false000009375100000937512023-10-182023-10-180000093751us-gaap:CommonStockMember2023-10-182023-10-180000093751stt:SeriesDPreferredStockDepositoryShareMember2023-10-182023-10-180000093751stt:SeriesGPreferredStockDepositoryShareMember2023-10-182023-10-18

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
______________________
FORM 8-K
_________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 18, 2023
______________________
State Street Corporation
(Exact name of registrant as specified in its charter)
____________________
Massachusetts001-0751104-2456637
(State or Other Jurisdiction of Incorporation)(Commission File Number)(IRS Employer Identification Number)
One Congress Street
BostonMassachusetts02114
(Address of principal executive offices, and Zip Code)
Registrant’s telephone number, including area code:
(617)
786-3000
________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common stock, $1 par value per shareSTTNew York Stock Exchange
Depositary Shares, each representing a 1/4,000th ownership interest in a share of STT.PRDNew York Stock Exchange
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series D, without par value per share
Depositary Shares, each representing a 1/4,000th ownership interest in a share of STT.PRGNew York Stock Exchange
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series G, without par value per share
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ¨


Item 2.02.    Results of Operations and Financial Condition.
On October 18, 2023, State Street Corporation issued a news release announcing its results of operations for the third-quarter of 2023. Copies of that news release and accompanying third-quarter 2023 financial information addendum are furnished herewith as Exhibits 99.1 and 99.2, respectively, and are incorporated herein by reference.
Item 7.01.    Regulation FD Disclosure.
On October 18, 2023, State Street Corporation made available a slide presentation providing highlights of its third-quarter 2023 results of operations and related information as of September 30, 2023, which is being made available in connection with an October 18, 2023 investor conference call. A copy of that slide presentation is furnished herewith as Exhibit 99.3 and is incorporated herein by reference.
Item 9.01.    Financial Statements and Exhibits.
(d)    Exhibits.
State Street Corporation's news release dated October 18, 2023, announcing its third-quarter 2023 results of operations and accompanying third-quarter 2023 financial information addendum are furnished herewith as Exhibits 99.1 and 99.2, respectively, and are incorporated by reference in Item 2.02 hereof; and a slide presentation providing highlights of State Street's third-quarter 2023 results of operations and related information, which is being made available in connection with an October 18, 2023 investor conference call, is furnished herewith as Exhibit 99.3 and is incorporated by reference in Item 7.01 hereof.
 *Submitted electronically herewith


SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

STATE STREET CORPORATION
By:
/s/ IAN W. APPLEYARD
Name:Ian W. Appleyard,
Title:Executive Vice President, Global Controller and Chief Accounting Officer
Date:October 18, 2023


image.jpg
Exhibit 99.1
State Street Corporation
One Congress Street
Boston, MA 02114
NYSE: STT
         www.statestreet.com
Boston, MA… October 18, 2023 News Release

STATE STREET REPORTS THIRD QUARTER 2023 EPS OF $1.25; $1.93 EXCLUDING NOTABLE ITEM(a)
 % changes noted below reflect year-over-year 3Q comparisons
TOTAL FEE REVENUE UP 3%
RECORD CASH NET INFLOWS OF $41 BILLION AT GLOBAL ADVISORS
REPOSITIONED INVESTMENT PORTFOLIO, BENEFITING NET INTEREST INCOME IN FUTURE PERIODS
RETURNED $1.2 BILLION OF CAPITAL THROUGH COMMON SHARE REPURCHASES AND DIVIDENDS
Ron O'Hanley, Chairman and Chief Executive Officer: "In the third quarter, we delivered total fee revenue growth year-over-year, supported by Investment Services, including front office solutions, as well as asset management. We executed on our strategy to refocus our sales efforts within our Investment Services franchise, and generated strong servicing fee revenue wins of $91 million in the quarter, including the first Alpha for Private Markets mandate.”

O'Hanley continued: "In addition, we are pleased with our ongoing transformation and productivity initiatives, which limited our year-over-year expense growth while allowing us to continue investing in our businesses. Further, with the previously announced consolidation of one of our operations joint ventures in India, we expect to generate additional productivity savings in 2024, lower operating costs, and continue to strengthen service quality."

O'Hanley added: “Finally, we continued to benefit from our strong balance sheet and capital generation, which enabled us to return $1.2 billion to shareholders through common share repurchases and dividends in the third quarter, and we intend to continue to execute on our common share repurchase authorization of up to $4.5 billion during 2023, subject to market conditions and other factors.”
FINANCIAL HIGHLIGHTS
(Table presents summary results, dollars in millions, except per share amounts, or where otherwise noted)3Q232Q233Q22 % QoQ  % YoY
Income statement:
Total fee revenue$2,361 $2,419 $2,299 (2)%3 %
Net interest income624 691 660 (10)(5)
Other income(294)— — nmnm
Total revenue2,691 3,110 2,959 (13)(9)
Provision for credit losses— (18)— nmnm
Total expenses2,180 2,212 2,110 (1)3 
Net income422 763 690 (45)(39)
Financial ratios and other metrics:
Diluted earnings per share (EPS)$1.25 $2.17 $1.80 (42)%(31)%
Return on average common equity (ROE)7.3 %13.0 %11.2 %(5.7)%pts(3.9)%pts
Pre-tax margin19.0 29.5 28.7 (10.5)%pts(9.7)%pts
AUC/A ($ billions)(1)
$40,017 $39,589 $35,688 1 %12 %
AUM ($ billions)(1)
3,687 3,797 3,265 (3)13 
(1) As of period-end.





(a) See "3Q23 Highlights" in this news release for a listing of notable items. Results excluding notable items are non-GAAP measures. Please refer to the Addendum included with this news release for an explanation and reconciliation of non-GAAP measures.
Investor Contact: Ilene Fiszel Bieler +1 617-664-3477          Media Contact: Carolyn Cichon +1 617-664-8672
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3Q23 HIGHLIGHTS
(all comparisons are to 3Q22, unless otherwise noted)

AUC/A and AUM
•Investment Servicing AUC/A as of quarter-end increased 12% to $40.0 trillion, largely driven by higher quarter-end market levels and net new business
•Investment Management AUM as of quarter-end increased 13% to $3.7 trillion, mainly reflecting higher quarter-end market levels

New business and strategy execution(a)
•Investment Servicing mandates: New servicing fee revenue wins of $91 million in 3Q23, primarily reflecting wins in Official Institutions, Asset Managers and Private Markets
•$149 billion in new servicing AUC/A wins in 3Q23, with over two-thirds of new mandates driven by wins from EMEA and APAC
•Quarter-end AUC/A to be installed in future periods of $2.3 trillion
•State Street Alpha®: Alpha continued to gain momentum in 3Q23 with 2 new Alpha mandate wins, including the first Alpha for Private Markets mandate
•Front Office Software and Data: SaaS client implementations and conversions increased annual recurring revenue (ARR) to $299 million, up 12%
•Investment Management: Total net inflows of $10 billion with record quarterly net inflows of $41 billion in Cash, partially offset by net Institutional outflows

Revenue
•Total revenue decreased by 9%, primarily due to a notable item comprising a $294 million loss on sale related to a previously disclosed investment portfolio repositioning, which will benefit Net interest income (NII) in future periods
•Excluding notable items, total revenue increased 1%.(b) Total revenue and total revenue excluding notable items both reflect Fee revenue growth of 3%, which was partially offset by a 5% decline in NII
◦Servicing fees increased 1%
◦Management fees increased 1%
◦FX trading services decreased 2%
◦Securities finance decreased 6%
◦Software and processing fees increased 2%
◦Other fee revenue increased $49 million, primarily due to a tax credit investment accounting change and better market-related adjustments

Expenses
•Total expenses increased 3%, primarily driven by higher salaries and continued business investments, partially offset by productivity savings and the absence of acquisition and restructuring costs
◦Compensation and employee benefits increased 4%, mainly due to higher salaries, headcount and the impact of currency translation, partially offset by lower performance-based incentive compensation and contractor spend
◦Non-compensation expense increased 3%, primarily reflecting higher Transaction processing services expense, Information systems and communications expense and Other expenses




(a) See the "In This News Release" section for explanations of new servicing fee revenue wins and of Front office software and data annual recurring revenue (ARR).
(b) Results excluding notable items are non-GAAP measures. Please refer to the Addendum included with this news release for an explanation and reconciliation of non-GAAP measures.
2

Notable items
(Dollars in millions, except EPS amounts)3Q232Q233Q22
Investment portfolio repositioning$(294)$— $— 
Acquisition and restructuring costs— — (13)
Total notable items (pre-tax)$(294)$— $(13)
Income tax impact from notable items(79)— (3)
EPS impact$(0.68)$— $(0.02)

•Loss on sale of $294 million, or $0.68 per share after tax, included in 3Q23 Other income, related to the investment portfolio repositioning, which will benefit NII in future periods

Capital and liquidity
•Standardized common equity tier 1 (CET1) ratio at quarter-end of 11.0% decreased 2.2% points compared to 3Q22 and decreased 0.8% points compared to 2Q23, primarily driven by lower CET1 capital, mainly due to the continuation of common share repurchases, and higher RWA
•Liquidity coverage ratio (LCR) for State Street Corporation was approximately 109% and LCR for State Street Bank and Trust was approximately 120%
•Capital return: In 3Q23, State Street returned a total of $1.2 billion of capital, consisting of $1 billion of common share repurchases and declared common stock dividends of $213 million (or $0.69 per share)

































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MARKET DATA
The following table provides a summary of selected financial information, including market indices and foreign exchange rates.
(Dollars in billions, except market indices and foreign exchange rates)3Q232Q233Q22 % QoQ % YoY
Assets under Custody and/or Administration (AUC/A)(1)(2)
$40,017 $39,589 $35,688 1.1 %12.1 %
Assets under Management (AUM)(2)
3,687 3,797 3,265 (2.9)12.9 
Market Indices:(3)
S&P 500 Daily Average4,458 4,206 3,980 6.0 12.0 
S&P 500 EOP4,288 4,450 3,586 (3.6)19.6 
MSCI EAFE Daily Average2,113 2,122 1,848 (0.4)14.3 
MSCI EAFE EOP2,031 2,132 1,661 (4.7)22.3 
MSCI Emerging Markets Daily Average992 987 975 0.5 1.7 
MSCI Emerging Markets EOP953 989 876 (3.6)8.8 
Bloomberg Global Aggregate Bond Index Daily Average448 457 453 (2.0)(1.1)
Bloomberg Global Aggregate Bond Index EOP436 452 427 (3.5)2.1 
Foreign Exchange Volatility Indices:(3)
JPM G7 Volatility Index Daily Average8.1 8.5 11.0 (4.7)(26.4)
JPM Emerging Market Volatility Index Daily Average8.7 9.8 12.0 (11.2)(27.5)
Average Foreign Exchange Rate:
EUR vs. USD1.088 1.089 1.007 (0.1)8.0 
GBP vs. USD1.266 1.252 1.177 1.1 7.6 
(1) Includes quarter-end assets under custody of $29,113 billion, $29,041 billion and $26,478 billion, as of 3Q23, 2Q23, and 3Q22, respectively.
(2) As of period-end.
(3) The index names listed in the table are service marks of their respective owners.


INDUSTRY FLOW DATA
The following table represents industry flow data.
(Dollars in billions)3Q232Q231Q234Q223Q22
North America - (US Domiciled) Morningstar Direct Market Data:(1)(2)
Long Term Funds$(116)$(113)$(58)$(353)$(193)
Money Market140 175 445 148 (26)
ETF110 136 79 193 110 
Total Flows(3)
$134 $198 $466 $(12)$(109)
EMEA - Morningstar Direct Market Data:(1)(4)
Long Term Funds$(34)$(13)$47 $(6)$(94)
Money Market37 13 27 185 (11)
ETF34 27 38 27 (9)
Total Flows(3)
$37 $27 $112 $206 $(114)
(1) Industry data is provided for illustrative purposes only. It is not intended to reflect State Street or its clients' activity and is indicative of only segments of the entire industry. See endnotes included in the "In This News Release" section.
(2) 3Q23 data for North America includes actuals for July and August 2023 and Morningstar estimates for September 2023.
(3) Line items may not sum to total due to rounding.
(4) 3Q23 data for Europe is on a rolling three month basis for June 2023 through August 2023, sourced by Morningstar.
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INVESTMENT SERVICING AUC/A
The following table presents AUC/A information by product and financial instrument.
(As of period end, dollars in billions)3Q232Q233Q22 % QoQ % YoY
Assets Under Custody and/or Administration(1)
By product classification:
Collective funds, including ETFs$13,145 $13,210 $11,649 (0.5)%12.8 %
Mutual funds10,313 10,438 9,289 (1.2)11.0 
Pension products8,255 8,037 7,669 2.7 7.6 
Insurance and other products8,304 7,904 7,081 5.1 17.3 
Total Assets Under Custody and/or Administration$40,017 $39,589 $35,688 1.1 %12.1 %
By financial instrument:
Equities$22,971 $22,454 $19,889 2.3 %15.5 %
Fixed-income10,688 10,812 10,150 (1.1)5.3 
Short-term and other investments6,358 6,323 5,649 0.6 12.6 
Total Assets Under Custody and/or Administration$40,017 $39,589 $35,688 1.1 %12.1 %
(1) AUC/A values for certain asset classes are based on a lag, typically one-month.


INVESTMENT MANAGEMENT AUM
The following tables present 3Q23 activity in AUM by product category.
(Dollars in billions) EquityFixed- Income Cash Multi-Asset Class Solutions
Alternative Investments(1)
 Total
Beginning balance as of June 30, 2023
$2,347 $589 $390 $245 $226 $3,797 
Net asset flows:
Long-term institutional(2)
(37)17 — 4 (14)(30)
ETF(2)4 — — (3)(1)
Cash fund— — 41 — — 41 
Total flows, net$(39)$21 $41 $4 $(17)$10 
Market appreciation/(depreciation)(81)(19)4 (5)5 (96)
Foreign exchange impact(13)(5)(1)(2)(3)(24)
Total market and foreign exchange impact$(94)$(24)$3 $(7)$2 $(120)
Ending balance as of September 30, 2023
$2,214 $586 $434 $242 $211 $3,687 
(1) Includes real estate investment trusts, currency and commodities, including SPDR® Gold Shares and SPDR® Gold MiniSharesSM Trust, for which we are not the investment manager but act as the marketing agent.
(2) Amounts represent long-term portfolios, excluding ETFs.

(Dollars in billions)3Q232Q231Q234Q223Q22
Beginning balance$3,797 $3,618 $3,481 $3,265 $3,475 
Net asset flows:
Long-term institutional(1)
(30)1 (16)(4)— 
ETF(1)27 (6)27 (14)
Cash fund41 10 (4)(40)5 
Total flows, net$10 $38 $(26)$(17)$(9)
Market appreciation/(depreciation)(96)153 161 184 (155)
Foreign exchange impact(24)(12)2 49 (46)
Total market and foreign exchange impact$(120)$141 $163 $233 $(201)
Ending balance$3,687 $3,797 $3,618 $3,481 $3,265 
(1) Amounts represent long-term portfolios, excluding ETFs.
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REVENUE
(Dollars in millions)3Q232Q233Q22 % QoQ% YoY
Back office servicing fees$1,138 $1,164 $1,126 (2.2)%1.1 %
Middle office services96 95 93 1.1 3.2 
Servicing fees1,234 1,259 1,219 (2.0)1.2 
Management fees479 461 472 3.9 1.5 
Foreign exchange trading services313 303 319 3.3 (1.9)
Securities finance103 117 110 (12.0)(6.4)
Front office software and data130 162 127 (19.8)2.4 
Lending related and other fees58 59 57 (1.7)1.8 
Software and processing fees188 221 184 (14.9)2.2 
Other fee revenue44 58 (5)(24.1)nm
Total fee revenue$2,361 $2,419 $2,299 (2.4)%2.7 %
Net interest income624 691 660 (9.7)%(5.5)%
Other income(294)— — nmnm
Total Revenue$2,691 $3,110 $2,959 (13.5)%(9.1)%
Net interest margin (FTE)(1)
1.12 %1.19 %1.11 %(0.07)%pts0.01 %pts
(1) Net Interest Margin (NIM) is presented on a fully taxable-equivalent (FTE) basis. Refer to the Addendum for reconciliations of our FTE-basis presentation.

Servicing fees increased 1% compared to 3Q22, primarily due to higher average equity markets, net new business and the impact of currency translation, partially offset by lower client activity/adjustments and normal pricing headwinds. Servicing fees decreased 2% compared to 2Q23, primarily due to lower client activity/adjustments and a previously disclosed client transition, partially offset by higher average equity markets.

Management fees increased 1% compared to 3Q22, as higher average equity market levels were partially offset by a previously described shift of certain management fees into NII.(a) Management fees increased 4% compared to 2Q23, primarily due to higher average equity market levels and Cash net inflows.

Foreign exchange trading services decreased 2% compared to 3Q22, primarily due to lower Direct FX spreads and muted market volatility, partially offset by higher volumes. Foreign exchange trading services increased 3% compared to 2Q23, primarily reflecting higher volumes.

Securities finance decreased 6% compared to 3Q22, primarily due to lower Agency balances and lower specials activity. Securities finance decreased 12% compared to 2Q23, primarily due to lower Agency balances and seasonally lower activity.

Software and processing fees increased 2% compared to 3Q22, primarily driven by higher Front office software and data revenue associated with CRD. Software and processing fees declined 15% compared to 2Q23, driven by lower On-premises renewals associated with CRD.
•Front office software and data increased 2% compared to 3Q22, primarily driven by higher Software-enabled revenues and Professional services revenues, partially offset by lower On-premises revenues. Front office software and data decreased 20% compared to 2Q23, primarily driven by lower On-premises renewals, partially offset by higher Software-enabled revenues
•Lending related and other fees increased 2% compared to 3Q22 and decreased 2% compared to 2Q23
Other fee revenue increased $49 million compared to 3Q22, primarily due to a tax credit investment accounting change and better market-related adjustments. Other fee revenue decreased $14 million compared to 2Q23, primarily driven by the tax credit investment accounting change adoption in the prior quarter.










(a) Shift of a portion of management fees into NII associated with management fees that is now recognized as NII for certain U.S. ETFs with unique structures.
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Net interest income decreased 5% compared to 3Q22, largely due to lower average deposit balances and deposit mix shift, partially offset by the impact of higher interest rates. Compared to 2Q23, NII decreased 10%, primarily driven by lower average deposit balances and deposit mix shift, partially offset by the impact of higher interest rates, including international central bank hikes, and the investment portfolio repositioning.

Other Income was a loss of $294 million, reflecting a loss on sale related to the investment portfolio repositioning, which will benefit NII in future periods.

Total revenues were positively impacted by currency translation by $36 million compared to 3Q22 and negatively impacted by $1 million compared to 2Q23.

PROVISION FOR CREDIT LOSSES
(Dollars in millions)3Q232Q233Q22 % QoQ % YoY
Allowance for credit losses:
Beginning balance$136$162$114(16.0)%19.3 %
Provision for credit losses—(18)—nmnm
Charge-offs(2)(8)—nmnm
Ending Balance$134$136$114(1.5)%17.5 %


EXPENSES
(Dollars in millions)3Q232Q233Q22 % QoQ % YoY
Compensation and employee benefits$1,082$1,123$1,042(3.7)%3.8 %
Information systems and communications4114053991.5 3.0 
Transaction processing services2412352272.6 6.2 
Occupancy10110397(1.9)4.1 
Acquisition and restructuring costs——13nmnm
Amortization of other intangible assets606058— 3.4 
Other285286274(0.3)4.0 
Total Expenses$2,180$2,212$2,110(1.4)%3.3 %
Total expenses, excluding notable items(1)
$2,180$2,212$2,097(1.4)%4.0 %
Effective tax rate17.4 %16.7 %18.7 %0.7 %pts(1.3)%pts
(1) See "3Q23 Highlights" in this news release for a listing of notable items. Results excluding notable items are non-GAAP measures. Please refer to the Addendum included with this news release for an explanation and reconciliation of non-GAAP measures.

Compensation and employee benefits increased 4% compared to 3Q22, mainly due to higher salaries, headcount and the impact of currency translation, partially offset by lower performance-based incentive compensation and contractor spend. Compensation and employee benefits decreased 4% compared to 2Q23, largely driven by lower performance-based incentive compensation, higher salary deferrals and lower headcount.

Information systems and communications increased 3% compared to 3Q22, primarily due to higher technology and infrastructure investments, partially offset by optimization savings, insourcing and vendor savings initiatives. Information systems and communications increased 1% compared to 2Q23, mainly due to the absence of credits related to vendor savings initiatives.

Transaction processing services increased 6% compared to 3Q22, mainly reflecting higher sub-custody costs. Transaction processing services increased 3% compared to 2Q23, primarily due to the absence of sub-custody vendor credits.

Occupancy increased 4% compared to 3Q22, mainly due to increased real estate costs. Occupancy decreased 2% compared to 2Q23, due to one-time vendor credits.

