Loans

3 Months Ended

Mar. 31, 2026

Amounts outstanding for Loans, by segment and class, are shown in the following table.

TABLE 39: LOANS


(In Millions)	MARCH 31, 2026		DECEMBER 31, 2025
Commercial(1)
Commercial and Institutional	$	6,569.0	$	6,595.3
Commercial Real Estate	5,157.8		5,272.2
Subscription Finance	4,020.1		3,603.4
Fund Finance	1,483.8		1,357.7
Other	3,448.1		3,602.4
Total Commercial	20,678.8		20,431.0
Personal(2)
Private Client	15,659.7		15,169.3
Residential Real Estate	6,004.5		6,121.0
Other	162.5		227.0
Total Personal	21,826.7		21,517.3
Total Loans	$	42,505.5	$	41,948.3

(1) Commercial loans include $2.3 billion and $2.2 billion of Non-U.S. exposure as of March 31, 2026, and December 31, 2025, respectively.

(2) Personal loans include $687.0 million and $657.4 million of Non-U.S. exposure as of March 31, 2026, and December 31, 2025, respectively.

As of January 1, 2026, Northern Trust refined the presentation of its commercial loan segment to enhance the alignment of segment reporting with business needs, risk characteristics, and management’s approach to monitoring and managing credit performance. As part of this refinement, Subscription Finance and Fund Finance were introduced as separate loan classes. Subscription Finance includes loans to private equity funds that are secured by investors’ contractual commitments to fund capital calls. Fund Finance includes loans and credit lines to all other collective investment funds and to investment managers primarily established for short-term liquidity needs. Fund Finance borrowers generally maintain highly diversified portfolios of liquid securities. Prior period disclosures have been revised to conform to the current period presentation.

Residential real estate loans consist of traditional first lien mortgages and equity credit lines that generally require a loan-to-collateral value of 65% to 80% at inception. Northern Trust’s equity credit line products generally have draw periods of up to 10 years and a balloon payment of any outstanding balance due at maturity. Payments are interest-only with variable interest rates. Northern Trust does not offer equity credit lines that include an option to convert the outstanding balance to an amortizing payment loan. As of March 31, 2026 and December 31, 2025, equity credit lines totaled $273.4 million and $294.0 million, respectively, and equity credit lines for which first liens were held by Northern Trust represented 98% and 96% of the total equity credit lines, respectively.

Short term advances, primarily related to the processing of custodied client investments, totaled $4.4 billion and $4.5 billion at March 31, 2026 and December 31, 2025, respectively. Demand deposit overdrafts reclassified as loan balances, primarily in the other personal class, totaled $5.8 million and $12.0 million as of March 31, 2026 and December 31, 2025, respectively.

Loans classified as held for sale are recorded at the lower of cost or fair value. There were $10.0 million and $6.8 million in loans classified as held for sale as of March 31, 2026 and December 31, 2025, respectively. Loans sold for the three months ended March 31, 2026 totaled $22.9 million. There were no loans sold for the three months ended March 31, 2025.

Credit Quality Indicators. Credit quality indicators are statistics, measurements or other metrics that provide information regarding the relative credit risk of loans. Northern Trust uses a variety of credit quality indicators to assess the credit risk of loans at the segment, class, and individual credit exposure levels.

As part of its credit process, Northern Trust utilizes an internal borrower risk rating system to support identification, approval, and monitoring of credit risk. Borrower risk ratings are used in credit underwriting and management reporting. Risk ratings are used for ranking the credit risk of borrowers and their PD. Each borrower is rated using one of a number of ratings models or subjective assessment tools, which consider both quantitative and qualitative factors. The ratings models vary among classes of loans in order to capture the unique risk characteristics inherent within each particular type of credit exposure. Provided below are the more significant performance indicator attributes considered within Northern Trust’s borrower ratings models, by loan class:

•Commercial and Institutional: cash flow leverage, profit margin, liquidity, balance sheet leverage;

•Commercial Real Estate: debt service coverage, collateral coverage, debt yield, leasing status, guarantor support;

•Subscription Finance: leverage, return volatility, liquidity, asset quality, and capital levels;

•Fund Finance: leverage, return volatility, liquidity, asset quality, and capital levels;

•Commercial - Other: cash flow leverage, profit margin, liquidity, balance sheet leverage, type of collateral, and collateral coverage;

•Residential Real Estate: payment history, credit bureau scores, collateral coverage;

•Private Client: cash-flow-to-debt and net worth ratios, leverage, type of collateral, collateral coverage; and

•Personal - Other: debt to income metrics, income amounts, sources of income, type of collateral, collateral coverage.

