Like many financial institutions in the current high interest rate environment, Northern Trust is confronting growing financing costs as tries to hold onto deposits.
Northern Trust shares sank to $69.81, down more than 9%, to their lowest level since mid-July after Tyler's comments.
A Northern Trust spokesperson did not immediately respond to a Reuters request for further comment.
Asset and wealth managers, including Northern Trust and peer State Street Corp (STT.N), are seeing a decline in NII as customers move deposits to higher yielding alternatives.
In July, Northern Trust reported that its deposits fell by 10% to $91.9 billion in the second quarter, although Tyler said on Tuesday deposits have generally stabilized.
Persons:
Jason Tyler, That's, it's, Tyler, Tyler's, Chibuike Oguh, Michelle Price, Mark Potter
Organizations:
Northern Trust Corp, Barclays, Northern Trust, State Street Corp, Trust, Thomson
Locations:
New York