 September 2013 Stifel Investor Presentation Exhibit 99.1 |
 Disclaimer Forward-Looking Statements This presentation may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve significant risks, assumptions, and uncertainties, including statements relating to the market opportunity and future business prospects of Stifel Financial Corp., as well as Stifel, Nicolaus & Company, Incorporated and its subsidiaries (collectively, “SF” or the “Company”). These statements can be identified by the use of the words “may,” “will,” “should,” “could,” “would,” “plan,” “potential,” “estimate,” “project,” “believe,” “intend,” “anticipate,” “expect,” and similar expressions. In particular, these statements may refer to our goals, intentions, and expectations, our business plans and growth strategies, our ability to integrate and manage our acquired businesses, estimates of our risks and future costs and benefits, and forecasted demographic and economic trends relating to our industry. You should not place undue reliance on any forward-looking statements, which speak only as of the date they were made. We will not update these forward-looking statements, even though our situation may change in the future, unless we are obligated to do so under federal securities laws. Actual results may differ materially and reported results should not be considered as an indication of future performance. Factors that could cause actual results to differ are included in the Company’s annual and quarterly reports and from time to time in other reports filed by the Company with the Securities and Exchange Commission and include, among other things, changes in general economic and business conditions, actions of competitors, regulatory and legal actions, changes in legislation, and technology changes. Note Regarding the Use of Non-GAAP Financial Measures The Company utilized non-GAAP calculations of presented net revenues, compensation and benefits, non-compensation operating expenses, income before income taxes, provision for income taxes, net income, compensation and non-compensation operating expense ratios, pre-tax margin and diluted earnings per share as an additional measure to aid in understanding and analyzing the Company’s financial results. Specifically, the Company believes that the non-GAAP measures provide useful information by excluding certain items that may not be indicative of the Company’s core operating results and business outlook. The Company believes that these non-GAAP measures will allow for a better evaluation of the operating performance of the business and facilitate a meaningful comparison of the Company’s results in the current period to those in prior periods and future periods. Reference to these non-GAAP measures should not be considered as a substitute for results that are presented in a manner consistent with GAAP. These non-GAAP measures are provided to enhance the overall understanding of the Company’s current financial performance. |
 Market Overview |
