State Street fourth-quarter results for 2009 have seen total assets under custody and administration increase by 18% to $18.795 trillion. Servicing fees are up 5% to $882 million, and investment management fees, generated by State Street Global Advisors, are $231 million, up 11%.
State Street put the increase in management fees down to average month-end equity valuations, as well as net new business, with the increase in assets partly offset by a change in asset mix.
However, securities lending revenue is down $83 million, a decrease 75% from $329 million in Q4 2008 due primarily to compressed spreads as well as lower volumes.
Trading services revenue, which includes foreign exchange trading revenue and brokerage and other fees, is down 35% from $418 million in 2008. The 57% decrease in foreign exchange revenue is primarily due to lower volatility and lower volumes. Brokerage and other fees increased 47% due primarily to strength in transition management and increases in electronic trading.