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Other expenses increased 4% compared to 3Q22, largely reflecting higher marketing spend and professional fees. Other expenses were relatively flat compared to 2Q23.

Total expenses were negatively impacted by currency translation by $28 million compared to 3Q22 and positively impacted by $2 million compared to 2Q23.

TAXES
The effective tax rate of 17.4% in 3Q23 decreased from 18.7% in 3Q22, primarily due to the impact of the investment portfolio repositioning. Compared to 2Q23, the effective tax rate increased from 16.7%, reflecting the absence of prior quarter discrete benefits. Excluding the impact of notable items in 3Q23, the effective tax rate was 20.9%.(a)



CAPITAL AND LIQUIDITY
The following table presents preliminary estimates of regulatory capital and liquidity ratios for State Street Corporation.
(As of period end)3Q232Q233Q22
Basel III Standardized Approach:
Common equity tier 1 ratio (CET1)11.0 %11.8 %13.2 %
Tier 1 capital ratio12.7 13.6 14.9 
Total capital ratio14.0 14.9 16.2 
Basel III Advanced Approaches:
Common equity tier 1 ratio (CET1)12.2 12.7 14.0 
Tier 1 capital ratio14.0 14.5 15.9 
Total capital ratio15.3 15.8 17.1 
Tier 1 leverage ratio5.8 5.8 6.4 
Supplementary leverage ratio6.3 6.4 7.1 
Liquidity coverage ratio (LCR) (1)
109 %108 %106 %
LCR - State Street Bank and Trust (1)
120 %120 %116 %
(1) See the "In This News Release" section for further details on LCR and the calculation between State Street Corporation and State Street Bank and Trust.
Standardized capital ratios were binding for all periods included above.
CET1 ratio at quarter-end of 11.0% decreased 2.2% points compared to 3Q22 and decreased 0.8% points compared to 2Q23, primarily driven by lower CET1 capital, associated with the continuation of common share repurchases, and higher RWA.

Tier 1 leverage ratio at quarter-end of 5.8% decreased 0.6% points compared to 3Q22, primarily driven by lower Tier 1 capital, associated with the continuation of common share repurchases, partially offset by a reduction in average assets. Tier 1 leverage ratio was flat compared to 2Q23, as the impact of lower Tier 1 capital was offset by a reduction in average assets.
Liquidity coverage ratio (LCR) for State Street Corporation was approximately 109%, up 3% points compared to 3Q22, and increased 1% point compared to 2Q23. LCR for State Street Bank and Trust was approximately 120%, up 4% points compared to 3Q22 and flat compared to 2Q23.






(a) Results excluding notable items are non-GAAP measures. Please refer to the Addendum included with this news release for an explanation and reconciliation of non-GAAP measures.
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INVESTOR CONFERENCE CALL AND QUARTERLY WEBSITE DISCLOSURE
State Street will webcast an investor conference call today, Wednesday, October 18, 2023, at 11:00 a.m. ET, available at http://investors.statestreet.com. The conference call will also be available via telephone, at (888) 886-7786. The Conference ID# is 64707569.

Recorded replay of the conference call will be available on the website and by telephone at (877) 674-7070 beginning approximately two hours after the call's completion. The Conference ID# is 64707569 and the Playback Passcode is 707569 #. The telephone replay will be available for approximately one month following the conference call.

This News Release, presentation materials referred to on the conference call and additional financial information are available on State Street's website, at http://investors.statestreet.com under “Investor News & Events" and under the title “Events & Presentations".

State Street intends to publish updates to its public disclosure regarding regulatory capital, as required by the Basel III final rule, and the liquidity coverage and net stable funding ratios, on a quarterly basis on its website at http://investors.statestreet.com, under "Filings & Reports". Those updates will be published each quarter, during the period beginning after State Street's public announcement of its quarterly results of operations and ending on or prior to the due date under applicable bank regulatory requirements (i.e., ordinarily, ending no later than 60 days following year-end or 40 to 45 days following each other quarter-end, as applicable). For 3Q23, State Street expects to publish its updates during the period beginning today and ending on or about November 9, 2023 and on or about November 14, 2023 for the liquidity coverage and net stable funding ratios.

State Street Corporation (NYSE: STT) is one of the world's leading providers of financial services to institutional investors including investment servicing, investment management and investment research and trading. With $40.0 trillion in assets under custody and/or administration and $3.7 trillion* in assets under management as of September 30, 2023, State Street operates globally in more than 100 geographic markets and employs approximately 42,000 worldwide. For more information, visit State Street's website at www.statestreet.com.
* Assets under management as of September 30, 2023 includes approximately $58 billion of assets with respect to SPDR® products for which State Street Global Advisors Funds Distributors, LLC (SSGA FD) acts solely as the marketing agent. SSGA FD and State Street Global Advisors are affiliated.
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IN THIS NEWS RELEASE:
•Stock purchases under our common stock repurchase programs may be made using various types of transactions, including open-market purchases, accelerated share repurchases or other transactions off the market, and may be made under Rule 10b5-1 trading programs. The timing and amount of any stock purchases and the type of transaction may not be ratable over the duration of the program, may vary from reporting period to reporting period and will depend on several factors, including our capital position and financial performance, investment opportunities, market conditions, regulatory considerations including the nature and timing of implementation of revisions to the Basel III framework, and the amount of common stock issued as part of employee compensation programs. The common share repurchase programs do not have specific price targets and may be suspended at any time. State Street’s fourth quarter 2023 common stock and other stock dividends, including the declaration, timing and amount, remain subject to consideration and approval by State Street’s Board of Directors at the relevant times.
•In March 2023, the Financial Accounting Standards Board issued new accounting guidance that expands the use of proportional amortization accounting to other types of tax credit investments regardless of the tax credit program from which the income tax credits are received. We adopted the new standard in the second quarter of 2023, effective January 1, 2023 for renewable energy production tax credit investments under the modified retrospective approach. The impact of adoption results in an increase in Other fee revenue, an increase in Tax expense and was not material to net income.
•Expenses and other measures are sometimes presented excluding notable items/effects of currency translation. This is a non-GAAP presentation. See the Addendum to this News Release for an explanation and reconciliations of our non-GAAP measures.
•Servicing fee revenue wins/backlog represents estimates of future annual revenue associated with new servicing engagements contracted for during the current reporting period based upon factors assessed at time of servicing contract execution, including asset volumes, number of transactions, accounts and holdings, terms and expected strategy. These and other relevant factors influencing projected servicing fees upon asset implementation/onboarding will change from time to time prior to, upon and following asset implementation/onboarding, among other reasons, due to varying market levels and factors and client and investor activity and preferences. Servicing fee/backlog estimates are not updated to reflect those changes, regardless of the magnitude or direction of, or reason for, any change. Servicing fee revenue wins in any period include estimated fees attributable to both (1) services to be provided for new estimated AUC/A reflected in new asset servicing wins for the period (with AUC/A to be onboarded in the future) and (2) additional services to be provided for AUC/A already included in our end-of period AUC/A (i.e., for which other services are currently provided); and the magnitude of one source of servicing fee revenue wins relative to the other (i.e., (1) relative to (2)) will vary from period to period. Therefore, for these and other reasons, comparisons of estimated servicing fee revenue wins to estimated new asset servicing AUC/A wins for any period will not produce reliable fee per AUC/A estimates. See also the succeeding two bullets in this “In This News Release” section in reference to considerations applicable to pending servicing engagements, which similarly apply to engagements for which reported servicing fee revenue wins/backlog are attributable.
•New asset servicing mandates, including announced Alpha front-to-back investment servicing clients, may be subject to completion of definitive agreements, approval of applicable boards and shareholders and customary regulatory approvals. New asset servicing mandates and servicing assets remaining to be installed in future periods exclude new business which has been contracted, but for which the client has not yet provided permission to publicly disclose and is not yet installed. These excluded assets, which from time to time may be significant, will be included in new asset servicing mandates and reflected in servicing assets remaining to be installed in the period in which the client provides its permission. Servicing mandates and servicing assets remaining to be installed in future periods are presented on a gross basis and therefore also do not include the impact of clients who have notified us during the period of their intent to terminate or reduce their relationship with State Street, which from time to time may be significant.
•New business in assets to be serviced is reflected in our AUC/A after we begin servicing the assets, and new business in assets to be managed is reflected in our AUM after we begin managing the assets. As such, only a portion of any new asset servicing and asset management mandates may be reflected in our AUC/A and AUM as of any particular date specified. Consistent with past practice, AUC/A values for certain asset classes are based on a lag, typically one-month. Generally, our servicing fee revenues are affected by several factors, and we provide varied services from our full suite of offerings to different clients. The basis for fees will also differ across regions and clients and can reflect pricing pressures traditionally experienced in our industry. Consequently, no assumption should be drawn as to future revenue run rate from announced servicing wins or new servicing business yet to be installed, as the amount of revenue associated with AUC/A can vary materially. Management fees also are generally affected by various factors, including investment product type and strategy and relationship pricing for clients, and are more sensitive to market valuations than are servicing fees. Therefore, no assumption should be drawn from management fees associated with changes in AUM levels.
•Front office software and data ARR, an operating metric, is calculated by annualizing current quarter revenue for CRD and Mercatus and includes the annualized amount of most software-enabled revenue, including revenue generated from SaaS, maintenance and support revenue, FIX, and value-added services, which are all expected to be recognized ratably over the term of client contracts. ARR does not include software-enabled brokerage revenue, revenue from
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affiliates and licensing fees (excluding the portion allocated to maintenance and support) from On-premises software. Front office software and data ARR was $267 million, $281 million, and $299 million in 3Q22, 2Q23, and 3Q23, respectively.
•Revenue and pre-tax income reflects the application of ASC 606. Revenue recognition under ASC 606 results in the acceleration of a significant portion of revenues for On-premises software agreements when a client goes live or renews their contract with us. The amount of revenue recognized in any given quarter will be driven in large part by client activity, including agreements that renew or are installed in that quarter.
•Unless otherwise noted, all capital ratios referenced on this News Release and elsewhere in this presentation refer to State Street Corporation, or State Street, and not State Street Bank and Trust Company. The lower of capital ratios calculated under the Basel III advanced approaches and under the Basel III standardized approach are applied in the assessment of our capital adequacy for regulatory purposes. Standardized ratios were binding for 3Q23. Refer to the Addendum included with this News Release for additional information. All capital ratios are estimated. Liquidity Coverage Ratio (LCR) is a preliminary estimate based on a quarterly daily average.
•All earnings per share amounts represent fully diluted earnings per common share.
•Return on average common equity is determined by dividing annualized net income available to common shareholders by average common shareholders' equity for the period.
•Quarter-over-quarter (QoQ) is a sequential quarter comparison. Year-on-year (YoY) is the current period compared to the same period a year ago.
•Operating leverage is the rate of growth of total revenue less the rate of growth of total expenses, relative to the corresponding prior year period, as applicable.
•"AUC/A" denotes Assets Under Custody and/or Administration; "AUC" denotes Assets Under Custody; "AUM" denotes Assets Under Management; "SPDR" denotes Standard and Poor's Depository Receipt; "ETF" denotes Exchange-traded fund; "nm" denotes not meaningful; "EOP" denotes end of period.
•"CRD" denotes Charles River Development; "SaaS" denotes Software as a service; "FIX" denotes The Charles River Network's FIX Network Service (CRN); "On-premises" denotes On-premises revenue as recognized in the CRD business.
•"RWA" denotes risk-weighted assets; "AOCI" denotes Accumulated other comprehensive income; "AFS" denotes Available-for-sale; "SA-CCR" denotes Standard Approach for Counterparty Credit Risk.
•"FTE" denotes fully taxable-equivalent basis; NIM is presented on an FTE-basis, and is calculated by dividing FTE NII by average total interest-earning assets. Refer to the Addendum for reconciliations of our FTE-basis presentation.
•State Street Bank and Trust's (SSBT) LCR is significantly higher than State Street Corporation's (SSC) LCR, primarily due to application of the transferability restriction in the U.S. LCR Final Rule to the calculation of SSC’s LCR. This restriction limits the amount of HQLA held at SSC’s principal banking subsidiary, SSBT and available for the calculation of SSC’s LCR to the amount of net cash outflows of SSBT. This transferability restriction does not apply in the calculation of SSBT’s LCR, and therefore SSBT’s LCR reflects the full benefit of all of its HQLA holdings.
•Industry data is provided for illustrative purposes only. It is not intended to reflect State Street's or its clients' activity and is indicative of only selected segments of the entire industry.
◦Morningstar data includes long-term mutual funds, ETFs and Money Market funds. Mutual fund data represents estimates of net new cash flow, which is new sales minus redemptions combined with net exchanges, while ETF data represents net issuance, which is gross issuance less gross redemptions. Data for Fund of Funds, Feeder funds and Obsolete funds were excluded from the series to prevent double counting. Data is from the Morningstar Direct Asset Flows database.
◦The long-term fund flows reported by Morningstar in North America are composed of US domiciled Market flows mainly in Equities, Allocation and Fixed Income asset classes. 3Q23 data for North America (US domiciled) includes Morningstar actuals for July and August 2023 and Morningstar estimates for September 2023.
◦The long-term funds flows reported by Morningstar direct in EMEA are composed of the European market flows mainly in Equities, Allocation and Fixed Incomes asset classes. 3Q23 data for Europe is on a rolling three month basis for June 2023 through August 2023, sourced by Morningstar.
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FORWARD LOOKING STATEMENTS
This News Release contains forward-looking statements within the meaning of United States securities laws, including statements about our goals and expectations regarding our strategy, growth and sales prospects, capital management, business, financial and capital condition, results of operations, the financial and market outlook and the business environment. Forward-looking statements are often, but not always, identified by such forward-looking terminology as “outlook,” “priority,” “will,” “expect,” "intend," "aim," "outcome," "future," “strategy,” "pipeline," “trajectory,” "target," “guidance,” “objective,” “plan,” “forecast,” “believe,” “anticipate,” “estimate,” “seek,” “may,” “trend,” and “goal,” or similar statements or variations of such terms. These statements are not guarantees of future performance, are inherently uncertain, are based on current assumptions that are difficult to predict and involve a number of risks and uncertainties. Therefore, actual outcomes and results may differ materially from what is expressed in those statements, and those statements should not be relied upon as representing our expectations or beliefs as of any time subsequent to the time this News Release is first issued.
Important factors that may affect future results and outcomes include, but are not limited to:
•We are subject to intense competition, which could negatively affect our profitability;
•We are subject to significant pricing pressure and variability in our financial results and our AUC/A and AUM;
•We could be adversely affected by geopolitical, economic and market conditions, including, for example, as a result of liquidity or capital deficiencies (actual or perceived) by other financial institutions and related market and government actions, the Israel-Hamas War, ongoing war in Ukraine, actions taken by central banks to address inflationary pressures, challenging conditions in global equity markets, periods of significant volatility in valuations and liquidity or other disruptions in the markets for equity, fixed income and other asset classes globally or within specific markets such as those that impacted the UK gilts in the fourth quarter of 2022;
•Our development and completion of new products and services, including State Street Alpha® or State Street Digital®, and the enhancement of our infrastructure required to meet increased regulatory and client expectations for resiliency and the systems and process re-engineering necessary to achieve improved productivity and reduced operating risk, involve costs, risks and dependencies on third parties;
•Our business may be negatively affected by our failure to update and maintain our technology infrastructure or as a result of a cyber-attack or similar vulnerability in our or business partners' infrastructure;
•Acquisitions, strategic alliances, joint ventures and divestitures, and the integration, retention and development of the benefits of these transactions, including the consolidation of one of our operations joint ventures in India, pose risks for our business;
•Competition for qualified members of our workforce is intense, and we may not be able to attract and retain the highly skilled people we need to support our business;
•We have significant international operations and clients that can be adversely impacted by developments in European and Asian economies, including local, regional and geopolitical developments affecting those economies;
•Our investment securities portfolio, consolidated financial condition and consolidated results of operations could be adversely affected by changes in the financial markets, governmental action or monetary policy. For example, among other risks, increases in prevailing interest rates could lead to reduced levels of client deposits and resulting decreases in our NII;
•Our business activities expose us to interest rate risk;
•We assume significant credit risk of counterparties, who may also have substantial financial dependencies on other financial institutions, and these credit exposures and concentrations could expose us to financial loss;
•Our fee revenue represents a significant portion of our revenue and is subject to decline based on, among other factors, market and currency declines, investment activities and preferences of our clients and their business mix;
•If we are unable to effectively manage our capital and liquidity, our financial condition, capital ratios, results of operations and business prospects could be adversely affected;
•We may need to raise additional capital or debt in the future, which may not be available to us or may only be available on unfavorable terms;
•If we experience a downgrade in our credit ratings, or an actual or perceived reduction in our financial strength, our borrowing and capital costs, liquidity and reputation could be adversely affected;
•Our business and capital-related activities, including common share repurchases, may be adversely affected by regulatory capital, credit (counterparty and otherwise) and liquidity standards and considerations;
•We face extensive and changing governmental regulation in the jurisdictions in which we operate, which may increase our costs and compliance risks and may affect our business activities and strategies;
•We are subject to enhanced external oversight as a result of the resolution of prior regulatory or governmental matters;
•Our businesses may be adversely affected by government enforcement and litigation;
•Our businesses may be adversely affected by increased political and regulatory scrutiny of asset management stewardship and corporate ESG practices;
•Our efforts to improve our billing processes and practices are ongoing and may result in the identification of additional billing errors;
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•Any misappropriation of the confidential information we possess could have an adverse impact on our business and could subject us to regulatory actions, litigation and other adverse effects;
•Our calculations of risk exposures, total RWA and capital ratios depend on data inputs, formulae, models, correlations and assumptions that are subject to change, which could materially impact our risk exposures, our total RWA and our capital ratios from period to period;
•Changes in accounting standards may adversely affect our consolidated results of operations and financial condition;
•Changes in tax laws, rules or regulations, challenges to our tax positions and changes in the composition of our pre-tax earnings may increase our effective tax rate;
•We could face liabilities for withholding and other non-income taxes, including in connection with our services to clients, as a result of tax authority examinations;
•Our internal control environment may be inadequate, fail or be circumvented, and operational risks could adversely affect our business and consolidated results of operations;
•Shifting operational activities to non-U.S. jurisdictions, changing our operating model and outsourcing to, or insourcing from, third parties portions of our operations may expose us to increased operational risk, geopolitical risk and reputational harm and may not result in expected cost savings or operational improvements;
•Attacks or unauthorized access to our or our business partners' information technology systems or facilities, or disruptions to our or their operations, could result in significant costs, reputational damage and impacts on our business activities;
•Long-term contracts and customizing service delivery for clients expose us to pricing and performance risk;
•Our businesses may be negatively affected by adverse publicity or other reputational harm;
•We may not be able to protect our intellectual property or may infringe upon the rights of third parties;
•The quantitative models we use to manage our business may contain errors that could adversely impact our business and regulatory compliance;
•Our reputation and business prospects may be damaged if our clients incur substantial losses or are restricted in redeeming their interests in investment pools that we sponsor or manage;
•The impacts of climate change, and regulatory responses to such risks, could adversely affect us;
•We may incur losses as a result of unforeseen events including terrorist attacks, natural disasters, the emergence of a new pandemic or acts of embezzlement; and
•The transition away from LIBOR may result in additional costs and increased risk exposure.
Other important factors that could cause actual results to differ materially from those indicated by any forward-looking statements are set forth in our 2022 Annual Report on Form 10-K and our subsequent SEC filings. We encourage investors to read these filings, particularly the sections on risk factors, for additional information with respect to any forward-looking statements and prior to making any investment decision. The forward-looking statements contained in this News Release should not by relied on as representing our expectations or beliefs as of any time subsequent to the time this News Release is first issued, and we do not undertake efforts to revise those forward-looking statements to reflect events after that time.
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Exhibit 99.2
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
September 30, 2023
Table of Contents
GAAP-Basis Financial Information:
4-Year Summary of Results2
Consolidated Results of Operations3
Consolidated Statement of Condition5
Average Statement of Condition - Rates Earned and Paid - Fully Taxable-Equivalent Basis6
Average Statement of Condition - Rates Earned and Paid - Fully Taxable-Equivalent Basis - Year-to-Date7
Selected Average Balances by Currency - Rates Earned and Paid8
Investment Portfolio Holdings by Asset Class9
Investment Portfolio Non-U.S. Investments11
Assets Under Custody and/or Administration12
Assets Under Management13
Industry Flow Data by Asset Class14
Line of Business Information15
Allowance for Credit Losses16
Non-GAAP Financial Information:
Reconciliations of Non-GAAP Financial Information17
Reconciliation of Pre-tax Margin Excluding Notable Items20
Reconciliations of Constant Currency FX Impacts21
Capital:
Reconciliations of Tangible Book Value per Share and Return on Tangible Common Equity22
Regulatory Capital23
This financial information should be read in conjunction with State Street's news release dated October 18, 2023.