   4 Domestic Equity Flows Equity Risk Premium 2013 Q2 2013 Q1 2012 Q4 2012 Q3 2012 Q2 QoQ YoY S&P 500 1,606 1,569 1,426 1,441 1,362 2% 18% U.S. Treasury 10yr Yield 2.49% 1.85% 1.76% 1.63% 1.65% 64 bps 85 bps Equity ADV 6,594 6,372 6,084 5,981 6,917 3% -5% Corporate Bond ADV 20,285 20,736 16,347 16,364 17,147 -2% 18% U.S. ECM ($) 70,090 66,130 57,479 72,721 63,108 6% 11% U.S. ECM (#) 264 248 208 198 183 6% 44% U.S. DCM ($) 537,406 638,092 585,195 640,538 545,330 -16% -1% U.S. DCM (#) 2,255 2,418 2,236 2,448 2,491 -7% -9% Municipal Bond DCM ($) 93,171 83,481 97,126 87,670 115,009 12% -19% U.S. Announced M&A ($) 193,501 310,801 354,156 217,632 228,327 -38% -15% U.S. Announced M&A (#) 2,275 2,654 3,303 2,896 2,968 -14% -23% U.S. Completed M&A ($) 204,022 234,295 321,526 211,896 302,631 -13% -33% U.S. Completed M&A (#) 2,145 2,645 3,307 2,855 2,886 -19% -26% Second Quarter Results Activity Summary Volumes are in million $, except trading volumes which are in million shares. Data as of 6/30/2013. Market Overview |
 Stifel Overview |
 6 Stifel Overview Global Wealth Management Institutional Group Independent Research Institutional Equity & Fixed Income Brokerage Equity & Fixed Income Capital Raising M&A Advisory / Restructuring Private Client Stifel Bank & Trust Customer Financing Asset Management (1) As of 9/12/13. (2) Insider ownership percentage includes all fully diluted shares, units outstanding, options outstanding, as well as shares owned by Stifel’s former Chairman as of 8/8/13. Stifel Financial (NYSE: SF) Financial services firm demonstrating growth, scale and stability $2.7 billion market capitalization (1) 2012 Represented Stifel’s 17 th year of consecutive record net revenues Balanced business model Top performing financial stock over the past ten years 35% Insider ownership (2) National presence with over 2,000 Financial Advisors $151 billion in total client assets Largest U.S. equity research platform Broad product portfolio & industry expertise |
 7 Stifel’s Market Opportunity Stifel’s Differentiated Value Proposition: Growth, Scale, and Stability Bulge Bracket Middle Market Firm focus Good research Growth investor access Issues Deleverage Raise common equity Changing business models Headcount Large-cap focused Issues Financial / firm stability Trading support Few with retail Size / scale Firm focus Stability (financial & personnel) Large distribution Growth investor access Investment Banking Retail Outstanding research Trading Size / scale Large distribution Investment Banking Retail Trading |
 Strategy: Building the Premier Investment Bank 8 Unburdened by capital constraints Low leverage business model and conservative risk management Built the Company through 11 acquisitions since 2005; prudently evaluate all opportunities Capitalize on headwinds across the industry Select growth of high-quality talent Drive revenue synergies by leveraging the global wealth and institutional businesses 17 th Consecutive Year of Record Net Revenues Position Stifel to Take Advantage of Opportunities |
 A Growth Story… 9 Net Revenues ($MM) (1) Core Net Income ($MM) (1) Total Equity ($MM) Total Client Assets ($BN) (2) Book Value Per Share (4) Financial Advisors (3) (1) CAGR reflects years 2006 to 2012. (2) Client assets - Includes FDIC-insured products as of 6/30 for years 2008-2013 (3) Includes Independent Contractors. (4) Book Value Per Share adjusted for April 2011 three-for-two stock split (2006-2010). |
 10 Building Scale… Growth Focused Investment Banking Research, Sales and Trading Achieved cost efficiencies July 2010 Private Client Revenue production has exceeded expectations October 2009 Significant enhancement to our Capital Markets business Achieved cost savings objectives December 2005 Bank holding company Financial holding company Grown assets from ~ $100M to $3.2B April 2007 Private Client Public Finance Seamless & efficient integration December 2008 Fixed Income IB Fixed Income Sales and Trading Private Client Seamless & efficient integration October 2011 FIG Investment Banking FIG Sales and Trading FIG Research February 2013 56 UBS Branches Private Client Capital Markets Achieved cost savings objectives February 2007 Each merger has been accretive to Stifel Retention remains high Restructuring advisory December 2012 Knight Fixed Income Fixed Income Sales and Trading – U.S. & Europe Fixed Income Research July 2013 |
