~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~regulatory matters.


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

STATEMENT OF FINANCIAL CONDITION ANALYSIS

The assets on our Condensed Consolidated Statements of Financial Condition consisted primarily of cash and cash equivalents, assets segregated for regulatory purposes and restricted cash (primarily segregated for the benefit of clients), receivables including bank loans, financial instruments held either for trading purposes or as investments, goodwill and identifiable intangible assets, and other assets. A significant portion of our assets were liquid in nature, providing us with flexibility in financing our business.

Total assets of ~~$77.05~~$77.63 billion as of ~~December 31, 2022~~June 30, 2023 were ~~$3.90~~$3.32 billion, or 5%4%, less than our total assets as of September 30, 2022. Assets segregated for regulatory purposes and restricted cash decreased ~~$3.37~~$4.64 billion, primarily due to a decrease in client cash sweep balances, which resulted in a decline in client cash held in our CIP and a corresponding decline in segregated assets. ~~Collateralized agreements, other receivables, and brokerage~~Brokerage client receivables, collateralized agreements, and trading assets also decreased $570 million, $294 million, and $114 million, respectively, compared with September 30, 2022. The available-for-sale securities portfolio balances declined $319 million as a result of our intention to utilize the cash generated from maturities in this portfolio as a source of funding for our business activities. Partially offsetting these decreases was ana $2.20 billion increase in ~~bank loans, net~~cash and cash equivalents as we have increased the cash held in our Bank segment since September 30, 2022 as a result of ~~$827 million, primarily related~~market factors that have impacted the banking industry during fiscal 2023, providing us flexibility to ~~increases in corporate and residential mortgage loans, partially offset by a decline in securities-based loans.~~meet the needs of our clients.

As of ~~December 31, 2022,~~June 30, 2023, our total liabilities of ~~$67.22~~$67.71 billion were ~~$4.30~~$3.81 billion, or 6%5%, less than our total liabilities as of September 30, 2022. Brokerage client payables decreased ~~$3.72~~$5.41 billion, primarily related to the aforementioned decrease in ~~client cash~~CIP balances as of ~~December 31, 2022. Accrued compensation, commissions,~~June 30, 2023. Collateralized financings and ~~benefits~~derivative liabilities also decreased ~~$506~~$285 million ~~due to the payment of prior-year bonuses~~ and ~~collateralized financings decreased $272 million.~~$137 million, respectively. These decreases were partially offset by an increase in bank deposits of ~~$622 million.~~$2.41 billion, primarily due to the launch of the Enhanced Savings Program to PCG clients in March 2023, which raised $11.23 billion of deposits during the period ended June 30, 2023, enabling us to shift a portion of our client cash sweep balances in the RJBDP from being held as bank deposits in our Bank segment to third-party banks in our RJBDP, which do not impact our Condensed Consolidated Statements of Financial Condition. The increase in deposits also allowed us to reduce our already modest level of borrowings from the FHLB by $190 million compared to September 30, 2022, despite the banking market conditions that arose during fiscal 2023.

LIQUIDITY AND CAPITAL RESOURCES

Liquidity and capital are essential to our business. The primary goal of our liquidity management activities is to ensure adequate funding and liquidity to conduct our business over a range of economic and market ~~environments.~~environments, including times of broader industry or market liquidity stress events, such as those which occurred in the banking industry during fiscal 2023. In times of market stress or uncertainty, we generally maintain higher levels of capital and liquidity, including increased cash levels in our Bank segment, to ensure we have adequate funding to support our business and meet our clients’ needs. We seek to manage capital levels to support execution of our business strategy, provide financial strength to our subsidiaries, and maintain sustained access to the capital markets, while at the same time meeting our regulatory capital requirements and conservative internal management targets.

Liquidity and capital resources are provided primarily through our business operations and financing activities. Financing activities could include bank borrowings, collateralized financing arrangements, new or enhanced deposit product offerings such as the Enhanced Savings Program, or additional capital raising activities under our “universal” shelf registration statement. We believe our existing assets, most of which are liquid in nature, together with funds generated from operations and available from committed and uncommitted financing facilities, provide adequate funds for continuing operations at current levels of activity in the short-term. We also believe that we will be able to continue to meet our long-term cash requirements due to our strong financial position and ability to access capital from financial markets.


