A bank's balance sheet is the engine for profit growth, the constraints on Well's ability to take on deposits and make new loans will likely result in lagging earnings growth for Wells relative to peers in the near-term.

Kyle Sanders

Categorized in : Business

While lower fee rates is a headwind that will likely continue, we believe BlackRock is happy to accept modest pricing declines in order to take large amounts of market share.

It will be a common industry trend, when markets go down, the first place asset managers look to cut costs is with headcount.