                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
4-YEAR SUMMARY OF RESULTS
(Dollars in millions, except per share amounts, or where otherwise noted)2019202020212022
Year ended December 31:
Total fee revenue$9,147 $9,499 $10,012 $9,606 
Net interest income2,566 2,200 1,905 2,544 
Other income43 4 110 (2)
Total revenue11,756 11,703 12,027 12,148 
Provision for credit losses10 88 (33)20 
Total expenses9,034 8,716 8,889 8,801 
Income before income tax expense2,712 2,899 3,171 3,327 
Income tax expense470 479 478 553 
Net income2,242 2,420 2,693 2,774 
Net income available to common shareholders$2,009 $2,257 $2,572 $2,660 
Per common share:
Diluted earnings per common share$5.38 $6.32 $7.19 $7.19 
Average diluted common shares outstanding (in thousands)373,666 357,106 357,962 370,109 
Cash dividends declared per common share$1.98 $2.08 $2.18 $2.40 
Closing price per share of common stock (at year end)79.10 72.78 93.00 77.57 
Average balance sheet:
Investment securities$91,768 $109,175 $111,730 $111,929 
Total assets223,334 269,334 299,743 286,430 
Total deposits158,262 193,225 235,404 222,874 
Ratios and other metrics:
Return on average common equity9.4 %10.0 %10.7 %11.1 %
Pre-tax margin23.1 24.8 26.4 27.4 
Pre-tax margin, excluding notable items(1)
25.8 26.3 27.6 28.4 
Net interest margin, fully taxable-equivalent basis1.42 0.97 0.74 1.03 
Common equity tier 1 ratio(2)(3)
11.7 12.3 14.3 13.6 
Tier 1 capital ratio(2)(3)
14.5 14.4 16.1 15.4 
Total capital ratio(2)(3)
15.6 15.3 17.5 16.8 
Tier 1 leverage ratio(2)
6.9 6.4 6.1 6.0 
Supplementary leverage ratio(2)
6.1 8.1 7.4 7.0 
Assets under custody and/or administration (in trillions)$34.36 $38.79 $43.68 $36.74 
Assets under management (in trillions)3.12 3.47 4.14 3.48 
(1) Notable items include acquisition and restructuring costs, repositioning charges and legal and other notable items. Refer to Reconciliations of pre-tax margin excluding notable items for details.
(2) The capital ratios presented are calculated in conformity with the applicable regulatory guidance in effect as of each period end. Effective January 1, 2018, the applicable final rules are in effect and the ratios are calculated based on fully phased-in CET1, tier 1, total capital and supplementary leverage numbers. We did not revise previously-filed reported capital metrics and ratios.
(3) The reportable ratios represent the lower of each of the risk-based capital ratios under both the Standardized Approach and the Advanced Approaches.
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STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED RESULTS OF OPERATIONS
Quarters% ChangeYear-to-Date% Change
(Dollars in millions, except per share amounts, or where otherwise noted)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23		20222023YTD2023
vs.
YTD2022
Fee revenue:
Back office servicing fees$1,268 $1,205 $1,126 $1,115 $1,131 $1,164 $1,138 1.1 %(2.2)%$3,599 $3,433 (4.6)%
Middle office services100 92 93 88 86 95 96 3.2 1.1 285 277 (2.8)
Servicing fees1,368 1,297 1,219 1,203 1,217 1,259 1,234 1.2 (2.0)3,884 3,710 (4.5)
Management fees520 490 472 457 457 461 479 1.5 3.9 1,482 1,397 (5.7)
Foreign exchange trading services359 331 319 367 342 303 313 (1.9)3.3 1,009 958 (5.1)
Securities finance96 107 110 103 109 117 103 (6.4)(12.0)313 329 5.1 
Front office software and data138 126 127 159 109 162 130 2.4 (19.8)391 401 2.6 
Lending related and other fees63 62 57 57 56 59 58 1.8 (1.7)182 173 (4.9)
Software and processing fees201 188 184 216 165 221 188 2.2 (14.9)573 574 0.2 
Other fee revenue29 (43)(5)18 45 58 44 nm(24.1)(19)147 nm
Total fee revenue2,573 2,370 2,299 2,364 2,335 2,419 2,361 2.7 (2.4)7,242 7,115 (1.8)
Net interest income:
Interest income521 704 1,101 1,762 2,027 2,232 2,328 nm4.32,326 6,587 nm
Interest expense12 120 441 971 1,261 1,541 1,704 nm10.6573 4,506 nm
Net interest income509 584 660 791 766 691 624 (5.5)(9.7)1,753 2,081 18.7 
Other income:
Gains (losses) related to investment securities, net(1)(1)— — — — (294)nmnm(2)(294)nm
Total other income(1)(1)— — — — (294)nmnm(2)(294)nm
Total revenue3,081 2,953 2,959 3,155 3,101 3,110 2,691 (9.1)(13.5)8,993 8,902 (1.0)
Provision for credit losses— 10 — 10 44 (18)— nmnm10 26 nm
Expenses:
Compensation and employee benefits1,232 1,046 1,042 1,108 1,292 1,123 1,082 3.8 (3.7)3,320 3,497 5.3 
Information systems and communications423 392 399 416 414 405 411 3.0 1.5 1,214 1,230 1.3 
Transaction processing services264 240 227 240 239 235 241 6.2 2.6 731 715 (2.2)
Occupancy95 96 97 106 94 103 101 4.1 (1.9)288 298 3.5 
Acquisition and restructuring costs9 12 13 31 — — — nmnm34 — nm
Amortization of other intangible assets61 60 58 59 60 60 60 3.4 — 179 180 0.6 
Other243 262 274 296 270 286 285 4.0 (0.3)779 841 8.0 
Total expenses2,327 2,108 2,110 2,256 2,369 2,212 2,180 3.3 (1.4)6,545 6,761 3.3 
Income before income tax expense754 835 849 889 688 916 511 (39.8)(44.2)2,438 2,115 (13.2)
Income tax expense150 88 159 156 139 153 89 (44.0)(41.8)397 381 (4.0)
Net income$604 $747 $690 $733 $549 $763 $422 (38.8)(44.7)$2,041 $1,734 (15.0)


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STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED RESULTS OF OPERATIONS (Continued)
Quarters% ChangeYear-to-Date% Change
(Dollars in millions, except per share amounts, or where otherwise noted)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23		20222023YTD2023
vs.
YTD2022
Adjustments to net income:
Dividends on preferred stock$(20)$(35)$(21)$(36)$(23)$(37)$(24)(14.3)%35.1 %$(76)$(84)(10.5)%
Earnings allocated to participating securities(1)— — (1)(1)— — nmnm(1)(1)— 
Net income available to common shareholders$583 $712 $669 $696 $525 $726 $398 (40.5)(45.2)$1,964 $1,649 (16.0)
Per common share:
Basic earnings$1.59 $1.94 $1.82 $1.94 $1.54 $2.20 $1.27 (30.2)(42.3)$5.35 $5.03 (6.0)
Diluted earnings1.57 1.91 1.80 1.91 1.52 2.17 1.25 (30.6)(42.4)5.28 4.97 (5.9)
Average common shares outstanding (in thousands):
Basic366,542 367,375 367,789 359,200 341,106 329,383 313,147 (14.9)(4.9)367,240 327,776 (10.7)
Diluted372,037 372,123 372,418 363,923 345,472 333,540 317,329 (14.8)(4.9)372,194 332,011 (10.8)
Cash dividends declared per common share $0.57 $0.57 $0.63 $0.63 $0.63 $0.63 $0.69 9.5 9.5 $1.77 $1.95 10.2 
Closing price per share of common stock (as of quarter end) 87.12 61.65 60.81 77.57 75.69 73.18 66.96 10.1 (8.5)60.81 66.96 10.1 
Book value per common share $66.05 $64.72 $64.33 $66.51 $67.69 $69.01 $70.14 9.0 1.6 $64.33 $70.14 9.0 
Tangible book value per common share(1)
42.00 41.25 41.41 42.03 42.34 42.68 43.07 4.0 0.9 41.41 43.07 4.0 
Balance sheet averages:
Investment securities$119,286 $113,929 $108,875 $105,804 $107,089 $107,550 $104,995 (3.6)(2.4)$113,992 $106,537 (6.5)
Total assets295,010 291,435 275,168 284,346 277,492 274,972 267,727 (2.7)(2.6)287,132 273,361 (4.8)
Total deposits233,268 228,417 213,302 216,799 210,320 205,831 197,869 (7.2)(3.9)

224,922 204,628 (9.0)
Ratios and other metrics:
Effective tax rate19.9 %10.5 %18.7 %17.6 %20.2 %16.7 %17.4 %(1.3)%pts0.7 %pts16.3 %18.0 %1.7 %pts
Return on average common equity9.5 12.1 11.2 11.8 9.3 13.0 7.3 (3.9)(5.7)10.9 9.9 (1.0)
Return on average tangible common equity(2)
14.7 17.3 17.3 17.7 14.6 18.0 16.5 (0.8)(1.5)

17.1 15.9 (1.2)
Pre-tax margin24.5 28.3 28.7 28.2 22.2 29.5 19.0 (9.7)(10.5)27.1 23.8 (3.3)
Pre-tax margin, excluding notable items(3)

24.828.729.130.922.2 29.5 27.0 (2.1)(2.5)