While the criteria vary by model, the objective is for the borrower ratings to be consistent in both the measurement and ranking of risk. Each model is calibrated to a master rating scale to support this consistency. Ratings for borrowers not in default range from “1” for the strongest credits to “7” for the weakest non-defaulted credits. Ratings of “8” or “9” are used for defaulted borrowers. Borrower risk ratings are monitored and are revised when events or circumstances indicate a change is required. Risk ratings are generally validated at least annually.

Loan segment and class balances as of March 31, 2026 and December 31, 2025 are provided in the following table, segregated by borrower ratings into “1 to 3,” “4 to 5” and “6 to 9” (watch list, including accrual and nonaccrual status) categories by year of origination at amortized cost basis. Loans that are held for investment are reported at the principal amount outstanding, net of unearned income.

TABLE 40: CREDIT QUALITY INDICATOR AT AMORTIZED COST BASIS BY ORIGINATION YEAR


March 31, 2026	TERM LOANS												REVOLVING LOANS		REVOLVING LOANS CONVERTED TO TERM LOANS
(In Millions)	2026		2025		2024		2023		2022		PRIOR						TOTAL
Commercial
Commercial and Institutional
Risk Rating:
1 to 3 Category	$	31.9	$	419.8	$	426.6	$	86.9	$	101.2	$	208.5	$	1,227.5	$	57.5	$	2,559.9
4 to 5 Category	112.3		599.4		647.9		307.6		241.0		259.4		1,582.2		37.6		3,787.4
6 to 9 Category	—		26.2		15.4		45.5		31.4		8.5		80.2		14.5		221.7
Total Commercial and Institutional	144.2		1,045.4		1,089.9		440.0		373.6		476.4		2,889.9		109.6		6,569.0
C&I Gross Charge-offs	—		—		—		—		—		(0.4)		—		—		(0.4)
Commercial Real Estate
Risk Rating:
1 to 3 Category	51.5		175.5		108.2		73.1		53.5		160.0		10.3		—		632.1
4 to 5 Category	74.2		940.0		599.6		1,222.1		769.2		549.3		190.6		22.9		4,367.9
6 to 9 Category	—		71.9		32.0		15.1		38.4		0.4		—		—		157.8
Total Commercial Real Estate	125.7		1,187.4		739.8		1,310.3		861.1		709.7		200.9		22.9		5,157.8

Subscription Finance
Risk Rating:
1 to 3 Category	212.7		45.0		79.0		11.6		—		70.3		3,123.4		—		3,542.0
4 to 5 Category	1.6		0.5		—		12.4		—		—		463.6		—		478.1

Total Subscription Finance	214.3		45.5		79.0		24.0		—		70.3		3,587.0		—		4,020.1

Fund Finance
Risk Rating:
1 to 3 Category	347.4		19.9		17.2		0.4		22.4		31.9		427.6		—		866.8
4 to 5 Category	476.1		8.6		—		—		—		—		132.3		—		617.0

Total Fund Finance	823.5		28.5		17.2		0.4		22.4		31.9		559.9		—		1,483.8


Other
Risk Rating:
1 to 3 Category	1,764.6		—		—		—		—		20.0		—		—		1,784.6
4 to 5 Category	1,387.3		—		—		—		—		275.3		—		—		1,662.6
6 to 9 Category	0.9		—		—		—		—		—		—		—		0.9
Total Other	3,152.8		—		—		—		—		295.3		—		—		3,448.1

