In the ordinary course of business, the Company enters into derivative transactions to manage various risks and to accommodate the business requirements of its customers. The Company recognizes all derivatives on the Consolidated Balance Sheet at fair value in other assets or in other liabilities. On the date the Company enters into a derivative contract, the derivative is designated as either a fair value hedge, cash flow hedge, net investment hedge, or a designation is not made as it is a customer-related transaction, an economic hedge for asset/liability risk management purposes or another stand-alone derivative created through the Company’s operations (“free-standing derivative”). When a derivative is designated as a fair value, cash flow or net investment hedge, the Company performs an assessment, at inception and, at a minimum, quarterly thereafter, to determine the effectiveness of the derivative in offsetting changes in the value or cash flows of the hedged item(s).

Fair Value Hedges These derivatives are interest rate swaps the Company uses to hedge the change in fair value related to interest rate changes of its underlying available-for-sale investment securities and fixed-rate debt. Changes in the fair value of derivatives designated as fair value hedges, and changes in the fair value of the hedged items, are recorded in earnings.

Cash Flow Hedges These derivatives are interest rate swaps the Company uses to hedge the forecasted cash flows from its underlying variable-rate loans and debt. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income (loss) until the cash flows of the hedged items are realized. If a derivative designated as a cash flow hedge is terminated or ceases to be highly effective, the gain or loss in other comprehensive income (loss) is amortized to earnings over the period the forecasted hedged transactions impact earnings. If a hedged forecasted transaction is no longer probable, hedge accounting is ceased and any gain or loss included in other comprehensive income (loss) is reported in earnings immediately, unless the forecasted transaction is at least reasonably possible of occurring, whereby the amounts remain within other comprehensive income (loss). At March 31, 2025, the Company had $297 million (net-of-tax) of realized and unrealized losses on derivatives classified as cash flow hedges recorded in other comprehensive income (loss), compared with $553 million (net-of-tax) of realized and unrealized losses at December 31, 2024. The estimated amount to be reclassified from other comprehensive income (loss) into earnings during the next 12 months is a loss of $152 million (net-of-tax). All cash flow hedges were highly effective for the three months ended March 31, 2025.

Net Investment Hedges The Company uses forward commitments to sell specified amounts of certain foreign currencies, and non-derivative debt instruments, to hedge the volatility of its net investment in foreign operations driven by fluctuations in foreign currency exchange rates. The carrying amount of non-derivative debt instruments designated as net investment hedges was $1.6 billion at March 31, 2025 and $1.3 billion at December 31, 2024.

Other Derivative Positions The Company enters into free-standing derivatives to mitigate interest rate risk and for other risk management purposes. These derivatives include forward commitments to sell TBAs and other commitments to sell residential mortgage loans, which are used to economically hedge the interest rate risk related to MLHFS and unfunded mortgage loan commitments. The Company also enters into interest rate swaps, swaptions, forward commitments to buy TBAs, U.S. Treasury and SOFR futures and options on U.S. Treasury futures to economically hedge the change in the fair value of the Company’s MSRs. The Company enters into foreign currency forwards to economically hedge remeasurement gains and losses the Company recognizes on foreign currency denominated assets and liabilities. The Company also enters into interest rate swaps as economic hedges of fair value option elected deposits and long-term debt. In addition, the Company acts as a seller and buyer of interest rate, foreign

exchange and commodity contracts for its customers. The Company mitigates the market, funding and liquidity risk associated with these customer derivatives by entering into similar offsetting positions with broker-dealers, or on a portfolio basis by entering into other derivative or non-derivative financial instruments that partially or fully offset the exposure to earnings from these customer-related positions. The Company’s customer derivatives and related hedges are monitored and reviewed by the Company’s Market Risk Committee, which establishes policies for market risk management, including exposure limits for each portfolio. The Company also has derivative contracts that are created through its operations, including certain unfunded mortgage loan commitments and swap agreements related to the sale of a portion of its Class B common and preferred shares of Visa Inc. Refer to Note 14 for further information on these swap agreements. The Company uses credit derivatives to economically hedge the credit risk on its derivative positions and loan portfolios.