27.5 26.2 (1.3)
Net interest margin, fully taxable-equivalent basis0.800.941.111.291.31 1.19 1.12 0.01 (0.07)0.95 1.21 0.26 
Common equity tier 1 ratio(4)(5)
11.912.913.213.612.1 11.8 11.0 (2.2)(0.8)13.211.0 (2.2)
Tier 1 capital ratio(4)(5)
13.414.614.915.413.8 13.6 12.7 (2.2)(0.9)14.912.7 (2.2)
Total capital ratio(4)(5)
14.815.916.216.815.2 14.9 14.0 (2.2)(0.9)16.214.0 (2.2)
Tier 1 leverage ratio(4)
5.96.06.46.06.0 5.8 5.8 (0.6)— 6.45.8 (0.6)
Supplementary leverage ratio(4)
6.76.67.17.06.8 6.4 6.3 (0.8)(0.1)7.16.3 (0.8)
End-of-period securities on loan(6)
$412,162 $358,972 $353,108 $362,395 $362,438 $290,515 $280,408 (20.6)%(3.5)%$353,108 $280,408 (20.6)%
Assets under custody and/or administration (in billions)41,724 38,180 35,688 36,743 37,635 39,589 40,017 12.1 1.1 35,688 40,017 12.1 
Assets under management (in billions)4,022 3,475 3,265 3,481 3,618 3,797 3,687 12.9 (2.9)3,265 3,687 12.9 
(1) Tangible book value per common share is calculated by dividing the period end tangible common equity (non-GAAP) by the total common shares outstanding at period end. Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.
(2) Return on tangible common equity is calculated by dividing year-to-date annualized net income available to common shareholders (GAAP-basis) by average tangible common equity (non-GAAP). Refer to the Reconciliations of Tangible Book Value per Common Share and Return on Tangible Common Equity page for details.
(3) Notable items include acquisition and restructuring costs, repositioning charges and legal and other notable items. Refer to Reconciliations of non-GAAP Financial Information pages for details.
(4) The capital ratios presented are calculated in conformity with the applicable regulatory guidance in effect as of each period end. Capital ratios as of September 30, 2023 are estimates.
(5) The reportable ratios represent the lower of each of the risk-based capital ratios under both the Standardized Approach and the Advanced Approaches. Refer to Regulatory Capital for details on Standardized and Advanced Approaches ratios.
(6) Average securities on loan were $397,522 million, $386,734 million, $365,883 million and $355,298 million in the first, second, third and fourth quarters of 2022, respectively, and $355,150 million, $298,145 million and $283,855 million in the first, second and third quarters of 2023, respectively.
nm Denotes not meaningful
4    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
CONSOLIDATED STATEMENT OF CONDITION
As of% Change
(Dollars in millions, except per share amounts)March 31, 2022June 30, 2022September 30, 2022December 31. 2022March 31, 2023June 30, 2023September 30, 20233Q23
vs.
3Q22		3Q23
vs.
2Q23
Assets:
Cash and due from banks$2,976 $3,515 $2,748 $3,970 $3,698 $3,930 $4,009 45.9 %2.0 %
Interest-bearing deposits with banks, net104,010 91,360 99,199 101,593 87,935 86,048 76,756 (22.6)(10.8)
Securities purchased under resale agreements803 5,203 1,308 5,215 1,134 1,668 1,816 38.88.9
Trading account assets754 728 685 650 695 715 725 5.8 1.4 
Investment securities:
Investment securities available-for-sale, net74,348 45,454 40,986 40,579 42,841 43,046 41,546 1.4 (3.5)
Investment securities held-to-maturity, net(1)
45,203 64,261 65,232 64,700 65,027 63,510 61,956 (5.0)(2.4)
Total investment securities119,551 109,715 106,218 105,279 107,868 106,556 103,502 (2.6)(2.9)
Loans35,141 33,565 36,113 32,150 33,916 34,123 35,436 (1.9)3.8 
Allowance for credit losses on loans(2)
86 95 97 97 115 120 119 22.7 (0.8)
Loans, net35,055 33,470 36,016 32,053 33,801 34,003 35,317 (1.9)3.9 
Premises and equipment, net(3)
2,229 2,240 2,283 2,315 2,337 2,349 2,334 2.2 (0.6)
Accrued interest and fees receivable3,446 3,403 3,526 3,434 3,570 3,732 3,874 9.9 3.8 
Goodwill7,582 7,465 7,351 7,495 7,530 7,544 7,487 1.9 (0.8)
Other intangible assets1,744 1,654 1,568 1,544 1,493 1,435 1,363 (13.1)(5.0)
Other assets44,200 41,470 42,666 37,902 40,755 46,581 47,232 10.7 1.4 
Total assets$322,350 $300,223 $303,568 $301,450 $290,816 $294,561 $284,415 (6.3)(3.4)
Liabilities:
Deposits:
   Non-interest-bearing$61,797 $55,062 $55,894 $46,755 $45,856 $36,455 $35,824 (35.9)(1.7)
   Interest-bearing - U.S.104,962 107,262 105,021 111,384 108,623 122,676 118,561 12.9 (3.4)
   Interest-bearing - Non-U.S.84,284 79,589 77,321 77,325 69,152 63,185 58,616 (24.2)(7.2)
Total deposits(4)
251,043 241,913 238,236 235,464 223,631 222,316 213,001 (10.6)(4.2)
Securities sold under repurchase agreements4,277 951 4,250 1,177 3,695 4,294 3,097 (27.1)(27.9)
Short-term borrowings18 73 109 2,097 8 53 8 (92.7)(84.9)
Accrued expenses and other liabilities26,866 17,989 21,326 22,525 22,427 26,516 26,124 22.5 (1.5)
Long-term debt13,922 13,530 13,999 14,996 16,305 17,178 18,564 32.6 8.1 
Total liabilities296,126 274,456 277,920 276,259 266,066 270,357 260,794 (6.2)(3.5)
Shareholders' equity:
Preferred stock, no par, 3,500,000 shares authorized:
Series D, 7,500 shares issued and outstanding742 742 742 742 742 742 742 — — 
Series F, 2,500 shares issued and outstanding247 247 247 247 247 247 247 — — 
Series G, 5,000 shares issued and outstanding493 493 493 493 493 493 493 — — 
Series H, 5,000 shares issued and outstanding494 494 494 494 494 494 494 — — 
Common stock, $1 par, 750,000,000 shares authorized(5)(6)
504 504 504 504 504 504 504 — — 
Surplus10,762 10,757 10,760 10,730 10,724 10,729 10,735 (0.2)0.1 
Retained earnings25,612 26,115 26,552 27,028 27,342 27,808 27,993 5.4 0.7 
Accumulated other comprehensive income (loss)(2,698)(3,687)(4,268)(3,711)(3,272)(3,258)(3,045)28.76.5
Treasury stock, at cost(7)
(9,932)(9,898)(9,876)(11,336)(12,524)(13,555)(14,542)(47.2)(7.3)
Total shareholders' equity26,224 25,767 25,648 25,191 24,750 24,204 23,621 (7.9)(2.4)
Total liabilities and equity$322,350 $300,223 $303,568 $301,450 $290,816 $294,561 $284,415 (6.3)(3.4)
(1) Fair value of investment securities held-to-maturity
$42,834 $60,103 $58,320 $57,913 $59,139 $56,863 54,121 
(2) Total allowance for credit losses including off-balance sheet commitments
107 114 114 121 162 136 134 
(3) Accumulated depreciation for premises and equipment
5,530 5,652 5,772 5,745 5,918 6,035 6,148 
(4) Average total deposits
233,268 228,417 213,302 216,799 210,320 205,831 197,869 
(5) Common stock shares issued
503,879,642 503,879,642 503,879,642 503,879,642 503,879,642 503,879,642 503,879,642 
(6) Total common shares outstanding
367,114,788 367,619,353 367,967,505 349,024,167 336,461,072 322,101,110 308,583,511 
(7) Treasury stock shares
136,764,854 136,260,289 135,912,137 154,855,475 167,418,570 181,778,532 195,296,131 
5    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
AVERAGE STATEMENT OF CONDITION - RATES EARNED AND PAID - FULLY TAXABLE-EQUIVALENT BASIS(1)
The following table presents average rates earned and paid, on a fully taxable-equivalent basis, on consolidated average interest-earning assets and average interest-bearing liabilities for the quarters indicated. Tax-equivalent adjustments were calculated using a federal income tax rate of 21%, adjusted for applicable state income taxes, net of related federal benefit.
Quarters% Change
1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23
(Dollars in millions; fully-taxable equivalent basis)Average balanceAverage ratesAverage balanceAverage ratesAverage balanceAverage ratesAverage balanceAverage ratesAverage balanceAverage ratesAverage balanceAverage ratesAverage balanceAverage ratesAverage balanceAverage balance
Assets:
Interest-bearing deposits with banks, net$76,741 0.05 %$76,531 0.36 %$68,918 1.16 %$83,809 2.66 %$77,220 3.37 %$69,079 4.05 %$62,514 4.40 %(9.3)%(9.5)%
Securities purchased under resale agreements(2)
3,150 1.31 2,022 7.47 1,470 15.55 1,843 17.72 1,643 18.94 1,634 19.82 1,639 15.75 11.5 0.3 
Trading account assets761 — 746 0.01 701 — 677 — 667 — 704 — 728 — 3.9 3.4 
Investment securities:
Investment securities available-for-sale, net75,226 0.83 54,767 0.91 43,956 1.62 40,980 2.67 42,101 3.31 43,409 3.76 42,341 4.39 (3.7)(2.5)
Investment securities held-to-maturity, net44,060 1.56 59,162 1.55 64,919 1.67 64,824 1.89 64,988 1.97 64,141 1.99 62,654 2.00 (3.5)(2.3)
Total investment securities
119,286 1.10 113,929 1.24 108,875 1.65 105,804 2.19 107,089 2.50 107,550 2.71 104,995 2.97 (3.6)(2.4)
Loans(3)
34,407 2.03 35,826 2.23 35,069 2.90 35,159 3.90 33,517 4.80 34,235 5.18 34,525 5.65 (1.6)0.8 
Other interest-earning assets23,767 0.08 22,199 0.83 20,877 2.63 16,635 4.63 17,393 5.71 18,783 6.09 18,089 6.60 (13.4)(3.7)
Total interest-earning assets258,112 0.82 251,253 1.13 235,910 1.86 243,927 2.87 237,529 3.46 231,985 3.86 222,490 4.16 (5.7)(4.1)
Cash and due from banks4,018 3,829 3,461 3,311 3,639 3,893 3,742 8.1 (3.9)
Other assets32,880 36,353 35,797 37,108 36,324 39,094 41,495 15.9 6.1 
Total assets$295,010 $291,435 $275,168 $284,346 $277,492 $274,972 $267,727 (2.7)(2.6)
Liabilities:
Interest-bearing deposits:
U.S.$100,073 0.02 %$97,273 0.26 %$94,636 1.09 %$101,056 2.20 %$105,261 3.00 %$109,015 3.48 %$110,343 3.83 %16.6 1.2 
Non-U.S.(4)
83,556 (0.32)80,055 (0.20)72,202 0.22 71,736 0.82 66,356 1.07 64,838 1.54 58,808 1.80 (18.6)(9.3)
Total interest-bearing deposits(4)
183,629 (0.14)177,328 0.05 166,838 0.71 172,792 1.62 171,617 2.25 173,853 2.75 169,151 3.13 1.4 (2.7)
Securities sold under repurchase agreements2,279 (0.02)4,486 0.26 3,814 0.23 3,933 0.93 4,409 0.84 4,266 1.25 3,908 0.61 2.5 (8.4)
Federal funds purchased— — 7 0.70 — — — — 119 4.70 — — — —                  nm                  nm
Short-term borrowings872 — 673 0.73 430 0.01 2,756 3.54 1,159 3.72 1,965 4.11 324 2.68                  nm (83.5)
Long-term debt14,265 1.82 13,702 2.12 13,958 2.78 14,601 3.87 15,865 4.64 16,735 5.00 18,117 5.33 29.8 8.3 
Other interest-bearing liabilities2,881 1.50 2,518 3.31 2,536 6.43 2,967 11.84 3,078 13.49 3,595 11.74 4,267 11.37 68.3 18.7 
Total interest-bearing liabilities203,926 0.02 198,714 0.24 187,576 0.93 197,049 1.95 196,247 2.61 200,414 3.09 195,767 3.45 4.4 (2.3)
Non-interest bearing deposits(5)
49,639 51,089 46,464 44,007 38,703 31,978 28,718 (38.2)(10.2)
Other liabilities14,678 15,969 15,453 17,835 17,691 18,195 19,516 26.3 7.3 
Preferred shareholders' equity1,976 1,976 1,976 1,976 1,976 1,976 1,976 — — 
Common shareholders' equity24,791 23,687 23,699 23,479 22,875 22,409 21,750 (8.2)(2.9)
Total liabilities and shareholders' equity$295,010 $291,435 $275,168 $284,346 $277,492 $274,972 $267,727 (2.7)(2.6)
Total deposits$233,268 $228,417 $213,302 $216,799 $210,320 $205,831 $197,869 (7.2)(3.9)
Excess of rate earned over rate paid0.80 %0.89 %0.92 %0.91 %0.86 %0.77 %0.70 %
Net interest margin0.80 %0.94 %1.11 %1.29 %1.31 %1.19 %1.12 %
Net interest income, fully taxable-equivalent basis$512 $587 $662 $793 $768 $691 $626 
Tax-equivalent adjustment(3)(3)(2)(2)(2)— (2)
Net interest income, GAAP-basis(4)
$509 $584 $660 $791 $766 $691 $624 
(1) Average rates earned and paid on interest-earning assets and interest-bearing liabilities include the impact of hedge activities associated with our asset and liability management activities where applicable.
(2) Reflects the impact of balance sheet netting under enforceable netting agreements of approximately $55 billion, $71 billion, $73 billion and $85 billion in the first, second, third and fourth quarters of 2022, respectively, and approximately $117 billion, $140 billion and $138 billion in the first, second and third quarters of 2023, respectively. Excluding the impact of netting, the average interest rates would be approximately 0.07%, 0.21%, 0.31% and 0.38% in the first, second, third and fourth quarters of 2022, respectively, and approximately 0.26% ,0.23% and 0.19% in the first, second and third quarters of 2023, respectively.
(3) Average loans are presented on a gross basis. Average loans net of expected credit losses were approximately $34,320 million, $35,741 million, $34,974 million and $35,063 million in the first, second, third and fourth quarters of 2022 and approximately $33,422 million, $34,124 million and $34,407 million in the first, second and third quarters of 2023, respectively.
(4) Average rates includes the impact of FX swap expense of approximately ($13) million, ($3) million, $16 million and $20 million in the first, second, third and fourth quarters of 2022, respectively, and approximately ($5) million,$22 million and $24 million in the first, second and third quarters of 2023, respectively. Average rates for total interest-bearing deposits excluding the impact of FX swap expense were approximately (0.11)%, 0.06%, 0.68% and 1.58% in the first, second, third and fourth quarters of 2022, respectively, and approximately 2.26%, 2.70% and 3.07%, in the first, second and third quarters of 2023, respectively.
(5) Average non-interest bearing deposits are primarily composed of deposit balances denominated in U.S. dollars.
nm Denotes not meaningful
6    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
AVERAGE STATEMENT OF CONDITION - RATES EARNED AND PAID - FULLY TAXABLE-EQUIVALENT BASIS - YEAR TO DATE(1)
The following table presents consolidated average interest-earning assets, average interest-bearing liabilities and related average rates earned and paid, respectively, for the years indicated, on a fully taxable-equivalent basis, which is a non-GAAP measure. Tax-equivalent adjustments were calculated using a federal income tax rate of 21% for periods ending in 2022 and 2023, adjusted for applicable state income taxes, net of related federal benefit.
Year-to-Date% Change
20222023YTD2023 vs YTD2022
(Dollars in millions; fully-taxable equivalent basis)Average balanceAverage ratesAverage balanceAverage ratesAverage balance
Assets:
Interest-bearing deposits with banks, net$74,034 0.51 %$69,551 3.91 %(6.1)%
Securities purchased under resale agreements(2)
2,208 6.39 1,639 18.16 (25.8)
Trading account assets736 0.01 700 — (4.9)
Investment securities:
Investment securities available-for-sale, net57,868 1.06 42,618 3.82 (26.4)
Investment securities held-to-maturity, net56,124 1.60 63,919 1.99 13.9 
Total investment securities
113,992 1.32 106,537 2.72 (6.5)
Loans(3)
35,103 2.39 34,096 5.22 (2.9)
Other interest-earning assets22,271 1.14 18,090 6.14 (18.8)
Total interest-earning assets248,344 1.26 230,613 3.82 (7.1)
Cash and due from banks3,767 3,759 (0.2)
Other assets35,021 38,989 11.3 
Total assets$287,132 $273,361 (4.8)
Liabilities:
Interest-bearing deposits:
U.S.$97,307 0.45 $108,225 3.45 11.2 
Non-U.S.(4)
78,563 (0.11)63,307 1.46 (19.4)
Total interest-bearing deposits(4)
175,870 0.20 171,532 2.71 (2.5)
Securities sold under repurchase agreements3,532 0.19 4,193 0.91 18.7
Federal funds purchased— — 39 4.70                        nm
Short-term borrowings660 0.25 1,146 3.84 73.6 
Long-term debt13,974 2.24 16,914 5.00 21.0 
Other interest-bearing liabilities2,643 3.66 3,650 12.08 38.1 
Total interest-bearing liabilities196,679 0.39 197,474 3.05 0.4 
Non-interest bearing deposits(5)
49,052 33,096 (32.5)
Other liabilities15,370 18,474 20.2 
Preferred shareholders' equity1,976 1,976 — 
Common shareholders' equity24,055 22,341 (7.1)
Total liabilities and shareholders' equity$287,132 $273,361 (4.8)
Total deposits$224,922 $204,628 (9.0)
Excess of rate earned over rate paid0.87 %0.77 %
Net interest margin0.95 %1.21 %
Net interest income, fully taxable-equivalent basis$1,761 $2,085 
Tax-equivalent adjustment(8)(4)
Net interest income, GAAP-basis(4)
$1,753 $2,081 
(1) Average rates earned and paid on interest-earning assets and interest-bearing liabilities include the impact of hedge activities associated with our asset and liability management activities where applicable.
(2) Reflects the impact of balance sheet netting under enforceable netting agreements of approximately $66 billion and $131 billion as of September 30, 2022 and 2023, respectively. Excluding the impact of netting, the average interest rates would be approximately 0.21% and 0.22% for the nine months ended September 30, 2022 and 2023, respectively.
(3) Average loans are presented on a gross basis. Average loans net of expected credit losses as of September 30, 2022 and 2023 was approximately $35,014 million and $33,988 million, respectively.
(4) Average rates include the impact of FX swap cost of approximately nil and $40 million for the nine months ended September 30, 2022 and 2023, respectively. Average rates for total interest-bearing deposits excluding the impact of FX swap cost were 0.20% and 2.68% for the nine month ended September 30, 2022 and 2023, respectively.
(5) Average non-interest bearing deposits are primarily composed of deposit balances denominated in U.S. dollars.
nm Denotes not meaningful
7    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
SELECTED AVERAGE BALANCES BY CURRENCY - RATES EARNED AND PAID(1)
3Q23
USDEURGBPOtherTotal
(Dollars in millions, except where otherwise noted)Average BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage Rates
Interest-bearing deposits with banks$28,645 5.34 %$17,752 3.79 %$5,805 5.14 %$10,312 2.41 %$62,514 4.40 %
Total investment securities84,506 3.10 8,815 1.81 4,773 2.80 6,901 2.90 104,995 2.97 
Loans27,770 5.67 5,139 5.28 1,061 7.00 555 5.86 34,525 5.65 
Total other interest-earning assets(2)
18,226 7.57 162 3.47 56 5.69 2,012 3.14 20,456 7.10 
Total interest-earning assets
$159,147 4.45 $31,868 3.48 $11,695 4.35 $19,780 2.75 $222,490 4.16 
Total interest-bearing deposits(3)(4)
$107,999 4.07 $29,215 1.67 $11,385 1.29 $20,552 1.22 $169,151 3.13 
Central Bank Rate(5)
5.43 3.73 5.16 
2Q23
USDEURGBPOtherTotal
(Dollars in millions, except where otherwise noted)Average BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage Rates
Interest-bearing deposits with banks$29,415 5.20 %$22,458 3.16 %$6,757 4.27 %$10,449 2.56 %$69,079 4.05 %
Total investment securities86,066 2.88 9,476 1.49 4,553 2.23 7,455 2.54 107,550 2.71 
Loans27,472 5.27 5,084 4.79 1,016 5.04 663 4.66 34,235 5.18 
Total other interest-earning assets(2)
18,962 7.35 312 3.46 172 4.46 1,675 3.28 21,121 6.95 
Total interest-earning assets
$161,915 4.24 $37,330 2.96 $12,498 3.60 $20,242 2.68 $231,985 3.86 
Total interest-bearing deposits(3)(4)
$106,393 3.74 $32,670 1.32 $12,422 1.06 $22,368 1.11 $173,853 2.75 
Central Bank Rate(5)
5.16 3.20 4.44 
3Q22
USDEURGBPOtherTotal
(Dollars in millions, except where otherwise noted)Average BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage RatesAverage BalanceAverage Rates
Interest-bearing deposits with banks$23,734 2.33 %$26,382 0.01 %$7,883 1.51 %$10,919 1.16 %$68,918 1.16 %
Total investment securities89,212 1.80 7,836 0.31 3,674 1.13 8,153 1.53 108,875 1.65 
Loans28,485 3.02 4,558 1.84 1,226 3.13 800 4.18 35,069 2.90 
Total other interest-earning assets(2)
21,356 3.48 157 (0.47)13 10.64 1,522 2.35 23,048 3.38 
Total interest-earning assets$162,787 2.30 $38,933 0.28 $12,796 1.56 $21,394 1.49 $235,910 1.86 
Total interest-bearing deposits(3)(4)
$95,222 1.18 $33,709 (0.25)$14,144 0.36 $23,763 0.42 $166,838 0.71 
Central Bank Rate(5)
2.37 0.08 1.61 
(1) Average rates earned and paid on interest-earning assets and interest-bearing liabilities include the impact of hedge activities associated with our asset and liability management activities where applicable.
(2) Average total other interest-earning assets include securities purchased under resale agreements, trading account assets and other interest-earning assets. Refer to average statement of condition - rates earned and paid - full taxable-equivalent basis for details.
(3) Average rates for interest-bearing deposit balances denominated in U.S. dollars include both client and wholesale deposits.
(4) FX swap costs for interest-bearing deposits are included in other currencies.
(5) Central Bank Rate represents the quarterly average Federal Funds Target Rate for USD, European Central Bank Deposit Facility Rate for EUR, and the Bank of England's Bank Rate for GBP.
8    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
INVESTMENT PORTFOLIO HOLDINGS BY ASSET CLASS
Quarters
1Q222Q223Q224Q221Q232Q233Q23
(Dollars in billions, except where otherwise noted)Average BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage Rate
Available-for-sale investment securities:
Government & agency securities$42.9 0.72 %$30.3 0.73 %$23.5 1.33 %$21.9 2.16 %$23.1 2.74 %$24.0 3.20 %$23.2 3.82 %
Asset-backed securities6.7 0.79 6.7 1.22 6.2 2.21 5.9 3.68 5.9 4.43 5.8 5.06 5.9 5.63 
Student loans0.2 1.43 0.2 2.25 0.1 3.62 0.1 5.39 0.1 7.04 0.1 6.46 0.1 6.82 
Credit cards0.1 0.93 0.1 1.57 0.1 3.03 0.1 4.58 0.1 5.40 0.1 5.78 0.1 6.26 
Auto & equipment1.0 (0.01)0.9 0.16 0.7 0.56 0.7 1.82 0.6 2.74 0.4 3.41 0.6 4.06 
Non-U.S. residential mortgage backed securities2.1 0.78 2.1 1.08 1.9 2.16 1.7 3.35 1.6 4.00 1.6 4.45 1.5 5.10 
Collateralized loan obligation3.2 1.06 3.2 1.59 3.1 2.63 3.1 4.23 3.2 4.91 3.3 5.60 3.4 6.18 
Other0.1 (0.37)0.2 0.37 0.3 0.87 0.2 2.25 0.3 3.36 0.4 4.12 0.2 3.91 
Mortgage-backed securities9.8 1.62 3.4 1.22 1.9 1.71 1.8 3.17 2.2 3.72 2.9 4.53 3.7 4.88 
Agency MBS9.8 1.62 3.4 1.22 1.9 1.71 1.8 3.17 2.2 3.72 2.9 4.53 3.7 4.88 
CMBS9.2 0.40 8.9 0.59 8.2 1.72 7.5 3.24 6.9 4.60 6.6 5.26 6.1 5.73 
Corporate bonds3.9 1.02 2.8 1.32 2.1 1.53 2.1 1.87 2.3 2.39 2.4 2.65 2.2 3.05 
Covered bonds0.1 0.58 0.1 0.64 — 0.64 — 0.66 — 0.65 — 0.69 — 0.66 
Municipal bonds0.6 2.72 0.6 2.87 0.6 2.83 0.9 3.43 0.5 2.91 0.6 0.89 0.5 3.29 
Clipper tax-exempt bonds0.5 4.07 0.4 4.41 0.4 4.25 0.3 4.36 0.3 4.40 0.2 4.67 0.2 4.45 
Other1.6 0.86 1.5 0.98 1.1 1.17 0.6 2.55 0.9 2.83 0.9 1.79 0.5 3.93 
Total available-for-sale portfolio$75.3 0.83 $54.7 0.91 $44.0 1.62 $41.0 2.67 $42.1 3.31 $43.4 3.76 $42.3 4.39 
1Q222Q223Q224Q221Q232Q233Q23
(Dollars in billions, except where otherwise noted)Average BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage RateAverage BalanceAverage Rate
Held-to-maturity investment securities:
Government & agency securities$3.5 1.24 %$13.7 0.72 %$18.0 0.80 %$18.0 0.84 %$18.8 0.88 %$18.9 0.88 %$18.5 0.87 %
Asset-backed securities4.9 1.05 4.5 1.67 4.3 3.04 4.1 4.48 3.8 5.37 3.7 5.73 3.5 6.02 
Student loans4.9 1.05 4.5 1.67 4.3 3.04 4.1 4.48 3.8 5.37 3.7 5.73 3.5 6.02 
Mortgage-backed securities30.6 1.67 35.9 1.84 37.4 1.90 37.6 2.12 37.1 2.23 36.3 2.22 35.4 2.21 
Agency MBS30.6 1.66 35.8 1.84 37.4 1.90 37.6 2.12 37.1 2.23 36.3 2.21 35.4 2.20 
Non-agency MBS— 12.22 0.1 4.45 — 13.21 — 14.43 — 16.04 — 18.87 — 20.90 
CMBS5.0 1.53 5.1 1.71 5.2 1.80 5.1 1.87 5.3 1.93 5.2 1.94 5.3 1.94 
Total held-for-maturity portfolio$44.0 1.56 $59.2 1.55 $64.9 1.67 $64.8 1.89 $65.0 1.97 $64.1 1.99 $62.7 2.00 
Total investment securities$119.3 1.10 $113.9 1.24 $108.9 1.65 $105.8 2.19 $107.1 2.50 $107.5 2.71 $105.0 2.97 
9    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
INVESTMENT PORTFOLIO HOLDINGS BY ASSET CLASS (continued)
Ratings
(Dollars in billions, or where otherwise noted)UST/AGYAAAAAABBB<BBBNRFair Value% Total
Net Unrealized Pre-tax MTM Gain/(Loss)
(In millions)(1)
Fixed Rate/
Floating Rate(2)
Available-for-sale investment securities:
Government & agency securities34 %39 %23 %3 %— %1 %— %$22.3 53.7 %$(430)88% / 12%
Asset-backed securities— 92 8 — — — — 6.3 15.2 (33)0% / 100%
Student loans— 14 86 — — — — 0.1 1.6 — 
Credit cards— 100 — — — — — 0.1 1.6 — 
Auto & equipment— 67 33 — — — — 0.7 11.1 (1)
Non-U.S. residential mortgage backed securities— 94 5 — — 1 — 1.5 23.8 (9)
Collateralized loan obligation— 100 — — — — — 3.6 57.1 (23)
Other— 61 39 — — — — 0.3 4.8 — 
Mortgage-backed securities100 — — — — — — 4.4 10.6 (172)99% / 1%
Agency MBS100 — — — — — — 4.4 100.0 (172)
CMBS96 4 — — — — — 5.9 14.2 (112)2% / 98%
Corporate bonds— — 16 63 21 — — 2.0 4.8 (45) 88% / 12%
Covered bonds— 100 — — — — — — — (1) 100% / 0%
Municipal bonds— 46 54 — — — — 0.3 0.7 (7) 100% / 0%
Clipper tax-exempt bonds— 2 66 32 — — — 0.1 0.2 (3) 0% / 100%
Other— 1 56 43 — — — 0.2 0.6 (29) 95% / 5%
Total available-for-sale portfolio42 %36 %15 %5 %1 %1 %— %$41.5 100.0 %$(832)64% / 36%
Fair Value$17.6 $14.8 $6.3 $2.1 $0.5 $0.2 $— 
UST/AGYAAAAAABBB<BBBNRAmortized Cost% Total
Net Unrealized Pre-tax MTM Gain/(Loss)
(In millions)(1)
Fixed Rate/
Floating Rate(2)
Held-to-maturity investment securities:
Government & agency securities65 %14 %17 %— %4 %— %— %$18.3 29.5 %$(550)100% / 0%
Asset-backed securities— 27 71 — 2 — — 3.4 5.5 (70) 5% / 95%
Student loans— 27 71 — 2 — — 3.4 100.0 (70)
Mortgage-backed securities100 — — — — — — 35.1 56.6 (6,287) 100% / 0%
Agency MBS100 — — — — — — 35.1 100.0 (6,305)
Non-agency MBS— 8 2 15 22 7 46 — — 18 
CMBS100 — — — — — — 5.2 8.4 (928) 97% / 3%
Total held-for-maturity portfolio84 %6 %9 %— %1 %— %— %$62.0 100.0 %$(7,835) 94% / 6%
Amortized Cost$52.0 $3.6 $5.6 $— $0.8 $— $— 
Total Investment Securities(3)
$103.5 82% / 18%
(1) At September 30, 2023, the after-tax unrealized MTM gain/(loss) includes after-tax unrealized loss on securities available-for-sale of $601 million, after-tax unrealized loss on securities held-to-maturity of $5,661 million and after-tax unrealized loss primarily related to securities previously transferred from available-for-sale to held-to-maturity of $567 million.
(2) At September 30, 2023, fixed-to-floating rate securities, which excludes the impact of hedges, had a book value of approximately $32 million or 0.03% of the total portfolio.
(3) State Street has a highly liquid balance sheet, with more than half of total assets deemed HQLA. Based upon fair value as of September 30, 2023, approximately 87% of our investment portfolio was held in HQLA.
10    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
INVESTMENT PORTFOLIO NON-U.S. INVESTMENTS
Investment Securities
(Dollars in billions)Fair ValueAverage Rating
Gov't/Agency(1)(2)
ABS
FRMBS		ABS
All Other		Corporate BondsOther
Available-for-sale:
Canada$3.8 AA $3.2 $— $— $0.3 $0.3 
United Kingdom1.8 AA 1.1 0.4 0.1 0.2 — 
Australia1.4 AAA 0.3 0.8 0.1 0.2 — 
Germany1.4 AA1.1 — 0.3 — — 
France1.2 AA0.2 — 0.8 0.2 — 
Japan0.7 A0.6 — — 0.1 — 
Netherlands0.6 AA— 0.3 0.1 0.2 — 
Austria0.4 AA0.4 — — — — 
Hong Kong0.3 AA0.3 — — — — 
Italy0.3 AA0.1 — 0.2 — — 
Spain0.3 AA0.1 — 0.1 0.1 — 
Singapore0.2 AAA0.2 — — — — 
Brazil0.2 BB0.2 — — — — 
Republic of Korea 0.2 AA0.2 — — — — 
Other7.3 AAA6.7 — 0.2 0.4 — 
Total Non-U.S. Investments(3)
$20.1 $14.7 $1.5 $1.9 $1.7 $0.3 
U.S. Investments21.4 
Total available-for-sale$41.5 
Investment Securities
(Dollars in billions)Amortized CostAverage Rating
Gov't/Agency(1)(2)
ABS
FRMBS		ABS
All Other		Corporate BondsOther
Held-to-maturity:
Spain$0.8 BBB$0.8 $— $— $— $— 
Belgium0.7 AA0.7 — — — — 
France0.6 AA 0.6 — — — — 
Ireland0.4 AA 0.4 — — — — 
Austria0.3 AA0.3 — — — — 
Germany0.3 AA0.3 — — — — 
Netherlands0.2 AAA 0.2 — — — — 
Finland0.1 AA0.1 — — — — 
Canada0.1 AA0.1 — — — — 
Other3.0 AAA3.0 — — — — 
Total Non-U.S. Investments(3)
$6.5 $6.5 $— $— $— $— 
U.S. Investments55.5 
Total held-for-maturity$62.0 
Total Investment Portfolio$103.5 
(1) Sovereign debt is reflected in the government / agency column.
(2) As of September 30, 2023, other non-U.S. investments include supranational bonds of $6.6 billion in AFS securities and $2.9 billion in HTM securities.
(3) Country of collateral used except for corporates where country of issuer is used.
11    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ASSETS UNDER CUSTODY AND/OR ADMINISTRATION
Quarters% Change
(Dollars in billions)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23
Assets Under Custody and/or Administration(1)
By Product Classification:
Collective funds, including ETFs$15,140 $13,609 $11,649 $12,261 $12,748 $13,210 $13,145 12.8 %(0.5)%
Mutual funds10,825 9,642 9,289 9,610 10,077 10,438 10,313 11.0 (1.2)
Pension products8,191 7,764 7,669 7,734 7,871 8,037 8,255 7.6 2.7 
Insurance and other products7,568 7,165 7,081 7,138 6,939 7,904 8,304 17.3 5.1 
Total Assets Under Custody and/or Administration$41,724 $38,180 $35,688 $36,743 $37,635 $39,589 $40,017 12.1 1.1 
By Asset Class:
Equities
$25,249 $21,953 $19,889 $20,575 $20,966 $22,454 $22,971 15.5 2.3 
Fixed-income
11,303 10,716 10,150 10,318 10,645 10,812 10,688 5.3 (1.1)
Short-term and other investments
5,172 5,511 5,649 5,850 6,024 6,323 6,358 12.6 0.6 
Total Assets Under Custody and/or Administration$41,724 $38,180 $35,688 $36,743 $37,635 $39,589 $40,017 12.1 1.1 
By Geographic Location(2):
Americas$31,027 $28,207 $26,051 $26,981 $27,599 $28,220 $28,237 8.4 0.1 
Europe/Middle East/Africa8,103 7,498 6,990 7,136 7,396 8,658 8,987 28.6 3.8 
Asia/Pacific2,594 2,475 2,647 2,626 2,640 2,711 2,793 5.5 3.0 
Total Assets Under Custody and/or Administration$41,724 $38,180 $35,688 $36,743 $37,635 $39,589 $40,017 12.1 1.1 
Assets Under Custody(3)
By Product Classification:
Collective funds, including ETFs$13,107 $11,669 $9,932 $10,464 $10,935 $11,331 $11,250 13.3 (0.7)
Mutual funds8,833 7,869 7,594 7,811 8,157 8,447 8,364 10.1 (1.0)
Pension products6,576 6,215 6,204 6,247 6,355 6,485 6,679 7.7 3.0 
Insurance and other products2,931 2,856 2,748 2,714 2,706 2,778 2,820 2.6 1.5 
Total Assets Under Custody$31,447 $28,609 $26,478 $27,236 $28,153 $29,041 $29,113 10.0 0.2 
By Geographic Location(2):
Americas$23,655 $21,389 $19,581 $20,246 $21,019 $21,708 $21,578 10.2 (0.6)
Europe/Middle East/Africa5,786 5,309 4,818 4,931 5,039 5,153 5,273 9.4 2.3 
Asia-Pacific2,006 1,911 2,079 2,059 2,095 2,180 2,262 8.8 3.8 
Total Assets Under Custody$31,447 $28,609 $26,478 $27,236 $28,153 $29,041 $29,113 10.0 0.2 
(1) Consistent with past practice, AUC/A values for certain asset classes are based on a lag, typically one-month.
(2) Geographic mix is generally based on the domicile of the entity servicing the funds and is not necessarily representative of the underlying asset mix.
(3) Assets under custody are a component of assets under custody and/or administration presented above.
12    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ASSETS UNDER MANAGEMENT
Quarters% Change
(Dollars in billions)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23
Assets Under Management
By Asset Class and Investment Approach:
Equity:
Active$67 $62 $53 $54 $60 $59 $53 — %(10.2)%
Passive2,463 2,024 1,890 2,074 2,153 2,288 2,161 14.3 (5.6)
Total Equity2,530 2,086 1,943 2,128 2,213 2,347 2,214 13.9 (5.7)
Fixed-Income:
Active98 89 79 83 85 84 80 1.3 (4.8)
Passive503 461 439 471 490 505 506 15.3 0.2 
Total Fixed-Income601 550 518 554 575 589 586 13.1 (0.5)
Cash(1)
393 403 410 376 375 390 434 5.9 11.3 
Multi-Asset-Class Solutions:
Active33 29 25 28 28 25 20 (20.0)(20.0)
Passive196 173 167 181 203 220 222 32.9 0.9 
Total Multi-Asset-Class Solutions229 202 192 209 231 245 242 26.0 (1.2)
Alternative Investments(2):
Active51 42 35 35 35 38 21 (40.0)(44.7)
Passive218 192 167 179 189 188 190 13.8 1.1 
Total Alternative Investments269 234 202 214 224 226 211 4.5 (6.6)
Total Assets Under Management$4,022 $3,475 $3,265 $3,481 $3,618 $3,797 $3,687 12.9 (2.9)
By Geographic Location:
North America$2,878 $2,525 $2,396 $2,544 $2,648 $2,785 $2,702 12.8 (3.0)
Europe/Middle East/Africa593 521 474 511 521 553 534 12.7 (3.4)
Asia-Pacific551 429 395 426 449 459 451 14.2 (1.7)
Total Assets Under Management$4,022 $3,475 $3,265 $3,481 $3,618 $3,797 $3,687 12.9 (2.9)
(1) Includes both floating- and constant-net-asset-value portfolios held in commingled structures or separate accounts.
(2) Includes real estate investment trusts, currency and commodities, including SPDR® Gold Shares and SPDR® Gold MiniSharesSM Trust. We are not the investment manager for the SPDR® Gold Shares and SPDR®Gold MiniSharesSM Trust, but act as the marketing agent.
Exchange-Traded Funds(1)
By Asset Class:
Alternative Investments(2)
$84 $77 $63 $67 $73 $70 $66 4.8 %(5.7)%
Equity940 791 734 817 841 919 886 20.7 (3.6)
Fixed-Income134 130 121 134 141 142 142 17.4 — 
Multi-Asset1 1 1 1 1 1 1 ——
Total Exchange-Traded Funds$1,159 $999 $919 $1,019 $1,056 $1,132 $1,095 19.2 (3.3)
(1) Exchange-traded funds are a component of assets under management presented above.
(2) Includes real estate investment trusts, currency and commodities, including SPDR® Gold Shares and SPDR® Gold MiniSharesSM Trust. We are not the investment manager for the SPDR® Gold Shares and SPDR®Gold MiniSharesSM Trust, but act as the marketing agent.
13    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
INDUSTRY FLOW DATA BY ASSET CLASS
(Dollars in billions)Quarters
1Q222Q223Q224Q221Q232Q233Q23
North America - (US Domiciled) Morningstar Direct Market Data(1)(2)
Long Term Funds(3)
$(66.7)$(277.9)$(193.0)$(352.6)$(57.5)$(113.4)$(115.6)
Money Market(143.4)(35.1)(26.0)147.7 445.1 175.4 139.5 
ETF181.2 93.2 109.9 192.5 78.7 136.2 110.3 
Total Flows$(28.9)$(219.8)$(109.1)$(12.4)$466.3 $198.2 $134.2 
EMEA-Morningstar Direct Market Data(1)(4)
Long Term Funds(3)
$9.7 $(79.5)$(94.1)$(6.2)$47.4 $(13.2)$(34.4)
Money Market(68.9)(7.3)(11.0)185.3 26.6 13.4 37.1 
ETF45.4 16.0 (8.6)26.5 37.7 27.1 34.4 
Total Flows$(13.8)$(70.8)$(113.7)$205.6 $111.7 $27.3 $37.1 
(1) Source: Morningstar Direct. The data includes long-term mutual funds, ETF’s and Money Market funds. Mutual fund data represents estimates of net new cash flow, which is new sales minus redemptions combined with net exchanges, while ETF data represents net issuance, which is gross issuance less gross redemptions. Data for Fund of Funds, Feeder funds and Obsolete funds were excluded from the series to prevent double counting. Data is from the Morningstar Direct Asset Flows database.
(2) The third quarter of 2023 data for North America (US domiciled) includes Morningstar actuals for July and August 2023 and Morningstar estimates for September 2023.
(3) The long-term fund flows reported by Morningstar in North America are composed of US domiciled Market flows mainly in Equities, Allocation and Fixed Income asset classes. The long-term funds flows reported by Morningstar direct in EMEA are composed of the European market flows mainly in Equities, Allocation and Fixed Incomes asset classes.
(4) The third quarter of 2023 data for Europe is on a rolling three month basis for June 2023 through August 2023, sourced by Morningstar.
14    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
LINE OF BUSINESS INFORMATION
Three Months Ended,
Investment Servicing% ChangeInvestment Management% Change
Other(1)
% ChangeTotal% Change
(Dollars in millions)3Q222Q233Q233Q23
 vs.
3Q22		3Q23
 vs.
2Q23		3Q222Q233Q233Q23
 vs.
3Q22		3Q23
 vs.
2Q23		3Q222Q233Q233Q23
 vs.
3Q22		3Q23
 vs.
2Q23		3Q222Q233Q233Q23
 vs.
3Q22		3Q23
 vs.
2Q23
Servicing fees$1,219 $1,259 $1,234 1.2 %(2.0)%$— $— $— nmnm$— $— $— — %— %$1,219 $1,259 $1,234 1.2 %(2.0)%
Management fees— — — nmnm472 461 479 1.5 3.9 — — — — — 472 461 479 1.5 3.9 
Foreign exchange trading services293 276 278 (5.1)0.7 26 27 35 34.6 29.6 — — — ——319 303 313 (1.9)3.3 
Securities finance105 109 98 (6.7)(10.1)5 8 5 nm(37.5)— — — — — 110 117 103 (6.4)(12.0)
Software and processing fees184 221 188 2.2 (14.9)— — — nmnm— — — — — 184 221 188 2.2 (14.9)
Other fee revenue12 55 41 nm(25.5)(17)3 3 nmnm— — — — — (5)58 44 nm(24.1)
Total fee revenue1,813 1,920 1,839 1.4 (4.2)486 499 522 7.4 4.6 — — — ——2,299 2,419 2,361 2.7 (2.4)
Net interest income663 687 620 (6.5)(9.8)(3)4 4 nmnm— — — — — 660 691 624 (5.5)(9.7)
Total other income— — — nmnm— — — — — — — (294)nmnm— — (294)nmnm
Total revenue2,476 2,607 2,459 (0.7)(5.7)483 503 526 8.9 4.6 — — (294)nmnm2,959 3,110 2,691 (9.1)(13.5)
Provision for credit losses— (18)— nmnm— — — — — — — — — — — (18)— nmnm
Total expenses1,760 1,850 1,798 2.2 (2.8)335 361 379 13.1 5.0 15 1 3 (80.0)nm2,110 2,212 2,180 3.3 (1.4)
Income before income tax expense$716 $775 $661 (7.7)(14.7)$148 $142 $147 (0.7)3.5 $(15)$(1)$(297)nmnm$849 $916 $511 (39.8)(44.2)
Pre-tax margin28.9 %29.7 %26.9 %(2.0)%(2.8)%pts30.6 %28.2 %27.9 %(2.7)%(0.3)%pts28.7 %29.5 %19.0 %(9.7)%(10.5)%pts
Nine Months Ended September 30,
Investment Servicing% ChangeInvestment Management% Change
Other(1)
% ChangeTotal% Change
(Dollars in millions)20222023YTD2023
vs.
YTD2022		20222023YTD2023
vs.
YTD2022		20222023YTD2023
vs.
YTD2022		20222023YTD2023
vs.
YTD2022
Servicing fees$3,884 $3,710 (4.5)%$— $— nm$— $— — %$3,884 $3,710 (4.5)%
Management fees— — nm1,482 1,397 (5.7)— — — 1,482 1,397 (5.7)
Foreign exchange trading services948 875 (7.7)61 83 36.1 — — —1,009 958 (5.1)
Securities finance300 310 3.3 13 19 46.2 — — — 313 329 5.1 
Software and processing fees573 574 0.2 — — nm— — — 573 574 0.2 
Other fee revenue46 124 nm(65)23 nm— — — (19)147 nm
Total fee revenue5,751 5,593 (2.7)1,491 1,522 2.1 — — —7,242 7,115 (1.8)
Net interest income1,760 2,069 17.6 (7)12 nm— — — 1,753 2,081 18.7 
Total other income(2)— nm— — nm— (294)nm(2)(294)nm
Total revenue7,509 7,662 2.0 1,484 1,534 3.4 — (294)nm8,993 8,902 (1.0)
Provision for loan losses10 26 nm— — — — — — 10 26 nm
Total expenses5,452 5,626 3.2 1,051 1,126 7.1 42 9 (78.6)6,545 6,761 3.3 
Income before income tax expense$2,047 $2,010 (1.8)$433 $408 (5.8)$(42)$(303)nm$2,438 $2,115 (13.2)
Pre-tax margin27.3 %26.2 %(1.1)%pts29.2 %26.6 %(2.6)%pts27.1 %23.8 %(3.3)%pts
(1) Represents amounts that are not allocated to a specific line of business, including repositioning charges, employee costs, acquisition costs, revenue-related recoveries and certain legal accruals.
nm Denotes not meaningful
15    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
ALLOWANCE FOR CREDIT LOSSES
Quarters% Change
(Dollars in millions)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23
Allowance for credit losses:
Beginning balance$108 $107 $114 $114 $121 $162 $136 19.3 %(16.0)%
Provision for credit losses (funded commitments)
— 11 3 2 21 12 1 nmnm
Provision for credit losses (unfunded commitments)
— (1)(3)8 (7)(1)(1)(66.7)nm
Provision for credit losses (investment securities and all other)
— — — — 30 (29)— nmnm
Total provision— 10 — 10 44 (18)— nmnm
Charge-offs(1)(3)— (3)(3)(8)(2)nmnm
Ending balance(1)
$107 $114 $114 $121 $162 $136 $134 17.5(1.5)
Allowance for credit losses:
Loans$86 $95 $97 $97 $115 $120 $119 22.7 (0.8)
Investment securities2 1 1 2 2 — 1 nmnm
Unfunded (off-balance sheet) commitments19 18 16 23 16 15 14 (12.5)(6.7)
All other— — — (1)29 1 — —nm
Ending balance(1)
$107 $114 $114 $121 $162 $136 $134 17.5 (1.5)
(1) The allowance for credit losses on unfunded commitments is included within Other liabilities in the Consolidated Statement of Condition.
nm Denotes not meaningful

