Northern Trust’s main corporate and institutional services (C&IS) unit recorded a 2% dip in revenues, though its performance was significantly better than its larger US rivals.
Northern Trust stated it too was affected by unfavourable markets, but managed to partially offset this with new business.
Custody and fund administration revenues were relatively flat in the first quarter at $375.1 million, while investment management fees dropped 5% to $104.3 million, taking total C&IS revenues to $535.2 million.
Total assets under custody increased moderately by 1% to $11 trillion.
“Our balanced business model continued to drive organic fee growth while we maintained our focus on differentiated client service and solutions,” said Michael O’Grady, chairman and CEO, Northern Trust.
While Northern Trust’s revenues were flat for the custody and fund administration business, its larger rivals, BNY Mellon and State Street, reported falls of 7% and 12% respectively in their asset servicing businesses.
Both banks reported the decline was due to challenging industry conditions including fee concessions and lower client activity and flows.