Wells Fargo CEO sees mid-teens growth in investment banking, trading

May 27 (Reuters) - Wells ‌Fargo expects ​investment ​banking and trading revenue to rise by mid-teen percentage points in the second quarter, Chief ‌Executive Charlie Scharf said on Wednesday.

Speaking at the ⁠Bernstein Conference, Scharf said the bank was also on track ‌for low double-digit revenue ‌growth in wealth management.

In the first quarter, Well Fargo saw a 12.7% revenue rise in its investment ​bank arm and a 19% increase in markets revenue.

Scharf said client activity in investment banking and ⁠market businesses remained strong, while the bank continued to see opportunities to ​deepen relationships by deploying more balance sheet.

The comments come after regulators lifted Wells Fargo's ​asset cap, freeing the lender ‌to expand more aggressively in deposits and lending after years of restrictions.

Scharf also said ⁠Wells Fargo expects to grow with "little or no expense growth," as it looks for further efficiency gains across the ⁠company.

Wells Fargo's outlook follows upbeat commentary from rivals. JPMorgan Chase ​CEO Jamie Dimon said at the same conference that the bank's investment banking fees could rise 10% or more in the ‌second quarter.

Bank of America also expects trading revenue to climb about 15% year ‌over year in the quarter, CEO Brian Moynihan said, ⁠as volatility is tied ‌to shifting U.S. ​tariffs.

(Reporting by Prakhar Srivastava and Nupur Anand in New York in Bengaluru; editing by Alan ‌Barona)

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Cuba readies to kick off school year despite scant supplies
• Anthropic plans to publicly unveil IPO prospectus after Labor Day, the Information reports
• Build-A-Bear shares drop most ever on weak annual revenue outlook