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

Liquidity and capital management

Senior management establishes our liquidity and capital management frameworks. Our liquidity and capital management frameworks are overseen by the RJF Asset and Liability Committee, a senior management committee that develops and executes strategies and policies to manage our liquidity risk and interest rate risk, as well as provides oversight over the firm’s investments. Our liquidity management framework is designed to ensure we have a sufficient amount of funding, even when funding markets experience stress. We manage the maturities and diversity of our funding across products and seek to maintain a diversified funding profile with an appropriate tenor, taking into consideration the characteristics and liquidity profile of our assets. The liquidity management framework includes senior management’s review of short- and long-term cash flow forecasts, review of ~~capital~~necessary expenditures, monitoring of the availability of alternative sources of financing, and daily monitoring of liquidity in our significant subsidiaries. Our decisions on the allocation of resources to our business units consider, among other factors, projected profitability, cash flow, risk, ~~and~~ future liquidity ~~needs.~~needs, and required capital levels. Our treasury department assists in evaluating, monitoring and controlling the impact that our business activities have on our financial condition and liquidity, and also maintains our relationships with various lenders. The objective of our liquidity management framework is to support the successful execution of our business strategies while ensuring ongoing and sufficient funding and liquidity.

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~

Our capital planning and capital risk management processes are governed by the Capital Planning Committee (“CPC”), a senior management committee that provides oversight on our capital planning and ensures that our strategic planning and risk management processes are integrated into the capital planning process. The CPC meets at least quarterly to review key metrics related to the firm’s capital, such as debt structure and capital ratios; to analyze potential and emerging risks to capital; to oversee our annual firmwide capital stress test; and to propose capital actions to the Board of Directors, such as declaring dividends, repurchasing securities, and raising capital. To ensure that we have sufficient capital to absorb unanticipated losses, the firm adheres to capital risk appetite statements and tolerances set in excess of regulatory minimums, which are established by the CPC and approved by the Board of Directors. We conduct enterprise-wide capital stress testing to ensure that we maintain adequate capital to adhere to our established tolerances under multiple scenarios, including a stressed scenario.

Capital structure

Common equity (i.e., common stock, additional paid-in capital, and retained earnings) is the primary component of our capital structure. Common equity allows for the absorption of losses on an ongoing basis and for the conservation of resources during stress periods, as it provides us with discretion on the amount and timing of dividends and other capital actions. Information about our common equity is included in the Condensed Consolidated Statements of Financial Condition, the Condensed Consolidated Statements of Changes in Shareholders’ Equity, and Note 1617 of this Form 10-Q.

Under regulatory capital rules applicable to us as a bank holding company, we are required to maintain minimum leverage ratios (defined as tier 1 capital divided by adjusted average assets), as well as minimum ratios of tier 1 capital, CET1, and total capital to risk-weighted assets. These capital ratios incorporate quantitative measures of our assets, liabilities, and certain off-balance sheet items as calculated under the regulatory capital rules and are subject to qualitative judgments by the regulators about components, risk-weightings, and other factors. We calculate these ratios in order to assess compliance with both regulatory requirements and internal capital policies. In order to maintain our ability to take certain capital actions, including dividends and common equity repurchases, and to make bonus payments, we must hold a capital conservation buffer above our minimum risk-based capital requirements. See Note 2021 for further information about our regulatory capital and related capital ratios.

We have classified all of our investments in debt securities as available-for-sale and have not classified any of our investments in debt securities as held-to-maturity. Accordingly, we account for our available-for-sale securities at fair value at each reporting date, with unrealized gains and losses, net of tax, included in AOCI. Current Basel III rules permit us to make an election to exclude most components of AOCI when calculating CET1, tier 1 capital, and total capital. We have elected the AOCI opt-out for regulatory capital purposes and therefore exclude certain elements of AOCI, including gains/losses on our available-for-sale portfolio, from our capital calculations.

On July 27, 2023, U.S. banking regulators issued proposed rules that, if enacted, would result in changes to regulations applicable to bank holding companies, including higher capital requirements and eliminating the AOCI opt-out election, which could negatively impact our regulatory capital ratios in the future. We are evaluating these proposals, most of which would apply to us if our average total consolidated assets for four consecutive calendar quarters exceeded $100 billion, to assess their potential impact to our current businesses and strategies.


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

The following table presents the components of RJF’s regulatory capital used to calculate the aforementioned regulatory capital ratios.


