75 Td ( in accordance with the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 613.75 Td (provisions of the ) Tj ET Q q 0 0 0 rg BT 124.92 613.75 Td (T) Tj ET Q q 0 0 0 rg BT 129.92 613.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 142.70 613.75 Td (Agreement. ) Tj ET Q q 0 0 0 rg BT 197.00 613.75 Td (The Company has additional gross unrecognized tax benefits of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 482.17 613.75 Td ($8.6 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 532.75 613.75 Td ( as of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 601.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 137.33 601.75 Td (, which has been included in due from af) Tj ET Q q 0 0 0 rg BT 316.15 601.75 Td (filiates, net of any related tax benefit, in the statement ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 589.75 Td (of financial condition. ) Tj ET Q q 0 0 0 rg BT 145.49 589.75 Td (The Company records gross unrecognized tax adjustments through its income tax provision ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 577.75 Td (and settles with LPLH for cash in the period in which the activity is realized. Under the terms of the ) Tj ET Q q 0 0 0 rg BT 486.76 577.75 Td (T) Tj ET Q q 0 0 0 rg BT 491.76 577.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 504.54 577.75 Td (Agreement, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 565.75 Td (no additional payments will be made between the Company and LPLH for the af) Tj ET Q q 0 0 0 rg BT 402.87 565.75 Td (fects of future recognition of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 553.75 Td (unrecognized tax benefits to be settled with LPLH. ) Tj ET Q q 0 0 0 rg BT 274.08 553.75 Td (As a result, unrecognized tax benefits will have no ef) Tj ET Q q 0 0 0 rg BT 506.81 553.75 Td (fect on the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 541.75 Td (Company's annual ef) Tj ET Q q 0 0 0 rg BT 142.95 541.75 Td (fective tax rate when recognized. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 523.75 Td (The Company accrues interest and penalties related to unrecognized tax benefits in its provision for income ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 511.75 Td (taxes. ) Tj ET Q q 0 0 0 rg BT 78.41 511.75 Td (At ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 90.63 511.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 178.46 511.75 Td (, the liability for unrecognized tax benefits included penalties of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 458.64 511.75 Td ($0.9 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 509.22 511.75 Td (. ) Tj ET Q q 0 0 0 rg BT 514.59 511.75 Td (The tax ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 499.75 Td (years of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 87.85 499.75 Td (2007) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 110.10 499.75 Td ( to ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 123.99 499.75 Td (2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 146.24 499.75 Td ( remain open to examination by major taxing jurisdictions to which the Company is subject. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 487.75 Td (Since future unrecognized tax benefits will be settled in accordance with the ) Tj ET Q q 0 0 0 rg BT 387.29 487.75 Td (T) Tj ET Q q 0 0 0 rg BT 392.29 487.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 405.08 487.75 Td (Agreement, the Company does not ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 475.75 Td (anticipate a material change in unrecognized tax benefits within the next 12 months.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 457.75 Td (On December 22, 2017, the ) Tj ET Q q 0 0 0 rg BT 202.51 457.75 Td (T) Tj ET Q q 0 0 0 rg BT 207.51 457.75 Td (ax Cuts and Jobs ) Tj ET Q q 0 0 0 rg BT 287.00 457.75 Td (Act \(H.R. 1\), the tax reform bill \(the "T) Tj ET Q q 0 0 0 rg BT 452.81 457.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 465.60 457.75 Td (Act"\), was signed into ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 445.75 Td (law) Tj ET Q q 0 0 0 rg BT 63.95 445.75 Td (. ) Tj ET Q q 0 0 0 rg BT 69.33 445.75 Td (The ) Tj ET Q q 0 0 0 rg BT 89.16 445.75 Td (T) Tj ET Q q 0 0 0 rg BT 94.16 445.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 106.95 445.75 Td (Act provided a permanent reduction in the Company's federal corporate income tax rate from ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 520.18 445.75 Td (35%) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 540.19 445.75 Td ( to ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 433.75 Td (21%) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 69.51 433.75 Td ( ef) Tj ET Q q 0 0 0 rg BT 80.45 433.75 Td (fective January 1, 2018. During the quarter ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 303.37 433.