 Stability Achieved Through A Balanced Business Model 11 Net Revenues Balanced business model facilitates growth during volatile markets Stable GWM business is augmented by profitable and growing Institutional Group Proven ability to grow all businesses Operating Contribution 6 mo 2012 6 mo 2013 6 mo 2012 6 mo 2013 Note: Net revenues and operating contribution excludes the Other segment. 11 |
 12 Leverage Ratio Total Assets ($ in Billions) Book Value Per Share (1) Total Capitalization ($ in Billions) (1) Per share information adjusted for April 2011 three-for-two stock split Strong Balance Sheet Facilitates Growth As June 30, 2013 |
 Top Performing Stock Cumulative Price Appreciation As of September 12, 2013 13 Since 12/31/12 Since 12/31/07 Since 12/31/00 FBR & Co. 70.93% Evercore Partners 132.67% Stifel Financial Corp. 1011.12% Evercore Partners 66.08% Stifel Financial Corp. 80.32% Raymond James Financial 180.32% Morgan Stanley 46.55% Raymond James Financial 33.04% Goldman Sachs Group 52.75% Cowen Group 37.14% S&P 500 Index 14.65% S&P 500 Index 27.50% Legg Mason 32.19% Lazard -8.41% Legg Mason -6.42% Stifel Financial Corp. 31.78% Piper Jaffray -23.06% Oppenheimer -30.33% Goldman Sachs Group 28.06% Goldman Sachs Group -24.04% SWS Group -64.42% Lazard 24.87% Greenhill & Co. -25.51% Morgan Stanley -64.64% S&P 500 Index 18.04% JMP Group -25.71% Cowen Group NM Raymond James Financial 12.77% FBR & Co. -30.95% Evercore Partners NM Piper Jaffray 10.92% Morgan Stanley -47.24% FBR & Co. NM SWS Group 5.48% Legg Mason -53.52% Greenhill & Co. NM JMP Group 3.79% SWS Group -55.96% JMP Group NM Oppenheimer -2.78% Oppenheimer -60.35% Lazard NM Greenhill & Co. -4.75% Cowen Group NM Piper Jaffray NM |
 Attract and retain high-quality talent Continue to expand our private client footprint in the U.S. Continue to expand fixed income businesses Continue to expand investment banking capabilities Focus on quality asset generation within Stifel Bank Expand traditional asset management capabilities Approach acquisition opportunities with discipline Opportunities Drive our Growth 14 Initiatives |
 Merger With KBW |
 16 KBW Merger Non-Core Expense Projections Acquisition-Related Expenses Three Months Ended ($ in thousands) 9/30/13 12/31/13 Estimate Actual Estimate Estimate Operating expenses: Compensation 6,200 $ 6,000 $ 2,500 $ 400 $ Non-Compensation Operating Expenses 6,800 15,000 5,000 7,100 Total estimated non-core operating expenses 13,000 21,000 7,500 7,500 Retention - KFI - - 22,000 - Total estimated non-core operating expenses - Acquisition-related 13,000 $ 21,000 $ 29,500 $ 7,500 $ 6/30/13 |