$ in millions	$ in millions	December 31, 2022		September 30, 2022		$ in millions	June 30, 2023		September 30, 2022
Common equity tier 1 capital/Tier 1 capital	Common equity tier 1 capital/Tier 1 capital					Common equity tier 1 capital/Tier 1 capital
Common stock and related additional paid-in capital	Common stock and related additional paid-in capital	$	2,977	$	2,989	Common stock and related additional paid-in capital	$	3,101	$	2,989
Retained earnings	Retained earnings	9,254		8,843		Retained earnings	9,870		8,843
Treasury stock	Treasury stock	(1,604)		(1,512)		Treasury stock	(2,259)		(1,512)
Accumulated other comprehensive loss	Accumulated other comprehensive loss	(891)		(982)		Accumulated other comprehensive loss	(842)		(982)
Less: Goodwill and identifiable intangible assets, net of related deferred tax liabilities	Less: Goodwill and identifiable intangible assets, net of related deferred tax liabilities	(1,809)		(1,805)		Less: Goodwill and identifiable intangible assets, net of related deferred tax liabilities	(1,799)		(1,805)
Other adjustments	Other adjustments	801		847		Other adjustments	781		847
Common equity tier 1 capital	Common equity tier 1 capital	8,728		8,380		Common equity tier 1 capital	8,852		8,380
Additional tier 1 capital (preferred equity of $120, net of $4 of other items)		116		100
Preferred stock						Preferred stock	79		120
Less: Tier 1 capital deductions						Less: Tier 1 capital deductions	(3)		(20)
Tier 1 capital	Tier 1 capital	8,844		8,480		Tier 1 capital	8,928		8,480
Tier 2 capital	Tier 2 capital					Tier 2 capital
Tier 2 capital instruments plus related surplus		100		100
Qualifying subordinated debt						Qualifying subordinated debt	100		100
Qualifying allowances for credit losses	Qualifying allowances for credit losses	463		451		Qualifying allowances for credit losses	512		451
Tier 2 capital	Tier 2 capital	563		551		Tier 2 capital	612		551
Total capital	Total capital	$	9,407	$	9,031	Total capital	$	9,540	$	9,031


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

Sources of liquidity

Approximately ~~$2.01~~$1.72 billion of our total ~~December 31, 2022~~June 30, 2023 cash and cash equivalents included cash held at the parent company, which included cash loaned to RJ&A. As of ~~December 31, 2022,~~June 30, 2023, RJF had loaned ~~$1.36~~$1.00 billion to RJ&A (such amount is included in the RJ&A cash balance in the following table), which RJ&A has invested on behalf of RJF in cash and cash equivalents or otherwise deployed in its normal business activities.

The following table presents our holdings of cash and cash equivalents.


$ in millions	~~December 31, 2022~~June 30, 2023
RJF	$	~~672~~743
~~RJ&A~~Raymond James Bank	~~2,076~~2,299
TriState Capital Bank	~~975~~2,246
~~Raymond James Bank~~RJ&A	~~783~~1,760
Raymond James Ltd. (“RJ Ltd.”)	~~690~~
~~Raymond James Capital Services, LLC~~	~~226~~492
Raymond James Financial Services, Inc.	~~137~~154
Charles Stanley Group Limited	~~122~~129
Raymond James Trust Company of New Hampshire	9396
Raymond James Capital Services, LLC	94
Raymond James Investment Management	8984
Other subsidiaries	~~314~~278
Total cash and cash equivalents	$	~~6,177~~8,375

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion~~Due to market volatility in the banking industry during fiscal 2023, we maintained a higher level of cash balances at Raymond James Bank and ~~Analysis~~TriState Capital Bank as of June 30, 2023 compared with September 30, 2022 as part of our liquidity management practices.

RJF maintained depository accounts at Raymond James Bank and TriState Capital Bank totaling ~~$272~~$279 million as of ~~December 31, 2022.~~June 30, 2023. The portion of this total that was available on demand without restrictions, which amounted to ~~$232~~$237 million as of ~~December 31, 2022,~~June 30, 2023, is reflected in the RJF cash balance and excluded from Raymond James Bank’s cash balance in the preceding table.

A large portion of the cash and cash equivalents balances at our non-U.S. subsidiaries, including RJ Ltd., and Charles Stanley Group Limited, as of ~~December 31, 2022~~June 30, 2023 was held to meet regulatory requirements and was not available for use by the parent.

In addition to the cash balances described, we have various other potential sources of cash available to the parent company from subsidiaries, as described in the following section.

Liquidity available from subsidiaries

Liquidity is principally available to RJF from RJ&A and Raymond James Bank.