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 391.20 433.75 Td (, the Company finalized its accounting ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 421.75 Td (of the ) Tj ET Q q 0 0 0 rg BT 77.12 421.75 Td (T) Tj ET Q q 0 0 0 rg BT 82.12 421.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 94.91 421.75 Td (Act pursuant to SEC Staf) Tj ET Q q 0 0 0 rg BT 205.89 421.75 Td (f ) Tj ET Q q 0 0 0 rg BT 210.90 421.75 Td (Accounting Bulletin No. 1) Tj ET Q q 0 0 0 rg BT 321.89 421.75 Td (18. No significant impacts were recorded by the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 409.75 Td (Company as a result of finalizing the accounting.) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 388.75 Td (1) Tj ET Q q 0 0 0 rg BT 55.01 388.75 Td (1) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 60.57 388.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 388.75 Td (Commitments and Contingencies) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 367.75 Td (Leases ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 349.75 Td (The Company leases of) Tj ET Q q 0 0 0 rg BT 182.43 349.75 Td (fice space and equipment under various operating leases. ) Tj ET Q q 0 0 0 rg BT 441.30 349.75 Td (These leases are generally ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 337.75 Td (subject to scheduled base rent and maintenance cost increases, which are recognized on a straight-line basis over ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 325.75 Td (the period of the leases. ) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 304.75 Td (Service and Development Contracts ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 286.75 Td (The Company is party to certain long-term contracts for systems and services that enable back of) Tj ET Q q 0 0 0 rg BT 507.01 286.75 Td (fice trade ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 274.75 Td (processing and clearing for its product and service of) Tj ET Q q 0 0 0 rg BT 283.83 274.75 Td (ferings.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 256.75 Td (Future minimum payments under leases, lease commitments, service contracts, and other contractual ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 244.75 Td (obligations with initial terms greater than one year as of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 297.35 244.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 385.19 244.75 Td ( were as follows \(inthousands\): ) Tj ET Q 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 234.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 491.50 234.25 70.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 204.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 491.50 204.25 70.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 174.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 491.50 174.25 70.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 49.50 144.25 442.00 -15.00 re f /GS0 gs 0.8 0.9333333333333333 1 rg /GS0 gs 491.50 144.25 70.00 -15.00 re f /GS0 gs 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 491.5 144.25 m 561.5 144.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 491.5 130.25 m 561.5 130.25 l s 0 0 0 RG /GS0 gs 1.00 w 0 i [] 0 d 0 J 0 j 3 M 491.5 128.25 m 561.5 128.25 l s BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 223.65 Td (2019) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 494.00 223.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 223.65 Td (40,163) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 208.65 Td (2020) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 208.65 Td (22,776) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 193.65 Td (2021) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 193.65 Td (10,300) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 178.65 Td (2022) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 535.45 178.65 Td (3,091) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 163.65 Td (2023) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 542.95 163.65 Td (910) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 148.65 Td (Thereafter) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 542.95 148.65 Td (915) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 52.00 133.65 Td (T) Tj ET Q q 0 0 0 rg BT 56.50 133.65 Td (otal) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 494.00 133.65 Td ($) Tj ET Q BT /F2 9.00 Tf ET q 0 0 0 rg BT 530.45 133.65 Td (78,155) Tj ET Q BT /F1 10.00 Tf ET BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 111.75 Td (Guarantees ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 93.75 Td (The Company occasionally enters into certain types of contracts that contingently require it to indemnify ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 81.75 Td (certain parties against third-party claims. ) Tj ET Q q 0 0 0 rg BT 232.11 81.75 Td (The terms of these obligations vary and, because a maximum obligation is ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 69.75 Td (not explicitly stated, the Company has determined that it is not possible to make an estimate of the amount that it ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 57.75 Td (could be obligated to pay under such contracts.) Tj ET Q endstream endobj 27 0 obj <> endobj 28 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 300.40 31.25 Td (12) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 716.75 Td (The Company also provides guarantees to securities clearing houses and exchanges under their standard ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 704.75 Td (membership agreements, which require a member to guarantee the performance of other members. Under these ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 692.75 Td (agreements, if a member becomes unable to satisfy its obligations to the clearing houses and exchanges, all other ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 680.75 Td (members would be required to meet any shortfall. ) Tj ET Q q 0 0 0 rg BT 272.15 680.75 Td (The Company's liability under these arrangements is not ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 668.75 Td (quantifiable and may exceed the cash and securities it has posted as collateral. However) Tj ET Q q 0 0 0 rg BT 442.45 668.75 Td (, the potential requirement ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 656.75 Td (for the Company to make payments under these agreements is remote. ) Tj ET Q q 0 0 0 rg BT 368.50 656.75 Td (Accordingly) Tj ET Q q 0 0 0 rg BT 419.44 656.75 Td (, no liability has been ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 644.75 Td (recognized for these transactions. ) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 623.75 Td (Loan Commitments) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 143.34 623.75 Td () Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 605.75 Td (From time to time, the Company makes loans to its advisors, primarily to newly recruited advisors to assist in ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 593.75 Td (the transition process, which may be forgivable. Due to timing dif) Tj ET Q q 0 0 0 rg BT 335.51 593.75 Td (ferences, the Company may make commitments to ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 581.75 Td (issue such loans prior to actually funding them. ) Tj ET Q q 0 0 0 rg BT 260.49 581.75 Td (These commitments are generally contingent upon certain events ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 569.75 Td (occurring, including but not limited to the advisor joining the Company) Tj ET Q q 0 0 0 rg BT 357.21 569.75 Td (. ) Tj ET Q q 0 0 0 rg BT 362.58 569.75 Td (The Company had no significant unfunded ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 557.75 Td (commitments at ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 123.35 557.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 211.18 557.75 Td (.) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 536.75 Td (Legal & Regulatory Matters ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 518.75 Td (The Company is subject to extensive regulation and supervision by United States federal and state agencies ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 506.75 Td (and various self-regulatory organizations. ) Tj ET Q q 0 0 0 rg BT 235.47 506.75 Td (The Company and its advisors periodically engage with such agencies ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 494.75 Td (and organizations, in the context of examinations or otherwise, to respond to inquiries, informational requests, and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 482.75 Td (investigations. From time to time, such engagements result in regulatory complaints or other matters, the resolution ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 470.75 Td (of which has in the past and may in the future include fines, customer restitution and other remediation. ) Tj ET Q q 0 0 0 rg BT 507.48 470.75 Td (Assessing ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 458.75 Td (the probability of a loss occurring and the timing and amount of any loss related to a legal proceeding or regulatory ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 446.75 Td (matter is inherently dif) Tj ET Q q 0 0 0 rg BT 147.64 446.75 Td (ficult. While the Company exercises significant and complex judgments to make certain ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 434.75 Td (estimates presented in its financial statement, there are particular uncertainties and complexities involved when ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 422.75 Td (assessing the potential outcomes of legal proceedings and regulatory matters. ) Tj ET Q q 0 0 0 rg BT 398.35 422.75 Td (The Company's assessment process ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 410.75 Td (considers a variety of factors