Financial PerformanceNet interest income is expected to decline by about 9% year-over-year, reflecting a decrease in net interest margin.
Operational ChallengesWells Fargo's Anti-Money Laundering (AML) issue is back with a new enforcement agreement from the OCC, which will likely add to operating expenses and require significant management time and attention.
Regulatory RisksWells Fargo continues to be under a USD1.95tn asset cap imposed by the Federal Reserve, which results in a limited capacity for the bank to grow its assets.