Line of Business Information

6 Months Ended

Jun. 30, 2022

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 179 to 181 in Note 24 to the consolidated financial statements included under Item 8, Financial Statements and Supplementary Data, in our 2021 Form 10-K.

The following tables summarize 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, certain employee costs, 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)	2022			2021			2022			2021			2022		2021		2022			2021
Servicing fees	$	1,297		$	1,394		$	—		$	—		$	—	$	—	$	1,297		$	1,394
Management fees	—			—			490			504			—		—		490			504
Foreign exchange trading services	313			270			18			16			—		—		331			286
Securities finance	102			106			5			3			—		—		107			109
Software and processing fees	188			211			—			—			—		—		188			211
Other fee revenue	(12)			3			(31)			7			—		—		(43)			10
Total fee revenue	1,888			1,984			482			530			—		—		2,370			2,514
Net interest income	588			468			(4)			(1)			—		—		584			467
Total other income	(1)			—			—			—			—		53		(1)			53
Total revenue	2,475			2,452			478			529			—		53		2,953			3,034
Provision for credit losses	10			(15)			—			—			—		—		10			(15)
Total expenses	1,767			1,755			327			346			14		10		2,108			2,111
Income before income tax expense	$	698		$	712		$	151		$	183		$	(14)	$	43	$	835		$	938
Pre-tax margin	28		%	29		%	32		%	35		%					28		%	31		%
	Six Months Ended June 30,
	Investment Servicing						Investment Management						Other				Total
(Dollars in millions)	2022			2021			2022			2021			2022		2021		2022			2021
Servicing fees	$	2,665		$	2,763		$	—		$	—		$	—	$	—	$	2,665		$	2,763
Management fees	—			—			1,010			997			—		—		1,010			997
Foreign exchange trading services	655			603			35			29			—		—		690			632
Securities finance	195			201			8			7			—		—		203			208
Software and processing fees (1)	389			371			—			—			—		—		389			371
Other fee revenue	34			17			(48)			9					—		(14)			26
Total fee revenue	3,938			3,955			1,005			1,042			—		—		4,943			4,997
Net interest income	1,097			941			(4)			(7)			—		—		1,093			934
Total other income	(2)			—			—			—			—		53		(2)			53
Total revenue	5,033			4,896			1,001			1,035			—		53		6,034			5,984
Provision for credit losses	10			(24)			—			—			—		—		10			(24)
Total expenses	3,692			3,634			716			743			27		66		4,435			4,443
Income before income tax expense	$	1,331		$	1,286		$	285		$	292		$	(27)	$	(13)	1,589			$	1,565
Pre-tax margin	26		%	26		%	28		%	28		%					26		%	26		%