16    
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF NON-GAAP FINANCIAL INFORMATION
In addition to presenting State Street's financial results in conformity with U.S. generally accepted accounting principles, or GAAP, management also presents certain financial information on a basis that excludes or adjusts one or more items from GAAP. This latter basis is a non-GAAP presentation. In general, our non-GAAP financial results adjust selected GAAP-basis financial results to exclude the impact of revenue and expenses outside of State Street’s normal course of business or other notable items, such as acquisition and restructuring charges, repositioning charges, gains/losses on sales, as well as, for selected comparisons, seasonal items. For example, we sometimes present expenses on a basis we may refer to as "expenses ex-notable items", which exclude notable items and, to provide additional perspective on both prior year quarter and sequential quarter comparisons, also exclude seasonal items. Management believes that this presentation of financial information facilitates an investor's further understanding and analysis of State Street's financial performance and trends with respect to State Street’s business operations from period-to-period, including providing additional insight into our underlying margin and profitability. In addition, Management may also provide additional non-GAAP measures. For example, we present capital ratios, calculated under regulatory standards scheduled to be effective in the future or other standards, that management uses in evaluating State Street’s business and activities and believes may similarly be useful to investors. Additionally, we may present revenue and expense measures on a constant currency basis to identify the significance of changes in foreign currency exchange rates (which often are variable) in period-to-period comparisons. This presentation represents the effects of applying prior period weighted average foreign currency exchange rates to current period results.
Non-GAAP financial measures should be considered in addition to, not as a substitute for or superior to, financial measures determined in conformity with GAAP.
Quarters% ChangeYear-to-Date% Change
(Dollars in millions)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23		20222023YTD2023
vs.
YTD2022
Fee Revenue:
Total fee revenue, GAAP-basis$2,573 $2,370 $2,299 $2,364 $2,335 $2,419 $2,361 2.7 %(2.4)%$7,242 $7,115 (1.8)%
Less: Fee revenue(1)
— — — (23)— — — ——— — —
Total fee revenue, excluding notable items$2,573 $2,370 $2,299 $2,341 $2,335 $2,419 $2,361 2.7 (2.4)$7,242 $7,115 (1.8)
Total Revenue:
Total revenue, GAAP-basis$3,081 $2,953 $2,959 $3,155 $3,101 $3,110 $2,691 (9.1)%(13.5)%$8,993 $8,902 (1.0)%
Less: Notable items:
Fee revenue(1)
— — — (23)— — — —nm— — —
(Gains) losses related to investment securities, net(2)
— — — — — — 294 nmnm— 294 nm
Total revenue, excluding notable items$3,081 $2,953 $2,959 $3,132 $3,101 $3,110 $2,985 0.9 (4.0)$8,993 $9,196 2.3 
Expenses:
Total expenses, GAAP-basis$2,327 $2,108 $2,110 $2,256 $2,369 $2,212 $2,180 3.3 %(1.4)%$6,545 $6,761 3.3 %
Less: Notable items:
Acquisition and restructuring costs(3)
(9)(12)(13)(31)— — — nm—(34)— nm
Repositioning charges(4)
— — — (70)— — — ——— — —
Total expenses, excluding notable items
2,318 2,096 2,097 2,155 2,369 2,212 2,180 4.0(1.4)6,511 6,761 3.8 
Seasonal expenses(208)— — — (181)— — —nm(208)(181)(13.0)
Total expenses, excluding notable items and seasonal expenses$2,110 $2,096 $2,097 $2,155 $2,188 $2,212 $2,180 4.0(1.4)$6,303 $6,580 4.4 
Fee Operating Leverage, GAAP-Basis:
Total fee revenue, GAAP-basis$2,573$2,370$2,299$2,364$2,335$2,419$2,3612.7 %(2.4)%$7,242 $7,115 (1.8)%
Total expenses, GAAP-basis2,3272,1082,1102,2562,3692,2122,1803.3 (1.4)6,545 6,761 3.3 
Fee operating leverage, GAAP-basis(5)
(0.6)%pts(1.0)%pts(5.1)%pts
Fee Operating Leverage, excluding notable items:
Total fee revenue, excluding notable items (as reconciled above)$2,573$2,370$2,299$2,341$2,335$2,419$2,3612.7 %(2.4)%$7,242 $7,115 (1.8)%
Total expenses, excluding notable items (as reconciled above)2,3182,0962,0972,1552,3692,2122,1804.0 (1.4)6,511 6,761 3.8 
Fee operating leverage, excluding notable items(6)
(1.3)%pts(1.0)%pts(5.6)%pts
Operating Leverage, GAAP-Basis:
Total revenue, GAAP-basis$3,081$2,953$2,959$3,155$3,101$3,110$2,691(9.1)%(13.5)%$8,993 $8,902 (1.0)%
Total expenses, GAAP-basis2,3272,1082,1102,2562,3692,2122,1803.3 (1.4)6,545 6,761 3.3 
Operating leverage, GAAP-basis(7)
(12.4)%pts(12.1)%pts(4.3)%pts
Operating Leverage, excluding notable items:
Total revenue, excluding notable items (as reconciled above)$3,081$2,953$2,959$3,132$3,101$3,110$2,9850.9 %(4.0)%$8,993 $9,196 2.3 %
Total expenses, excluding notable items (as reconciled above)2,3182,0962,0972,1552,3692,2122,1804.0 (1.4)6,511 6,761 3.8 
Operating leverage, excluding notable items(8)
(3.1)%pts(2.6)%pts(1.5)%pts
17    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF NON-GAAP FINANCIAL INFORMATION (Continued)
Quarters% ChangeYear-to-Date% Change
(Dollars in millions, except earnings per share, or where otherwise noted)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23		20222023YTD2023
vs.
YTD2022
Income before income tax expense:
Income before income tax expense GAAP-basisA$754$835$849$889$688$916$511(39.8)%(44.2)%$2,438 $2,115(13.2)%
Less: Notable items
Fee revenue(1)
———(23)—————
(Gains) losses related to investment securities, net(2)
——————294—294
Acquisition and restructuring costs(3)
9121331———34—
Repositioning charges(4)
———70—————
Income before income tax expense, excluding notable itemsB$763$847$862$967$688$916$805(6.6)(12.1)$2,472 $2,409(2.5)
Net Income:
Net Income GAAP-basis$604$747$690$733$549$763$422(38.8)%(44.7)%$2,041$1,734(15.0)%
Less: Notable items




