Four of the major global custodians reported this week, all posting double-digit year-on-year growth in assets under custody in Q1 2026, supported by market levels that remained well above a year ago despite the volatility. Fee revenues told a more mixed story, with Citi seeing a sharp sequential drop while BNY slipped slightly quarter-on-quarter.
Broad US equity markets were volatile through Q1 2026 but ended the period well above year-ago levels, providing a supportive backdrop for custody asset volumes across the board.
Market leader BNY closed the quarter with US$59.4 trillion in assets under custody and administration, essentially flat on Q4’s US$59.3 trillion but up 12% year-on-year. Fee revenues of $1,448 million were off 2% from Q4’s US$1,477 million, while the year-on-year gain of 10% was more encouraging. BNY also noted a client realignment in the quarter, moving Managed Accounts Solutions from Asset Servicing into its Wealth Solutions business, with prior periods restated for comparability.
State Street reported AUC/A of US$54.5 trillion, up 1% on Q4’s US$53.8 trillion and 17% year-on-year, with higher market levels, flows and net new business all cited as drivers. Servicing fee revenues of US$1,409 million were up 2% sequentially and 11% year-on-year. New servicing fee revenue wins in the quarter totalled US$56 million, primarily in back office and alternatives, with a further $315 million in the pipeline for future installation.
JP Morgan reported $40.9 trillion in AUC, a marginal dip from US$41.2 trillion at end-December but up 15% on the prior year. Securities services fees of US$1,499 million were up 18% year-on-year —the strongest fee performance of the four—and roughly flat sequentially. The bank attributed the result to fee growth on higher market levels and client activity, alongside stronger deposit balances.
Citi’s AUC climbed to US$31.6 trillion, up 21% year-on-year and slightly ahead of Q4’s US$31.4 trillion. On earnings, however, the US$1,487 billion recorded in Q1 was down 17% from Q4’s US$1,787 billion, though still 17% ahead of Q1 2025. Citi said the year-on-year gain was driven by higher fees benefiting from the rise in assets under custody and administration, alongside higher deposit balances.