Certain of our broker-dealer subsidiaries are subject to the requirements of the Uniform Net Capital Rule (Rule 15c3-1) under the Securities and Exchange Act of 1934. As a member firm of the Financial Industry Regulatory Authority (“FINRA”), RJ&A is subject to FINRA’s capital requirements, which are substantially the same as Rule 15c3-1. Rule 15c3-1 provides for an “alternative net capital requirement,” which RJ&A has elected. Regulations require that minimum net capital, as defined, be equal to the greater of $1.5 million or 2% of aggregate debit items arising from client balances. In addition, covenants in RJ&A’s committed financing facilities require its net capital to be a minimum of 10% of aggregate debit items. At ~~December 31, 2022,~~June 30, 2023, RJ&A significantly exceeded the minimum regulatory requirements, the covenants in its financing arrangements pertaining to net capital, as well as its internally-targeted net capital tolerances. FINRA may impose certain restrictions, such as restricting withdrawals of equity capital, if a member firm were to fall below a certain threshold or fail to meet minimum net capital requirements which may result in RJ&A limiting dividends it would otherwise remit to RJF. We evaluate regulatory requirements, loan covenants and certain internal tolerances when determining the amount of liquidity available to RJF from RJ&A.


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

Raymond James Bank may pay dividends to RJF without prior approval of its regulator as long as the dividends do not exceed the sum of its current calendar year and the previous two calendar years’ retained net income, and it maintains its targeted regulatory capital ratios. Dividends may be limited to the extent that capital is needed to support balance sheet ~~growth.~~growth or as part of our liquidity and capital management activities.

Although we have liquidity available to us from our other subsidiaries, the available amounts may not be as significant as those previously described and, in certain instances, may be subject to regulatory requirements.

Borrowings and financing arrangements

~~Committed financing~~Financing arrangements

We have various financing arrangements in place with third-party lenders that allow us the flexibility to borrow funds on a secured or unsecured basis to meet our liquidity needs. We generally utilize these financing arrangements to finance a portion of our fixed income trading instruments held by RJ&A or for cash management purposes. Our ability to borrow under these arrangements is dependent upon compliance with the conditions in our various loan agreements and, in the case of secured borrowings, collateral eligibility requirements. ~~Our~~

As of June 30, 2023, RJF and RJ&A had the ability to borrow under our $750 million Credit Facility, a committed financing arrangements primarily consist of a tri-party repurchase agreement (i.e., securities sold under agreements to repurchase) and, in the case of our $500 million revolving credit facility agreement (the “Credit Facility”), an unsecured line of ~~credit. The required market value~~credit; however, we had no such borrowings outstanding under this facility as of ~~the collateral associated with the tri-party repurchase agreement ranges from 105% to 125% of the amount financed.~~

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~

The following table presents our most significant committed financing arrangements with third-party lenders, which we generally utilize to finance a portion of our fixed income trading instruments held by RJ&A, and the outstanding balances related thereto.

December 31, 2022
$ in millions RJ&A RJF Total Total number of arrangements
Financing arrangement:
Committed secured $ 100 $ — $ 100 1
Committed unsecured 200 300 500 1
Total committed financing arrangements $ 300 $ 300 $ 600 2
Outstanding borrowing amount:
Committed secured $ — $ — $ —
Committed unsecured — — —
Total outstanding borrowing amount $ — $ — $ —

Our committed unsecured financing arrangement in the preceding table represents our Credit Facility, which provides for maximum borrowings of up to $500 million, with a sublimit of $300 million for RJF. RJ&A may borrow up to $500 million under the Credit Facility, depending on the amount of outstanding borrowings by RJF. For additional details on our committed unsecured financing arrangement, seeJune 30, 2023. See our discussion of the Credit Facility in Note 1614 of the Notes to Condensed Consolidated Financial Statements of ~~our 2022~~this Form ~~10-K.~~10-Q.

~~Uncommitted financing arrangements~~

~~Our~~In addition to our Credit Facility, we have various uncommitted financing arrangements with third-party lenders, which are in the form of secured lines of credit, secured bilateral ~~or tri-party~~ repurchase agreements, or unsecured lines of credit. ~~Our arrangements with third-party lenders are generally utilized to finance a portion of our fixed income securities held by RJ&A or for cash management purposes.~~ Our uncommitted secured financing arrangements generally require us to post collateral in excess of the amount borrowed and are generally collateralized by RJ&A-owned securities or by securities that we have received as collateral under reverse repurchase agreements (i.e., securities purchased under agreements to resell). As of ~~December 31, 2022,~~June 30, 2023, we had outstanding borrowings under one uncommitted secured borrowing arrangement out of a total of 1213 uncommitted financing arrangements ~~(eight~~(nine uncommitted secured and four uncommitted unsecured). However, lenders are under no contractual obligation to lend to us under uncommitted credit facilities.