Fee revenue(1)
———(23)—————
(Gains) losses related to investment securities, net(2)
——————294—294
Acquisition and restructuring costs(3)
9121331———34—
Repositioning charges(4)
———70—————
Tax impact of notable items(2)(3)(3)(21)——(79)(8)(79)
Net Income, excluding notable items$611$756$700

$790$549$763$637(9.0)(16.5)$2,067$1,949(5.7)
Net Income Available to Common Shareholders:
Net Income Available to Common Shareholders, GAAP-basis$583$712$669$696$525$726$398(40.5)%(45.2)%$1,964$1,649(16.0)%
Less: Notable items
Fee revenue(1)
———(23)—————
(Gains) losses related to investment securities, net(2)
——————294—294
Acquisition and restructuring costs(3)
9121331———34—
Repositioning charges(4)
———70—————
Tax impact of notable items(2)(3)(3)(21)——(79)(8)(79)
Net Income Available to Common Shareholders, excluding notable items$590$721$679$753$525$726$613(9.7)(15.6)$1,990$1,864(6.3)
Diluted Earnings per Share:
Diluted earnings per share, GAAP-basis$1.57$1.91$1.80$1.91$1.52$2.17$1.25(30.6)%(42.4)%$5.28$4.97(5.9)%
Less: Notable items
Fee revenue(1)
———(0.05)—————
(Gains) losses related to investment securities, net(2)
——————0.68—0.64
Acquisition and restructuring costs(3)
0.020.030.020.07———0.07—
Repositioning charges(4)
———0.14—————
Diluted earnings per share, excluding notable items$1.59$1.94$1.82$2.07$1.52$2.17$1.936.0 (11.1)$5.35$5.614.9 
18    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF NON-GAAP FINANCIAL INFORMATION (Continued)
Quarters% ChangeYear-to-Date% Change
(Dollars in millions, except earnings per share, or where otherwise noted)1Q222Q223Q224Q221Q232Q233Q233Q23
vs.
3Q22		3Q23
vs.
2Q23		20222023YTD2023
vs.
YTD2022
Pre-tax Margin:
Pre-tax margin, GAAP-basis24.5%28.3%28.7%28.2%22.2%29.5%19.0%(9.7)%pts(10.5)%pts27.1%23.8%(3.3)%pts
Less: Notable items
Fee revenue(1)
———(0.5)—————
(Gains) losses related to investment securities, net(2)
——————8.0—2.4
Acquisition and restructuring costs(3)
0.30.40.41.0———0.4—
Repositioning charges(4)
———2.2—————
Pre-tax margin, excluding notable items24.8%28.7%29.1%30.9%22.2%29.5%27.0%(2.1)(2.5)27.5%26.2%(1.3)
Return on Average Common Equity:
Return on average common equity, GAAP-basis9.5%12.1%11.2%11.8%9.3%13.0%7.3%(3.9)%pts(5.7)%pts10.9%9.9%(1.0)%pts
Less: Notable items
Fee revenue(1)
———(0.4)—————
(Gains) losses related to investment securities, net(2)
——————5.4—1.8
Acquisition and restructuring costs(3)
0.20.10.20.5———0.2—
Repositioning charges(4)
———1.1—————
Tax impact of notable items———(0.3)——(1.5)—(0.5)
Return on average common equity, excluding notable items9.7%12.2%11.4%12.7%9.3%13.0%11.2%(0.2)(1.8)11.1%11.2%0.1 
Effective Tax Rate:
Effective tax rate, GAAP-basis19.9%10.5%18.7%17.6%20.2%16.7%17.4%(1.3)%pts0.7 %pts16.3 %18.0%1.7 %pts
Less: Notable items
Fee revenue(1)
———(0.2)———— —
(Gains) losses related to investment securities, net(2)
——————3.5— 1.1
Acquisition and restructuring costs(3)
0.10.30.10.3———0.1 —
Repositioning charges(4)
———0.6———— —
Effective tax rate, excluding notable items20.0%10.8%18.8%18.3%20.2%16.7%20.9%2.1 4.2 16.4 %19.1%2.7 
(1) Amount in 2022 consists of a $23 million revenue-related recovery related to settlement proceeds from a 2018 foreign exchange benchmark litigation resolution, which is reflected in foreign exchange trading services revenue.
(2) Loss on the sale of investment securities of $294 million related to the repositioning of certain investment securities.
(3) Acquisition and restructuring costs of approximately $65 million in 2022 related to the BBH Investor Services acquisition transaction that State Street is no longer pursuing.
(4) Amount in 2022 includes $50 million of compensation and benefits expenses primarily related to streamlining the Investment Services organization, and $20 million of occupancy charges related to real estate footprint optimization.
(5) Calculated as the period-over-period change in total fee revenue less the period-over-period change in total expenses.
(6) Calculated as the period-over-period change in total fee revenue, excluding notable items less the period-over-period change in total expenses, excluding notable items.
(7) Calculated as the period-over-period change in total revenue less the period-over-period change in total expenses.
(8) Calculated as the period-over-period change in total revenue, excluding notable items less the period-over-period change in total expenses, excluding notable items.
nm Denotes not meaningful
19    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATION OF PRE-TAX MARGIN EXCLUDING NOTABLE ITEMS
(Dollars in millions)2019202020212022
Total revenue:
Total revenue, GAAP-basis$11,756 $11,703 $12,027 $12,148 
Less: Fees revenue— — — (23)
Less: Total other income(44)— (111)— 
Total revenue, excluding notable items11,712 11,703 11,916 12,125 
Provision for credit losses10 88 (33)20 
Total expenses:
Total expenses, GAAP-basis9,034 8,716 8,889 8,801 
Less: Notable expense items:
Acquisition and restructuring costs(77)(50)(65)(65)
Deferred incentive compensation expense acceleration — — (147)— 
Legal and other(172)9 (18)— 
Repositioning (charges) / release(110)(133)3 (70)
Total expenses, excluding notable items8,675 8,542 8,662 8,666 
Income before income tax expense, excluding notable items$3,027 $3,073 $3,287 $3,439 
Income before income tax expense, GAAP-basis$2,712 $2,899 $3,171 $3,327 
Pre-tax margin, excluding notable items25.8 %26.3 %27.6 %28.4 %
Pre-tax margin, GAAP-basis23.1 24.8 26.4 27.4 


20    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF CONSTANT CURRENCY FX IMPACTS
GAAP-Basis QTD ComparisonReportedCurrency Translation ImpactExcluding Currency Impact% Change Constant Currency
(Dollars in millions)3Q222Q233Q233Q23 vs. 3Q223Q23 vs. 2Q233Q23 vs. 3Q223Q23 vs. 2Q233Q23 vs. 3Q223Q23 vs. 2Q23
GAAP-Basis Results:
Fee revenue:
Back office servicing fees$1,126 $1,164 $1,138 $17 $— $1,121 $1,138 (0.4)%(2.2)%
Middle office services93 95 96 1 — 95 96 2.2 1.1 
Servicing fees1,219 1,259 1,234 18 — 1,216 1,234 (0.2)(2.0)
Management fees472 461 479 5 (1)474 480 0.4 4.1 
Foreign exchange trading services319 303 313 — — 313 313 (1.9)3.3 
Securities finance110 117 103 — — 103 103 (6.4)(12.0)
Front office software and data127 162 130 1 — 129 130 1.6 (19.8)
Lending related and other fees57 59 58 — — 58 58 1.8 (1.7)
Software and processing fees184 221 188 1 — 187 188 1.6 (14.9)
Other fee revenue(5)58 44 — — 44 44 nm(24.1)
Total fee revenue2,299 2,419 2,361 24 (1)2,337 2,362 1.7 (2.4)
Net interest income660 691 624 12 — 612 624 (7.3)(9.7)
Total other income— — (294)— — (294)(294)nmnm
Total revenue$2,959 $3,110 $2,691 $36 $(1)$2,655 $2,692 (10.3)(13.4)
Expenses:
Compensation and employee benefits$1,042 $1,123 $1,082 $17 $(2)$1,065 $1,084 2.2 (3.5)
Information systems and communications399 405 411 2 — 409 411 2.5 1.5 
Transaction processing services227 235 241 3 — 238 241 4.8 2.6 
Occupancy97 103 101 2 — 99 101 2.1 (1.9)
Acquisition and restructuring costs13 — — — — — — nmnm
Amortization of other intangible assets58 60 60 1 — 59 60 1.7 — 
Other274 286 285 3 — 282 285 2.9 (0.3)
Total expenses$2,110 $2,212 $2,180 $28 $(2)$2,152 $2,182 2.0 (1.4)
Total expenses, excluding notable items - Non-GAAP$2,097 $2,212 $2,180 $28 $(2)$2,152 $2,182 2.6 (1.4)
Total non-compensation expenses, excluding notable items - Non-GAAP(1)
1,055 1,089 1,098 11 — 1,087 1,098 3.0 0.8 
GAAP-Basis YTD ComparisonReportedCurrency Translation ImpactExcluding Currency Impact% Change Constant Currency
(Dollars in millions)20222023YTD2023 vs.YTD20222023YTD2023 vs. YTD2022
GAAP-Basis Results:
Fee revenue:
Back office servicing fees$3,599 $3,433 $(1)$3,434 (4.6)%
Middle office services285 277 — 277 (2.8)
Servicing fees3,884 3,710 (1)3,711 (4.5)
Management fees1,482 1,397 — 1,397 (5.7)
Foreign exchange trading services1,009 958 — 958 (5.1)
Securities finance313 329 — 329 5.1 
Front office software and data391 401 — 401 2.6 
Lending related and other fees182 173 — 173 (4.9)
Software and processing fees573 574 — 574 0.2 
Other fee revenue(19)147 — 147           nm
Total fee revenue7,242 7,115 (1)7,116 (1.7)
Net interest income1,753 2,081 7 2,074 18.3 
Total other income(2)(294)— (294)nm
Total revenue$8,993 $8,902 $6 $8,896 (1.1)
Expenses:
Compensation and employee benefits$3,320 $3,497 $(17)$3,514 5.8 
Information systems and communications1,214 1,230 (1)1,231 1.4 
Transaction processing services731 715 (1)716 (2.1)
Occupancy288 298 (1)299 3.8 
Acquisition and restructuring costs34 — — — nm
Amortization of other intangible assets179 180 — 180 0.6 
Other779 841 1 840 7.8 
Total expenses$6,545 $6,761 $(19)$6,780 3.6 
Total expenses, excluding notable items - Non-GAAP$6,511 $6,761 $(19)$6,780 4.1 
Total non-compensation expenses, excluding notable items - Non-GAAP(1)
3,191 3,264 (2)3,266 2.4 
(1) Total non-compensation expenses, excluding notable items is comprised of total expenses, excluding notable items - Non-GAAP, less compensation and employee benefits, excluding notable items. Compensation and benefits, excluding notable items were $1,082 million in the third quarter of 2023, $1,123 million in the second quarter of 2023 and $1,042 million in the third quarter of 2022.
nm Denotes not meaningful
21    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
RECONCILIATIONS OF TANGIBLE BOOK VALUE PER SHARE AND RETURN ON TANGIBLE COMMON EQUITY
The tangible book value per common share (TBVPS) and return on tangible common equity (ROTCE) are ratios that management believes provides context about State Street's use of equity. The TBVPS ratio is calculated by dividing the period end tangible common equity by total common shares outstanding. The ROTCE ratio is calculated by dividing year-to-date annualized net income available to common shareholders (GAAP-basis) by average tangible common equity. Period end and average tangible common equity reflected in the TBVPS and ROTCE ratios, are both non-GAAP measures which reduce period end and average common shareholders' equity, by period end and average goodwill and other intangible assets, net of related deferred taxes. Since there is no authoritative requirement to calculate the TBVPS and ROTCE ratios, our TBVPS and ROTCE ratios are not necessarily comparable to similar measures disclosed or used by other companies in the financial services industry. TBVPS and ROTCE are non-GAAP financial measures and should be considered in addition to, not as a substitute for or superior to, financial measures determined in accordance with GAAP or other applicable requirements. Reconciliations with respect to the calculation of these ratios are provided within the Reconciliations of Tangible Book Value per Share and Return on Tangible Common Equity within this addendum.
Quarters
(Dollars in millions, except per share amounts, or where otherwise noted)1Q222Q223Q224Q221Q232Q233Q23
Tangible common equity - period end:
Total shareholders' equity$26,224 $25,767 $25,648 $25,191 $24,750 $24,204 $23,621 
Less:
Preferred stock1,976 1,976 1,976 1,976 1,976 1,976 1,976 
Common shareholders' equity24,248 23,791 23,672 23,215 22,774 22,228 21,645 
Less:
Goodwill7,582 7,465 7,351 7,495 7,530 7,544 7,487 
Other intangible assets1,744 1,654 1,568 1,544 1,493 1,435 1,363 
Plus related deferred tax liabilities497 491 486 493 496 499 497 
Tangible common shareholders' equity - Non-GAAP$15,419 $15,163 $15,239 $14,669 $14,247 $13,748 $13,292 
Tangible common equity - average:
Average common shareholders' equity$24,791 $23,687 $23,699 $23,479 $22,875 $22,409 $21,750 
Less:
Average goodwill7,599 7,501 7,405 7,422 7,505 7,536 7,540 
Average other intangible assets1,782 1,693 1,607 1,553 1,516 1,462 1,402 
Plus related deferred tax liabilities499 494 488 490 495 497 498 
Average tangible common shareholders' equity - Non-GAAP$15,909 $14,987 $15,175 $14,994 $14,349 $13,908 $13,306 
Net income available to common shareholders$583 $712 $669 $696 $525 $726 $398 
Total common shares outstanding - period end (in thousands)367,115 367,619 367,968 349,024 336,461 322,101 308,584 
Return on tangible common equity - Non-GAAP14.7 %17.3 %17.3 %17.7 %14.6 %18.0 %16.5 %
Book value per common share$66.05 $64.72 $64.33 $66.51 $67.69 $69.01 $70.14 
Tangible book value per common share - Non-GAAP42.00 41.25 41.41 42.03 42.34 42.68 43.07 
22    
                                
STATE STREET CORPORATION
EARNINGS RELEASE ADDENDUM
REGULATORY CAPITAL
Basel III Advanced Approaches(1)
Basel III Standardized Approach(2)
(Dollars in millions)1Q222Q223Q224Q221Q232Q233Q231Q222Q223Q224Q221Q232Q233Q23
Ratios and Supporting Calculations:
Common equity tier 1 capitalA$15,026 $14,882 $15,126 $14,547 $14,029 $13,496 $13,004 $15,026 $14,882 $15,126 $14,547 $14,029 $13,496 $13,004
Total risk-weighted assetsB114,969 110,447 107,771 105,359 108,296 106,521 106,846 126,725 115,404 114,682 107,227 115,582 114,022 118,096
Common equity tier 1 risk-based capital ratioA/B13.1 %13.5 %14.0 %13.8 %13.0 %12.7 %12.2 %11.9 %12.9 %13.2 %13.6 %12.1 %11.8 %11.0 %
Tier 1 capitalC$17,002 $16,858 $17,102 $16,523 $16,005 $15,472 $14,980 $17,002 $16,858 $17,102 $16,523 $16,005 $15,472 $14,980 
Tier 1 risk-based capital ratioC/B14.8 %15.3 %15.9 %15.7 %14.8 %14.5 %14.0 %13.4 %14.6 %14.9 %15.4 %13.8 %13.6 %12.7 %
Total capitalD$18,588 $18,239 $18,482 $17,899 $17,374 $16,854 $16,355 $18,693 $18,352 $18,594 $18,019 $17,535 $16,982 $16,486 
Total risk-based capital ratioD/B16.2 %16.5 %17.1 %17.0 %16.0 %15.8 %15.3 %14.8 %15.9 %16.2 %16.8 %15.2 %14.9 %14.0 %
Tier 1 capitalE$17,002 $16,858 $17,102 $16,523 $16,005 $15,472 $14,980 $17,002 $16,858 $17,102 $16,523 $16,005 $15,472 $14,980 
Leverage exposure(3)
F285,788 282,526 266,622 275,678 268,747 266,240 259,086 285,788 282,526 266,622 275,678 268,747 266,240 259,086 
Tier 1 leverage ratioE/F5.9 %6.0 %6.4 %6.0 %6.0 %5.8 %5.8 %5.9 %6.0 %6.4 %6.0 %6.0 %5.8 %5.8 %
On-and off-balance sheet leverage exposure$264,616 $263,538 $250,070 $246,017 $244,049 $249,353 $246,948 $264,616 $263,538 $250,070 $246,017 $244,049 $249,353 $246,948 
Less: regulatory deductions(9,222)(8,909)(8,546)(8,668)(8,745)(8,732)(8,642)(9,222)(8,909)(8,546)(8,668)(8,745)(8,732)(8,642)
Total leverage exposure for SLRG255,394 254,629 241,524 237,349 235,304 240,621 238,306 255,394 254,629 241,524 237,349 235,304 240,621 238,306 
Supplementary leverage ratio(4)
E/G6.7 %6.6 %7.1 %7.0 %6.8 %6.4 %6.3 %6.7 %6.6 %7.1 %7.0 %6.8 %6.4 %6.3 %
(1) CET1, tier 1 capital, total capital and tier 1 leverage ratios for each period above were calculated in conformity with the advanced approaches provisions of the Basel III final rule. Capital ratios as of September 30, 2023 are estimates.
(2) CET1, tier 1 capital, total capital and tier 1 leverage ratios for each period above were calculated in conformity with the standardized approach provisions of the Basel III final rule. Capital ratios as of September 30, 2023 are estimates.
(3) Leverage exposure is equal to average consolidated total assets less applicable Tier 1 capital deductions.
(4) We are subject to a minimum Supplementary Leverage Ratio or SLR of 3%, and as a U.S. G-SIB, we must maintain a 2% SLR buffer in order to avoid any limitations on distributions to shareholders and discretionary bonus payments to certain executives.
23    
1 NYSE: STT October 18, 2023 Exhibit 99.3

 
2 This presentation (and the conference call accompanying it) includes certain highlights of, and also material supplemental to, State Street Corporation’s news release announcing its third quarter 2023 financial results. That news release contains a more detailed discussion of many of the matters described in this presentation and is accompanied by an Addendum with detailed financial tables. This presentation (and the conference call accompanying it) is designed to be reviewed together with that news release and that Addendum, which are available on State Street’s website, at http://investors.statestreet.com, and are incorporated herein by reference. This presentation (and the conference call accompanying it) contains forward-looking statements as defined by United States securities laws. These statements are not guarantees of future performance, are inherently uncertain, are based on assumptions that are difficult to predict and have a number of risks and uncertainties. The forward-looking statements in this presentation speak only as of the time this presentation is first furnished to the SEC on a Current Report on Form 8-K, and State Street does not undertake efforts to revise forward- looking statements. See “Forward-looking statements” in the Appendix for more information, including a description of certain factors that could affect future results and outcomes. Certain financial information in this presentation is presented on both a GAAP basis and on a basis that excludes or adjusts one or more items from GAAP. The latter basis is a non-GAAP presentation. Refer to the Appendix for explanations of our non-GAAP financial measures and to the Addendum for reconciliations of our non-GAAP financial information.

 
3 All comparisons are to corresponding prior year period unless otherwise noted Financial Performance • EPS of $1.25, down (31)%; $1.93 ex-notable items, up 6%A • Total revenue of $2.7B, down (9)%; $3.0B, up 1%, ex-notable items.A Fee revenue up 3% reflecting higher Servicing fees, Management fees and Other fee revenue • Total expenses of $2.2B, up 3%; up 4% ex-notables, primarily driven by higher salaries and continued business investments, partially offset by productivity savingsA Business momentum Investment Services • AUC/A of $40.0T at quarter-end; AUC/A yet to be installed of $2.3T at quarter-end1 • New servicing fee revenue wins of $91M primarily reflecting wins in Official Institutions, Asset Managers and Private Markets2 • State Street Alpha® deepened relationships with existing mandates and reported 2 new Alpha mandate wins, including the first Alpha for Private Markets mandate • ARR for Front office solutions of $299M, up 12%, driven by SaaS client implementations and conversions3 Investment Management • AUM of $3.7T at quarter-end, with $10B of total net inflows, primarily driven by Cash1 Awards – Markets & Financing • Named Best FX Bank for Real Money Clients, Best FX Bank for Research, Best FX Venue for Real Money Clients and Best FX Bank Sales in the Euromoney 2023 FX Awards4 Balance sheet and capital • Repositioned the investment portfolio, benefiting NII in future periods • CET1 ratio of 11.0% at quarter end5 • Returned $1.2B of capital in 3Q23, consisting of $1B in common share repurchases and $213M of declared common stock dividends A Financial metrics ex-notable items are non-GAAP measures; refer to the Appendix for explanations and reconciliations of our non-GAAP measures. Refer to the Appendix included with this presentation for endnotes 1 to 22.