	March 31, 2025						December 31, 2024
	Notional Value		Fair Value				Notional Value		Fair Value
(Dollars in Millions)			Assets		Liabilities				Assets		Liabilities
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	13,100	$	—	$	—	$	10,600	$	—	$	—
Pay fixed/receive floating swaps	28,279		—		—		29,739		—		—
Cash flow hedges
Interest rate contracts
Receive fixed/pay floating swaps	28,500		—		—		28,550		—		—
Pay fixed/receive floating swaps	1,050		—		—		—		—		—
Net investment hedges
Foreign exchange forward contracts	687		1		—		870		7		—
Other economic hedges
Interest rate contracts
Futures and forwards
Buy	4,923		10		7		5,436		8		30
Sell	2,745		1		9		2,711		10		1
Options
Purchased	6,724		176		—		7,810		186		—
Written	2,672		17		54		1,991		8		47
Receive fixed/pay floating swaps	10,443		78		30		9,977		45		23
Pay fixed/receive floating swaps	2,818		—		—		2,371		—		—
Foreign exchange forward contracts	725		2		1		702		4		4
Equity contracts	288		—		6		293		—		9
Credit contracts	3,298		6		17		3,558		—		29
Other(a)	1,290		7		67		1,084		7		78
Total	$	107,542	$	298	$	191	$	105,692	$	275	$	221

(a)Includes derivative liability swap agreements related to the sale of a portion of the Company’s Class B common and preferred shares of Visa Inc. The Visa swap agreements had a total notional value and fair value of $1.0 billion and $67 million at March 31, 2025, respectively, compared to $1.0 billion and $78 million at December 31, 2024, respectively. In addition, includes short-term underwriting purchase and sale commitments with total notional values of $207 million at March 31, 2025.


	March 31, 2025						December 31, 2024
	Notional Value		Fair Value				Notional Value		Fair Value
(Dollars in Millions)			Assets		Liabilities				Assets		Liabilities
Interest rate contracts
Receive fixed/pay floating swaps	$	404,356	$	877	$	3,260	$	413,841	$	462	$	4,485
Pay fixed/receive floating swaps	364,577		1,703		279		363,837		2,342		153
Other(a)	70,207		17		32		72,503		17		34
Options
Purchased	105,399		366		6		96,238		414		2
Written	90,579		18		488		90,572		12		574
Futures
Buy	1,240		—		—		—		—		—
Sell	301		—		—		—		—		—
Foreign exchange rate contracts
Forwards, spots and swaps	119,520		1,932		1,789		113,718		2,441		2,232
Options
Purchased	790		15		1		497		14		—
Written	790		1		15		497		—		14
Commodity contracts
Swaps	10,972		362		301		8,224		199		180
Options
Purchased	4,953		310		4		3,921		233		2
Written	4,953		2		310		3,921		3		233
Futures
Buy	1		—		—		1		—		—
Sell	249		49		84		166		25		27
Equity contracts	8		—		—		—		—		—
Credit contracts	12,758		—		3		13,670		—		3
Total	$	1,191,653	$	5,652	$	6,572	$	1,181,606	$	6,162	$	7,939


	Three Months Ended March 31
	Gains (Losses) Recognized in Other Comprehensive Income (Loss)				Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings
(Dollars in Millions)	2025		2024		2025		2024
Asset and Liability Management Positions
Cash flow hedges
Interest rate contracts	$	211	$	(255)	$	(45)	$	(36)
Net investment hedges
Foreign exchange forward contracts	(4)		69		—		—
Non-derivative debt instruments	(61)		34		—		—


	Three Months Ended March 31
	Interest Income				Interest Expense
(Dollars in Millions)	2025		2024		2025		2024
Total amount of income and expense line items presented in the Consolidated Statement of Income in which the effects of fair value or cash flow hedges are recorded	$	7,516	$	7,764	$	3,424	$	3,779
Asset and Liability Management Positions
Fair value hedges
Interest rate contract derivatives	(448)		468		(106)		(57)
Hedged items	447		(469)		112		57
Cash flow hedges
Interest rate contract derivatives	(53)		(42)		7		7

Note: The Company does not exclude components from effectiveness testing for fair value and cash flow hedges. The Company reclassified losses of $7 million into earnings during both the three months ended March 31, 2025 and 2024, as a result of realized cash flows on discontinued cash flow hedges. No amounts were reclassified into earnings on discontinued cash flow hedges because it is probable the original hedged forecasted cash flows will not occur.