~~The following table presents our~~Our borrowings on uncommitted financing arrangements, which were in the form of repurchase agreements in RJ&A, ~~and~~ were included in “Collateralized financings” on our Condensed Consolidated Statements of Financial Condition.

~~$ in millions~~

~~December 31, 2022~~

~~Outstanding borrowing amount:~~

~~Uncommitted secured~~

~~150~~

~~Uncommitted unsecured~~

—

~~Total outstanding borrowing amount~~

~~150~~

The average daily balance outstanding during the five most recent quarters, the maximum month-end balance outstanding during the quarter and the period-end balances for repurchase agreements and reverse repurchase agreements are detailed in the following table.

Repurchase transactions Reverse repurchase transactions
For the quarter ended:
($ in millions)
Average daily
balance
outstanding Maximum month-end
balance outstanding
during the quarter End of period
balance
outstanding Average daily
balance
outstanding Maximum month-end
balance outstanding
during the quarter End of period
balance
outstanding
December 31, 2022 $ 245 $ 257 $ 150 $ 288 $ 306 $ 156
September 30, 2022 $ 196 $ 294 $ 294 $ 249 $ 367 $ 367
June 30, 2022 $ 203 $ 276 $ 100 $ 238 $ 300 $ 168
March 31, 2022 $ 271 $ 334 $ 140 $ 211 $ 304 $ 221
December 31, 2021 $ 247 $ 258 $ 203 $ 306 $ 305 $ 204

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~


	Repurchase transactions						Reverse repurchase transactions
For the quarter ended: ($ in millions)	Average daily balance outstanding		Maximum month-end balance outstanding during the quarter		End of period balance outstanding		Average daily balance outstanding		Maximum month-end balance outstanding during the quarter		End of period balance outstanding
June 30, 2023	$	123	$	128	$	110	$	179	$	181	$	181
March 31, 2023	$	174	$	223	$	150	$	236	$	310	$	167
December 31, 2022	$	245	$	257	$	150	$	288	$	306	$	156
September 30, 2022	$	196	$	294	$	294	$	249	$	367	$	367
June 30, 2022	$	203	$	276	$	100	$	238	$	300	$	168


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

Other borrowings and collateralized financings

We had ~~$1.05~~$1.00 billion in FHLB borrowings outstanding at ~~December 31, 2022,~~June 30, 2023, comprised of floating-rate and fixed-rate ~~advances. See Note 13~~advances, which reflects a decrease of $550 million from the ~~Notes to Condensed Consolidated Financial Statements~~balance outstanding as of ~~this Form 10-Q for additional information regarding the maturities and interest rates on our FHLB borrowings.~~March 31, 2023. The interest rates on our floating-rate advances are generally based on ~~a secured overnight financing rate (“SOFR”).~~SOFR. We use interest rate swaps to manage the risk of increases in interest rates associated with the majority of our floating-rate FHLB advances by converting the balances subject to variable interest rates to a fixed interest rate. ~~At December 31, 2022, we had pledged $8.36 billion~~

We pledge certain of our bank loans ~~net~~and available-for-sale securities with the FHLB as security for both the repayment of ~~these~~certain borrowings and to secure capacity for additional borrowings as needed. During the nine months ended June 30, 2023, we increased our borrowing capacity with the FHLB through the pledge of additional available-for-sale securities. At June 30, 2023, we had pledged with the FHLB bank loans and available-for-sale securities of $9.27 billion and $3.86 billion, respectively, as both security for the repayment of outstanding FHLB borrowings and also to secure capacity for additional borrowings as needed. As of June 30, 2023, we had an additional ~~$5.17~~$9.67 billion in immediate credit available from the FHLB based on the collateral pledged. ~~As of December 31, 2022,~~Further, with the pledge of additional collateral, we ~~had~~have additional credit ~~availability~~available to us from certain FHLB member banks. See Notes 4, 6, 7, and 1314 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q for additional information regarding bank loans, net and available-for-sale securities pledged with the FHLB and ~~these borrowings.~~for further information on our FHLB borrowings, including the related maturities and interest rates.

A portion of our fixed income transactions are cleared ~~and executed~~ through a third-party clearing organization, which provides financing for the purchase of trading instruments to support such transactions. The amount of financing is based on the amount of trading inventory financed, as well as any deposits held at the clearing organization. Amounts outstanding under this financing arrangement are collateralized by a portion of our trading inventory and accrue interest based on market rates. While we had borrowings outstanding as of ~~December 31, 2022,~~June 30, 2023, the clearing organization is under no contractual obligation to lend to us under this arrangement.

