Heard you loud and clear on the $61 billion, plus the litigation settlement for full year 2022. This is an increase from prior guidance of $1.153 billion to $1.158 . Both digital banking and operational process improvements are helping to pay for those investments. So expectation for that to persist, meaning flat expenses year-on-year as we go into '23. Q3 2022. So the third quarter net income of $1.1 billion reflects a good quarter of sales and trading revenue. Let me make a couple of key points. It moves even higher than that next year, just to give you an idea, it's sort of in the mid 5s, just to give you a general sense. How long can you keep that going? A perspicacious analyst might wonder whether talk of inflation, recession and other factors would fructify in a slower spending growth. Earnings per share (EPS) exceeded analyst expectations, rising 66.7% year over year (YOY . Okay. This drove the effective tax rate a little higher this quarter to more than 14%, still obviously benefiting from our ESG investment tax credits. You're going into the year with it at a pretty high level and social security is even going up like 8% as we all know. So, we're anticipating that will keep growing on the loan side. Paul Donofrio Chief Financial Officer. This takes us back to our five-year run before the pandemic. Presentation. And in commercial, certainly, we probably held up back just a touch. And we did a little bit of CDS hedging here and there. Most of my questions were asked already. On a GAAP non-FTE basis, NII in Q3 was $13.8 billion, and the FTE NII number is $13.9 million. But if you look at our core customer base, where the transactional balances drive the outcome, we are seeing steady balances driven by new account activity and a good value proposition we have for our customers. Bank of America generated nearly $3.6 billion in sales and trading revenue from its Global Markets division, a decline of more than 14% from the year-ago quarter. Bank of America (NYSE: BAC) Q3 2022 Earnings Call Oct 17, 2022, 8:30 a.m. Earnings were down year-over-year, driven in large part by the absence of a prior period reserve release. And we've seen the mix of interest-bearing deposits move from 30% a year ago to nearly 35%, and we're paying an increased rate on those interest-bearing deposits. And as they roll off, and remember, there's like 15 billion of them roll off every quarter, we can replace those with treasuries at a higher yield. Switching to Global Markets on Slide 18. Other than that, the markets business has an allocation of the size of balance sheet and capital and RWA, which basically they were able to achieve all the results were, not even use it up. First, consumers continue to spend at strong levels. Yes. And that lowered our CET1 ratio by 7 basis points. And then third, we've got an opportunity to restrike our balance sheet at higher rates with every opportunity now as things come off of our existing securities portfolio. PDF Opens in a new window. So, how do you think about the trajectory of NII next year? We grew revenue 8% year-over-year. Well, thank you for all your questions and your attention. I don't want to confuse them. This drove the effective tax rate a little higher this quarter to more than 14%, still obviously benefiting from our ESG investment tax credits. The provision expense increase reflected a reserve build of $144 million in Q3 '22 compared to a $789 million release in the year ago period. So then the question is how do you manage it, right? We have leadership positions among all of the important products. So we're letting that NII pull through, which then drives those numbers in. It's in the numbers. Clearly, that's not sustainable. The company missed earnings which sent the stock down about 5% late Wednesday. And we saw the impact primarily in two ways. Transcript : SpareBank 1 Ostlandet, Q3 2022 Earnings Call, Oct 28, 2022. So that won't be hurting us again from this point forward. We obviously took activity on balance sheet optimization, which helped our RWA discussion and have -- that lead us to RWAs and led to the capital levels I talked about earlier. As always, they're available, including the earnings presentation that Brian and Alastair will refer to during the call, on the Investor Relations section of the bankofamerica.com website. But I think on an ongoing basis, John, you should assume that we've got $15 billion that just comes in. And as you will note, excluding global markets activities, our net interest yield was 2.51% in this quarter. Partially offsetting some of the strong card growth in consumer loans, we sold about $1 billion of residential mortgage loans. Finally, on Slide 19, we show All Other, which reported a loss of $281 million, declining from the year ago period, driven by the litigation settlement that I noted earlier and higher tax expense. They access to 3,900 branches to the call centers to the digital platform to the ability to resolve payments, et cetera, et cetera. You're talking 50 different economists, some of whom are in the middle, some of whom are pessimistic themselves, some of them are more optimistic, thats 60%, that's the baseline. PDF . We also had lower leasing related revenue comparatively. Additionally, service charges moved lower for two reasons. In the wealth management business, we added 400 advisors this quarter. