Wealth revenue rises 12% to 15% at JPMorgan, Wells Fargo, Goldman, Citi

Wealth divisions at JPMorgan Chase, Wells Fargo, Goldman Sachs and Citigroup grew revenue 12% to 15% year over year in the third quarter, according to their earnings reports.

JPMorgan's asset and wealth management unit produced $6.9 billion of revenue, up 14%, largely on management fees lifted by higher average market levels and inflows. Assets under management reached $5.2 trillion, up 13%. Expenses rose at the same 14% rate, to $4.4 billion, on higher compensation and what the bank described as growing private banking advisor teams.

Wells Fargo's wealth and investment management division reported $4.1 billion of revenue, up 12% from a year earlier and 5% from the second quarter. Net interest income rose 12% on higher deposit and loan balances and lower deposit costs. Expenses were up both year over year and sequentially.

Citigroup's wealth business grew revenue 15% and net interest income 20% from a year earlier, with expenses up on higher compensation. Goldman Sachs reported $5.05 billion of asset and wealth management revenue, up 14% from a year earlier and 10% sequentially, and more than $400 million ahead of general expectations. Goldman credited significantly higher management and other fees and incentive fees, partly offset by lower net revenues in investments, private banking and lending; the private banking and lending decline was tied to interest paid on previously impaired loans in the prior-year period.

JPMorgan's fixed-income revenue fell 4% year over year, its first decline in two years, and total trading revenue came in below expectations.

Bank of America and Morgan Stanley report next.