BUOYANT equity markets and rising fee incomes boosted BNY Mellon’s profits in the first quarter, the US custodian bank reported yesterday.
The bank made a profit of $926m (£550m) in the three-month period, up 12 per cent on the $825m it made in the same period of 2013.
Fee revenues increased one per cent to $2.88bn, though falling net interest revenue kept total revenues flat at $3.65bn.
At the same time the bank slashed non-interest expenses by three per cent to $2.74bn, improving its profits.
Assets under custody increased six per cent on the year to $27.9 trillion, largely reflecting higher asset prices.
And assets under management rose 14 per cent to a record high of $1.62 trillion, on rising asset values and net inflows.
Despite cutting its costs the bank increased its headcount by 3.4 per cent to 51,400 staff.
Its fully phased-in Basel III core capital ratio now stands at 11 per cent.
And its return on common equity came in at 7.4 per cent, up from 5.7 per cent in the previous three-month period.
The bank’s shares held steady on the announcement, edging up by just 0.12 per cent on the day.