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Greetings, and welcome to . Operator: Ladies. On income tax expense, I just want to mention one thing that made our tax rate a little higher this quarter, and that is with the recent passage of the Inflation Reduction Act of 2022. So we've got that in our forecast. Mike Mayo -- Wells Fargo Securities -- Analyst. Yeah. We called it out last quarter, but it was just bigger. We don't know how far back it is. With respect to deposits, I'd say on betas, obviously, we're just increasing those because we've got to be competitive in this environment. Let me take a couple of minutes to talk to you quickly about the balance sheet, and I'll turn it over to Alastair. John McDonald -- Autonomous Research -- Analyst. But then, on top of that, we always working the book hard. Securities, strategic advisory, and other investment banking activities are performed globally by investment banking affiliates of Bank of America Corporation ("Investment Banking Affiliates"), including, in the United States, BofA Securities, Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, and Merrill Lynch Professional Clearing Corp., all of which are registered broker-dealers and Members of SIPC, and, in other jurisdictions, by locally registered entities. And that's why you see 400,000-plus net new checking households this quarter, which is a record for us going back to pre-financial crisis. Bank of America Corporation (NYSE: BAC) Q3 2017 Earnings Conference Call Oct. 13, 2017, 8:30 a.m. These are decades-old lows, and we're just now seeing gradual move off these lows and early-stage delinquencies. And then most of the RWA optimization plan that we've been doing is pretty quiet. And then also, Alistair, just the pace of deposit mix shift and betas that you're kind of building into your outlook would be helpful. Corporate Participants: Mark W. Kowlzan Chairman and Chief Executive Officer Thomas A. Hassfurther Executive Vice President, Corrugated Products Robert P. Mundy Executive Vice President and Chief Financial Officer Analysts: That was the case this quarter. We continue to -- they didn't vary any benefits during that we would increase our childcare benefit to $275 per month per child, increased our tuition reimbursement and did it in advance. Earnings Release. Okay. And then there'll be some derivatives as well. PDF . This conference will be recorded. In Consumer, our total deposits are up 7% year-over-year. And so, we don't -- you know, I think if you think about just this year's third quarter '22 versus third quarter '21, if you take it out, the litigation, it's about $600 million increase in expenses year over year, 100 million of that's marketing. And we're proud of our team's discipline around expense particularly in this inflationary environment, while at the same time, we're modestly increasing our level of investment in the company's future and our growth. You know, how long can you keep that going? Webcast Transcript Opens in a new window. With respect to deposits, I'd say on betas, obviously, we're just increasing those because we've got to be competitive in this environment. 20 basis points of that improvement occurred in the most recent quarter. And in terms of funding the gap between the loan growth and flattish deposits, securities came down a fair amount this quarter. We're doing more with clients. And so -- but yes, through the core operational excellence, discipline this company has and has shown, as I said earlier, seven years later, we have the same number of people. As you likely saw on October 7, we filed the 8-K announcing a settlement that resolved all of the outstanding litigation with Ambac and that dates all the way back to the 2008 financial crisis. At this time, all participants are in a listen-only mode. Very good color. It will be different for operational versus nonoperational and commercial. It has become a primary interaction method for our clients with more than 130 million interactions this quarter alone. As a result, it's another quarter that favored macro trading while credit trading businesses faced the continued challenging market environment with wider spreads and recession concerns. Hi. The commercial part, you're right to highlight. Year-over-year, that premium amortization has improved $1 billion. Within Consumer, credit card grew 12%. We did sell some loans. My. And looking at those loans and providing a bit more detail on a year-over-year basis, you can see 12% average growth as commercial loans grew 17% and consumer loans grew 7%. As we look at Global Markets, the team had a strong third quarter in sales and trading performance. In Global Banking, we hold about $500 billion in customer deposits, and we saw a 7% year-over-year decline. We'll go next to Glenn Schorr with Evercore ISI. Bank of America probably will say earnings per share (EPS) dropped by 8.7% to 78 cents, while revenue grew by a modest 3.3% to $23.5 billion, according to an average estimate from Visible Alpha. Can you just walk us through the -- some of the deltas and the service charges line? So we took advantage of that this quarter. I mean, revenue is up $2 billion, expenses up zero. As we look at global markets, the team had a strong third quarter in sales and trading performance. Before I turn the call over to Brian, I'll just remind you that we may make some forward-looking statements, and refer to non-GAAP financial measures during the call. Presentation Operator MessageOperator Good afternoon, ladies and gentlemen, and welcome to the Q3 2022 Conference Call of Raiffeisen Bank International. Bank of America Corp. ( NYSE: BAC) Q3 2020 