“Controlling for an increase in the pass-through fee that boosts both revenue and expense and which we do not control, our full year expense outlook remains the same as what we shared back in February.”

In context

“s through as the market predicts with a Fed funds rate exiting 2022 at 3.5%, we'd expect to produce an 11% to 13% year-over-year increase in revenue despite the market downturn. That reflects continued expansion of our net interest margin to just over 2% by Q4. Deposit betas that we expect to continue to run a bit lower than the last rising rate cycle and a continuation of clients moving some of their investment cash off our balance sheet in search of higher yields. But remember, when they do that, it frees up capital that we can return to our stockholders. We continue to thoughtfully and responsibly manage our expenses, navigating this inflationary environment, driving efficiency throughout our business and prioritizing our investments to advance the strategic agenda that Rick discussed. Controlling for an increase in the pass-through fee that boosts both revenue and expense and which we do not control, our full year expense outlook remains the same as what we shared back in February. And with our inaugural CCAR submission now behind us, which demonstrated the strength of our balance sheet as reflected the fact that we're the only firm to see an increase in capital ratios during the stress event. And our capital levels in the mid-6s, we are nearing the point at which we can accelerate capital return. You saw that the Board approved a 10% increase in our quarterly dividend to $0.22 as well as a new $15 billion buyback authorization that we'd expect to utilize as soon as later this year and beyond. And at the same time, we also have the option of redeeming one or more of our outstanding preferreds. I want to close by picking up on a theme that Walt discussed in his opening comments, how this is as a company built and managed for the long term. So we're certainly pleased”