~~We are eligible~~Raymond James Bank and TriState Capital Bank have access to ~~participate in~~ the Federal Reserve’s discount window ~~program;~~and may have access to other lending programs that may be established by the Federal Reserve in unusual and exigent circumstances, including the Bank Term Funding Program that was created by the Federal Reserve on March 12, 2023; however, we do not view borrowings from the Federal Reserve as aone of our primary ~~source~~sources of funding. ~~The credit available in this program is subject to periodic review, may be terminated or reduced at the discretion of the Federal Reserve, and is secured by certain pledged C&I loans.~~ See Note 6 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q for additional information regarding bank loans, net pledged with the FRB.

~~As part of the acquisition of~~At June 30, 2023, TriState Capital ~~we assumed, as of the closing date, TriState Capital’s~~had subordinated notes due 2030, with an aggregate principal amount of $98 million. See Note 1314 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q and Note 16 of our 2022 Form 10-K for additional information regarding these borrowings.

We may act as an intermediary between broker-dealers and other financial institutions whereby we borrow securities from one broker-dealer and then lend them to another. Where permitted, we have also loaned, to broker-dealers and other financial institutions, securities owned by clients or the firm. We account for each of these types of transactions as collateralized agreements and financings, with the outstanding balance of ~~$44~~$71 million as of ~~December 31, 2022~~June 30, 2023 related to the securities loaned included in “Collateralized financings” on our Condensed Consolidated Statements of Financial Condition of this Form 10-Q. See Note 6 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q and Note 2 of our 2022 Form 10-K for more information on our collateralized agreements and financings.

Senior notes payable

At ~~December 31, 2022,~~June 30, 2023, we had aggregate outstanding senior notes payable of $2.04 billion which, exclusive of any unaccreted premiums or discounts and debt issuance costs, was comprised of $500 million par 4.65% senior notes due 2030, $800 million par 4.95% senior notes due 2046, and $750 million par 3.75% senior notes due 2051. See Note 17 of the Notes to the Consolidated Financial Statements of our 2022 Form 10-K for additional information on senior notes payable.


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

Credit ratings

Our issuer, senior long-term debt, and preferred stock credit ratings as of the most current report are detailed in the following table.

Credit Rating

Rating Agency

Fitch Ratings, Inc.(1)

Moody’s

Standard & Poor’s Ratings Services(2)

Issuer and senior ~~long term~~long-term debt

A-

~~BBB+~~A-

Preferred stock

BB+

Baa3 (hyb)

Not rated

Outlook

Stable

~~Positive~~Stable

(1)On March 17, 2023, Fitch Ratings, Inc. affirmed RJF’s issuer and senior long term debt A- rating, preferred stock BB+ rating, and stable rating outlook.

(2)On February 13, 2023, Standard & Poor’s Rating Services upgraded RJF’s issuer and senior long-term debt from BBB+ to A- and changed the rating outlook to stable.

Our current credit ratings depend upon a number of factors, including industry dynamics, operating and economic environment, operating results, operating margins, earnings trends and volatility, balance sheet composition, liquidity and liquidity

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~

management, capital structure, overall risk management, business diversification and market share, and competitive position in the markets in which we operate. Deterioration in any of these factors could impact our credit ratings. Any rating downgrades could increase our costs in the event we were to obtain additional financing.

Should our credit rating be downgraded prior to a public debt offering, it is probable that we would have to offer a higher rate of interest to bond holders. A downgrade to below investment grade may make a public debt offering difficult to execute on terms we would consider to be favorable. A downgrade below investment grade could result in the termination of certain derivative contracts and the counterparties to the derivative instruments could request immediate payment or demand immediate and ongoing overnight collateralization on our derivative instruments in liability positions. A credit downgrade could damage our reputation and result in certain counterparties limiting their business with us, result in negative comments by analysts, potentially negatively impact investors’ and/or clients’ perception of us and cause a decline in our stock price. None of our borrowing arrangements contains a condition or event of default related to our credit ratings. However, a credit downgrade would result in the firm incurring a higher facility fee on the Credit Facility, in addition to triggering a higher interest rate applicable to any borrowings outstanding on that line as of and subsequent to such downgrade. Conversely, an improvement in RJF’s current credit rating could have a favorable impact on the facility fee, as well as the interest rate applicable to any borrowings on such line.