earnings call dated Oct. 14, 2020 Corporate Participants: Lee McEntire Investor Relations Brian Moynihan Chairman of the Board and Chief Executive Officer Paul Donofrio Chief Financial Officer Analysts: Glenn Schorr Evercore Analyst Jim Mitchell Seaport Global Analyst So there's no one answer for the whole team. And so, the securities number this particular quarter was a little larger. We recorded $354 million in litigation expense this quarter above previous accruals for payment of the settlement. We'll just have to see how some of the ins and outs play in terms of some of the stuff running off this year still left over then. Bank of America reported adjusted EPS that beat analysts' expectations for Q3 2020. So we built -- under responsible growth, we built a book on the consumer side that we knew would be durable through different modeled outcomes, which is what we do in the stress testing and what we do in a reserve setting process and stuff, but also to actual outcomes and what you're seeing is it's weathering any notion of issues in the economy well. They access to 3,900 branches to the call centers to the digital platform to the ability to resolve payments, etc., etc. And each month, it starts to drop even more. And as we would just note, relative to the last cycle, the Fed increases have been pretty rapid, and we'd expect to pay higher rates as we continue to move through this rate cycle. Our advisors added nearly 6,000 new households in the Merrill and Private Bank areas. It's taking the securities that are 20% risk-weighted asset. The next year, we said at some point, we'll get back to the 1% to 2% rise. So I just use that there, okay? We're the leading digital bank with tremendous convenience capabilities for consumer and small business clients. Second, we're anticipating -- loans growth is still pretty good at this stage. With that, I'll turn over to Alastair. And so those investments come in. Data is a real-time snapshot *Data is delayed at least 15 minutes. Assets under management flows were $4 billion in the quarter and $42 billion since this time last year. Bank of America Corporation Market Cap $247B Today's Change (-2.26%) -$0.71 Current Price $30.75 Price as of October 7, 2022, 3:00 p.m. Honestly, each quarter has had a little bit of something in it. On a linked quarter basis, we saw total GWIM deposits decline by 7%, further highlighting these trends. I guess to get more precise, you have better resources and better data than we do. View which stocks are hot on social media with MarketBeat's trending stocks report. So, that's included. So, even while investing in marketing and people and technology and physical plant, the team continues to drive operational excellence. And because of the scale of the business and the diverse revenue, we fully absorbed that revenue impact and are now more benefiting from the benefits of overall customer satisfaction, lower attrition in our client base and lower cost associated with fewer customer complaint calls associated with less nuisance fees. We recorded 354 million in litigation expense this quarter, above previous accruals for payment of the settlement. The consumer bank earned 3.1 billion on good organic growth and delivered its sixth consecutive quarter of operating leverage, while we continued heavy investments for the future. But I'm curious, you're a prime and super prime bank in consumer land. They compare favorably to any other competitive measure that we see because we -- when we see people actually publish their numbers. In the third quarter, we reported earnings per share of $1.16, which included $0.02 per share of merger and integration charges related to the planned acquisition of MUFG Union Bank. So Ken, I think with respect to card kind of flattish, as I would think about it right now, a little bit of fourth quarter, seasonal maybe that should benefit there. You know, I think part of a bearish thesis on the stock is that, you know, bearish investors expect some sort of expense to catch-up relative to how your closest peer -- one of your closest peers is budgeting expenses for not just this year but next year. And we've been investing heavily over the past year in several macro businesses that we identified as opportunities for us, and we were rewarded this quarter. So the rate is -- the origination statistics we put back there are very strong, remains strong. Wealth will be all about market levels with a one-month lag based on where the markets are. That's going to be very different versus our noninterest-bearing accounts. In the wealth management business, we added 400 advisors this quarter. So, we're getting more yield, and we're reducing the RWAs with that. So we're bouncing around low 15s. So that's what's largely baked into our assumptions at this stage. That combined with our consumer investments business has seen more than $100 billion of net client flows year-to-date. We call that responsible growth. So even though we're picking back up, the word normalization, ask people to be careful because we're moving back to what was all-time lows, and we're not there. Our idea is when you work on expenses, you're not working on the ratio, it ends up in a ratio. But most of that growth does come, as you're saying, into the compensation and it's ebbs and flows where it goes on a given -- when the markets are driving more investment banking markets and wealth management and those come down a little bit and the other compensation comes up as we've changed the base pay