and assumptions, which may include the procedural status of the matter and any ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 398.75 Td (recent developments; prior experience and the experience of others in similar matters; the size and nature of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 386.75 Td (potential exposures; available defenses; the progress of fact discovery; the opinions of counsel and experts; ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 374.75 Td (potential opportunities for settlement and the status of any settlement discussions; as well as the potential for ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 362.75 Td (insurance coverage and indemnification, if available. ) Tj ET Q q 0 0 0 rg BT 284.40 362.75 Td (The Company monitors these factors and assumptions for ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 350.75 Td (new developments and re-assesses the likelihood that a loss will occur and the estimated range or amount of loss, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 338.75 Td (if those amounts can be reasonably determined. ) Tj ET Q q 0 0 0 rg BT 266.06 338.75 Td (The Company has established an accrual for those legal ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 326.75 Td (proceedings and regulatory matters for which a loss is both probable and the amount can be reasonably estimated.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 308.75 Td (On May 1, 2018 the Company agreed to a settlement structure with the North ) Tj ET Q q 0 0 0 rg BT 421.07 308.75 Td (American Securities ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 296.75 Td (Administrators ) Tj ET Q q 0 0 0 rg BT 116.13 296.75 Td (Association \(NASAA\) related to the Company's historical compliance with certain state blue sky ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 284.75 Td (laws. ) Tj ET Q q 0 0 0 rg BT 75.38 284.75 Td (The Company has entered in separate administrative orders with 21 jurisdictions and expects to enter into ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 272.75 Td (separate administrative orders with the remaining 32 jurisdictions in 2019, which would result in aggregate fines of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 260.75 Td (approximately ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 115.03 260.75 Td ($26.4 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 171.17 260.75 Td (. ) Tj ET Q q 0 0 0 rg BT 176.55 260.75 Td (The Company has accrued for the full amount of these fines as of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 468.93 260.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 556.76 260.75 Td (. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 248.75 Td (As part of the settlement structure, the Company agreed to engage independent third party consultants to conduct a ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 236.75 Td (historical review of certain equity and fixed income securities transactions, as well as an operational review of the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 224.75 Td (Company's systems for complying with blue sky securities registration requirements. ) Tj ET Q q 0 0 0 rg BT 425.20 224.75 Td (The Company also agreed to ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 212.75 Td (of) Tj ET Q q 0 0 0 rg BT 58.16 212.75 Td (fer customers who purchased certain equity and fixed-income securities since October 2006 remediation in the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 200.75 Td (form of reimbursement for any actual losses, plus interest. ) Tj ET Q q 0 0 0 rg BT 309.00 200.75 Td (As of the date of these financial statements, the historical ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 188.75 Td (review of transactions has not been completed and, as a result, the scope and costs of potential customer ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 176.75 Td (remediation cannot be estimated at this time. ) Tj ET Q q 0 0 0 rg BT 251.59 176.75 Td (The Company also expects all or a majority of such costs will be ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 164.75 Td (covered by the Parent's captive insurance subsidiary) Tj ET Q q 0 0 0 rg BT 282.40 164.75 Td (.) Tj ET Q BT /F4 10.00 Tf ET q 0 0 0 rg BT 50.00 143.75 Td (Insurance) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 125.75 Td (The Company maintains insurance coverage for certain potential legal proceedings and regulatory matters ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 113.75 Td (through third-party insurance companies and a related party captive insurance subsidiary of the Parent. ) Tj ET Q q 0 0 0 rg BT 508.96 113.75 Td (The ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 101.75 Td (estimated losses on many of the pending matters are less than the applicable deductibles of the insurance policies.) Tj ET Q endstream endobj 29 0 obj <> endobj 30 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 300.40 31.25 Td (13) Tj ET Q BT /F5 10.00 Tf ET q 0 0 0 rg BT 50.00 716.75 Td (Other Commitments ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 698.75 Td (As of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 102.57 698.