Global Markets Sales and Trading Falls After Second-Quarter Surge

The Tip Desk · October 27, 2026 · 2 min read

Sales and trading revenue was $5.1 billion in the third quarter, down 5% from a year earlier after 33% year-over-year growth in the second quarter.

Global Markets sales and trading revenue fell to $5.1 billion in the third quarter from $7.1 billion in the second quarter. Total sales and trading revenue declined 5% year over year, versus 33% year-over-year growth in the second quarter.

Bank of America (BAC) reported net interest income of $16.4 billion, or $16.6 billion on a fully taxable-equivalent basis, up 8% from a year earlier. The bank said the increase was driven primarily by higher loan and deposit balances, higher NII related to Global Markets activity and fixed-rate asset repricing. Net interest yield (FTE) was 2.16%.

Average loans and leases increased 6% to $1.23 trillion, the 10th consecutive quarter of sequential average growth. Average deposits were $2.02 trillion.

Global Wealth and Investment Management revenue rose 13% to $7.1 billion, with asset management fees up 16% to $4.5 billion, reflecting higher market valuations, strong AUM flows and higher NII. Average loans and leases in the segment increased 13% to $279 billion. Client balances were $5.1 trillion.

Global Banking average deposits increased 6% to $669 billion and average loans and leases increased 8% to $419 billion. Total Corporation investment banking fees (excl. self-led) declined 14% to $1.8 billion from $2.1 billion in the second quarter, after a 50% year-over-year increase in the prior quarter.

FICC revenue decreased 17% to $2.6 billion, or $2.5 billion excluding net DVA, driven primarily by mortgages, municipals and credit. Equities revenue increased 11% to $2.5 billion, or up 10% excluding net DVA, driven by increased client financing activity, particularly in Asia and the U.S. Global Markets net income was $1.2 billion.

A $1.2 billion non-tax-deductible regulatory settlement charge related to OCC and FinCEN consent orders on Bank Secrecy Act and AML programs reduced reported net income to $6.9 billion, or $0.91 a share. Adjusted net income was $8.1 billion and adjusted EPS $1.08. Noninterest expense was $19.7 billion with a 66% efficiency ratio; excluding the charge, adjusted noninterest expense was $18.5 billion and the adjusted efficiency ratio 62%.

Provision for credit losses was $1.3 billion, down from $1.4 billion in the second quarter. Net charge-offs were $1.3 billion and the net charge-off ratio 0.44%, down 3 bps from 0.47% in the second quarter. The credit card charge-off rate was 3.22%.

CET1 capital decreased $3.2 billion from the second quarter to $198 billion, with the standardized CET1 ratio at 10.9%. The bank returned $8.3 billion to shareholders, including $2.2 billion in common stock dividends and $6.0 billion in common stock repurchases.