Financial Results
Summary Of Financial Results In North American Banking, Wealth Management – Q4 2024
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A summary of the main North America banks' financial results for the fourth quarter of 2024, and for the full year when disclosed, as they relate to wealth management and private banking.
The results focus on the largest institutions which provide wealth management.
Not all banks report on a calendar year schedule, or on the same day, and not all the institutions are alike, so the results from standalone institutions should be viewed differently from wealth management results embedded within a larger group. These results may be subsequently revised. We hope readers find it useful to see these figures collated in one article and can make a few comparisons. To comment, email tom.burroughes@wealthbriefing.com
Goldman Sachs
The asset and wealth management business arm reported a 16 per
cent year-on-year rise in net revenues to $16.14 billion for the
year ending December 31, 2024. Within a total net revenue figure
of $53.5 billion (rising 16 per cent) for the whole of Goldman
Sachs, some $34.5 billion was in the Americas – or 64 per cent of
the total, $12.25 billion was in Europe, the Middle East and
Africa (23 per cent), and $6.814 billion was in Asia (13 per
cent). The rise in asset and wealth management was mainly caused
by higher equity investment revenues and higher management and
other fees
Citigroup
The wealth arm of Citigroup, which includes its private bank as
well as the Wealth at Work and Citigold business lines, reported
fourth-quarter 2024 net income of $334 million, up from $21
million a year before. For 2024, it stood at $1 billion, rising
139 per cent year-on-year. Revenues at the wealth business rose
20 per cent year-on-year to $2 billion; in 2024, they rose 7 per
cent to $7.512 billion. Total operating costs fell 3 per cent to
$1.57 billion on a year ago. Net credit losses fell 3 per cent to
$30 million. Private bank revenues rose 9 per cent year-on-year
to $590 million, mainly as a result of higher deposit spreads and
higher investment fee revenues, partly offset by higher mortgage
funding costs.
Morgan Stanley
The wealth management arm reported a rise in net revenues for the
fourth quarter of 2024 and the whole of that year. Q4 revenue
rose to $7.478 billion from $6.645 billion a year before. For
2024, net revenue rose to $28.42 billion from £26.268 billion.
Fee-based client assets stood at $2.347 trillion at the end of
December 2024, from $1.983 trillion a year before. Net new assets
rose to $56.5 billion in Q4 2024, up from $47.5 billion a year
earlier. For all of 2024, net new assets were $251 billion, down
from $282 billion in 2023.
Bank of America
The global wealth and investment management arm logged a
year-on-year gain in net income at $1.171 billion in the fourth
quarter of 2024, driven by a rise in net revenue of $6 billion
from $5.23 billion a year earlier. Noninterest expenses in its
wealth and investment business rose to $4.438 billion from $3.894
billion. There was a small ($3 million) provision against credit
losses, against a net $26 benefit in Q4 2023. The rise in revenue
was driven by a 23 per cent rise in asset management fees. Total
client balances rose 12 per cent to $4.3 trillion; in Q4, assets
under management flows were $22 billion, with $79 billion since
the fourth quarter of 2023.
Inside its Bank of America Private Bank, AuM balances stood at $404 billion; and total client balances were $674 billion, with 720 net new relationships added in Q4 2024. The Merrill Wealth Management business held $1.5 trillion in AuM balances, and 3,900 net new households were added in the last quarter.
BNY
The market and wealth services arm logged a 28 per cent
year-on-year rise in pre-tax income in the fourth quarter of
2024, reaching $806 million. This was driven by a rise in total
revenue from $1.496 billion to $1.667 billion. Noninterest
expense rose slightly on a year ago, to $852 million in Q4 2024.
Within its business lines, the Pershing business reported a 5 per cent rise in total revenue to $705 million. The rise in Pershing’s revenue stemmed from higher market values and client activity, partly offset by a drop in net interest income. Inside its securities services business segments, total investment services fees rose 6 per cent year-on-year to $1.34 billion. Pre-tax income surged 39 per cent to $643 million. At the end of 2024, assets under custody/administration stood at $37.7 trillion, a rise of 10 per cent from the end of 2023.
Wells Fargo
Its wealth and investment management business, which includes its
private banking arm, reported net income in the fourth quarter of
2024 of $508 million, up from $491 million a year before. Total
revenue in this part of the California-headquartered bank was
driven by revenues of $3.958 billion in Q4, versus $3.66 billion
a year earlier. Noninterest costs rose 9 per cent year-on-year to
$3.307 billion. Provision for credit losses widened to $27
million from $19 million. Total client assets stood at $2.293
trillion at the end of December 2024, up from $2.084 trillion a
year earlier.
Northern Trust
Net income at Northern Trust rose sharply in Q4 2024 to
$455.4 million vs $113.1 million a year earlier. Total revenue
dipped to $1.97 billion from $1.975 billion. Trust, investment
and other servicing fees rose on a year earlier. Total assets
under management rose 12 per cent at the end of 2024 from a year
before, reaching $1.61 trillion. Within that figure, wealth
management AuM was $450.7 billion, up 12 per cent; asset
servicing AuM rose to $1.159 trillion, also up 12 per cent.