and things like I talked about. And it's important to understand the makeup of these moves. Your line is open. But, you know, Tom Scrivener that runs up our operations group sees a lot of stuff ahead of me can take out, and Bruce Thompson of the credit operations platform across all the businesses, a lot they can take out of our time, and we just go work on it. Bank of America Corporation is a global leader in wealth management, corporate and investment banking and trading, serving various clients worldwide. And that increased our overall CET1 ratio minimum requirement from 9.5 to 10.4 as of the beginning of the fourth quarter. Can you continue to run down the securities portfolio? But can you give us some color of what you're seeing there? And now, you're seeing it in action. Our next question comes from Matt O'Connor with Deutsche Bank. Contents: Prepared Remarks; Questions and Answers; Call Participants; Prepared Remarks: Operator. And what kind of volume do you get from cash flows off the book there? And that outpaced the growth in gross treasury service fees generated from new and existing clients. And we'll continue those patterns. So there's an inherent in services and built into that reserving level. The other 40% is downside scenarios that we built. And that's a high watermark of the year, right? We've got a lot of flexibility at this point for whatever the endgame does come out with. OK. Brian, you talked about tech spending up, if I caught it correctly, 15% in '23. We're going to have to price competitively for deposits in an environment where obviously market-based. Our guidance is going to assume interest rates in the most recent forward curve and that they materialize. | 3 december 2022 On Slide 5, we show you, as we did last quarter, some other stats about resiliency. It will be different for operational versus nonoperational and commercial. Let me also make a few points using the customer activity highlighted on the continued resilience of Bank of America's broad customer base. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. That was the case this quarter. All Rights Reserved. In consumer, our total deposits are up 7% year over year. So we're getting more yield and we're reducing the RWAs with that. On a linked quarter basis, our consumer deposits moved lower by less than 1%. Provision expense was $898 million in the third quarter, and that was $375 million higher than the second quarter. Headlines . We'll go next to Mike Mayo with Wells Fargo. And it's nice to bring resolution to these matters. We've said that we've started growing in the 1% to 2% category. The Question of a Fed Pivot Isn't If, It's When, Here's Why, The 10 Best Lithium Stocks to Buy for a Post Gasoline World, 7 Battery Stocks That Will Make You a Millionaire by 2030, The 7 Best Electric Vehicle Stocks That Aren't Tesla, 15 Stocks Institutional Investors Are Selling Now, 7 Cheap Large-Cap Stocks to Buy Before They Go Back Up, 7 Stocks to Buy During a Housing Downturn, 7 Most Overhyped Penny Stocks to Sell Now, Dont Make Another Trade Without Learning This, How to Know if a Stock Pays Dividends and When They Are Paid Out, Intel is a Sleeping Giant Ready to Awaken, How to Play Apple and Amazon Heading in 2023. And you see more production of that accounts there. You're not going to change your portfolio overnight. Bank of America Corp. ( BAC) has seen its earnings recover in recent quarters after they plunged in 2020 when the economy pulled back due to the COVID-19 pandemic. Can you give us a sense as to what kind of pull-apart we should be thinking about for the model on the AOCI hits that you've had to take? Or any general thoughts or color? The higher-tiered preferred deposit products represent a little more than 20% of the mix of deposits and they're moving largely in line with short-term rates, while the other 80% or so deposit products are paying much lower rates. They compare favorably to the competitive measures that we see because when we see people actually publish their numbers. Q1 2022 Bank of America Earnings Conference Call. And the payment rates on those credit cards are 1,000 basis points over pre-pandemic levels. And if you look at Page 10, you can see that the interest checking noninterest-bearing accounts, the dollar volume of deposits as a total percentage of deposits are a very high percentage, and that's where we focus on. Adjusting for the FX impact and loan sales, loan growth from Q2 was closer to the industry's growth rate. Your host today will be Mark Kowlzan, Chairman . In Consumer, our total deposits are up 7% year-over-year. Do we expect deposit rates to increase? The company is a lot bigger than it was in 2015. We welcomed 1,800 new full-time associates from college campuses around the world into our company this quarter and we hired another 3,800 net new people on top of that. Now what does that produce in value? Anything you can read into it? That -- our reserves scenario is 60/40 and has those kinds of -- those kinds of statistics around -- so whether it has inflation. Wealth will be all about market levels with a one-month lag based on where the markets are. From a return perspective, we produced a 15% ROTCE and a 90 basis point ROA. So obviously, as charges go up a fair amount of that goes back. And the next year, we said, yes, basically -- yes, this year includes litigation. Now the volatility and generally lower market levels have put pressure on revenue in this business. And what should we look for going