 
4 A These are non-GAAP presentations; ex-currency translation percentage changes are in reference to the YoY quarterly comparison between 3Q23 and 3Q22 which excludes the impact of changes in foreign currency translation; refer to the Appendix for further explanations of non-GAAP measures. B Loss on sale related to the investment portfolio repositioning recorded in Other income line in 3Q23. Financial results Notable items 3Q22 2Q23 3Q23 2Q23 3Q22 Revenue: Back office servicing fees $1,126 $1,164 $1,138 (2)% 1% (0)% Middle office services 93 95 96 1 3 2 Servicing fees 1,219 1,259 1,234 (2) 1 (0) Management fees 472 461 479 4 1 0 Foreign exchange trading services 319 303 313 3 (2) (2) Securities finance 110 117 103 (12) (6) (6) Front office software and data 127 162 130 (20) 2 2 Lending related and other fees 57 59 58 (2) 2 2 Software and processing fees 184 221 188 (15) 2 2 Other fee revenue (5) 58 44 (24) nm nm Total fee revenue 2,299 2,419 2,361 (2) 3 2 Net interest income 660 691 624 (10) (5) (7) Other income - - (294) nm nm nm Total revenue $2,959 $3,110 $2,691 (13)% (9)% (10)% Provision for credit losses - ($18) - nm nm nm Total expenses $2,110 $2,212 $2,180 (1)% 3% 2% Net income before income taxes $849 $916 $511 (44)% (40)% (41)% Net income $690 $763 $422 (45)% (39)% Diluted earnings per share $1.80 $2.17 $1.25 (42)% (31)% Return on average common equity 11.2% 13.0% 7.3% (5.7)%pts (3.9)%pts Pre-tax margin 28.7% 29.5% 19.0% (10.5)%pts (9.7)%pts Tax rate 18.7% 16.7% 17.4% 0.7%pts (1.3)%pts Ex-notable items, non-GAAP A: Total revenue $2,959 $3,110 $2,985 (4)% 1% (0)% Total expenses $2,097 $2,212 $2,180 (1)% 4% 3% EPS $1.82 $2.17 $1.93 (11)% 6% Pre-tax margin 29.1% 29.5% 27.0% (2.5)%pts (2.1)%pts Tax Rate 18.8% 16.7% 20.9% 4.2%pts 2.1%pts (GAAP; $M, except EPS data, or where otherwise noted) Quarters %∆ 3Q22 %∆ ex-currency translation A 3Q22 2Q23 3Q23 Investment portfolio repositioningB - - ($294) Acquisition and restructuring costs ($13) - - Total notable items (pre-tax) ($13) - ($294) Income tax impact from notable items (3) - (79) EPS impact ($0.02) - ($0.68) ($M, except EPS data) QuartersA

 
5 AUC/A ($T, as of period-end) 1 Market indices6 • Up 12% YoY largely driven by higher quarter-end market levels and net new business • Up 1% QoQ primarily due to client flows and net new business • Up 13% YoY mainly reflecting higher quarter-end market levels • Down (3)% QoQ primarily due to lower quarter-end market levels AUM ($B, as of period-end) 1 Select industry flows7 -3% +1% $35.7 $39.6 $40.0 3Q22 2Q23 3Q23 3Q22 2Q23 3Q23 $3,265 $3,797 $3,687 +12% +13% A Line items may not sum to total due to rounding. Refer to the Appendix included with this presentation for endnotes 1 to 22. 3Q22 2Q23 3Q23 Long Term Funds $(193) $(113) $(116) Money Market (26) 175 140 ETF 110 136 110 North America Total (109) 198 134 EMEA Total (114) 27 37 ($B) Total flowsA 2Q23 3Q22 EOP (4)% 20% Daily Avg 6 12 EOP (5) 22 Daily Avg (0) 14 EOP (4) 9 Daily Avg 1 2 EOP (4) 19 Daily Avg 4 11 EOP (4) 2 Daily Avg (2) (1) (% change) 3Q23 vs S&P 500 MSCI EAFE MSCI EM Bloomberg Global Agg MSCI ACWI

 
6 Servicing fees of $1,234M up 1% YoY and down (2)% QoQ • Up 1% YoY primarily from higher average equity markets, net new business and the impact of currency translation, partially offset by lower client activity/adjustments and normal pricing headwinds • Down (2)% QoQ mainly due to lower client activity/adjustments and a previously disclosed client transition, partially offset by higher average equity markets Servicing fees ($M) 3Q23 performance 1,126 1,115 1,131 1,164 1,138 93 3Q22 88 4Q22 86 1Q23 95 2Q23 96 3Q23 $1,219 $1,203 $1,217 $1,259 $1,234 $2,959 $3,155 $3,101 $3,110 $2,691 YoY -9% QoQ -13% Total revenue • Servicing fees were positively impacted by currency translation YoY by $18M Investment Services business momentum1 • New servicing fee revenue wins of $91M primarily reflecting wins in Official Institutions, Asset Managers and Private Markets2 • $255M of servicing fee revenue to be installed2 • $149B in new servicing AUC/A wins, with over two-thirds of new mandates driven by wins from EMEA and APAC Refer to the Appendix included with this presentation for endnotes 1 to 22. +1% -2% Back office servicing fees Middle office services +1% +3% YoY % $233 $434 $112 $141 $149 3,413 3,608 3,647 2,365 2,255 AUC/A sales performance indicators ($B)1 AUC/A wins AUC/A to be installed

 
7 • ETFs: Overall flows were relatively flat, while SPDR® Portfolio Low- Cost suite experienced positive net inflows and consistent market share gains • Institutional: Experienced net outflows of $(30)B while Defined Contribution and Index Fixed Income net inflows continued to drive strategic momentum • Cash: Record quarterly Cash net inflows of $41B primarily into Money Market funds, which contributed to Institutional Money Market Funds market share gains8 Management fees ($M) 3Q23 performance Management fees of $479M up 1% YoY and 4% QoQ • Up 1% YoY primarily due to higher average equity market levels, partially offset by a previously described shift of certain management fees into NIIA • Up 4% QoQ mainly driven by higher average equity market levels and Cash net inflows Performance indicators ($B)1 • Management fees were positively impacted by currency translation YoY by $5M 3Q22 4Q22 1Q23 2Q23 3Q23 $472 $457 $457 $461 $479 Investment Management business momentum1 +1% +4% AUM $3,265 $3,481 $3,618 $3,797 $3,687 Net flows (QoQ) (9) (17) (26) 38 10 A Shift of a portion of management fees into NII associated with management fees that is now recognized as NII for certain U.S. ETFs with unique structures. Refer to the Appendix included with this presentation for endnotes 1 to 22. $2,959 $3,155 $3,101 $3,110 $2,691 YoY -9% QoQ -13% Total revenue

 
8 A These are non-GAAP presentations; refer to the Appendix for a reconciliation of ex-notable items/currency translation and further explanations of non-GAAP measures. B Other fee revenue primarily consists of income from equity method investments, certain tax-advantaged investments and market-related adjustments. Refer to the Appendix included with this presentation for endnotes 1 to 22. Markets, Software & processing, and Other fees (Ex-notable items, non-GAAP, $M)A 184 45 58 44 110 216 165 221 188 319 103 109 117 103 344 342 303 313 (5) 3Q22 18 4Q22 1Q23 2Q23 3Q23 $681 $661 $699 $648 $608 FX trading9 Securities finance Software & processing (2)% (6)% +2% YoY % Other feesB nm • FX trading services of $313M – Down (2)% YoY mainly due to lower Direct FX spreads and muted market volatility, partially offset by higher volumes – Up 3% QoQ primarily reflecting higher volumes • Securities finance of $103M – Down (6)% YoY primarily due to lower Agency balances and lower specials activity – Down (12)% QoQ primarily due to lower Agency balances and seasonally lower activity • Software and processing fees of $188M – Up 2% YoY primarily driven by higher Front office software and data revenue associated with CRD – Down (15)% QoQ mainly due to lower Front office software and data revenue driven by lower On-premises renewals associated with CRD • Other fee revenue of $44MB – Increased $49M YoY primarily due to a tax credit investment accounting change and better market-related adjustments10 – Decreased $(14)M QoQ primarily driven by the tax credit investment accounting change adoption in the prior quarter10 3Q23 performance $2,959 $3,155 $3,101 $3,110 $2,691 YoY -9% QoQ -13% Total revenue

 
9 • 3Q23 ARR increased 12% YoY driven by 20+ SaaS client implementations and conversions since 3Q22 • Reported 2 new Alpha mandate wins, including the first win associated with Alpha for Private Markets, as Alpha continued to drive core servicing fee wins • Meaningfully advanced CRD’s institutional Fixed Income capabilities 78 81 78 82 85 20 16 22 29 27 26 59 47 3Q22 4Q22 1Q23 2Q23 14 3Q23 $127 $159 $109 $162 $130 A Front office software and data revenue primarily includes revenue from CRD, Alpha Data Platform and Alpha Data Services. Includes Other revenue of $3M in each quarter from 3Q22 through 1Q23 and $4M in 2Q23 and 3Q23. Revenue line items may not sum to total due to rounding. Refer to the Appendix included with this presentation for endnotes 1 to 22. -20% +2% • Up 2% YoY primarily driven by higher Software-enabled and Professional services revenues, partially offset by lower On-premises revenues • Down (20)% QoQ primarily driven by lower On-premises renewals, partially offset by higher Software-enabled revenues ($M) 3Q22 2Q23 3Q23 Front office metrics New bookings12 $14 $4 $10 ARR3 267 281 299 Uninstalled revenue backlog13 90 88 88 Middle office metric Uninstalled revenue backlog14 101 82 83 Alpha metrics # of mandate wins - - 2 Live mandates to-date 12 15 15 Professional services Software- enabled (incl. SaaS)11 On-premises11 14% YoY Growth Business momentum Front office software and data ($M)A Future growth driven by Front, Middle and Alpha 3Q23 performance 6 $2,959 $3,155 $3,101 $3,110 $2,691 YoY -9% QoQ -13% Total revenue

 
10 NII and NIM ($M)15 Average balance sheet highlights ($B)A A Line items are rounded. B Includes Cash and due from banks and Interest-bearing deposits with banks. C Calculated as Operational deposits divided by Total deposits, in the respective periods. Refer to the Appendix included with this presentation for endnotes 1 to 22. 3Q22 4Q22 1Q23 2Q23 3Q23 Total assets $275 $284 $277 $275 $268 CashB 72 87 81 73 66 Investment portfolio 109 106 107 108 105 HTM % (EOP) 61% 61% 60% 60% 60% Duration (EOP) 16 2.7 2.6 2.8 2.7 2.7 Loans 35 35 34 34 35 Total deposits $213 $217 $210 $206 $198 % Operational C 76% 73% 75% 75% 75%NIM15 (FTE, %) 1.11% 1.29% 1.31% 1.19% 1.12% 3Q22 4Q22 1Q23 2Q23 3Q23 $660 $791 $766 $691 $624 -10% -5% • Average assets declined (3)% YoY and QoQ • Average deposits declined (7)% YoY and (4)% QoQ • Repositioned the investment portfolio, benefiting NII in future periods • Down (5)% YoY largely due to lower average deposit balances and deposit mix shift, partially offset by the impact of higher interest rates • Down (10)% QoQ primarily driven by lower average deposit balances and deposit mix shift, partially offset by the impact of higher interest rates, including international central bank hikes, and the investment portfolio repositioning Assets and liabilities3Q23 performance $2,959 $3,155 $3,101 $3,110 $2,691 YoY -9% QoQ -13% Total revenue

 
11 $2,110 $2,212 $2,180 41,354 42,688 42,352 Expenses of $2,180M up 4% YoY and down (1)% QoQ • Compensation and employee benefits of $1,082M – Up 4% YoY mainly due to higher salaries, headcount and the impact of currency translation, partially offset by lower performance-based incentive compensation and contractor spend – Down (4)% QoQ largely driven by lower performance-based incentive compensation, higher salary deferrals and lower headcount • Information systems and communications of $411M – Up 3% YoY primarily due to higher technology and infrastructure investments, partially offset by optimization savings, insourcing and vendor savings initiatives • Transaction processing services of $241M – Up 6% YoY mainly reflecting higher sub-custody costs – Up 3% QoQ primarily due to the absence of sub-custody vendor credits • Occupancy of $101M – Up 4% YoY mainly due to increased real estate costs – Down (2)% QoQ due to one-time vendor credits • Other of $345M18 – Up 4% YoY largely reflecting higher marketing spend and professional fees GAAP Expenses Headcount 332 346 345 227 235 241 399 405 411 1,042 1,123 1,082 3Q22 2Q23 3Q23 $2,097 $2,212 $2,180 A These are non-GAAP presentations; refer to the Appendix for a reconciliation of ex-notable items/currency translation and further explanations of non-GAAP measures. Refer to the Appendix included with this presentation for endnotes 1 to 22. Comp. & benefitsB Info. sys. Tran. processing Other17,18 Occupancy • Total expenses on both a GAAP and ex-notables basis were negatively impacted by currency translation YoY by $28M 10110397 YoY +3% QoQ -1% +4% -1% YoY +2% QoQ -1% Expenses (Ex-notable items, non-GAAP, $M)A 3Q23 performance (Ex-notable items, non-GAAP, $M)A

 
12 Capital and liquidity highlights Capital ($B unless otherwise noted, capital metrics as of period-end) 3Q22 2Q23 3Q23 Standardized CET1 CET1 capital $15.1 $13.5 $13.0 Risk weighted assets 115 114 118 Tier 1 leverage Tier 1 capital 17.1 15.5 15.0 Leverage exposure22 267 266 259 OCI impact of investment portfolio on regulatory capitalA (0.2) (0.1) 0.3 Tier 1 leverage 6.4% 6.0% 6.0% 5.8% 5.8% 3Q22 4Q22 1Q23 2Q23 3Q23 Minimum ratio4.0% STT Target Range5.25-5.75% • 3Q23 standardized CET1 ratio at quarter-end of 11.0% decreased (0.8)%pts QoQ primarily driven by the continuation of common share repurchases and higher RWA • 3Q23 Tier 1 leverage ratio of 5.8% at quarter-end flat QoQ as the continuation of common share repurchases were offset by a reduction in average assets • State Street Corporation LCR increased 1%pt QoQ to ~109%; State Street Bank and Trust Company LCR was flat at ~120% 21 • Returned $1.2B of capital in 3Q23 consisting of $1B of common share repurchases and $213M of declared common stock dividends A OCI impact of investment portfolio on regulatory capital is a sub-component within GAAP AOCI. Refer to the Appendix included with this presentation for endnotes 1 to 22. CET1 (Standardized) 13.2% 13.6% 12.1% 11.8% 11.0% 4.5% 2.5% 3Q22 4Q22 1Q23 2Q23 3Q23 SCB20 Minimum ratio8 .0 % 10-11% G-SIB surcharge19 1.0% Ratios (%, as of period-end)5 State Street Bank and Trust LCR 21 Requirement Requirement Requirement 116% 120% 124% 120% 120% 100% 3Q22 4Q22 1Q23 2Q23 3Q23 STT Target Range

 
13

 
14 3Q23 line of business performance 15 Reconciliation of notable items 16 Reconciliation of constant currency impacts 17 Endnotes 18 Forward-looking statements 19 Non-GAAP measures 20 Definitions 21

 
15 1,839 State StreetAInvestment Servicing Total revenue 663 620 1,813 , 3Q22 3Q23 $2,476M $2,459M Pre-tax income Fee revenue NII Pre-tax margin 28.9% 26.9% -2.0%pts YoY % ∆ +1% -6% -1% -8% Investment Management Total revenueB 3Q22 3Q23 $483M $526M Pre-tax income Pre-tax margin 30.6% 27.9% -2.7%pts 3Q22 3Q23 $148M $147M YoY % ∆ +9% -1% Total revenue ex-notable items C 660 624 2,299 2,361 3Q22 3Q23 $2,959M $2,985M Pre-tax income ex-notable itemsC Fee revenue NII Pre-tax margin ex-notable items C 29.1% 27.0% -2.1%pts YoY % ∆ +3% -5% +1% -7% A State Street includes line of business results from Investment Servicing, Investment Management, and Other. Refer to the Addendum for further line of business information. B 3Q23 and 3Q22 Total revenue includes $4M and $(3)M in NII, respectively. C This is a non-GAAP presentation; refer to the Appendix for a reconciliation of ex-notable items and further explanations of non-GAAP measures. 3Q22 3Q23 $716M $661M 3Q22 3Q23 $862M $805M

 
16 A Calculated as the period-over-period change in total revenue less the period-over-period change in total expenses. B Calculated as the period-over-period change in total revenue, excluding notable items less the period-over-period change in total expenses, excluding notable items. Quarterly reconciliation % Change (Dollars in millions, unless noted otherwise) 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 3Q23 vs. 3Q22 3Q23 vs. 2Q23 2022 2023 YTD 2023 vs. YTD 2022 Total revenue, GAAP-basis 3,081$ 2,953$ 2,959$ 3,155$ 3,101$ 3,110$ 2,691$ (9.1)% (13.5)% 8,993$ 8,902$ (1.0)% Less: Notable items: Fee revenue (23) - - (Gains) losses related to investment securities, net 294 - 294 Total revenue, excluding notable items 3,081 2,953 2,959 3,132 3,101 3,110 2,985 0.9% (4.0)% 8,993 9,196 2.3% Total expenses, GAAP basis 2,327 2,108 2,110 2,256 2,369 2,212 2,180 3.3% (1.4)% 6,545 6,761 3.3% Less: Notable items: Acquisition and restructuring costs (9) (12) (13) (31) (34) - Repositioning charges (70) - - Total expenses, excluding notable items 2,318 2,096 2,097 2,155 2,369 2,212 2,180 4.0% (1.4)% 6,511 6,761 3.8% Seasonal expenses (208) (181) (208) (181) Total expenses, excluding notable items and seasonal expense items 2,110$ 2,096$ 2,097$ 2,155$ 2,188$ 2,212$ 2,180$ 4.0% (1.4)% 6,303$ 6,580$ 4.4% Operating leverage, GAAP-basis (%pts)A (12.4)% pts (12.1)% pts bps -4.3% pts Operating leverage, excluding notable items (%pts)B (3.1)% pts (2.6)% pts -1.5% pts Pre-tax margin, GAAP-basis (%) 24.5% 28.3% 28.7% 28.2% 22.2% 29.5% 19.0% (9.7)% pts (10.5)% pts 27.1% 23.8% -3.3% pts Notable items as reconciled above (%) 0.3% 0.4% 0.4% 2.7% - - 8.0% 0.4% 2.4% Pre-tax margin, excluding notable items (%) 24.8% 28.7% 29.1% 30.9% 22.2% 29.5% 27.0% (2.1)% pts (2.5)% pts 27.5% 26.2% -1.3% pts Net income available to common shareholders, GAAP-basis 583$ 712$ 669$ 696$ 525$ 726$ 398$ (40.5)% (45.2)% 1,964$ 1,649$ (16.0)% Notable items as reconciled above: pre-tax 9 12 13 78 294 34 294 Tax impact on notable items as reconciled above (2) (3) (3) (21) (79) (8) (79) Net income available to common shareholders, excluding notable items 590$ 721$ 679$ 753$ 525$ 726$ 613$ (9.7)% (15.6)% 1,990$ 1,864$ (6.3)% Diluted EPS, GAAP-basis 1.57$ 1.91$ 1.80$ 1.91$ 1.52$ 2.17$ 1.25$ (30.6)% (42.4)% 5.28$ 4.97$ (5.9)% Notable items as reconciled above 0.02 0.03 0.02 0.16 - - 0.68 0.07 0.64 Diluted EPS, excluding notable items 1.59$ 1.94$ 1.82$ 2.07$ 1.52$ 2.17$ 1.93$ 6.0% (11.1)% 5.35$ 5.61$ 4.9% % Change Year-to-Date

 
17 A Other includes Other expenses and Amortization of intangible assets. Reconciliation of Constant Currency FX Impacts (Dollars in millions) 3Q22 2Q23 3Q23 3Q23 vs. 3Q22 3Q23 vs. 2Q23 3Q23 vs. 3Q22 3Q23 vs. 2Q23 3Q23 vs. 3Q22 3Q23 vs. 2Q23 Non-GAAP basis Total revenue, excluding notable items $ 2,959 $ 3,110 $ 2,985 $ 36 $ (1) $ 2,949 $ 2,986 (0.3)% (4.0)% Compensation and employee benefits, excluding notable items $ 1,042 $ 1,123 $ 1,082 $ 17 $ (2) $ 1,065 $ 1,084 2.2% (3.5)% Information systems and communications, excluding notable items 399 405 411 2 - 409 411 2.5% 1.5% Transaction processing services, excluding notable items 227 235 241 3 - 238 241 4.8% 2.6% Occupancy, excluding notable items 97 103 101 2 - 99 101 2.1% (1.9)% Other expenses, excluding notable itemsA 332 346 345 4 - 341 345 2.7% (0.3)% Total expenses, excluding notable items $ 2,097 $ 2,212 $ 2,180 $ 28 $ (2) $ 2,152 $ 2,182 2.6% (1.4)% Reported Currency Translation Impact Excluding Currency Impact % Change Constant Currency

