The securities services businesses of Citi and JP Morgan achieved another profitable quarter, largely driven by fees and increased client orders.
Revenues at Citi increased 12% year-on-year and 4% quarter-on-quarter to $665 million as a result of increased client volumes and higher net interest revenue.
Meanwhile JP Morgan also saw a 12% increase year-on-year to $1.1 billion, but remained flat from the previous quarter, driven by higher interest rates and deposit growth.
JP Morgan also reported in its quarterly earnings that it recorded higher asset-based fees, driven by client activity and higher market levels.
Assets under custody grew nearly 10% for JP Morgan over the year to $24.2 trillion. Citi’s assets under custody were not disclosed in their results.
In April after JP Morgan’s first quarter results, Jamie DImon, CEO of the bank, said its “multi-year investments in treasury services and securities services are paying off.”