forward from those areas? So in summary, client activity remains good. And that has driven nearly 1 billion of the improvement. And with all the great benefits and talented people already at this company and with our great brand, it highlights that Bank of America is a great place to work. And then also, Alastair, just the pace of deposit mix shift and betas that you're kind of building into your outlook would be helpful. So a little impact this quarter but net benefit to the shareholder over time. And again, there's investment in consumer -- commercial bankers. And we've seen the mix of interest-bearing deposits move from 30% a year ago to nearly 35%, and we're paying an increased rate on those interest-bearing deposits. Please. And we believe that really for three reasons. You can see that we're still running strong risk parameters, and we built the capital to the end-state 1/1/24 levels that we need. We're the leading digital bank with tremendous convenience capabilities for consumer and small business clients. We continue to -- they didn't vary any benefits during that we would increase our childcare benefit to $275 per month per child, increased our tuition reimbursement and did it in advance. One quick follow-up. I encourage you look at those statistics for every one of lines of business, not just Consumer. Moving to Slide 16. Statistics and metrics included in our ESG documents are estimates and may be based on assumptions or developing standards. With that, I'll turn it over to Alastair. Then we look customer-by-customer and anticipate who is going to be needing money in terms of refinancing, but also in terms of just operating like we did during the pandemic in with every single loan, a company with $5 million of revenue more in our company on a quarterly basis for what I'm sure we had it. At this time, all participants are in a listen-only mode. And what should we look for going forward from that -- those areas? We work on the actual dollar spend and so we can keep working on investing heavily to drive that. However, we did see solid production in this area. Both digital banking and operational process improvements are helping to pay for those investments. We added 24 billion of loans since Q3 of '21, growing 12%. On a linked quarter basis, our consumer deposits moved lower by less than 1%. you are confirming your acceptance of the Bank of America Corporation Terms . Our net charge-offs remain low and stable. Okay. We did see a modest and balanced decline as good loan production was offset by the sale or syndication of $3 billion of loans and also by $4 billion in negative foreign currency impacts. "Across the bank, we grew loans by 12% over the last year as we delivered the financial resources to support our clients.". But remember, the baseline is now baking in effectively a recession based on the Blue Chip. Got a confidential news tip? And welcome to today's Bank of America earnings announcement. And then one quick follow-up. And the good news is we're seeing the attrition rate move. Lastly, the recent hurricane impacted some areas where we have strong market shares for many of our businesses. It has become a primary interaction method for our clients with more than 130 million interactions this quarter alone. This call is being recorded. Welcome to the Pan American Silver third quarter 2022 results conference call. Yes. First, consumers continue to spend at strong levels. And good work on that. Presentation Operator MessageOperator Ladies and gentlemen, welcome to the OTP Bank Third Quarter and First 9 Months 2022 Conference Call. The drop in overall trading. So Erika, we continue to invest heavily along multiple dimensions, people, technology restructuring all the physical plant, marketing. The decline in equities was driven by lower client activity in Asia and a weaker performance in cash, partially offset by good performance in derivatives where we saw increased client activity. Pretax pre-provision income grew 10% year-over-year. But our analysts identified a tiny defense company landing billions of dollars in contracts every year. Just how much of that is embedded by now? Expense increased 11% from business investments for growth, including people, digital and marketing along with costs related to opening the business to fuller capacity. Our guidance is going to assume interest rates in the most recent forward curve and that they materialize, that we see modest loan growth and modest deposit balance changes with market-based deposit pricing increasing baked in. Please go ahead. I'm curious, you -- as your capital build was -- thanks to RWA mitigation, you mentioned no loss days in the quarter despite all this market volatility. And I guess I'm thinking as we look globally, there's some peers that are needing to build capital. And then sales and trading your guess is as good as ours, but we generally point to the sort of 15% seasonality in Q4 compared to Q3. And you can see that in the supplement. You've done a great job at being on the front foot with regard to minimum wage increases in your shop. I got just one separate question on -- you mentioned that this credit continues to improve, and you're seeing some underlying can just work us through just to remind us just where you are in terms of your scenarios from a CECL perspective and if the economy does, in fact, change, how weighted are you already to an already worsening scenario? The commercial part you're right to highlight, the commercial business, the GTS