	Carrying Amount of the Hedged Assets and Liabilities				Cumulative Hedging Adjustment
(Dollars in Millions)	March 31, 2025		December 31, 2024		March 31, 2025		December 31, 2024
Line Item in the Consolidated Balance Sheet
Available-for-sale investment securities(a)	$	28,033	$	29,005	$	(1)	$	(464)
Long-term debt	13,210		10,632		150		39

Note: The table above excludes the cumulative hedging adjustment related to discontinued hedging relationships on available-for-sale investment securities and long-term debt of $(54) million and $(135) million, respectively, at March 31, 2025, compared with $(72) million and $(149) million at December 31, 2024, respectively. The carrying amount of available-for-sale investment securities and long-term debt related to discontinued hedging relationships was $8.1 billion and $14.2 billion, respectively, at March 31, 2025, compared with $6.8 billion and $14.9 billion at December 31, 2024, respectively.

(a)Includes amounts related to available-for-sale investment securities currently designated as the hedged item in a fair value hedge using the portfolio layer method. At March 31, 2025, the amortized cost of the closed portfolios used in these hedging relationships was $19.3 billion, of which $11.1 billion was designated as hedged. At March 31, 2025, the cumulative amount of basis adjustments associated with these hedging relationships was $204 million. At December 31, 2024, the amortized cost of the closed portfolios used in these hedging relationships was $17.5 billion, of which $11.6 billion was designated as hedged. At December 31, 2024, the cumulative amount of basis adjustments associated with these hedging relationships was $13 million.


		Three Months Ended March 31
(Dollars in Millions)	Location of Gains (Losses) Recognized in Earnings	2025		2024
Asset and Liability Management Positions
Other economic hedges
Interest rate contracts
Futures and forwards	Mortgage banking revenue	$	24	$	(12)
Purchased and written options	Mortgage banking revenue	30		39
Swaps	Mortgage banking revenue/Interest expense	56		(86)
Foreign exchange forward contracts	Other noninterest income	2		4
Equity contracts	Compensation expense	(19)		—
Credit contracts	Capital markets revenue	17		(2)
Other	Other noninterest income	—		(75)
Customer-Related Positions
Interest rate contracts
Swaps	Capital markets revenue	35		131
Purchased and written options	Capital markets revenue	12		(47)
Futures	Capital markets revenue	1		—
Foreign exchange rate contracts
Forwards, spots and swaps	Capital markets revenue	48		24
Purchased and written options	Capital markets revenue	1		—
Commodity contracts
Swaps	Capital markets revenue	47		2
Purchased and written options	Capital markets revenue	(1)		2
Futures	Capital markets revenue	(41)		—

Credit contracts	Capital markets revenue	2		(1)

Derivatives are subject to credit risk associated with counterparties to the derivative contracts. The Company measures that credit risk using a credit valuation adjustment and includes it within the fair value of the derivative. The Company manages counterparty credit risk through diversification of its derivative positions among various counterparties, by entering into derivative positions that are centrally cleared through clearinghouses, by entering into master netting arrangements and, where possible, by requiring collateral arrangements. A master netting arrangement allows two counterparties, who have multiple derivative contracts with each other, the ability to net settle amounts under all contracts, including any related collateral, through a single payment and in a single currency. Collateral arrangements generally require the counterparty to deliver collateral (typically cash or U.S. Treasury and agency securities) equal to the Company’s net derivative receivable, subject to minimum transfer and credit rating requirements.