 KBW Update First Half Performance Advisory #1 by number of FIG mergers #1 by number of Bank mergers #1 by Bank deal value Representative of the acquirer or seller on 7 out of the 10 largest bank deals Capital Markets Bookrunner on all four bank initial public offerings in the first half Notable Q2 Capital Markets Bookrun Offerings Zions Bancorporation - $301 million preferred offering First PacTrust Bancorp - $40 million preferred offering First NBC Bank - $115 million initial public offering Fidelity Southern Corporation - $69 million follow-on offering KBW Equities Superior recognition in Greenwich Associates rankings for Research, Sales and Trading Improving equity trading market share: Market share in adv. volume for KBW Regional Bank Index (KRX) components was 4.6% for 1H 2013, compared to 3.1% for 1H 2012 Market share in adv. volume for small-cap banks was 8.4% for 1H 2013, compared to 5.2% for 1H 2012 Successful July Community Bank Conference: Record attendance with over 700 attendees and over 1,500 investor meetings organized Stifel / KBW fixed income: Integration efforts underway M&A Statistics Source: SNL Financial; Includes transactions announced since 1/1/2013; Data as of 7/1/2013 Note: Includes only whole institution transactions in the United States Capital markets offerings inclusive of select Stifel transactions pre-closing Small-cap banks includes the largest 50 banks under KBW Research coverage sub-$1bn market cap. KBW Update 17 |
 Global Wealth Management |
 (1) Includes Independent Contractors. (2) CAGR reflects years 2006 to 2012. Global Wealth Management Provides Securities Brokerage Services and Stifel Bank Products 19 Grown from 600+ financial advisors in 2005 to over 2,000 (1) financial advisors currently Proven organic growth and acquirer of private client business (56 UBS branches, Butler Wick, Ryan Beck) Retail investors are generally mid- to long-term buyers Goal of providing price stability and support to the institutional order book Strategy of recruiting experienced advisors with established client relationships Expanding U.S. footprint Net Revenues ($MM) (2) Overview Operating Contribution ($MM) (2) |
 (1) Includes Independent Contractors. (2) Client assets include FDIC-insured products as of 6/30/13 for years 2008-2013. Global Wealth Management 20 Opportunity Through Growth GWM Account Growth GWM Broker Growth (1) GWM Assets Under Management Growth ($MM) (2) GWM Branch Growth |
 Global Wealth Management – Stifel Bank & Trust Offers banking products (securities based loans and mortgage loans) within the GWM client base, including establishing trust services Built-in source of business High net worth clients Highly efficient due to lack of “brick and mortar” deposit focused facilities Overview Strength of Brokerage Position 21 Acquired FirstService Bank, a St. Louis-based, Missouri-chartered commercial bank, in April 2007 Stifel Financial became a bank holding company and financial services holding company Balance sheet growth with low-risk assets Funded by Stifel Nicolaus client deposits Maintain high levels of liquidity Interest Earnings Assets (1) Investment Portfolio Loan Portfolio (Gross) Total: $3.8 Billion Total: $3.0 Billion (2) Total: $996 Million (3) Note: Data as of 6/30/13 (1) Average interest earning assets as of 6/30/13. (2) MBS makes up less than 1% of Investment Portfolio (3) Construction and Land and Commercial Real Estate make up less than 1% of the loan portfolio |
 Institutional Group |
 Institutional Group 23 Net Revenues ($MM) (2)(3) Equity Brokerage + Investment Banking (2) Fixed Income Brokerage + Investment Banking Overview Provides securities brokerage, trading, research, underwriting and corporate advisory services Largest providers of U.S. Equity Research 2 nd largest Equity trading platform in the U.S. outside of the Bulge Bracket (1) Full Service Investment Bank Comprehensive Fixed Income platform (1) Based on 2012 U.S. trading volume per Bloomberg. (2) Includes TWPG historical investment banking and brokerage revenues for years 2006 through June 30, 2010. (3) 2012 includes realized and unrealized gains on the Company’s investment in Knight Capital Group, Inc. of $39.0 million. |
