Bank Brokerage Index Advances 5 Percent in 3rd Quarter

The Index is an average based on quarterly brokerage revenues at 20 operating banks (see table above) with established retail investments programs. It sets 2007 1st quarter as a baseline (100). The index rose from 98 in the second quarter of 2009 to 103 in the third quarter of 2009. Aggregate brokerage revenue of the 20 banks covered increased 9 percent—from $156.56 million to $173.17 million. Fourteen of the 20 banks in the Index improved their brokerage performance in the 3rd quarter.
Big gains were notched by Compass Bank (up 46 percent), First National Bank of Omaha (up 26 percent), KeyBank (up 23 percent), and Branch Banking & Trust (up 18 percent).
“Aggregate securities revenue increased 13 percent in the quarter, following a gain of 13 in the previous quarter,” said Heywood Sloane, Managing Director of the Bank Insurance and Securities Association. “Annuity revenues increased 9 percent.”
Brokerage revenues are comprised of two groups: annuities (“fees and commissions from sales of annuities”) and securities (“fees and commissions from securities brokerage activities”) as reported to the FDIC. (December 3, 2009)