Other sources and uses of liquidity

We have company-owned life insurance policies which are utilized to fund certain non-qualified deferred compensation plans and other employee benefit plans. Certain of our non-qualified deferred compensation plans and other employee benefit plans are employee-directed while others are company-directed. Of the company-owned life insurance policies which fund these plans, certain policies could be used as a source of liquidity for the firm. Those policies against which we could readily borrow had a cash surrender value of ~~$811~~$917 million as of ~~December 31, 2022,~~June 30, 2023, comprised of ~~$513~~$598 million related to employee-directed plans and ~~$298~~$319 million related to company-directed plans, and we were able to borrow up to 90%, or ~~$730~~$825 million, of the ~~December 31, 2022~~June 30, 2023 total without restriction. To effect any such borrowing, the underlying investments would be converted to money market investments, therefore requiring us to take market risk related to the employee-directed plans. There were no borrowings outstanding against any of these policies as of ~~December 31, 2022.~~June 30, 2023.

On May 12, 2021, we filed a “universal” shelf registration statement with the SEC pursuant to which we can issue debt, equity and other capital instruments if and when necessary or perceived by us to be opportune. Subject to certain conditions, this registration statement will be effective through May 12, 2024.

As part of our ongoing operations, we also enter into contractual arrangements that may require future cash payments, including certificates of deposit, lease obligations and other contractual arrangements, such as for software and various services. See Notes 1112 and 1213 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q for information regarding our lease obligations and certificates of deposit, respectively. We have entered into investment commitments, lending commitments and other commitments to extend credit for which we are unable to reasonably predict the timing of future payments. See Note 1516 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q for further information.


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

REGULATORY

Refer to the discussion of the regulatory environment in which we operate and the impact on our operations of certain rules and regulations in “Item 1 - Business - Regulation” of our 2022 Form 10-K.

RJF and many of its subsidiaries are each subject to various regulatory capital requirements. As of ~~December 31, 2022,~~June 30, 2023, all of our active regulated domestic and international subsidiaries had net capital in excess of minimum requirements. In addition, RJF, Raymond James Bank, and TriState Capital Bank were categorized as “well-capitalized” as of ~~December 31, 2022.~~June 30, 2023. The maintenance of certain risk-based and other regulatory capital levels could influence various capital allocation decisions impacting one or more of our businesses. However, due to the current capital position of RJF and its regulated subsidiaries, we do not anticipate these capital requirements will have a negative impact on our future business activities.

Effective August 1, 2023, TriState Capital Bank completed its conversion from a state non-member bank, which was primarily supervised by the Pennsylvania Department of Banking and Securities (“PDBS”) and the FDIC, to a state member bank, which is primarily supervised by the PDBS and the Fed. As a state member bank, TriState Capital Bank will continue to be supervised by the FDIC and the Consumer Financial Protection Bureau. We do not anticipate any material changes to TriState Capital Bank’s existing business or operations as a result of the conversion.

The Financial Conduct Authority, which regulated the widely-referenced benchmark London Interbank Offered Rate (“LIBOR”), ceased publication of the most commonly used U.S. dollar LIBOR tenors (“USD LIBOR”) on June, 30, 2023. On September 30, 2022, the Adjustable Interest (LIBOR) Rate Act (“LIBOR Act”) was enacted into U.S. federal law to provide a statutory framework to replace LIBOR with a benchmark rate based on the SOFR in contracts that do not have fallback provisions or that have fallback provisions resulting in a replacement rate based on LIBOR. As of June 30, 2023, we no longer offer new contracts referencing LIBOR and legacy contracts indexed to USD LIBOR have transitioned to SOFR-based or other alternative reference rates in accordance with existing fallback provisions or the LIBOR Act.

See Note 2021 of the Notes to Condensed Consolidated Financial Statements and “Management’s Discussion and Analysis of Financial Condition and Results of Operations - Liquidity and capital resources - Capital structure” of this Form 10-Q for further information on regulatory capital requirements.

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~

CRITICAL ACCOUNTING ESTIMATES

The condensed consolidated financial statements are prepared in accordance with GAAP, which require us to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and the reported amounts of revenues and expenses for the reporting period. Management has established detailed policies and control procedures intended to ensure the appropriateness of such estimates and assumptions and their consistent application from period to period. For a description of our significant accounting policies, see Note 2 of the Notes to Consolidated Financial Statements of our 2022 Form 10-K.

Due to their nature, estimates involve judgment based upon available information. Actual results or amounts could differ from estimates and the difference could have a material impact on the condensed consolidated financial statements. Therefore, understanding these critical accounting estimates is important in understanding our reported results of operations and financial position. We believe that of our accounting estimates and assumptions, those described in the following sections involve a high degree of judgment and complexity.

