SHARE-BASED COMPENSATION

6 Months Ended

Mar. 31, 2023

Share-Based Payment Arrangement [Abstract]

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION

We have one share-based compensation plan, the Amended and Restated 2012 Stock Incentive Plan (“the Plan”), for our employees, directors, and independent contractor financial advisors. On February 23, 2023, our shareholders approved an amendment to the Plan to increase the number of shares available for grant by 18 million. Following this amendment, the Plan authorizes us to grant 96.4 million shares (including the shares available for grant under six predecessor plans).  As of March 31, 2023, 21.0 million shares remained available for grant under the Plan. We may utilize treasury shares for grants under the Plan; though we are also permitted to issue new shares. Our share-based compensation awards are primarily issued during the first quarter of each fiscal year. Our share-based compensation accounting policies are described in Note 2 of our 2022 Form 10-K.  Other information related to our share-based awards is presented in Note 23 of our 2022 Form 10-K.

Restricted stock units

During the three and six months ended March 31, 2023, we granted approximately 203 thousand and 2.1 million RSUs, respectively, with a weighted-average grant-date fair value of $108.39 and $116.75, respectively, compared with approximately 550 thousand and 2.9 million RSUs granted during the three and six months ended March 31, 2022, respectively, with a weighted-average grant-date fair value of $107.06 and $98.86, respectively. For the three and six months ended March 31, 2023, total share-based compensation amortization related to RSUs was $54 million and $130 million, respectively, compared with $41 million and $105 million for the three and six months ended March 31, 2022, respectively.

As of March 31, 2023, there were $430 million of total pre-tax compensation costs not yet recognized (net of estimated forfeitures) related to RSUs, including those granted during the six months ended March 31, 2023. These costs are expected to be recognized over a weighted-average period of 2.8 years.

Restricted stock awards

Restricted stock awards (“RSAs”) were issued as a component of our total purchase consideration for TriState Capital Holdings, Inc. (“TriState Capital”) on June 1, 2022, in accordance with the terms of the acquisition. See Note 23 of our 2022 Form 10-K for further discussion of these awards. For the three and six months ended March 31, 2023 total share-based compensation amortization related to these RSAs was $2 million and $5 million, respectively. As of March 31, 2023, there were $16 million of total pre-tax compensation costs not yet recognized for these RSAs. These costs are expected to be recognized over a weighted-average period of 2.5 years.