Merrill Lynch’s global private client business reported a 13 per cent year-on-year rise in first quarter 2006 revenues to $2.9 billion; the ...

Merrill Lynch’s global private client business reported a 13 per cent year-on-year rise in first quarter 2006 revenues to $2.9 billion; the quarter-on-quarter growth was less strong at only 1 per cent. Pre-tax earnings were reported down 28 per cent year-on-year in the first quarter to $365 million. But Merrill said that excluding one-time compensation expenses, pre-tax earnings rose by 27 per cent. The global private client division contributed 17 per cent of Merrill's profit and 37 per cent of its net revenue in the three months ended March 31, down from 30 per cent of profit and 41 per cent of revenue in the first quarter of 2005. Merrill said total assets (deposits and assets under management) in GPC accounts increased 12 per cent from the year-ago quarter, to over $1.5 trillion. Net client assets into annuitized-revenue products were $12.3 billion, and total net new money was $16.9 billion for the quarter, although Merrill said this excludes net outflows from the recently acquired Amvescap retirement business and the former Advest franchise prior to systems conversion. Headcount among financial advisors increased just over 1 per cent quarter-on-quarter to 15,350 at quarter-end. Merrill added: “Turnover among FAs, particularly top-producing and longer-serving FAs, remained at historical lows.”