 Largest provider of U.S. equity research 2 nd largest provider of U.S. small cap equity coverage Largest provider of Financial Services coverage Deep expertise across 12 major sectors Ranked #2 in the FT/Starmine 2013 Survey Largest U.S. Equity Research Platform U.S. Equity Research Coverage (1) Coverage Balanced Across All Market Caps (2) Institutional Group – Research Stifel Research Highlights 24 Companies Under Coverage Rank Firm Overall Small Cap (2) 1 Stifel / Keefe, Bruyette & Woods 1,307 432 2 Bank of America Merrill Lynch 1,107 154 3 JPMorgan 1,086 163 4 Raymond James 987 323 5 Goldman Sachs 975 94 6 Wells Fargo Securities 970 160 7 Barclays 958 99 8 Citi 904 107 9 Credit Suisse 881 138 10 Deutsche Bank 867 131 11 Morgan Stanley 819 94 12 Jefferies LLC 813 173 13 UBS 811 80 14 RBC Capital Markets 798 127 15 Sidoti & Company LLC 722 493 16 Morningstar, Inc. 703 33 17 Robert W Baird & Co 651 160 18 BMO Capital Markets 584 96 19 Cowen & Co LLC 543 145 20 Piper Jaffray & Co 541 195 21 William Blair & Co LLC 533 153 22 Macquarie Group 501 65 23 KeyBanc Capital Markets 496 127 24 Oppenheimer & Co Inc 491 118 25 Sterne, Agee & Leach 452 N/A (1) Source: StarMine rankings as of 7/2/13. Does not include Closed End Funds. (2) Small Cap includes market caps less than $1 billion; Mid Cap includes market caps less than $5 billion. Note: Bold font indicates middle-market firms. Research coverage distribution as of 7/23/13. |
 Institutional Equity Sales 110 person sales force, commission based Experts in small and mid cap growth and value Team based sales model with 2-4 sales people per account Team leaders have an average of 15 years experience Offices in all major institutional markets in North America & Europe Accounts range from large mutual funds to small industry focused investors Managed over 741 non-deal roadshow days in 2012 Extensive experience with traditional and overnight corporate finance transactions Equity Trading 53 sales traders located in Baltimore, New York, Boston, Dallas, San Francisco, Cleveland, London, and Canada 24 position traders covering each major industry 8 specialized traders focused on: Option Trading, Convertible and ETF Trading Agency model – no proprietary trading or prime brokerage Profitable model with advantages of scale Institutional Group – Equity Sales and Trading Powerful Platform Spanning North America and Europe 25 Extensive Distribution Network Agency model – no proprietary trading or prime brokerage Major liquidity provider to largest equity money management complexes Multi-execution venues: high-touch, algorithms, program trading and direct market access Dedicated convertible sales, trading and research desk |
 Overview Strong Fixed Income Capital Markets Capabilities Institutional Group – Fixed Income Client Distribution (1)(2) Platform & Products Focus on long-only money managers and income funds versus hedge funds Consistency of execution Identification of relative value through security selection Agency/Gov't Securities Money Markets Mortgages & MBS Reverse MBS Asset-Backed Securities Investment Grade Credit High Yield & Distressed Aircraft Finance & Credit Solutions Whole Loans Municipals Emerging Markets Structured Products Stifel Capital Advisors Hybrid Securities Dedicated Loan Trading Group Capable UK Sales & Trading platform (former Knight team) (1) Client Distribution is for 1/1/12 – 7/31/13. (2) Other category includes: Corporation, Hedge Fund, Pension Fund, Trust Company, Foundation, Endowment, University & Non-Profit. 