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Noninterest Income (Tables)

12 Months Ended

Dec. 31, 2020

Revenue from Contract with Customer [Abstract]

Included below is a summary of noninterest income for the years ended December 31, 2020, 2019 and 2018:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Noninterest income:
Gains on investment securities, net	$	420,752	$	134,670	$	88,094
Gains on equity warrant assets, net	237,428		138,078		89,142
Client investment fees	132,200		182,068		130,360
Foreign exchange fees	178,733		159,262		138,812
Credit card fees	97,737		118,719		94,072
Deposit service charges	90,336		89,200		76,097
Lending related fees	57,533		49,920		41,949
Letters of credit and standby letters of credit fees	46,659		42,669		34,600
Investment banking revenue	413,985		195,177		—
Commissions	66,640		56,346		—
Other	98,145		55,370		51,858
Total noninterest income	$	1,840,148	$	1,221,479	$	744,984

Summary of Gains and Losses on Investment Securities

The following table presents the net gains and losses on non-marketable and other equity securities in 2020, 2019 and 2018 as recorded in the line item “Gains on investment securities, net," a component of noninterest income:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Net gains (losses) on non-marketable and other equity securities:
Non-marketable securities (fair value accounting):
Consolidated venture capital and private equity fund investments	$	32,439	$	22,507	$	20,999
Unconsolidated venture capital and private equity fund investments	59,909		31,482		39,075
Other investments without a readily determinable fair value	253		2,742		3,206
Other equity securities in public companies (fair value accounting)	104,865		7,772		(25,483)
Non-marketable securities (equity method accounting):
Venture capital and private equity fund investments	161,828		73,813		49,341
Debt funds	(403)		1,647		541
Other investments	696		(1,388)		1,155
Total net gains on non-marketable and other equity securities	$	359,587	$	138,575	$	88,834



Less: realized net gains (losses) on sales of non-marketable and other equity securities	23,344		4,744		(26,097)
Net gains on non-marketable and other equity securities still held	$	336,243	$	133,831	$	114,931

A summary of gains and losses on investment securities for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Gains on non-marketable and other equity securities, net	$	359,587	$	138,575	$	88,834
Gains (losses) on sales of available-for-sale debt securities, net	61,165		(3,905)		(740)
Total gains on investment securities, net	$	420,752	$	134,670	$	88,094

Components of Gains on Equity Warrant Assets

A summary of net gains on equity warrant assets for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Equity warrant assets:
Gains on exercises, net	$	179,648	$	107,168	$	58,186
Terminations	(1,948)		(3,502)		(5,964)
Changes in fair value, net	59,728		34,412		36,920
Total net gains on equity warrant assets	$	237,428	$	138,078	$	89,142

Components of Asset Management Fees

A summary of client investment fees by instrument type for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Client investment fees by type:
Sweep money market fees	$	74,176	$	104,236	$	75,654
Asset management fees (1)	42,768		28,665		23,882
Repurchase agreement fees	15,256		49,167		30,824
Total client investment fees (2)	$	132,200	$	182,068	$	130,360

(1)Represents fees earned from investments in third-party money market mutual funds and fixed-income securities managed by SVB Asset Management.

(2)Represents fees earned on client investment funds which are maintained at third-party financial institutions and are not recorded on our balance sheet.

Components of Foreign Exchange Fees

A summary of foreign exchange fee income by instrument type for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Foreign exchange fees by instrument type:
Spot contract commissions	$	157,852	$	145,915	$	127,459
Forward contract commissions	19,849		13,068		10,940
Option premium fees	1,032		279		413
Total foreign exchange fees	$	178,733	$	159,262	$	138,812

Components of Credit Card Fees

A summary of credit card fees by instrument type for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Credit card fees by instrument type:
Card interchange fees, net	$	75,562	$	93,553	$	74,381
Merchant service fees	17,732		18,355		14,420
Card service fees	4,443		6,811		5,271
Total credit card fees	$	97,737	$	118,719	$	94,072

Components of Lending Related Fees

A summary of lending related fees by instrument type for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Lending related fees by instrument type:
Unused commitment fees	$	42,399	$	34,829	$	32,452
Other	15,134		15,091		9,497
Total lending related fees	$	57,533	$	49,920	$	41,949

Schedule of Investment Banking Revenue

A summary of investment banking revenue by instrument type for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Investment banking revenue:
Underwriting fees	$	352,951	$	153,306	$	—
Advisory fees	40,006		37,846		—
Private placements and other	21,028		4,025		—
Total investment banking revenue	$	413,985	$	195,177	$	—

Summary of Other Noninterest Income

A summary of other noninterest income by instrument type for 2020, 2019 and 2018 is as follows:


	Year ended December 31,
(Dollars in thousands)	2020		2019		2018
Other noninterest income by instrument type:
Fund management fees	$	38,960	$	32,522	$	23,016
Net (losses) gains on revaluation of foreign currency instruments, net of foreign exchange forward contracts (1)	(926)		345		666
Losses on extinguishment of debt	—		(8,960)		—
Gains from conversion of convertible debt options	30,018		—		—
Other service revenue	30,093		31,463		28,176
Total other noninterest income	$	98,145	$	55,370	$	51,858

(1)Represents the net revaluation of client and internal foreign currency denominated financial instruments. We enter into foreign exchange forward contracts to economically reduce our foreign exchange exposure related to client and internal foreign currency denominated financial instruments.