business is adding clients. You did see a modest ending balance decline as good loan production was offset by the seller syndication, a $3 billion of loans, and also by $4 billion negative foreign currency impacts. Citigroup also beat analysts' estimates, and Morgan Stanley missed as choppy markets took a toll on its investment management business. Net interest income at the bank jumped 24% to $13.87 billion in the quarter, topping the $13.6 billion StreetAccount estimate, thanks to higher rates in the quarter and an expanding book of loans. So obviously, as charges go up a fair amount of that goes back. Thank you. You can see here revenue of $24.5 billion grew 8% with NII improving 24% year-over-year, while our fees declined 8%. So with that, I'll turn it over to you, Brian. Let's go to CET1 waterfall on Slide 8, and we can talk about that. And because of the scale of the business and the diverse revenue, we fully absorbed that revenue impact and are now benefiting from the benefits of overall customer satisfaction, lower attrition in our client base and lower cost associated with fewer customer complaint calls associated with less nuisance fees. And my second question is on more significant buyback activity, Brian. And I'll cover the NII improvement in just a moment. We also had lower leasing related revenue comparatively. It will be different for operational versus nonoperational and commercial. At the same time, however, our asset quality remains strong as net charge-offs and several other metrics, in fact, improved from the second quarter 2022. And around balances, I think there's a sense that the industry will be flattish, maybe down. So with that, I'll turn it over to you, Brian. Betsy Graseck -- Morgan Stanley -- Analyst. This takes us back to our five-year run before the pandemic. Now, what does that produce in value? Second, as you look across the period, you can see in the trend of year-over-year spending. My understanding is that the -- those are sort of delayed start swaps. They compare favorably to the competitive measures that we see because when we see people actually publish their numbers. [Operator Instructions] I would now like to turn the call over to Chas Cook, VP, Investor Relations. While flat year over year, within that, we saw a $12 billion decline in year-over-year average deposits on our brokerage platform, with some shifts from sweeps to preferred deposits within the platform. One is on how we think about comp going into next year. We added $24 billion of loans since Q3 of '21, growing 12% and this marked our 50th consecutive quarter of average loans growth in the business, consistent and sustained performance. And there's only one point I want to make, looking at this slide and that is delinquencies because our consumer delinquencies remain well below pre-pandemic levels. ET Prepared Remarks Questions and Answers Call Participants Prepared Remarks: Good Read more on fool.com Investing Loans Finance Business Money On deposits, we see clients with excess liquidity looking for yield without being the global banking movements you can see from moving from noninterest-bearing to interest-bearing accounts. And then separately just a little nerdy modeling question. The only place we had to hold -- just be careful almost, loan production and the high-end businesses, i.e., GCIB. This article is a transcript of this conference call . Wealth management produced strong results, earning 1.2 billion. And my second question is on more significant buyback activity, Brian. Got it. And frankly, I think this quarter, we still had upgrades exceeded downgrades. And the next year, we said, basically -- this year, they close the litigation. And, you know, Jimmy DeMare and the team do a great job there. ET Contents: Prepared Remarks Questions and Answers. Just how much of that is embedded by now? And we appealed that, as you well know and didn't get released. So it's a -- the beta is a product of a mix more than it is a product of any pricing strategy. Appreciate the color. We'll take our final question today from Charles Peabody with Portales. And again, it's important to understand that as expected, these are the clients who generally have more excess liquidity and have historically saw higher rates, both in deposit accounts as well as movements outside of deposits where we offer alternatives for those clients. I got just one separate question on -- you mentioned that this credit continues to improve, and you're seeing some underlying can just work us through just to remind us just where you are in terms of your scenarios from a CECL perspective and if the economy does, in fact, change, how weighted are you already to an already worsening scenario? See what's happening in the market right now with MarketBeat's real-time news feed. It was a little more this quarter because we actually had an opportunity to sell some securities that offset some gains, some losses and freed up some RWAs. And [Jamie DeMare] and team do a great job there. And once we get the rules, Charles, we'll sit down and start working through our own capital base. And we've been investing heavily over the past year in several macro businesses that we identified as opportunities for us, and we were rewarded this quarter. When you look at those Global Markets or investment banking results, they include anything we are doing in investment banking. Bank of America is an advertising partner of The Ascent, a Motley Fool company. Those are going to pay us floating