26 Comprehensive platform 69 traders with annual client trade volume approaching $400 billion 33-person Fixed Income Research and Strategy Group Widespread distribution More than 180 Institutional sales professionals covering over 4,400 accounts 33 institutional fixed income offices nationwide European offices in London and Zurich |
 Accomplished U.S. Equity Underwriting Franchise – All Equity Transactions Investment Banking Bookrun Equity Deals Since 2010 All Managed Equity Deals Since 2010 27 ($ in billions) # of $ Rank Firm Deals Volume 1 Bank of America Merrill Lynch 755 $461.5 2 JPMorgan 743 $446.9 3 Citi 707 $444.9 4 Morgan Stanley 665 $428.9 5 Barclays 610 $364.7 6 Wells Fargo Securities 602 $330.1 7 Deutsche Bank 598 $375.3 8 Credit Suisse 597 $369.8 9 Stifel / Keefe, Bruyette & Woods 575 $219.1 10 RBC Capital Markets 550 $259.8 11 Goldman Sachs 522 $370.7 12 UBS 506 $289.8 13 Raymond James 411 $205.9 14 Robert W Baird & Co 300 $75.8 15 Piper Jaffray & Co 285 $139.1 16 Jefferies LLC 270 $56.0 17 Oppenheimer & Co Inc 255 $65.5 18 JMP Securities LLC 247 $49.0 19 William Blair & Co LLC 199 $57.9 20 Cowen & Co LLC 195 $49.4 21 BMO Capital Markets 181 $70.4 22 Canaccord Genuity Corp 172 $18.4 23 Janney Montgomery Scott 171 $29.5 24 KeyBanc Capital Markets 166 $63.6 25 Ladenburg Thalmann & Co Inc 159 $17.7 ($ in billions) # of $ Rank Firm Deals Volume 1 Bank of America Merrill Lynch 686 $84.4 2 JPMorgan 644 $86.5 3 Citi 611 $80.0 4 Morgan Stanley 604 $97.5 5 Barclays 494 $72.9 6 Credit Suisse 473 $61.2 7 Goldman Sachs 460 $80.2 8 Deutsche Bank 450 $52.4 9 Wells Fargo Securities 418 $33.2 10 UBS 339 $35.9 11 Jefferies LLC 215 $12.5 12 RBC Capital Markets 182 $13.9 13 Stifel / Keefe, Bruyette & Woods 178 $9.1 14 Raymond James 114 $6.4 15 Piper Jaffray & Co 96 $4.3 16 Roth Capital Partners 78 $1.5 17 Cowen & Co LLC 72 $2.2 18 Robert W Baird & Co 68 $3.1 19 Lazard Capital Markets 59 $1.7 20 Leerink Swann LLC 54 $1.9 21 Sandler O'Neill & Partners 46 $3.7 22 KeyBanc Capital Markets 45 $2.6 23 William Blair & Co LLC 38 $1.5 23 Aegis Capital Corp 38 $0.5 25 Canaccord Genuity Corp 36 $1.6 Source: Dealogic. Rank eligible SEC registered IPOs and Follow-On offerings since 2010. Includes demutualizations. As of 8/31/13. Overlapping deals between Stifel and its acquired firms have been removed. Note: $ Volume represents full credit to underwriter for All Managed Equity Deals and apportioned credit to bookrunner for Bookrun Equity Deals. Bold font indicates middle-market firms. |
 Financial Results |
 29 Stifel Financial Results Three months ended June 30, 2013 (1) (1) Non-core adjustments consist of merger-related revenues and expenses associated with our acquisitions of KBW, the Knight Capital Fixed Income business and Miller Buckfire. ($ in thousands, except per share amounts) GAAP Non-Core Non-GAAP 6/30/12 % Change 3/31/13 % Change Net revenues 498,736 1,736 500,472 374,407 33.7% 441,780 $ 13.3% Compensation and benefits 321,331 (6,018) 315,313 239,374 31.7% 281,941 11.8% Non-comp operating expenses 126,207 (14,974) 111,233 91,159 22.0% 96,155 15.7% Total non-interest expenses 447,538 (20,992) 426,546 330,533 29.0% 378,096 12.8% Income before income taxes 51,198 22,728 73,926 43,874 68.5% 63,684 16.1% Provision for income taxes 21,763 7,807 29,570 17,738 66.7% 23,808 24.2% Net income 29,435 $ 14,921 $ 44,356 $ 26,136 $ 69.7% 39,876 $ 11.2% Earnings per share: Diluted 0.40 $ 0.60 $ 0.42 $ 42.9% 0.58 $ 3.4% Weighted average number of shares outstanding: Diluted 74,090 74,090 62,678 18.2% 69,189 7.1% Ratios to net revenues: Compensation and benefits 64.4% 63.0% 63.9% 63.8% Non-comp operating expenses 25.3% 22.2% 24.4% 21.8% Income before income taxes 10.3% 14.8% 11.7% 14.4% Three Months Ended June 30, 2013 Three Months Ended |