Disaggregation of Revenue

The following tables present our revenues from contracts with customers disaggregated by revenue source and segment for the years ended December 31, 2020, 2019, and 2018:


Year ended December 31, 2020	Global Commercial Bank (2)		SVB Private Bank		SVB Capital (2)		SVB Leerink (2)		Other Items		Total
(Dollars in thousands)
Revenue from contracts with customers:
Client investment fees	$	129,378	$	2,822	$	—	$	—	$	—	$	132,200
Spot contract commissions	156,725		544		—		—		583		157,852
Card interchange fees, gross	128,239		23		—		—		1,545		129,807
Merchant service fees	17,732		—		—		—		—		17,732
Deposit service charges	89,565		81		—		—		690		90,336
Investment banking revenue	—		—		—		413,985		—		413,985
Commissions	—		—		—		66,640		—		66,640
Fund management fees	—		—		32,233		6,727		—		38,960
Performance fees	—		—		3,601		—		—		3,601
Correspondent bank rebates	5,729		—		—		—		—		5,729
Total revenue from contracts with customers	$	527,368	$	3,470	$	35,834	$	487,352	$	2,818	$	1,056,842








Revenues outside the scope of ASC 606 (1)	78,365		66		190,120		8,624		506,131		783,306
Total noninterest income	$	605,733	$	3,536	$	225,954	$	495,976	$	508,949	$	1,840,148

(1)Amounts are accounted for under separate guidance than ASC 606.

(2)Global Commercial Bank’s, SVB Capital’s and SVB Leerink's components of noninterest income are shown net of noncontrolling interests. Noncontrolling interest is included within “Other Items."


Year ended December 31, 2019	Global Commercial Bank (2)		SVB Private Bank		SVB Capital (2)		SVB Leerink (2)		Other Items		Total
(Dollars in thousands)
Revenue from contracts with customers:
Client investment fees	$	180,152	$	1,916	$	—	$	—	$	—	$	182,068
Spot contract commissions	144,930		510		—		—		475		145,915
Card interchange fees, gross	154,197		—		—		—		756		154,953
Merchant service fees	18,355		—		—		—		—		18,355
Deposit service charges	88,136		137		—		—		927		89,200
Investment banking revenue	—		—		—		195,177		—		195,177
Commissions	—		—		—		56,346		—		56,346
Fund management fees	—		—		26,850		5,672		—		32,522
Correspondent bank rebates	6,415		—		—		—		—		6,415
Total revenue from contracts with customers	$	592,185	$	2,563	$	26,850	$	257,195	$	2,158	$	880,951








Revenues outside the scope of ASC 606 (1)	45,737		803		95,544		7,321		191,123		340,528
Total noninterest income	$	637,922	$	3,366	$	122,394	$	264,516	$	193,281	$	1,221,479

(1)Amounts are accounted for under separate guidance than ASC 606.


Year ended December 31, 2018	Global Commercial Bank (2)		SVB Private Bank		SVB Capital (2)		Other Items		Total
(Dollars in thousands)
Revenue from contracts with customers:
Client investment fees (3)	$	128,834	$	1,526	$	—	$	—	$	130,360
Spot contract commissions	126,445		691		—		323		127,459
Card interchange fees, gross	134,074		—		—		428		134,502
Merchant service fees	14,415		4		—		1		14,420
Deposit service charges	74,348		108		—		1,641		76,097
Fund management fees	—		—		23,016		—		23,016
Correspondent bank rebates	5,802		—		—		—		5,802
Total revenue from contracts with customers	$	483,918	$	2,329	$	23,016	$	2,393	$	511,656








Revenues outside the scope of ASC 606 (1)	36,384		(48)		78,165		118,827		233,328
Total noninterest income	$	520,302	$	2,281	$	101,181	$	121,220	$	744,984

(1)Amounts are accounted for under separate guidance than ASC 606.

(2)Global Commercial Bank’s and SVB Capital’s components of noninterest income are shown net of noncontrolling interests. Noncontrolling interest is included within “Other Items."