“The fourth quarter NII is a reasonable base to inform 2022.”

In context

“metrics. The definition going forward will measure the retention of the value of vested stocks on a rolling 12- to 24-month period. This new metric will allow us to measure the potential strength of workplace to service the funnel to grow our asset base. We saw 24% retention in 2021, which compares to 21% in 2020. As James mentioned, over time, we believe that number can reach retention for our stock plan administration business. Going forward, we plan to disclose this metric annually. Bank lending balances grew by $31 billion in the year, and now stand at $129 billion. Strong client demand for securities-based lending and mortgages drove the increase. Net interest income was $1.4 billion in the quarter driven by strong lending growth and the benefit of fully phased-in funding synergies. The fourth quarter NII is a reasonable base to inform 2022. This year, NII will be impacted by the forward curve on lending growth. On rates, while the timing and the magnitude of the rate hikes is uncertain, we should benefit from rising rates and the realization of the forward curve. This would imply an estimated $500 million of additional NII this year, largely weighted to the back half of the year. On lending, we continue to see strong lending demand. And while growth is likely to moderate some, we expect approximately $20 billion of loan growth in the year. Finally, the integration of the E*TRADE continues to go well. We are encouraged by continued client engagement and are seeing rate clients take advantage of Morgan Stanley capabilities being introduced on the E*TRADE platform. Building on our digital client experience, clients are now able”