SEI Investments Dividend Growth

Dividend Growth Stock Overview: SEI Investments Company

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About SEI Investments Company

SEI Investments provides business and investment services for financial institutions and retirement plan administrators, and manages assets for institutions and high-net-worth families. SEI serves 7,300 clients across the world, and the company has operations on more than 100 exchanges across 46 countries.

The company began business in 1968 when it developed the first computer simulation to train loan officers. In the 1970s, SEI developed an automated trust and investment accounting system to serve banks and asset managers. The company went public in 1981 and since then has continued to develop platforms for financial advisors and financial institutions to manage their clients’ assets. This includes developing business solutions for wealth management companies to better serve their clients, and assisting institutional investors to manage retirement plans. SEI also began managing money for their clients since coming public and currently has $625 billion in assets under management.

SEI Investments identifies their business segments by target market, labeling them as follows: Private Banks, Investment Advisors, Institutional Advisors, and Investment Managers.  The company also has a 5th business segment, Investments in New Businesses, which contributes about 1% of total revenues.

The Private Banks segment is the largest of all the segments, contributing about a third of total revenues.  This segment has relationships with nearly 500 banks, trusts and asset management clients, providing access to SEI’s TRUST 3000 investment processing software and the SEI wealth platform under 3 – 7 year contract terms.

The other three segments – Investment Advisors, Institutional Investors and Investment Managers each contribute about 20% of total revenues.  Each of these segments generate their revenues as a percentage of the assets under management.

The company is a member of the S&P Mid Cap 400 index and S&P’s High Yield Dividend Aristocrats index, and trades under the ticker symbol SEIC.

SEI Investments Company’s Dividend and Stock Split History

SEI Investments has increased its dividend since 1991.  The company pays dividend semi-annually, rather than quarterly, and the record date of the dividends is in the 2nd and 4th quarters of the year.  SEI usually increases the dividend payment in the 4th quarter, with the announcement coming in the middle of December and the stock going ex-dividend right before Christmas.

SEI Investments has compounded its payout at an average rate of 13.4% over the last 5 years and 15.3% over the last 10 years.

Prior to beginning its record of dividend growth in 1991, SEI Investments split its stock twice: 2-for-1 splits occurred in February 1983 and June 1987.  Since then, the company split its stock 4 times.  These splits occurred in June 1993 (2-for-1), June 2000 (2-for-1), March 2001 (3-for-1) and, most recently in June 2007 (2-for-1).  For every share of SEI stock you bought in 1991, you’d now have 24 shares.  Had you invested in SEI prior to February 1983, each share of stock owned then would have split into 96 shares.

SEI Investments Company’s Direct Purchase and Dividend Reinvestment Plans

SEI Investments does not have a direct purchase or a dividend reinvestment plan. In order to invest in the company’s stock, you’ll need to purchase it through a broker. Most brokers will allow you to reinvest dividends without any fee. Ask your broker for more information on how to set this up if you are interested.

Helpful Links

SEI Investments Company’s Investor Relations Website

Current quote and financial summary for SEI Investments Company (finviz.com)