Total Commercial	4,460.5		2,306.8		1,925.9		1,774.7		1,257.1		1,583.6		7,237.7		132.5		20,678.8
Commercial Gross Charge-offs	—		—		—		—		—		(0.4)		—		—		(0.4)
Personal
Private Client
Risk Rating:
1 to 3 Category	32.1		166.5		166.6		102.7		59.5		55.8		6,082.4		117.5		6,783.1
4 to 5 Category	148.1		456.8		507.9		119.4		301.3		204.0		6,653.2		424.5		8,815.2
6 to 9 Category	—		22.3		7.5		15.1		—		—		16.5		—		61.4
Total Private Client	180.2		645.6		682.0		237.2		360.8		259.8		12,752.1		542.0		15,659.7

Residential Real Estate
Risk Rating:
1 to 3 Category	37.9		348.9		108.6		118.6		328.9		1,290.2		235.0		—		2,468.1
4 to 5 Category	50.2		263.4		274.4		219.6		573.9		1,868.2		196.6		1.7		3,448.0
6 to 9 Category	—		1.0		—		0.9		8.2		64.1		14.2		—		88.4
Total Residential Real Estate	88.1		613.3		383.0		339.1		911.0		3,222.5		445.8		1.7		6,004.5


Other
Risk Rating:
1 to 3 Category	76.7		—		—		—		—		—		—		—		76.7
4 to 5 Category	85.8		—		—		—		—		—		—		—		85.8

Total Other	162.5		—		—		—		—		—		—		—		162.5

Total Personal	430.8		1,258.9		1,065.0		576.3		1,271.8		3,482.3		13,197.9		543.7		21,826.7

Total Loans	$	4,891.3	$	3,565.7	$	2,990.9	$	2,351.0	$	2,528.9	$	5,065.9	$	20,435.6	$	676.2	$	42,505.5
Total Loans Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	(0.4)	$	—	$	—	$	(0.4)


December 31, 2025	TERM LOANS												REVOLVING LOANS		REVOLVING LOANS CONVERTED TO TERM LOANS
(In Millions)	2025		2024		2023		2022		2021		PRIOR						TOTAL
Commercial
Commercial and Institutional
Risk Rating:
1 to 3 Category	$	276.9	$	425.1	$	87.8	$	205.4	$	111.8	$	149.5	$	1,205.7	$	57.6	$	2,519.8
4 to 5 Category	561.4		661.5		353.9		263.7		219.0		116.6		1,566.1		35.7		3,777.9
6 to 9 Category	88.8		19.9		50.3		46.2		21.9		2.7		57.5		10.3		297.6
Total Commercial and Institutional	927.1		1,106.5		492.0		515.3		352.7		268.8		2,829.3		103.6		6,595.3
C&I Gross Charge-offs	—		—		—		—		—		(1.4)		—		—		(1.4)
Commercial Real Estate
Risk Rating:
1 to 3 Category	118.5		98.7		80.8		52.6		157.3		20.8		37.9		—		566.6
4 to 5 Category	946.7		654.8		1,325.1		831.4		404.3		198.7		195.1		22.9		4,579.0
6 to 9 Category	71.9		2.0		6.8		45.5		—		0.4		—		—		126.6
Total Commercial Real Estate	1,137.1		755.5		1,412.7		929.5		561.6		219.9		233.0		22.9		5,272.2
CRE Gross Charge-offs	—		—		—		(2.1)		—		—		—		—		(2.1)
Subscription Finance
Risk Rating:
1 to 3 Category	281.3		68.0		15.4		—		—		74.9		2,879.3		—		3,318.9
4 to 5 Category	—		—		16.1		—		—		—		268.4		—		284.5

Total Subscription Finance	281.3		68.0		31.5		—		—		74.9		3,147.7		—		3,603.4

Fund Finance
Risk Rating:
1 to 3 Category	322.6		—		—		14.9		—		37.6		443.7		—		818.8
4 to 5 Category	404.3		—		0.4		—		—		—		134.2		—		538.9

