State Street (STT) investor relations material

Strategic outlook and growth drivers

• Medium-term targets include a 35% pre-tax margin and 20% ROTCE, supported by strong global franchises in custody, asset management, and FX services.

• Strategic initiatives focus on alternatives, digital infrastructure, and wealth services to diversify and accelerate growth.

• Recent leadership changes and investments have driven momentum, with record performance across all business lines in Q2.

• Alternatives currently contribute 15%-20% of servicing fee revenues, with ongoing investments to enhance platform capabilities.

• Digital asset infrastructure is expanding to multi-chain capabilities, aiming for public permissioned and permissionless blockchain integration by year-end.

Business integration and client focus

• The "One State Street" approach leverages synergies across investment services, management, and markets to serve asset managers, asset owners, and wealth managers.

• Wealth services are gaining momentum, with new integrated offerings and mandates from major RIAs.

• Institutional-grade capabilities in liquidity, financing, and investment management products are increasingly valued by wealth intermediaries.

• Recent initiatives in alternatives, digital, and wealth exemplify the integrated business model.

Technology, AI, and transformation

• AI is driving 30%-40% productivity gains among developers and has enabled over 80% of employees.

• AI-enriched products like PriceStats and automation in cash processing are improving client outcomes and operational efficiency.

• A new internal agentic platform and end-to-end process redesign underpin the transformation agenda.