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Segment Reporting
6 Months Ended
Jun. 30, 2019
Segment Reporting [Abstract]  
Segment Reporting

NOTE 22 – Segment Reporting

We currently operate through the following three business segments: Global Wealth Management, Institutional Group, and various corporate activities combined in the Other segment.

Our Global Wealth Management segment consists of two businesses, the Private Client Group and Stifel Bancorp.  The Private Client Group includes branch offices and independent contractor offices of our broker-dealer subsidiaries located throughout the United States. These branches provide securities brokerage services, including the sale of equities, mutual funds, fixed income products, and insurance, as well as offering banking products to their clients through our bank subsidiaries, which provide residential, consumer, and commercial lending, as well as FDIC-insured deposit accounts to customers of our broker-dealer subsidiaries and to the general public.

The Institutional Group segment includes institutional sales and trading. It provides securities brokerage, trading, and research services to institutions, with an emphasis on the sale of equity and fixed income products. This segment also includes the management of and participation in underwritings for both corporate and public finance (exclusive of sales credits generated through the private client group, which are included in the Global Wealth Management segment), merger and acquisition, and financial advisory services.

The Other segment includes interest income from stock borrow activities, unallocated interest expense, interest income and gains and losses from investments held, amortization of stock-based awards, and all unallocated overhead cost associated with the execution of orders; processing of securities transactions; custody of client securities; receipt, identification, and delivery of funds and securities; compliance with regulatory and legal requirements; internal financial accounting and controls; and general administration and acquisition charges.

Information concerning operations in these segments of business for the three and six months ended June 30, 2019 and 2018 is as follows (in thousands):

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2019

 

 

2018

 

 

2019

 

 

2018

 

Net revenues: (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Global Wealth Management

 

$

532,433

 

 

$

497,327

 

 

$

1,043,043

 

 

$

982,902

 

Institutional Group

 

 

270,602

 

 

 

252,825

 

 

 

531,888

 

 

 

522,903

 

Other

 

 

(2,248

)

 

 

(7,420

)

 

 

(3,724

)

 

 

(12,715

)

 

 

$

800,787

 

 

$

742,732

 

 

$

1,571,207

 

 

$

1,493,090

 

Income/(loss) before income taxes:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Global Wealth Management

 

$

192,352

 

 

$

187,895

 

 

$

386,842

 

 

$

364,666

 

Institutional Group

 

 

39,302

 

 

 

36,024

 

 

 

71,506

 

 

 

80,594

 

Other

 

 

(83,672

)

 

 

(105,572

)

 

 

(172,557

)

 

 

(207,359

)

 

 

$

147,982

 

 

$

118,347

 

 

$

285,791

 

 

$

237,901

 

  

(1)

No individual client accounted for more than 10 percent of total net revenues for the three and six months ended June 30, 2019 or 2018.

The following table presents our company’s total assets on a segment basis at June 30, 2019 and December 31, 2018 (in thousands):

 

 

 

June 30, 2019

 

 

December 31,

2018

 

Global Wealth Management

 

$

20,346,577

 

 

$

21,040,224

 

Institutional Group

 

 

3,720,444

 

 

 

3,238,617

 

Other

 

 

276,576

 

 

 

240,757

 

 

 

$

24,343,597

 

 

$

24,519,598

 

 

We have operations in the United States, United Kingdom, and Europe. The Company’s foreign operations are conducted through its wholly owned subsidiary, SNEL. Substantially all long-lived assets are located in the United States.

Revenues, classified by the major geographic areas in which they are earned for the three and six months ended June 30, 2019 and 2018, were as follows (in thousands):

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2019

 

 

2018

 

 

2019

 

 

2018

 

United States

 

$

754,470

 

 

$

703,225

 

 

$

1,495,700

 

 

$

1,409,293

 

United Kingdom

 

 

43,761

 

 

 

35,301

 

 

 

70,151

 

 

 

76,859

 

Other

 

 

2,556

 

 

 

4,206

 

 

 

5,356

 

 

 

6,938

 

 

 

$

800,787

 

 

$

742,732

 

 

$

1,571,207

 

 

$

1,493,090