 
18 1. New asset servicing mandates, including announced Alpha front-to-back investment servicing clients, may be subject to completion of definitive agreements, approval of applicable boards and shareholders and customary regulatory approvals. New asset servicing mandates and servicing assets remaining to be installed in future periods exclude new business which has been contracted, but for which the client has not yet provided permission to publicly disclose and is not yet installed. These excluded assets, which from time to time may be significant, will be included in new asset servicing mandates and reflected in servicing assets remaining to be installed in the period in which the client provides its permission. Servicing mandates and servicing assets remaining to be installed in future periods are presented on a gross basis and therefore also do not include the impact of clients who have notified us during the period of their intent to terminate or reduce their relationship with State Street, which from time to time may be significant. New business in assets to be serviced is reflected in our AUC/A after we begin servicing the assets, and new business in assets to be managed is reflected in our AUM after we begin managing the assets. As such, only a portion of any new asset servicing and asset management mandates may be reflected in our AUC/A and AUM as of any particular date specified. Consistent with past practice, AUC/A values for certain asset classes are based on a lag, typically one-month. Generally, our servicing fee revenues are affected by several factors, and we provide varied services from our full suite of offerings to different clients. The basis for fees will also differ across regions and clients and can reflect pricing pressures traditionally experienced in our industry. Consequently, no assumption should be drawn as to future revenue run rate from announced servicing wins or new servicing business yet to be installed, as the amount of revenue associated with AUC/A can vary materially. Management fees also are generally affected by various factors, including investment product type and strategy and relationship pricing for clients, and are more sensitive to market valuations than are servicing fees. Therefore, no assumption should be drawn from management fees associated with changes in AUM levels. 2. Servicing fee revenue wins/backlog represents estimates of future annual revenue associated with new servicing engagements contracted for during the current reporting period based upon factors assessed at time of servicing contract execution, including asset volumes, number of transactions, accounts and holdings, terms and expected strategy. These and other relevant factors influencing projected servicing fees upon asset implementation/onboarding will change from time to time prior to, upon and following asset implementation/onboarding, among other reasons, due to varying market levels and factors and client and investor activity and preferences. Servicing fee/backlog estimates are not updated to reflect those changes, regardless of the magnitude or direction of, or reason for, any change. Servicing fee revenue wins in any period are highly variable and include estimated fees attributable to both (1) services to be provided for new estimated AUC/A reflected in new asset servicing wins for the period (with AUC/A to be onboarded in the future) and (2) additional services to be provided for AUC/A already included in our end-of period AUC/A (i.e., for which other services are currently provided); and the magnitude of one source of servicing fee revenue wins relative to the other (i.e., (1) relative to (2)) will vary from period to period. Therefore, for these and other reasons, comparisons of estimated servicing fee revenue wins to estimated new asset servicing AUC/A wins for any period will not produce reliable fee per AUC/A estimates. No servicing fees are recognized until the point in the future when we begin performing the associated services with respect to the relevant AUC/A. See also endnote 1 above in reference to considerations applicable to pending servicing engagements, which similarly apply to engagements for which reported servicing fee revenue wins/backlog are attributable. 3. Front office software and data annual recurring revenue (ARR), an operating metric, is calculated by annualizing current quarter revenue for CRD and Mercatus and includes the annualized amount of most software-enabled revenue, including revenue generated from SaaS, maintenance and support revenue, FIX, and value-added services, which are all expected to be recognized ratably over the term of client contracts. Front office software and data ARR does not include software-enabled brokerage revenue, revenue from affiliates and licensing fees (excluding the portion allocated to maintenance and support) from On-premises software. 4. State Street was recognized in Euromoney Magazine’s 2023 FX Awards across four categories: Best FX Bank for Real Money Clients, Best FX Bank for Research, Best FX Venue for Real Money Clients and Best FX Bank Sales. 5. Unless otherwise noted, all capital ratios referenced on this slide and elsewhere in this presentation refer to State Street Corporation, or State Street, and not State Street Bank and Trust Company. All capital ratios are as of quarter end. The lower of capital ratios calculated under the Basel III advanced approaches and under the Basel III standardized approach are applied in the assessment of our capital adequacy for regulatory purposes. Standardized approach ratios were binding for 3Q22 to 3Q23. Refer to the Addendum for descriptions of these ratios. September 30, 2023 capital ratios are presented as of quarter-end and are preliminary estimates. 6. The index names listed are service marks of their respective owners. 7. Data presented for indicative purposes. Morningstar data includes long-term mutual funds, ETFs and Money Market funds. Mutual fund data represents estimates of net new cash flow, which is new sales minus redemptions combined with net exchanges, while ETF data represents net issuance, which is gross issuance less gross redemptions. Data for Fund of Funds, Feeder funds and Obsolete funds were excluded from the series to prevent double counting. Data is from the Morningstar Direct Asset Flows database. The long-term fund flows reported by Morningstar in North America are composed of U.S. domiciled Market flows mainly in Equities, Allocation and Fixed Income asset classes. 3Q23 data for North America (U.S. domiciled) includes Morningstar actuals for July and August 2023 and Morningstar estimates for September 2023. 3Q23 data for EMEA is on a rolling three month basis for June 2023 through August 2023. 8. Quartile performance data provided by iMoneyNet. Market share based on Global Institutional Money Market Funds and sourced from Money Fund Analyzer, a service provided by iMoneyNet as of the end of September 2023. 9. FX trading services in 4Q22 included notable items related to a revenue-related recovery of $23M. 10. In March 2023, the Financial Accounting Standards Board issued new accounting guidance that expands the use of proportional amortization accounting to other types of tax credit investments regardless of the tax credit program from which the income tax credits are received. We adopted the new standard in the second quarter of 2023, effective January 1, 2023 for renewable energy production tax credit investments under the modified retrospective approach. The impact of adoption resulted in an increase in Other fee revenue, an increase in Tax expense and was not material to net income. 11. On-premises revenue is revenue derived from locally installed software. Software-enabled revenue includes SaaS, maintenance and support revenue, FIX, brokerage, and value-add services. The revenue recognition pattern for On-premises installations differs from software- enabled revenue. 12. Front office bookings represent signed ARR contract values for CRD, Mercatus, Alpha Data Platform, and Alpha Data Services excluding bookings with affiliates, including SSGA. Front office revenue derived from affiliate agreements is eliminated in consolidation for financial reporting purposes. 13. Represents expected ARR from signed client contracts that are scheduled to be largely installed over the next 24 months for CRD, Mercatus and Alpha Data Services. It includes SaaS revenue, as well as maintenance and support revenue, and excludes the one-time impact of On-premises license revenue, revenue generated from FIX, brokerage, value-add services, and professional services as well as revenue from affiliates. 14. Represents expected annual revenue from signed client contracts that are scheduled to be largely installed over the next 24 months. This amount of expected revenue is estimated based on factors present on or about the time the contract was signed (and is not updated based on subsequent developments, including changes in assets, market valuations and scope). It does not include professional services revenue or revenue from affiliates. 15. NII is presented on a GAAP-basis. NIM is presented on a fully taxable-equivalent (FTE) basis, and is calculated by dividing FTE NII by average total interest-earning assets. Refer to the Addendum for reconciliations of NII FTE-basis to NII GAAP-basis on the Average Statement of Condition. 16. Duration as of period end and based on the total investment portfolio. 17. Other, excluding notable items, includes Other expenses and Amortization of intangible assets. 18. Other expenses in 3Q22 included a notable item related to acquisition and restructuring costs of $13M. Excluding this notable item, 3Q23 adjusted Other expenses of $345M was up 4% compared to 3Q22 adjusted Other expenses of $332M. 19. State Street received a regulatory exemption to maintain its 1.0% G-SIB capital surcharge until January 1, 2024. 20. The SCB of 2.5% effective on October 1, 2023 is calculated based upon the results of the CCAR 2023 exam. 21. State Street Bank and Trust's (SSBT) LCR is significantly higher than State Street Corporation's (SSC) LCR, primarily due to application of the transferability restriction in the U.S. LCR Final Rule to the calculation of SSC’s LCR. This restriction limits the amount of HQLA held at SSC’s principal banking subsidiary, SSBT and available for the calculation of SSC’s LCR to the amount of net cash outflows of SSBT. This transferability restriction does not apply in the calculation of SSBT’s LCR, and therefore SSBT’s LCR reflects the full benefit of all of its HQLA holdings. LCR for 4Q22, as presented, was revised in 1Q23 from prior reporting to reflect corrections to maturity dates, increasing the amount of encumbered securities collateral associated with certain repurchase agreements. 22. Leverage exposure is equal to average consolidated assets less applicable Tier 1 leverage capital reductions under regulatory standards.

 
19 This presentation (and the conference call referenced herein) contains forward-looking statements within the meaning of United States securities laws, including statements about our goals and expectations regarding our strategy, growth and sales prospects, capital management, business, financial and capital condition, results of operations, the financial and market outlook and the business environment. Forward-looking statements are often, but not always, identified by such forward-looking terminology as “outlook,” “priority,” “will,” “expect,” "intend," "aim," "outcome," "future," “strategy,” "pipeline," “trajectory,” "target," “guidance,” “objective,” “plan,” “forecast,” “believe,” “anticipate,” “estimate,” “seek,” “may,” “trend,” and “goal,” or similar statements or variations of such terms. These statements are not guarantees of future performance, are inherently uncertain, are based on current assumptions that are difficult to predict and involve a number of risks and uncertainties. Therefore, actual outcomes and results may differ materially from what is expressed in those statements, and those statements should not be relied upon as representing our expectations or beliefs as of any time subsequent to the time this Presentation is first issued. Important factors that may affect future results and outcomes include, but are not limited to: We are subject to intense competition, which could negatively affect our profitability; We are subject to significant pricing pressure and variability in our financial results and our AUC/A and AUM; We could be adversely affected by geopolitical, economic and market conditions, including, for example, as a result of liquidity or capital deficiencies (actual or perceived) by other financial institutions and related market and government actions, the Israel-Hamas War, ongoing war in Ukraine, actions taken by central banks to address inflationary pressures, challenging conditions in global equity markets, periods of significant volatility in valuations and liquidity or other disruptions in the markets for equity, fixed income and other asset classes globally or within specific markets such as those that impacted the UK gilts in the fourth quarter of 2022; Our development and completion of new products and services, including State Street Alpha® or State Street Digital®, and the enhancement of our infrastructure required to meet increased regulatory and client expectations for resiliency and the systems and process re-engineering necessary to achieve improved productivity and reduced operating risk, involve costs, risks and dependencies on third parties; Our business may be negatively affected by our failure to update and maintain our technology infrastructure or as a result of a cyber-attack or similar vulnerability in our or business partners' infrastructure; Acquisitions, strategic alliances, joint ventures and divestitures, and the integration, retention and development of the benefits of these transactions, including the consolidation of one of our operations joint ventures in India, pose risks for our business; Competition for qualified members of our workforce is intense, and we may not be able to attract and retain the highly skilled people we need to support our business; We have significant international operations and clients that can be adversely impacted by developments in European and Asian economies, including local, regional and geopolitical developments affecting those economies; Our investment securities portfolio, consolidated financial condition and consolidated results of operations could be adversely affected by changes in the financial markets, governmental action or monetary policy. For example, among other risks, increases in prevailing interest rates could lead to reduced levels of client deposits and resulting decreases in our NII; Our business activities expose us to interest rate risk; We assume significant credit risk of counterparties, who may also have substantial financial dependencies on other financial institutions, and these credit exposures and concentrations could expose us to financial loss; Our fee revenue represents a significant portion of our revenue and is subject to decline based on, among other factors, market and currency declines, investment activities and preferences of our clients and their business mix; If we are unable to effectively manage our capital and liquidity, our financial condition, capital ratios, results of operations and business prospects could be adversely affected; We may need to raise additional capital or debt in the future, which may not be available to us or may only be available on unfavorable terms; If we experience a downgrade in our credit ratings, or an actual or perceived reduction in our financial strength, our borrowing and capital costs, liquidity and reputation could be adversely affected; Our business and capital-related activities, including common share repurchases, may be adversely affected by regulatory capital, credit (counterparty and otherwise) and liquidity standards and considerations; We face extensive and changing governmental regulation in the jurisdictions in which we operate, which may increase our costs and compliance risks and may affect our business activities and strategies; We are subject to enhanced external oversight as a result of the resolution of prior regulatory or governmental matters; Our businesses may be adversely affected by government enforcement and litigation; Our businesses may be adversely affected by increased political and regulatory scrutiny of asset management stewardship and corporate ESG practices; Our efforts to improve our billing processes and practices are ongoing and may result in the identification of additional billing errors; Any misappropriation of the confidential information we possess could have an adverse impact on our business and could subject us to regulatory actions, litigation and other adverse effects; Our calculations of risk exposures, total RWA and capital ratios depend on data inputs, formulae, models, correlations and assumptions that are subject to change, which could materially impact our risk exposures, our total RWA and our capital ratios from period to period; Changes in accounting standards may adversely affect our consolidated results of operations and financial condition; Changes in tax laws, rules or regulations, challenges to our tax positions and changes in the composition of our pre-tax earnings may increase our effective tax rate; We could face liabilities for withholding and other non-income taxes, including in connection with our services to clients, as a result of tax authority examinations; Our internal control environment may be inadequate, fail or be circumvented, and operational risks could adversely affect our business and consolidated results of operations; Shifting operational activities to non- U.S. jurisdictions, changing our operating model and outsourcing to, or insourcing from, third parties portions of our operations may expose us to increased operational risk, geopolitical risk and reputational harm and may not result in expected cost savings or operational improvements; Attacks or unauthorized access to our or our business partners' information technology systems or facilities, or disruptions to our or their operations, could result in significant costs, reputational damage and impacts on our business activities; Long-term contracts and customizing service delivery for clients expose us to pricing and performance risk; Our businesses may be negatively affected by adverse publicity or other reputational harm; We may not be able to protect our intellectual property or may infringe upon the rights of third parties; The quantitative models we use to manage our business may contain errors that could adversely impact our business and regulatory compliance; Our reputation and business prospects may be damaged if our clients incur substantial losses or are restricted in redeeming their interests in investment pools that we sponsor or manage; The impacts of climate change, and regulatory responses to such risks, could adversely affect us; We may incur losses as a result of unforeseen events including terrorist attacks, natural disasters, the emergence of a new pandemic or acts of embezzlement; and the transition away from LIBOR may result in additional costs and increased risk exposure. Other important factors that could cause actual results to differ materially from those indicated by any forward-looking statements are set forth in our 2022 Annual Report on Form 10-K and our subsequent SEC filings. We encourage investors to read these filings, particularly the sections on risk factors, for additional information with respect to any forward-looking statements and prior to making any investment decision. The forward-looking statements contained in this Presentation should not by relied on as representing our expectations or beliefs as of any time subsequent to the time this Presentation is first issued, and we do not undertake efforts to revise those forward-looking statements to reflect events after that time.

 
20 In addition to presenting State Street's financial results in conformity with U.S. generally accepted accounting principles, or GAAP, management also presents certain financial information on a basis that excludes or adjusts one or more items from GAAP. This latter basis is a non-GAAP presentation. In general, our non-GAAP financial results adjust selected GAAP-basis financial results to exclude the impact of revenue and expenses outside of State Street’s normal course of business or other notable items, such as acquisition and restructuring charges, repositioning charges, gains/losses on sales, as well as, for selected comparisons, seasonal items. For example, we sometimes present expenses on a basis we may refer to as “expenses ex-notable items", which exclude notable items and, to provide additional perspective on both prior year quarter and sequential quarter comparisons, may also exclude seasonal items. Management believes that this presentation of financial information facilitates an investor's further understanding and analysis of State Street's financial performance and trends with respect to State Street’s business operations from period-to-period, including providing additional insight into our underlying margin and profitability. In addition, Management may also provide additional non-GAAP measures. For example, we may present revenue and expense measures on a constant currency basis to identify the significance of changes in foreign currency exchange rates (which often are variable) in period-to-period comparisons. This presentation represents the effects of applying prior period weighted average foreign currency exchange rates to current period results. Non-GAAP financial measures should be considered in addition to, not as a substitute for or superior to, financial measures determined in conformity with GAAP. Refer to the Addendum for reconciliations of our non-GAAP financial information. To access the Addendum go to http://investors.statestreet.com and click on “Filings & Reports – Quarterly Earnings”.

 
21 ACWI All Country World Index AOCI Accumulated other comprehensive income APAC Asia-Pacific ARR Annual recurring revenue AUC/A Assets under custody and/or administration AUM Assets under management Bloomberg Global Aggregate Bloomberg Global Aggregate represents Bloomberg Global Aggregate Bond Index Bps Basis points, with one basis point representing one hundredth of one percent CCAR Comprehensive Capital Analysis and Review CET1 ratio Common equity tier 1 ratio CRD Charles River Development Diluted earnings per share (EPS) Net income available to common shareholders divided by diluted average common shares outstanding for the noted period EAFE Europe, Australia, and Far East EM Emerging markets EMEA Europe, Middle East and Africa EOP End of period EPS Earnings per share ESG Environmental, Social, and Governance ETF Exchange-traded fund FIX The Charles River Network's FIX Network Service (CRN) is an end-to-end trade execution and support service facilitating electronic trading between Charles River's asset management and broker clients Front office uninstalled revenue backlog Represents the annualized recurring revenue from signed client contracts that are scheduled to be fully installed over the next 24 months for CRD, Mercatus and Alpha Data Services. It includes SaaS revenue as well as maintenance and support revenue and excludes the one-time impact of on-premises license revenue, revenue generated from FIX, brokerage, value-add services, and professional services as well as revenue from affiliates FTE Fully taxable-equivalent FX Foreign exchange GAAP Generally accepted accounting principles in the United States G-SIB Global systemically important bank HQLA High Quality Liquid Assets HTM Held-to-maturity LIBOR London Inter-Bank Offered Rate LCR Liquidity Coverage Ratio Lending related and other Lending related and other fees primarily consist of fee revenue associated with State Street’s fund finance, leveraged loans, municipal finance, insurance and stable value wrap businesses Middle office uninstalled revenue backlog Represents the annualized recurring revenue from signed client contracts that are scheduled to be fully installed over the next 24 months. It does not include professional services revenue or revenue from affiliates MSCI Morgan Stanley Capital International Net income before income taxes (NIBT) Income before income tax expense Net interest income (NII) Income earned on interest bearing assets less interest paid on interest bearing liabilities Net interest margin (NIM) (FTE) Fully taxable-equivalent (FTE) Net interest income divided by average total interest-earning assets nm Not meaningful NYSE New York Stock Exchange OCI Other comprehensive income On-premises On-premises revenue as recognized in Front office software and data Operating leverage Rate of growth of total revenue less the rate of growth of total expenses, relative to the corresponding prior year period, as applicable Pre-tax margin Income before income tax expense divided by total revenue Operational deposits Client cash deposits that are required for or related to the underlying transaction activity of their accounts, and accordingly, are historically more stable than other transient cash deposits %Pts Percentage points is the difference from one percentage value subtracted from another Quarter-over-Quarter (QoQ) Sequential quarter comparison RWA Risk weighted assets SaaS Software as a service SCB Stress capital buffer Seasonal expenses Seasonal deferred incentive compensation expenses for retirement-eligible employees and payroll taxes SEC Securities Exchange Commission SPDR Standard and Poor's Depository Receipt SSGA State Street Global Advisors Year-over-Year (YoY) Current period compared to the same period a year ago

 
v3.23.3
Cover page Entities
Oct. 18, 2023
Cover [Abstract]  
Entity Emerging Growth Company false
Amendment Flag false
Entity Registrant Name State Street Corp
City Area Code (617)
Entity Address, Address Line One One Congress Street
Entity Central Index Key 0000093751
Document Type 8-K
Entity Incorporation, State or Country Code MA
Document Period End Date Oct. 18, 2023
Soliciting Material false
Written Communications false
Entity File Number 001-07511
Entity Tax Identification Number 04-2456637
Entity Address, City or Town Boston
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Entity Address, State or Province MA
Local Phone Number 786-3000
Entity Address, Postal Zip Code 02114
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v3.23.3
Cover page Entity listing
Oct. 18, 2023
Series G Preferred Stock, Depository Share [Member]  
Class of Stock [Line Items]  
Title of 12(b) Security Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series G, without par value per share
Trading Symbol STT.PRG
Security Exchange Name NYSE
Series D Preferred Stock, Depository Share [Member]  
Class of Stock [Line Items]  
Title of 12(b) Security Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series D, without par value per share
Trading Symbol STT.PRD
Security Exchange Name NYSE
Common Stock [Member]  
Class of Stock [Line Items]  
Title of 12(b) Security Common stock, $1 par value per share
Trading Symbol STT
Security Exchange Name NYSE
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