Total Fund Finance	726.9		—		0.4		14.9		—		37.6		577.9		—		1,357.7

Other
Risk Rating:
1 to 3 Category	1,886.3		51.2		—		—		—		—		24.4		—		1,961.9
4 to 5 Category	1,440.3		18.6		—		—		—		173.6		7.0		—		1,639.5
6 to 9 Category	1.0		—		—		—		—		—		—		—		1.0
Total Other	3,327.6		69.8		—		—		—		173.6		31.4		—		3,602.4

Total Commercial	6,400.0		1,999.8		1,936.6		1,459.7		914.3		774.8		6,819.3		126.5		20,431.0
Commercial Gross Charge-offs	—		—		—		(2.1)		—		(1.4)		—		—		(3.5)
Personal
Private Client
Risk Rating:
1 to 3 Category	149.9		130.7		133.0		58.7		47.2		44.6		5,813.0		38.7		6,415.8
4 to 5 Category	429.2		581.0		141.7		313.5		151.0		184.2		6,350.9		547.9		8,699.4
6 to 9 Category	22.6		7.6		15.2		—		—		—		8.7		—		54.1
Total Private Client	601.7		719.3		289.9		372.2		198.2		228.8		12,172.6		586.6		15,169.3
Private Client Gross Charge-offs	—		—		—		—		—		(0.1)		—		—		(0.1)
Residential Real Estate (RRE)
Risk Rating:
1 to 3 Category	357.1		138.7		131.8		343.3		334.6		993.2		232.3		—		2,531.0
4 to 5 Category	256.2		264.2		232.1		576.3		658.6		1,313.0		194.3		1.9		3,496.6
6 to 9 Category	1.0		—		0.9		8.1		31.3		31.6		20.5		—		93.4
Total Residential Real Estate	614.3		402.9		364.8		927.7		1,024.5		2,337.8		447.1		1.9		6,121.0
RRE Gross Charge-offs	—		—		—		—		—		(0.1)		—		—		(0.1)
Other
Risk Rating:
1 to 3 Category	86.0		—		—		—		—		—		—		—		86.0
4 to 5 Category	141.0		—		—		—		—		—		—		—		141.0
Total Other	227.0		—		—		—		—		—		—		—		227.0
Other Gross Charge-offs	(0.2)		—		—		—		—		—		—		—		(0.2)
Total Personal	1,443.0		1,122.2		654.7		1,299.9		1,222.7		2,566.6		12,619.7		588.5		21,517.3
Personal Gross Charge-Offs	(0.2)		—		—		—		—		(0.2)		—		—		(0.4)
Total Loans	$	7,843.0	$	3,122.0	$	2,591.3	$	2,759.6	$	2,137.0	$	3,341.4	$	19,439.0	$	715.0	$	41,948.3
Total Loans Gross Charge-Offs	$	(0.2)	$	—	$	—	$	(2.1)	$	—	$	(1.6)	$	—	$	—	$	(3.9)

Past Due Status. Past due status is based on the length of time from the contractual due date a principal or interest payment has been past due. For disclosure purposes, loans that are 29 days past due or less are reported as current.

The following table provides balances and delinquency status of accrual and nonaccrual loans by segment and class as of March 31, 2026 and December 31, 2025.

TABLE 41: DELINQUENCY STATUS


	ACCRUAL														NONACCRUAL WITH NO ALLOWANCE
(In Millions)	CURRENT		30 – 59 DAYS PAST DUE		60 – 89 DAYS PAST DUE		90 DAYS OR MORE PAST DUE		TOTAL ACCRUAL		NONACCRUAL		TOTAL LOANS
March 31, 2026
Commercial
Commercial and Institutional	$	6,522.4	$	17.2	$	2.0	$	0.5	$	6,542.1	$	26.9	$	6,569.0	$	2.7
Commercial Real Estate	5,106.8		13.2		1.1		34.4		5,155.5		2.3		5,157.8		2.3
Subscription Finance	4,017.7		2.4		—		—		4,020.1		—		4,020.1		—
Fund Finance	1,483.5		0.3		—		—		1,483.8		—		1,483.8		—
Other	3,447.6		—		—		—		3,447.6		0.5		3,448.1		—
Total Commercial	20,578.0		33.1		3.1		34.9		20,649.1		29.7		20,678.8		5.0
Personal
Private Client	15,505.1		121.9		20.2		6.2		15,653.4		6.3		15,659.7		—
Residential Real Estate	5,964.0		20.4		0.5		0.6		5,985.5		19.0		6,004.5		17.9
Other	162.5		—		—		—		162.5		—		162.5		—
Total Personal	21,631.6		142.3		20.7		6.8		21,801.4		25.3		21,826.7		17.9
Total Loans	$	42,209.6	$	175.4	$	23.8	$	41.7	$	42,450.5	$	55.0	$	42,505.5	$	22.9