 30 Stifel Financial Results Six months ended June 30, 2013 (1) (1) Non-core adjustments consist of a charges related to expensing stock awards issued as retention in connection with the acquisition of KBW and other merger-related revenues and expenses associated with our acquisitions of KBW, the Knight Capital Fixed Income business and Miller Buckfire. ($ in thousands, except per share amounts) GAAP Non-Core Non-GAAP 6/30/12 % Change Total revenues 964,661 $ 1,744 $ 966,405 $ 793,607 $ 21.8% Interest expense 24,145 - 24,145 18,867 28.0% Net revenues 940,516 1,744 942,260 774,740 21.6% Compensation and benefits 637,058 (39,804) 597,254 494,078 20.9% Non-comp operating expenses 228,914 (21,526) 207,388 177,534 16.8% Total non-interest expenses 865,972 (61,330) 804,642 671,612 19.8% Income before income taxes 74,544 63,074 137,618 103,128 33.4% Provision for income taxes 30,490 22,888 53,378 42,219 26.4% Net income 44,054 $ 40,186 $ 84,240 $ 60,909 $ 38.3% Earnings per share: Diluted 0.62 $ 1.18 $ 0.97 $ 21.6% Weighted average number of shares outstanding: Diluted 71,627 71,627 62,700 14.2% Ratios to net revenues: Compensation and benefits 67.7% 63.4% 63.8% Non-comp operating expenses 24.4% 22.0% 22.9% Income before income taxes 7.9% 14.6% 13.3% Six Months Ended June 30, 2013 Six Months Ended |
 31 Sources of Revenues (1) Results for the three months ended March 31, 2013 and December 31, 2012 included realized and unrealized gains on the Company’s investment in Knight Capital Group, Inc. of $2.2 million and $13.4 million, respectively. ($ in thousands) 6/30/13 6/30/12 % Change 3/31/13 % Change 6/30/13 6/30/12 % Change Commissions 157,168 $ 127,427 $ 23.3% 148,648 $ 5.7% 305,816 $ 250,730 $ 22.0% Principal transactions 111,448 91,564 21.7% 107,244 3.9% 218,692 207,797 5.2% Brokerage revenues 268,616 218,991 22.7% 255,892 5.0% 524,508 458,527 14.4% Capital raising 74,146 40,733 82.0% 51,199 44.8% 125,345 95,566 31.2% Advisory 47,968 26,630 80.1% 27,180 76.5% 75,148 42,235 77.9% Investment banking 122,114 67,363 81.3% 78,379 55.8% 200,493 137,801 45.5% Asset mgt and service fees 76,088 65,311 16.5% 68,912 10.4% 145,000 126,129 15.0% Other 11,670 5,418 115.4% 20,212 (42.3%) 31,882 18,712 70.4% Total operating revenues 478,488 357,083 34.0% 423,395 13.0% 901,883 741,169 21.7% Interest revenue 32,933 27,181 21.2% 29,845 10.3% 62,778 52,438 19.7% Total revenues 511,421 384,264 33.1% 453,240 12.8% 964,661 793,607 21.6% Interest expense 12,685 9,857 28.7% 11,460 10.7% 24,145 18,867 28.0% Net revenues 498,736 $ 374,407 $ 33.2% 441,780 $ 12.9% 940,516 $ 774,740 $ 21.4% Three Months Ended Six Months Ended |