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 190.40 698.75 Td (, the Company had approximately ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 342.70 698.75 Td ($298.0 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 404.41 698.75 Td ( of client margin loans that were ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 686.75 Td (collateralized with securities having a fair value of approximately) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 334.03 686.75 Td ($417.2 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 395.73 686.75 Td ( that it can re-pledge, loan, or sell. Of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 674.75 Td (these securities, approximately ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 190.06 674.75 Td ($50.8 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 246.21 674.75 Td ( were client-owned securities pledged to the Options Clearing ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 662.75 Td (Corporation as collateral to secure client obligations related to options positions. ) Tj ET Q q 0 0 0 rg BT 405.76 662.75 Td (As of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 431.33 662.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 519.16 662.75 Td (, there ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 650.75 Td (were no restrictions that materially limited the Company's ability to re-pledge, loan, or sell the remaining ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 509.90 650.75 Td ($366.4 ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 638.75 Td (million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 78.34 638.75 Td ( of client collateral. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 620.75 Td (T) Tj ET Q q 0 0 0 rg BT 82.74 620.75 Td (rading securities on the statement of financial condition at ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 340.11 620.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 427.94 620.75 Td ( include ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 465.19 620.75 Td ($4.7 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 515.77 620.75 Td ( pledged ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 608.75 Td (to clearing organizations.) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 587.75 Td ( ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 52.78 587.75 Td (12) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 63.90 587.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 587.75 Td (Employee Benefit Plan) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 569.75 Td (The Company has a 401\(k\) defined contribution plan. ) Tj ET Q q 0 0 0 rg BT 314.92 569.75 Td (All employees meeting minimum age and length of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 557.75 Td (service requirements are eligible to participate. ) Tj ET Q q 0 0 0 rg BT 259.37 557.75 Td (The Company has an employer matching program whereby ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 545.75 Td (employer contributions are made to the 401\(k\) plan, and employees are eligible for matching contributions after ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 533.75 Td (completing six months of service. For ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 217.84 533.75 Td (2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 240.08 533.75 Td (, employer contributions were made in an amount equal to 75% of the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 521.75 Td (first 8% of an employee's designated deferral of their eligible compensation. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 503.75 Td (The Company participates in an employee stock purchase plan \(the ) Tj ET Q BT /F1 10.00 Tf ET q 0 0 0 rg BT 378.83 503.75 Td (") Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 382.91 503.75 Td (ESPP"\), sponsored by LPLFH, through ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 491.75 Td (which eligible employees are able to purchase common stock of LPLFH at a discount from the market price through ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 479.75 Td (payroll deductions, subject to limitations. Eligible employees may elect to participate in the ESPP) Tj ET Q q 0 0 0 rg BT 477.26 479.75 Td ( only during an ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 467.75 Td (open enrollment period. ) Tj ET Q q 0 0 0 rg BT 157.67 467.75 Td (The of) Tj ET Q q 0 0 0 rg BT 185.83 467.75 Td (fering period immediately follows the open enrollment window) Tj ET Q q 0 0 0 rg BT 457.65 467.75 Td (, upon which time ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 455.75 Td (ESPP) Tj ET Q q 0 0 0 rg BT 76.50 455.75 Td ( contributions are withheld from the participant's regular paycheck. ) Tj ET Q q 0 0 0 rg BT 372.27 455.75 Td (The ESPP) Tj ET Q q 0 0 0 rg BT 418.77 455.75 Td ( provides for a 15% discount on ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 443.75 Td (the market value of LPLFH's stock at the lower of the grant date price \(first day of the of) Tj ET Q q 0 0 0 rg BT 436.36 443.75 Td (fering period\) and the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 431.75 Td (purchase date price \(last day of the of) Tj ET Q q 0 0 0 rg BT 217.14 431.75 Td (fering period\). ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 410.75 Td (13) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 61.12 410.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 410.75 Td (Related-Party T) Tj ET Q q 0 0 0 rg BT 149.80 410.75 Td (ransactions) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 392.75 Td (In addition to transactions discussed elsewhere in the notes to the financial statement, the Company has a ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 380.75 Td (variety of relationships with LPLFH and its subsidiaries under which it earns revenues for services provided and ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 368.75 Td (incurs expenses for services received. Unless a right of of) Tj ET Q q 0 0 0 rg BT 305.49 368.75 Td (fset exists, the Company records intercompany ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 356.75 Td (transactions on a gross basis and amounts are classified on the statement of financial condition as due from or due ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 344.75 Td (to af) Tj ET Q q 0 0 0 rg BT 69.28 344.75 Td (filiates. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 326.75 Td (The Company has intercompany service agreements to provide various infrastructure and broker-dealer ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 314.75 Td (support services to af) Tj ET Q q 0 0 0 rg BT 144.86 314.75 Td (filiates that are subsidiaries of LPLFH. ) Tj ET Q q 0 0 0 rg BT 315.50 314.75 Td (As part of the agreements, the Company also receives ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 302.75 Td (client support services. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 284.75 Td (Included in the intercompany service agreements are other transactions that create additional intercompany ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 272.75 Td (balances. Intercompany activities for the year ended ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 284.02 272.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 371.85 272.75 Td ( included, but were not limited to, payables ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 260.75 Td (resulting from the Company's ) Tj ET Q q 0 0 0 rg BT 182.34 260.75 Td (T) Tj ET Q q 0 0 0 rg BT 187.34 260.75 Td (ax ) Tj ET Q q 0 0 0 rg BT 200.13 260.75 Td (Agreement with LPLH, allocated employee healthcare self-insurance costs, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 248.75 Td (allocated occupancy costs, and various other business transactions with commonly controlled entities of LPLFH. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 230.75 Td (The Company has related party transactions with certain significant shareholders of the Parent's common ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 218.75 Td (stock. ) Tj ET Q q 0 0 0 rg BT 78.34 218.75 Td (Additionally) Tj ET Q q 0 0 0 rg BT 128.75 218.75 Td (, the Company provides services and charitable contributions to the LPL) Tj ET Q q 0 0 0 rg BT 446.88 218.75 Td ( Financial Foundation, an ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 206.75 Td (organization that provides volunteer and financial support within the Company's local communities. ) Tj ET Q q 0 0 0 rg BT 488.26 206.75 Td (As of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 194.75 Td (December31, 2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 137.83 194.75 Td ( the Company had a $43.8 million insurance receivable from the Parent's captive insurance ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 182.75 Td (subsidiary) Tj ET Q q 0 0 0 rg BT 94.28 182.75 Td (.) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 50.00 161.75 Td (14) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 61.12 161.75 Td (. ) Tj ET Q q 0 0 0 rg BT 77.00 161.75 Td (Net Capital and Regulatory Requirements) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 143.75 Td (The Company operates in a highly regulated industry) Tj ET Q q 0 0 0 rg BT 310.84 143.75 Td (. ) Tj ET Q q 0 0 0 rg BT 315.84 143.75 Td (Applicable laws and regulations restrict permissible ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 131.75 Td (activities and investments and require compliance with various financial and customer-related regulations. ) Tj ET Q q 0 0 0 rg BT 520.06 131.75 Td (The ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 119.75 Td (consequences of noncompliance can include substantial monetary and non-monetary sanctions. In addition, the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 107.75 Td (Company is also subject to comprehensive examinations and supervision by various governmental and self-) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 95.75 Td (regulatory agencies. ) Tj ET Q q 0 0 0 rg BT 142.65 95.75 Td (These regulatory agencies generally have broad discretion to prescribe greater limitations on ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 83.75 Td (the operations of a regulated entity for the protection of investors or public interest. Furthermore, where the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 71.75 Td (agencies determine that such operations are unsafe or unsound, fail to comply with applicable law) Tj ET Q q 0 0 0 rg BT 482.48 71.75 Td (, or are otherwise ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 59.75 Td (inconsistent with the laws and regulations or with the supervisory policies, greater restrictions may be imposed.) Tj ET Q endstream endobj 31 0 obj <> endobj 32 0 obj <> stream BT /F3 10.00 Tf ET q 0 0 0 rg BT 257.25 760.25 Td (LPL) Tj ET Q q 0 0 0 rg BT 275.96 760.25 Td ( FINANCIAL) Tj ET Q q 0 0 0 rg BT 332.44 760.25 Td ( LLC ) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 209.70 748.25 Td (NOTES T) Tj ET Q q 0 0 0 rg BT 252.85 748.25 Td (O THE FINANCIAL) Tj ET Q q 0 0 0 rg BT 339.89 748.25 Td ( ST) Tj ET Q q 0 0 0 rg BT 354.70 748.25 Td (A) Tj ET Q q 0 0 0 rg BT 361.18 748.25 Td (TEMENT) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 300.40 33.25 Td (14) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 77.00 716.75 Td (The Company is subject to the SEC) Tj ET Q q 0 0 0 rg BT 237.45 716.75 Td (s Net Capital Rule \(Rule15c3-1 under the Exchange ) Tj ET Q q 0 0 0 rg BT 472.59 716.75 Td (Act\), which requires ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 704.75 Td (the maintenance of minimum net capital.The net capital rules also provide that the broker-dealer's capital may not ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 692.75 Td (be withdrawn if resulting net capital would be less than minimum requirements. ) Tj ET Q q 0 0 0 rg BT 400.73 692.75 Td (Additionally) Tj ET Q q 0 0 0 rg BT 451.13 692.75 Td (, certain withdrawals ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 680.75 Td (require the approval of the SEC and FINRA) Tj ET Q q 0 0 0 rg BT 241.77 680.75 Td ( to the extent they exceed defined levels, even though such withdrawals ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 668.75 Td (would not cause net capital to be less than minimum requirements. Net capital and the related net capital ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 656.75 Td (requirement may fluctuate on a daily basis. ) Tj ET Q q 0 0 0 rg BT 242.70 656.75 Td (The Company is a clearing broker-dealer and, as of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 473.37 656.75 Td (December31, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 644.75 Td (2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 72.25 644.75 Td (, had net capital of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 156.75 644.75 Td ($108.1 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 218.45 644.75 Td ( with a minimum net capital requirement of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 409.09 644.75 Td ($8.0 million) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 459.67 644.75 Td (. ) Tj ET Q q 0 0 0 rg BT 464.67 644.75 Td (As of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 490.24 644.75 Td (December31, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 50.00 632.75 Td (2018) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 72.25 632.75 Td (, LPL) Tj ET Q q 0 0 0 rg BT 95.22 632.75 Td ( Financial has met all capital adequacy requirements to which it is subject.) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 49.50 611.75 Td (15) Tj ET Q BT /F3 10.00 Tf ET q 0 0 0 rg BT 60.62 611.75 Td (. ) Tj ET Q q 0 0 0 rg BT 76.50 611.75 Td (Financial Instruments with Off-Balance-Sheet Credit Risk and Concentrations of Credit Risk) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 593.75 Td (The Company's client securities activities are transacted on either a cash or margin basis. In margin ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 581.75 Td (transactions, the Company extends credit to the advisor's client, subject to various regulatory and internal margin ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 569.75 Td (requirements, collateralized by cash and securities in the client's account. ) Tj ET Q q 0 0 0 rg BT 376.58 569.75 Td (As clients write options contracts or sell ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 557.75 Td (securities short, the Company may incur losses if the clients do not fulfill their obligations and the collateral in the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 545.75 Td (clients' accounts is not suf) Tj ET Q q 0 0 0 rg BT 165.17 545.75 Td (ficient to fully cover losses that clients may incur from these strategies. ) Tj ET Q q 0 0 0 rg BT 479.56 545.75 Td (T) Tj ET Q q 0 0 0 rg BT 484.56 545.75 Td (o control this risk, ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 533.75 Td (the Company monitors margin levels daily and clients are required to deposit additional collateral, or reduce ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 521.75 Td (positions, when necessary) Tj ET Q q 0 0 0 rg BT 166.04 521.75 Td (. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 503.75 Td (The Company is obligated to settle transactions with brokers and other financial institutions even if its ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 491.75 Td (advisors' clients fail to meet their obligation to the Company) Tj ET Q q 0 0 0 rg BT 311.91 491.75 Td (. Clients are required to complete their transactions on ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 479.75 Td (the settlement date, generally two business days after the trade date. If clients do not fulfill their contractual ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 467.75 Td (obligations, the Company may incur losses. In addition, the Company occasionally enters into certain types of ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 455.75 Td (contracts to fulfill its sale of when, as, and if issued securities. When, as, and if issued securities have been ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 443.75 Td (authorized but are contingent upon the actual issuance of the security) Tj ET Q q 0 0 0 rg BT 356.74 443.75 Td (. ) Tj ET Q q 0 0 0 rg BT 362.11 443.75 Td (The Company has established procedures to ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 431.75 Td (reduce this risk by generally requiring that clients deposit cash or securities into their account prior to placing an ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 419.75 Td (order) Tj ET Q q 0 0 0 rg BT 72.29 419.75 Td (. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 76.50 401.75 Td (The Company may at times hold equity securities on both a long and short basis that are recorded in the ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 389.75 Td (statement of financial condition at market value. While long inventory positions represent the Company's ownership ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 377.75 Td (of securities, short inventory positions represent obligations of the Company to deliver specified securities at a ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 365.75 Td (contracted price, which may dif) Tj ET Q q 0 0 0 rg BT 186.60 365.75 Td (fer from market prices prevailing at the time of completion of the transaction. ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 353.75 Td (Accordingly) Tj ET Q q 0 0 0 rg BT 100.45 353.75 Td (, both long and short inventory positions may result in losses or gains to the Company as market values ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 341.75 Td (of securities fluctuate. ) Tj ET Q q 0 0 0 rg BT 148.81 341.75 Td (T) Tj ET Q q 0 0 0 rg BT 153.81 341.75 Td (o mitigate the risk of losses, long and short positions are mark-to-market daily and are ) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 49.50 329.75 Td (continuously monitored by the Company) Tj ET Q q 0 0 0 rg BT 227.19 329.75 Td (.) Tj ET Q BT /F2 10.00 Tf ET q 0 0 0 rg BT 294.30 308.75 Td (******) Tj ET Q endstream endobj 33 0 obj <> endobj 34 0 obj <> stream BT /F2 11.00 Tf ET q 0 0 0 rg BT 49.50 739.00 Td (Statement of Financial Condition filed pursuant to Rule 17a-5\(e\)\(3\) under the Securities Exchange ) Tj ET Q q 0 0 0 rg BT 528.89 739.00 Td (Act of ) Tj ET Q BT /F2 11.00 Tf ET q 0 0 0 rg BT 49.50 725.80 Td (1934 is available for inspection at the principal of) Tj ET Q q 0 0 0 rg BT 286.56 725.80 Td (fice of the Company and at the Boston Regional Of) Tj ET Q q 0 0 0 rg BT 534.62 725.80 Td (fice ) Tj ET Q BT /F2 11.00 Tf ET q 0 0 0 rg BT 49.50 712.60 Td (of the Commission. ) Tj ET Q BT /F1 10.00 Tf ET BT /F6 10.00 Tf ET q 0 0 0 rg BT 491.25 118.57 Td (LPL) Tj ET Q q 0 0 0 rg BT 505.69 118.57 Td ( Financial LLC) Tj ET Q BT /F6 10.00 Tf ET q 0 0 0 rg BT 479.60 106.57 Td (Member FINRA/SIPC) Tj ET Q BT /F1 10.00 Tf ET /GS0 gs q 194.16 0 0 35.00 52.00 107.82 cm /I4 Do Q endstream endobj 35 0 obj <> /View <>>>>> endobj 36 0 obj <> /View <>>>>> endobj 37 0 obj <> endobj 38 0 obj <> stream xy\E7~n{{w'd'52 HaGPPA!"" b-&h,+TLy?:uk?uΩoH""?W~.Xv3&rm 2\jMgwm'CڴzlycǏ\ rBjx\DsV@{twocmC{Iwl11z:1m!t-\q3D.:yz'Wɨp[_F=>E"ǢӦ/|K&_~=!wn-az3¦h$7,ؑ2Oo_eSFLlk}Fg[F>|;