TD Ameritrade gives CEO 9.1 pct pay raise to $6.5 million

Thu Jan 3, 2013 6:34pm EST
 
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NEW YORK Jan 3 (Reuters) - TD Ameritrade Holding Corp awarded Chief Executive Fredric Tomczyk $6.52 million in the company's fiscal-year 2012, a 9.1 percent increase over his compensation the previous year, according to a regulatory filing.

Net income at TD Ameritrade, the biggest discount broker by client trading volume, fell 8.9 percent in its fiscal year ending Sept. 30, to $586 million.

The disclosure was made in the company's proxy filing late Thursday with the Securities and Exchange Commission.

The compensation committee of the Omaha, Nebraska-based company said it based awards to its executives on reaching goals related to trading market share, net new client assets and earnings per share "in the face of extremely difficult operating conditions" in 2012.

TD Ameritrade, whose largest shareholder, Toronto-Dominion Bank, owns about 45 percent of its common stock, increased net new assets from clients at an annualized rate of 11 percent to $41 billion in fiscal 2012 from the previous year.

Its earnings per share fell to $1.06 for the fiscal year from $1.11 in the year-earlier period.

The company, which last month declared a special dividend of 50 cents a share, said in October that despite sluggish trading volume industry-wide, it expects fiscal 2013 earnings generally to beat analysts' expectations.

The brokerage has expanded into options trading and fee-based accounts to supplement its market-sensitive commission business, and last year it reorganized its executive team.

Thomas Bradley, who heads its retail brokerage system and previously ran its business servicing independent investment advisers, received $2.37 million in total compensation, down 3.0 percent from his 2011 pay.   Continued...