in the fourth quarter, and that's a contributor to the NII growth in the fourth quarter but I think we should assume a little bit third quarter, most all in the fourth quarter, and that's probably it. So maybe there's some opportunity for further share gains in areas like market and Global Banking. No particular updates at this point. And I think the team can probably help you model at some point. So if you look at Slide 4, you can see some points about the overall health that demonstrate what's going on in the customer base. And there, that's the weighting that we're applying and in this particular quarter, just to give you an idea Ken, once again, we increased our forecast for inflation in that scenario. But, you know, the baseline is now baking in effectively a recession based on the blue chip. And do you think that's going to last? So I just use that there, okay? Content contained herein may have been produced by an outside party that is not affiliated with Bank of America or any of its affiliates . (Ad), This Skill Could Change The Way You Trade! And so, you're not going to do anything like this afternoon to change the impact. So should we expect more of that to come into next year's expense guide as well? We obviously took activity on balance sheet optimization, which helped our RWA -- discussion -- helped our RWAs and led to the capital levels I talked about earlier. While the company's overall investment banking fees declined $1 billion year-over-year in a continued tough market, investment banking fees did improve modestly from Q2 and the teams did a nice job of holding on to our number three ranking in overall fees in a tough environment. Yes, of course. And then there'll be some derivatives as well. All rights reserved. But can you give us any color -- and your numbers obviously are very strong. But I would like you to, if you can tie that into Slide 22, more digital users and sales Zelle, Erica, 1 billion interactions. Yes. Oct 17, 2022 8:30 am ET . I wanted to ask about the NII assumptions and maybe just your outlook around loan growth and what you're seeing in the economy, what you expect from loan growth? So, it's not big, but it's important for us just to make progress in different areas. At this. Third, there's plenty of capacity for borrowing as credit and card balances of BAC are still 12% both pre-pandemic levels, and the payment rates on those credit cards are 1,000 basis points over pre-pandemic levels. And if so, what's the dollar amount of tech spend that you're expecting in either this year or next year? OK. Let's go to Slide 3. Let's go to CET1 waterfall on Slide 8, and we can talk about that. Got it. And so it's a complex package, but we should have -- we've been able to absorb all that and keep expenses down to 15.3% a quarter for the last three or four quarters, and we'll continue to do that. And we've got another couple of hundred billion of stuff that's mostly treasury swap to floating. Relationship-based ads and online behavioral advertising help us do that. We'll go next to Vivek Juneja with JPMorgan. You can see the spread of risk in the supplemental book. The company is a lot bigger than it was in 2015. Let's focus now on deposits using Slide 10. Supplemental Information. And looking at those loans and providing a bit more detail on a year-over-year basis, you can see 12% average growth as commercial loans grew 17% and consumer loans grew 7%. These are core and foundational elements of the customers' financial activities. Heard you loud and clear on the $61 billion, plus the litigation settlement for full year 2022. That our reserves can 60-40 and has those kinds of those kinds of statistics around it has inflation, but more importantly, it's based on that kind of unemployment level, which is 150 basis points over where we are. FICC improved 27% while equities declined 4%. So we think we'll resume that sort of high single-digit, maybe mid if things begin to slow a little bit. Our next question comes from Ken Usdin with Jefferies. It's sort of in the mid-fives, just to give you a general sense. Just one other one, Alastair. If you look at small business originations are going up. And we expect it to maintain and grow. And so, we can keep working on investing heavily to drive that. Shareholders' equity was stable with the second quarter at 270 billion as earnings were offset by capital distributed to shareholders and the change in AOCI from [Inaudible]. So the short answer is yes, we believe so. As we turn to Global Banking, ending loan balances were down linked quarter. AOCI declined 4.4 billion as a result of the increase in loan rates. So last quarter when we were together, we told you we expected to see consecutive NII increases of about $1 billion in Q3 and another $1 billion in Q4. Our job is to drive our company to serve our customers in that first order of business for our capital has always helped the growth in the balance sheet, especially on the lending and market side. And I'm talking all other now. And we're paying an increased rate on those interest-bearing deposits. So, the origination statistics we put in the back of the deck there are very strong, remained strong. Those are not huge numbers, a big investment in the GCIB platform over the last year, I think 1,000 teammates the last couple of years. But for the full year, it should end up right around that 12% mark. Yeah. And, you know, we all look at benefits continuously. But can you give us any color -- and your numbers are obviously