Edward Jones Awards New Chief, Penny Pennington, $11.7 Million
Penny Pennington, the new managing partner of Edward Jones and its parent Jones Financial Cos., received a 10% pay hike to $11.67 million, the biggest U.S. broker by number of advisors said in a regulatory filing.
Pennington, 55, received $11.5 million in cash payments tied to her partnership interest in the St. Louis-based company, which she joined as a broker in 2000. She has been a general partner of the company since 2006.
All of Jones’ 2018 net income of $990 million was reserved for its partners, with $749 million allocated to its elite group of general partners, according to the company’s 10-K annual report filing on Thursday.
Jones as of late February had 455 general partners and 24,761 limited partners, including many of its brokers, according to the filing.
Pennington, who is also the partnership’s chief executive officer, is Jones’ second-highest paid executive, according to the filing. Kevin D. Bastien, 53, who has been chief financial officer since 2009, was paid $13.4 million in 2018 compensation. He has been a general partner since 1998.
The company’s 2018 income rose 13.5% from 2017, on revenue that jumped 12.8% to a record $8.5 billion.
Jones has been rapidly growing its network of small offices across the U.S. and Canada. It ended 2018 with 17,615 financial advisers in 13,828 branches.
The advisor total grew by 9%, or 520, from the end of 2017 while its branch count was up 5%, according to the filing.
Pennington in January succeeded James D. Weddle as Jones’s managing partner. Weddle, a 42-year firm veteran who reached its mandatory retirement age of 65, received $11 million of compensation for 2018. He was paid $11.4 million in 2017, according to the filing.