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New York Stock Exchange member firms reported $45.9 billion in pretax profits during the first half of 2026, a 51.3% increase from the same period last year and the highest total for any two-quarter period, according to a report released October 6 by New York State Comptroller Thomas DiNapoli. The six-month figure has already exceeded New York City’s $45.3 billion forecast for the industry’s entire 2026 calendar year.
The report measures profits from broker-dealer operations of NYSE member firms, a traditional gauge of securities-industry performance rather than a tally of all banks or financial businesses. If the first-half pace were sustained, profits could reach or exceed $90 billion for 2026, the comptroller’s office said. That remains a conditional estimate: the report warns that higher interest costs or slower dealmaking could weigh on results.
Underwriting and advisory income lead gains
Revenue increased across nearly all the categories tracked by the report. Underwriting activity—which includes helping companies issue stocks and bonds—rose 68% in the first half compared with a year earlier. Commissions climbed 24.4%, account supervision and advisory income increased 16.4%, and other securities income grew 13.2%.
The activity coincided with a strong global market for capital raising and corporate deals. Global equity issuance reached $569 billion in the first half, up 76.5% from the year-earlier period, while worldwide mergers and acquisitions totaled $2.8 trillion, a 44.2% increase and a record for any half-year, the report said. These are global market totals, not revenue or profit figures for New York firms.
The report said a $75 billion SpaceX initial public offering was a major factor in the increase in global equity issuance. Worldwide IPO proceeds reached $170.1 billion, the highest first-half total since 2021, although the number of companies going public globally fell 2.4% to 519. U.S. IPO activity moved in the opposite direction, increasing 12.7% to 186 offerings.
AI investment and market activity support business
DiNapoli linked the industry’s strong performance to investment in artificial intelligence, increased merger and acquisition activity, and elevated trading volumes amid market volatility. The report put AI-related venture capital investment at $407 billion in the first half of 2026—more than 50% above the $264 billion recorded for all of 2025.
That boom has supported activity beyond technology-company funding, including financing and advisory work. But the report also flagged a risk in the scale of AI’s contribution to markets, alongside geopolitical conflict, persistent inflation and interest rates. A concentrated source of market activity could leave the industry and the region’s public finances exposed if conditions change, the comptroller’s office cautioned.
Expenses rose as business expanded, though more slowly than profits. Compensation expenses at NYSE member firms were up 18.8% from the first half of 2025, while interest expenses edged down 0.6%. The report also noted that the Federal Reserve raised its target rate in September, its first increase in more than three years, and said further increases or slower dealmaking could dampen profitability.
Profits build on a record year
The first-half surge follows a record $65.1 billion in profits in 2025, 30.4% above 2024. The report said last year’s total surpassed the previous nominal record of $61.4 billion in 2009; after adjusting for inflation, 2025 was the third-highest year in the series, behind 2009 and 2021.
For comparison, profits in 2024 were $49.9 billion, more than twice the securities industry’s average annual profit of $24.3 billion from 2016 through 2019. In May, New York City had forecast that 2026 profits would fall about 30% to $45.3 billion, anticipating a return closer to historical norms. The first-half result overtook that forecast before the year reached its midpoint.
The figures cover 168 NYSE member firms, according to the report. They are not equivalent to the combined earnings of every major bank or every company operating on Wall Street, so the $45.9 billion should be read as a defined industry measure rather than a comprehensive total for U.S. finance.
Industry weighs heavily on New York finances
The report estimates that securities-industry-related business and personal income taxes contributed at least $26.3 billion to New York State’s budget in fiscal year 2025-26, up 28.5% from the prior fiscal year. For New York City, the comparable estimate was at least $7.8 billion in fiscal 2026, a 15.8% increase. The city and state figures cover different fiscal periods and are not directly comparable.
The industry’s employment and pay figures also underline its local significance. New York City had 207,400 securities-industry jobs in 2025, 7,000 more than the previous year and the highest level since the data series began in 2000. Preliminary data for the first eight months of 2026 put the industry on pace to add another 5,300 jobs.
Average annual pay in the city’s securities industry reached $561,770 in 2025, up 11.1%, and the bonus pool hit $49.2 billion, up 9%, the report said. New York City’s forecast had anticipated a 20% decline in the 2026 bonus pool; the comptroller’s office said the first-half profit increase made bonuses likely to exceed that projection. The office plans to publish its estimate for 2026 bonuses in March 2027, based on tax-withholding trends.
