Net interest margin expansion driven by asset growth and swap benefits
Net interest income rose $194 million for the quarter, reflecting a 22 basis point increase in net interest margin to 3.16%, supported by higher average interest‑earning assets, terminated swap impacts, and fixed‑rate asset repricing benefits.
Capital markets fees surge on heightened deal activity
Capital markets fees increased 46% to $153 million in Q2 FY2026, driven by higher M&A, loan syndication, and bond underwriting fees.
Private Bank build‑out pushes noninterest expense higher
Noninterest expense grew 6% to $1,394 million, primarily due to elevated salaries and benefits from Private Bank and Private Wealth hiring, along with compensation tied to capital markets revenue growth.