New York securities industry targets profits of 90 billions USD! Goldman Sachs (GS.US) breaks quarterly records three times, Wall Street bonuses to hit all-time high

Zhitong Finance APP notes that New York's trading and investment banking firms are having a stellar year, with record-breaking profits expected for the entire industry. At the current pace, profits will exceed $90 billion, and bonuses are predicted to reach all-time highs.

According to a report by New York State Comptroller Thomas DiNapoli, this annual profit estimate—based on growth in the first half of 2026—will easily surpass last year’s record of $65.1 billion. His office measures profits generated by broker-dealer operations of New York Stock Exchange member firms.

DiNapoli stated that as long as no major economic upheavals occur, these substantial returns should lead to a record-setting round of bonuses for financial professionals across the industry in the new year, although he did not specify exact figures.

Driven by market volatility and renewed confidence in M&A activity, major Wall Street investment banks have reported record revenues across key business lines so far this year. For example, Goldman Sachs has set a new quarterly record for all banks’ equity trading revenues for three consecutive quarters.

Wall Street is on track for a record $90 billion in profits

According to DiNapoli's report, for New York's securities industry, the first half of this year marks the two strongest quarters on record, thanks to a 68% increase in underwriting revenue and a 16.4% rise in account supervision and advisory activity income.

This prosperous year for Wall Street is a major boon for New York City and its job market. In 2025, industry employment is expected to reach 207,400 people, with the comptroller’s office projecting an additional 5,300 jobs will be added this year.

This is also a significant windfall for state finances. Through corporate and personal income taxes, the securities industry contributed at least $26.3 billion to New York State’s FY2025-26 budget, an increase of nearly 29% year-on-year.

The comptroller’s office stated that risks related to global conflicts, inflation, and artificial intelligence are an “increasing concern” for the industry and for New York State.

The report pointed out: “Given the industry’s growing contributions to the tax bases of New York City and State, a downturn would pose increasing risks to public finances and the broader regional economy.”