 32 Core Non-Interest Expenses Three months ended June 30, 2013 ($ in thousands) 6/30/13 (1) 6/30/12 % Change 3/31/13 % Change 6/30/13 (1) 6/30/12 3/31/13 Net revenues 500,472 $ 374,407 $ 33.7% 441,788 $ 13.3% 100.0% 100.0% 100.0% Compensation and benefits 294,446 219,004 34.4% 259,135 13.6% 58.8% 58.5% 58.7% Transitional pay (2) 20,867 20,370 2.4% 22,806 (8.5%) 4.2% 5.4% 5.2% Total compensation and benefits 315,313 239,374 31.7% 281,941 11.8% 63.0% 63.9% 63.8% Occupancy and equipment rental 38,306 32,320 18.5% 31,501 21.6% 7.7% 8.6% 7.1% Communication and office supplies 24,604 20,797 18.3% 21,858 12.6% 4.9% 5.6% 4.9% Commissions and floor brokerage 9,616 7,747 24.1% 8,669 10.9% 1.9% 2.1% 2.0% Other operating expenses 38,707 30,295 27.8% 34,127 13.4% 7.7% 8.1% 7.6% Total non-comp operating expenses 111,233 91,159 22.0% 96,155 15.7% 22.2% 24.3% 21.8% Total non-interest expense 426,546 330,533 29.0% 378,096 12.8% 85.2% 88.3% 85.6% Income before income taxes 73,926 43,874 68.5% 63,692 16.1% 14.8% 11.7% 14.4% Provision for income taxes 29,570 17,738 66.7% 23,808 24.2% 5.9% 4.6% 5.4% Non-GAAP net income 44,356 $ 26,136 $ 69.7% 39,884 $ 11.2% 8.9% 7.0% 9.0% Non-core expenses (after-tax) (14,921) - (25,265) GAAP net income 29,435 $ 26,136 $ 14,619 $ Three Months Ended % of Net revenues (1) Excludes non-core adjustments consisting of merger-related revenues and expenses associated with our acquisitions of KBW, the Knight Capital Fixed Income business and Miller Buckfire. (2) Transition pay includes amortization of upfront notes, signing bonuses and retention awards. |
 33 Core Non-Interest Expenses Six months ended June 30, 2013 ($ in thousands) 6/30/13 (1) 6/30/12 % Change 6/30/13 (1) 6/30/12 Net revenues 942,260 $ 774,740 $ 21.6% 100.0% 100.0% Compensation and benefits 555,424 455,336 22.0% 58.9% 58.8% Transitional pay (2) 41,830 38,742 8.0% 4.4% 5.0% Total compensation and benefits 597,254 494,078 20.9% 63.4% 63.8% Occupancy and equipment rental 69,808 63,111 10.6% 7.4% 8.1% Communication and office supplies 46,462 41,170 12.9% 4.9% 5.3% Commissions and floor brokerage 18,285 15,359 19.1% 1.9% 2.0% Other operating expenses 72,833 57,894 25.8% 7.7% 7.5% Total non-comp operating expenses 207,388 177,534 16.8% 22.0% 22.9% Total non-interest expense 804,642 671,612 19.8% 85.4% 86.7% Income before income taxes 137,618 103,128 33.4% 14.6% 13.3% Provision for income taxes 53,378 42,219 26.4% 5.7% 5.3% Non-GAAP net income 84,240 $ 60,909 $ 38.3% 8.9% 7.9% Non-core expenses (after-tax) (40,186) - GAAP net income 44,054 $ 60,909 $ Six Months Ended % of Net revenues (1) Excludes non-core adjustments consisting of a charge related to expensing stock awards issued as retention in connection with the acquisition of KBW and other merger-related revenues and expenses associated with our acquisitions of KBW, the Knight Capital Fixed Income business and Miller Buckfire. (2) Transition pay includes amortization of upfront notes, signing bonuses and retention awards. |
 34 Segment Comparison ($ in thousands) 6/30/13 (1) 6/30/12 % Change 3/31/13 % Change 6/30/13 (1) 6/30/12 % Change Net revenues: Global Wealth Management 282,717 $ 239,300 $ 18.1% 266,957 $ 5.9% 549,674 $ 486,908 $ 12.9% Institutional Group 220,476 136,026 62.1% 176,437 25.0% 396,913 285,270 39.1% Other (2,721) (919) 196.1% (1,606) 69.4% (4,327) 2,562 (268.9%) 500,472 $ 374,407 $ 33.7% 441,788 $ 13.3% 942,260 $ 774,740 $ 21.6% Operating contribution: Global Wealth Management 78,924 $ 61,036 $ 29.3% 69,499 $ 13.6% 148,423 $ 129,914 $ 14.2% Institutional Group 30,059 17,863 68.3% 28,137 6.8% 58,196 41,867 39.0% Other (35,057) (35,025) 0.2% (33,944) 3.4% (69,001) (68,653) 0.6% 73,926 $ 43,874 $ 68.5% 63,692 $ 16.2% 137,618 $ 103,128 $ 33.4% Three Months Ended Six Months Ended (1) Core (non-GAAP) results for the three and six months ended June 30, 2013 are the same as GAAP results. |