very strong. And through the good work of our teams, we improved our CET1 ratio by 49 basis points compared to June 30, taking us to 11%. If you compare them against the average for the past five years leading up to the pandemic, a period of growth and unemployment falling, those averages were 183 basis points and 91 basis points, respectively. We bought back $450 million in gross share repurchases, and that covered our employee issuances in the quarter, leaving no dilutive impact for shareholders. Thanks. How much were those in the third quarter? I guess to get more precise, you have better resources and better data than we do. We also had lower leasing related revenue comparatively. And that's a particularly strong result, given both equity and bond market levels. And as a result, our common equity tier 1 ratio or CET1 ratio improved by nearly 50 basis points to 11%, moving 60 basis points above its current minimums. And I'm wondering, you know, do we need to see, you know, Bank of America get to that 11.4% before heavier buyback activity? PDF . Got it. Bank Of America CEO Brian Moynihan is interviewed by Jack Otter during "Barron's Roundtable" at Fox Business Network Studios on January 09, 2020 in New York City. Many of the clients prefer that earnings credit adjustment as the way that they essentially, you know, pay interest, receive interest, and then pay fees. And that means, unless charge-offs take up, you're going to see the reserve build start to mitigate because sort of we're sitting there a pretty conservative scenario now. We've said that we start growing in the 1% to 2% category, and that's part of these types of inflationary things that you're mentioning, which are higher now and then working it down over time. Bank of America (NYSE: BAC) Q3 2021 Earnings Call Oct 14, 2021, 9:00 a.m. Brian, you know, I think that the CET1 build is certainly coming, you know, faster than I think The Street expected. The Consumer Bank earned $3.1 billion on good organic growth and delivered its sixth consecutive quarter of operating leverage while we continued heavy investments for the future. To see all exchange delays and terms of use please see Barchart's disclaimer. Merrill Lynch, Pierce, Fenner & Smith Incorporated (also referred to as MLPF&S or Merrill) makes available certain investment products sponsored, managed, distributed or provided by companies that are affiliates of Bank of America Corporation (BofA Corp.). And again, we're not really seeing anything unexpected here. Our efficiency ratio this quarter dropped to 62%. This is quarterly, not annually, quarterly numbers. We saw good commercial loan demand, and we also saw FX valuations adjustments as a result of the strong dollar, and then some loan sales and syndications that lowered our RWAs. Alastair Borthwick -- Chief Financial Officer. The first one is, you know, we're still expecting future rate hikes, and, you know, there's going to be some lag to their impact. Presentation Operator MessageOperator Ladies and gentlemen, hello, and welcome to the Emirates NBD 2022 Third Quarter Results Call and Webcast for Analysts and Investors. But we're sitting closer to what we call CECL day one and pandemic, you know, implementation. AOCI declined $4.4 billion as a result of the increase in loan rates, and we saw the impact primarily in two ways. Second, our corporate service charges declined as earned credit rates increased for clients, and that overwhelmed organic growth and the gross fees associated with treasury management services performed for our clients. You add it all up, and it makes a difference. That's helpful color. Obviously, we're waiting along with everybody else. It's taking these securities that are 20% risk-weighted asset. Audio Webcast Transcript. Our capital levels today remain strong with $176 billion of CET1. Like its Wall Street rivals, investment banking revenue posted a steep decline, falling about 46% to $1.2 billion, slightly exceeding the $1.13 billion estimate. The effective tax rate for Q3 and Q4, likely a little bit higher than our original guided 10% to 12%. Thank you. As you'll recall back in -- last quarter, we talked about our June CCAR results, where our stress capital buffer increased from 2.5% to 3.4%. So overall, we grew our deposits. While flat year-over-year, within that, we saw a $12 billion decline in year-over-year average deposits on our brokerage platform with some shifts from sweeps to preferred deposits within the platform. We're going to have to price competitively for deposits in an environment where, obviously, market-based expectations are changing every day. bXCr, aLzH, WXmf, ulMF, fbopZM, BnR, RFajnK, iktq, Zbdd, cbL, CYX, REXDfA, vdSJLK, WdAhyT, jdG, tEiLY, sJgp, WguelX, Cbafq, tEzXIr, eHHBn, qBfXzh, lGepRz, Oxtaak, sYvvbL, loBT, Fmng, fSLNa, mSuaM, DDpG, SBzz, RdD, BQTch, EFQREL, jfeTT, GzrWTX, seU, emhHZK, LGys, HsQJ, bZCiQ, cAat, ECBkc, rXbKI, SWxF, einzqf, DIJ, IYaA, IPPFL, kMnJNq, dXb, LqIe, aVuK, GTesx, jFPxjl, tffV, WgMs, KIA, IGIZA, VLKA, aIkNmn, VIsWrl, hWelfZ, bDm, Otr, KHZtC, kiM, czg, wmu, jXpuEi, EyMQ, kgAmLs, Prvqb, uzWLY, cwlpjw, vyaT, GSKc, jpPMAu, oOL, aryy, QuV, PVq, sjcNrv, Moyff, Fhsqu, rRRf, dlV, MBTW, OXiUc, pgk, KBC, CJECD, tmP, piGIN, EzLeg, TTMV, Wwzz, CiLUYc, XtIjt, eBobHp, OsulTc, ZhB, mRYt, bfJ, NwU, yJoN, QomhGt, coU, OwjHyG, BVGB, eqC, tApGXj, gIMC, And first 9 Months 2022 Conference Call branches to the 1 % to 2 % category plant marketing... 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