Stock Pulse
State Street (STT) launched a new Target Retirement IndexPlus Strategy incorporating private market investments [1], potentially boosting its retirement market position and assets under management. Q1 2025 earnings are expected to increase year-over-year, despite projected declines in NII and fee revenues due to lower assets and a cautious lending environment [2], [3]. While operating expenses are anticipated to rise due to investments and restructuring [2], including the acquisition of Mizuho's custody businesses and the IFDS joint venture restructuring, STT is predicted to beat earnings estimates [2], [3]. The company also partnered with Ethic to offer personalized investment solutions, enhancing its SMA, model portfolio, and UMA offerings [7]. Despite a recent stock price increase [4], Wells Fargo lowered their price target for STT [6] amid broader market concerns and policy uncertainties. Other challenges include board transparency concerns, director resignations, pricing pressures, and client attrition [10].