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Merrill Lynch Assets Under Management (AUM)


Merrill Lynch total assets under management. Merrill Lynch AUM for 2017: client assets, brokerage accounts, mutual funds.



Merrill Lynch Assets Under Management (AUM)


Merrill Lynch is a wealth manager owned by Bank of America. With offices all around the world, the broker attracts more than just American investors. It has a large client base and over 39,000 employees. The following numbers reveal the sheer size of the broker-dealer:

Client assets $1.4 trillion
Accounts 1.8 million
Asset growth -2%
Financial advisors 15,000

Merrill Lynch’s massive asset base generates enormous revenue for the company every quarter—typically over four billion dollars. This in turn produces a net profit in the hundreds of millions.

With approximately 15,000 investment advisors and several billion dollars in revenue annually, each Merrill Lynch advisor produces around a million dollars in revenue on average every year.

The broker’s fee for managing all of its assets varies widely. The annual fee ranges from 3.1% for accounts below a million dollars to less than 1.5% for accounts above $25,000,000. The fee also varies based on the types of securities an investor wants to buy and sell, such as funds or stocks. Both retirement and non-retirement accounts can be opened with the firm. Education and UGMA/UTMA accounts can also be opened.

Merrill Lynch is truly a global company with offices in multiple countries. In addition to its US locations, the company also has branches in Australia, Brazil, Bolivia, Canada, the Cayman Islands, Chile, China, Colombia, France, Germany, Hong Kong, India, Indonesia, Ireland, Israel, Italy, Japan, Korea, Malaysia, Poland, Portugal, Russia, Saudi Arabia, Spain, Switzerland, Taiwan, Turkey, the United Arab Emirates, and the United Kingdom.


Advantages That a Large Broker Offers


A large broker-dealer like Merrill Lynch delivers many benefits that smaller firms can’t provide. As mentioned, Merrill is a truly global player with offices all around the world. Service is available in many different countries.

Because of Merrill’s size, it is also able to offer discount services through its on-line brokerage arm Merrill Edge. This low-cost brokerage alternative provides securities services at low prices, including a portfolio management service that is cheaper than Merrill Lynch’s service—just 45 basis points. Bank of America customers can receive free trades if they meet certain balance requirements.


Comparison


Merrill Lynch is actually smaller than several other firms. The company’s $1.4 trillion in assets makes it smaller than Vanguard, who has $4 trillion. Fidelity is even larger at $5.7 trillion, and Schwab has $2.9 trillion. These firms, however, have a smaller international presence. Global investors may prefer Merrill Lynch.

Merrill Lynch’s annual management fee is a little expensive, compared to some of its competitors. Raymond James charges 1.00% to 2.25%, which is more than 50 basis points less than Merrill. And Raymond James offers all the service to be expected from a full-service broker.

Merrill Lynch has the support of a multi-billion dollar bank, which most other broker-dealers don’t have. Some investors may be more comfortable with a brokerage firm that is owned by a household name.


Merrill Lynch Review


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Updated on 4/26/2017.






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