The History of LPL Financial
Formed in 1989 through the merger of two small brokerage firms, Linsco and Private Ledger, LPL was designed as an alternative to traditional Wall Street firms. The founders’ revolutionary vision was centered around helping financial professionals build competitive businesses while they served their clients’ best interests—treating them like people, not accounts. That remains true of LPL today.
Foundational Values That Inform Our Vision
At a time when few paid attention to the concept of financial planning, Private Ledger founder Bob Ritzman sought to offer a large group of mutual funds and securities to advisors—without pushing a particular product. And when Todd Robinson purchased Linsco in 1985, he was anticipating the growing desire for advisors to run their own independent practices—which proved true during the aftermath of the stock market crash in October 1987.
It was in the midst of this rapidly changing industry environment that LPL was formed. The entrepreneurial vision of Linsco and Private Ledger fused to form a guiding principle—supporting the best interests of its advisors and their clients.
More than 30 years later, LPL has become a Fortune 500 company and launched a new brand, yet this guiding principle remains—it’s simply expanded far beyond the investment services offered. Alongside the constant pace of change in the financial services industry and the world around us, LPL has evolved its technology, operations, risk management, and business consulting—while continuing to innovate its investment management services and platforms.
LPL Financial Regulatory Oversight
Something Powerful
By choosing to work with an LPL financial advisor or professional, you’ll be working with a professional backed by the nation’s largest independent broker dealer* — and regulated by federal and state agencies and self-regulatory organizations.
LPL Compliance and Regulations
We’re committed to helping LPL's financial advisors and professionals provide their clients with personalized advice. That includes adhering to all relevant industry regulations and rules. It’s among the many ways we help establish the guidance you receive from an LPL financial advisor or professional aligns with your needs and objectives.
LPL is regulated by federal, state, and self-regulatory agencies. To learn about some of these organizations, learn more at the links below.
- Financial Industry Regulatory Authority (FINRA)
- Securities Exchange Commission (SEC)
- Securities Investor Protection Corporation (SIPC)
- Municipal Securities Rulemaking Board (MSRB)
Financial Professional Ethics and Codes
Trust in a financial advisor or professional is essential for a good working relationship, and trust is built on knowing that your financial advisor or professional adheres to legal and ethical standards.
LPL financial advisors and professionals abide by LPL's Code of Conduct [PDF] and Code of Ethics [PDF], which requires them to comply with all applicable federal securities laws. Depending on the certifications and professional designations they hold, they must also adhere to various industry standards. For example, any financial advisor or professional with the Certified Financial Planner™ (CFP®) certification is subject to standards set by the CFP Board. This includes its Code of Ethics and Standards of Conduct.
LPL financial advisors and professionals have a passion for doing their work ethically in line with LPL’s core values. For you that means the integrity and professionalism you expect is what you will get when you work with an LPL financial advisor or professional.
LPL financial professionals focus on doing what’s right for you. They’ll help you understand the differences between advisory and brokerage services, how your relationship with them will work, the services they’ll provide and any associated fees, and disclose potential conflicts of interest.
* As reported by Financial Planning magazine 1996-2024, based on total revenue.
Disclosures
Throughout this communication, the terms “financial advisors” and “advisors” include registered representatives and/or investment adviser representatives affiliated with LPL Financial LLC, an SEC registered broker-dealer and investment adviser.
1. The intended audience of this communication is the general public and the purpose is to communicate the business operations of LPL Financial. Throughout this communication, the terms “financial advisor(s)” and “advisor(s)” include registered representatives and/or investment adviser representatives affiliated with LPL Financial LLC, member FINRA/SIPC and registered investment adviser.