Line of Business Information

6 Months Ended

Jun. 30, 2020

Segment Reporting [Abstract]

Line of Business Information

 Line of Business Information

Our operations are organized into two lines of business: Investment Servicing and Investment Management, which are defined based on products and services provided. The results of operations for these lines of business are not necessarily comparable with those of other companies, including companies in the financial services industry. For information about our two lines of business, as well as revenues, expenses and capital allocation methodologies associated with them, refer to pages 170 to 171 in Note 24 to the consolidated financial statements included under Item 8, Financial Statements and Supplementary Data, in our 2019 Form 10-K.

The following is a summary of our line of business results for the periods indicated. The "Other" columns represent costs incurred that are not allocated to a specific line of business, including certain severance and restructuring costs, acquisition costs and certain provisions for legal contingencies.

	Three Months Ended June 30,
	Investment Servicing						Investment Management						Other						Total
(Dollars in millions)	2020			2019			2020			2019			2020			2019			2020			2019
Servicing fees	$	1,272		$	1,252		$	—		$	—		$	—		$	—		$	1,272		$	1,252
Management fees	—			—			425			441			—			—			425			441
Foreign exchange trading services	312			240			32			33			—			—			344			273
Securities finance	88			122			4			4			—			—			92			126
Software and processing fees	229			163			16			5			—			—			245			168
Total fee revenue	1,901			1,777			477			483			—			—			2,378			2,260
Net interest income	571			623			(12		)	(10		)	—			—			559			613
Total revenue	2,472			2,400			465			473			—			—			2,937			2,873
Provision for loan losses	52			1			—			—			—			—			52			1
Total expenses	1,717			1,765			353			377			12			12			2,082			2,154
Income before income tax expense	$	703		$	634		$	112		$	96		$	(12	)	$	(12	)	$	803		$	718
Pre-tax margin	28		%	26		%	24		%	20		%							27		%	25		%

	Six Months Ended June 30,
	Investment Servicing						Investment Management						Other						Total
(Dollars in millions)	2020			2019			2020			2019			2020			2019			2020			2019
Servicing fees	$	2,559		$	2,503		$	—		$	—		$	—		$	—		$	2,559		$	2,503
Management fees	—			—			874			861			—			—			874			861
Foreign exchange trading services	746			486			57			67			—			—			803			553
Securities finance	177			239			7			5			—			—			184			244
Software and processing fees	366			343			(9		)	16			—			—			357			359
Total fee revenue	3,848			3,571			929			949			—			—			4,777			4,520
Net interest income	1,234			1,302			(11		)	(16		)	—			—			1,223			1,286
Total other income	2			(1		)	—			—			—			—			2			(1		)
Total revenue	5,084			4,872			918			933			—			—			6,002			5,805
Provision for credit losses	88			5			—			—			—			—			88			5
Total expenses	3,576			3,629			738			783			23			35			4,337			4,447
Income before income tax expense	$	1,420		$	1,238		$	180		$	150		$	(23	)	$	(35	)	$	1,577		$	1,353
Pre-tax margin	28		%	25		%	20		%	16		%							26		%	23		%