PNC FINANCIAL SERVICES GROUP INC

Table 4: Noninterest Income

Noninterest income as a percentage of total revenue was 35% for 2023 and 38% for 2022.

Asset management and brokerage fees decreased reflecting lower client activity. PNC’s discretionary client assets under management increased to $189 billion at December 31, 2023, compared to $173 billion at December 31, 2022, driven by higher spot equity markets, partially offset by client activity.

Capital markets and advisory fees decreased primarily due to lower merger and acquisition advisory fees and trading revenue.

Card and cash management revenue growth was primarily due to higher treasury management product revenue.

Lending and deposit services grew reflecting increased customer activity and growth in loan commitment fees.

Residential and commercial mortgage decreased primarily due to lower commercial mortgage banking activities, partially offset by an increase in residential mortgage servicing fees.

Other noninterest income decreased compared to 2022, primarily due to lower private equity revenue and the impact of Visa Class B derivative fair value adjustments of negative $279 million primarily related to the extension of anticipated litigation resolution timing. Visa Class B derivative fair value adjustments were negative $40 million in 2022.

The PNC Financial Services Group, Inc. –2023 Form 10-K 43

Further details regarding our customer-related trading activities are included in the Market Risk Management – Customer-Related Trading Risk portion of the Risk Management section of this Item 7. Further details regarding private and other equity investments are included in the Market Risk Management – Equity and Other Investment Risk section.