	ACCRUAL														NONACCRUAL WITH NO ALLOWANCE
(In Millions)	CURRENT		30 – 59 DAYS PAST DUE		60 – 89 DAYS PAST DUE		90 DAYS OR MORE PAST DUE		TOTAL ACCRUAL		NONACCRUAL		TOTAL LOANS
December 31, 2025
Commercial
Commercial and Institutional	$	6,509.6	$	39.2	$	0.8	$	6.0	$	6,555.6	$	39.7	$	6,595.3	$	21.3
Commercial Real Estate	5,222.1		37.3		3.6		9.2		5,272.2		—		5,272.2		—
Subscription Finance	3,562.4		41.0		—		—		3,603.4		—		3,603.4		—
Fund Finance	1,354.4		—		—		3.3		1,357.7		—		1,357.7		—
Other	3,601.8		—		—		—		3,601.8		0.6		3,602.4		—
Total Commercial	20,250.3		117.5		4.4		18.5		20,390.7		40.3		20,431.0		21.3
Personal
Private Client	15,022.2		128.8		8.5		3.1		15,162.6		6.7		15,169.3		—
Residential Real Estate	6,050.7		11.7		25.5		3.4		6,091.3		29.7		6,121.0		26.9
Other	227.0		—		—		—		227.0		—		227.0		—
Total Personal	21,299.9		140.5		34.0		6.5		21,480.9		36.4		21,517.3		26.9
Total Loans	$	41,550.2	$	258.0	$	38.4	$	25.0	$	41,871.6	$	76.7	$	41,948.3	$	48.2

Interest income that would have been recorded for nonaccrual loans in accordance with their original terms was $0.9 million and $0.6 million for the three months ended March 31, 2026, and 2025, respectively.

Northern Trust may obtain physical possession of real estate via foreclosure or an in-substance repossession. As of March 31, 2026 and December 31, 2025, Northern Trust did not hold any foreclosed real estate properties as a result of obtaining physical possession. As of March 31, 2026 and December 31, 2025, Northern Trust had loans with a carrying value of $6.0 million and $7.9 million, respectively, for which formal foreclosure proceedings were in process.

Loan Modifications to Borrowers Experiencing Financial Difficulty

Northern Trust may provide payment relief by modifying the terms of the original loans for borrowers experiencing financial difficulties. Loan modifications to borrowers experiencing financial difficulty involve primarily extension of term, deferrals of principal and interest, interest rate concessions, and other modifications or a combination thereof, and totaled $7.7 million and $13.8 million for the three months ended March 31, 2026 and March 31, 2025, respectively. Northern Trust considers payment deferrals of less than 90 days as insignificant, absent any material modifications to other loan terms.

The effectiveness of Northern Trust’s modification efforts is measured by the loans’ respective past-due status under the modified terms as of the end of the period. As of March 31, 2026, of loans that were modified in the previous 12 months, there were no loans 30-89 days past due and $19.0 million past due 90 days or more. As of March 31, 2025, there were no loans that were past due and modified in the previous 12 months. All modification to borrowers experiencing financial difficulty continue to be reported as non-accrual loans until the requirements for returning to performing status are met. There were no charge-offs related to modifications to borrowers experiencing financial difficulty that had been modified in the last 12 month for the three months ended March 31, 2026 and 2025.

There were no undrawn loan commitments or standby letters of credit issued to financially distressed borrowers for which Northern Trust has modified the payment terms of the loans as of March 31, 2026 and December 31, 2025.