Loss provisions

Loss provisions for legal and regulatory matters

The recorded amount of liabilities related to legal and regulatory matters is subject to significant management judgment. For a description of the significant estimates and judgments associated with establishing such accruals, see the “Contingent liabilities” section of Note 2 of the Notes to Consolidated Financial Statements of our 2022 Form 10-K. In addition, refer to Note 1516 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q for information regarding legal and regulatory matters contingencies as of ~~December 31, 2022.~~June 30, 2023.

Allowance for credit losses

We evaluate certain of our financial assets, including bank loans, to estimate an allowance for credit losses based on expected credit losses over a financial asset’s lifetime. The remaining life of our financial assets is determined by considering contractual terms and expected prepayments, among other factors. We use multiple methodologies in estimating an allowance


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

for credit losses and our approaches differ by type of financial asset and the risk characteristics within each financial asset type. Our estimates are based on ongoing evaluations of our financial assets, the related credit risk characteristics, and the overall economic and environmental conditions affecting the financial assets. Our process for determining the allowance for credit losses includes a complex analysis of several quantitative and qualitative factors requiring significant management judgment due to matters that are inherently uncertain. This uncertainty can produce volatility in our allowance for credit losses. In addition, the allowance for credit losses could be insufficient to cover actual losses. In such an event, any losses in excess of our allowance would result in a decrease in our net income, as well as a decrease in the level of regulatory capital.

We generally estimate the allowance for credit losses on bank loans using credit risk models which incorporate relevant available information from internal and external sources relating to past events, current conditions, and reasonable and supportable economic forecasts. After testing the reasonableness of a variety of economic forecast scenarios, each model is run using a single forecast scenario selected for each model. Our forecasts incorporate assumptions related to macroeconomic indicators including, but not limited to, U.S. gross domestic product, equity market indices, unemployment rates, and commercial real estate and residential home price indices.

To demonstrate the sensitivity of credit loss estimates on our bank loan portfolio to macroeconomic forecasts, we compared our modeled estimates under the base case economic scenario used to estimate the allowance for credit losses as of ~~December 31, 2022,~~June 30, 2023, to what our estimate would have been under a downside case scenario and an upside scenario, without considering any offsetting effects in the qualitative component of our allowance for credit losses as of ~~December 31, 2022.~~June 30, 2023. As of ~~December 31, 2022,~~June 30, 2023, use of the downside case scenario would have resulted in an increase of approximately ~~$170~~$230 million in the quantitative portion of our allowance for credit losses on bank loans, while the use of the upside case would have resulted in a reduction of approximately ~~$35~~$50 million in the quantitative portion of our allowance for credit losses on bank loans at ~~December 31, 2022.~~June 30, 2023. These hypothetical outcomes reflect the relative sensitivity of the modeled portion of our allowance estimate to macroeconomic forecasted scenarios but do not consider any potential impact qualitative adjustments could have on the allowance for credit losses in such environments. Qualitative adjustments could either increase or decrease modeled loss estimates calculated using an alternative economic scenario assumption. Further, such sensitivity calculations do not necessarily reflect the nature and extent of future changes in the related allowance for a number of reasons including: (1) management’s predictions of future economic trends and relationships among the scenarios may differ from actual events; and (2) management’s application of subjective measures to modeled results through the qualitative portion of the allowance for credit losses when appropriate. The

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~

downside case scenario utilized in this hypothetical sensitivity analysis assumes a moderate recession. To the extent macroeconomic conditions worsen beyond those assumed in this downside case scenario, we could incur provisions for credit losses significantly in excess of those estimated in this analysis.

See Note 2 of the Notes to Consolidated Financial Statements of our 2022 Form 10-K for information regarding our methodologies and assumptions used in estimating the allowance for credit losses. See Note 7 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q for information regarding our allowance for credit losses related to bank loans as of ~~December 31, 2022.~~June 30, 2023.


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

RECENT ACCOUNTING DEVELOPMENTS

In March 2022, the Financial Accounting Standards Board (“FASB”) issued new guidance related to troubled debt restructurings and disclosures regarding write-offs of financing receivables (ASU 2022-02), amending guidance related to the measurement of credit losses on financial instruments (ASU 2016-13). The amendment eliminates the accounting guidance for troubled debt restructurings for creditors, but requires enhanced disclosures for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty, and requires disclosure of current-period gross write-offs by year of origination for financing receivables. This new guidance is effective for our fiscal year beginning on October 1, 2023 and will be applied on a prospective basis. Although permitted, we do not plan to early adopt. We do not expect the adoption of this new guidance to have a material impact on our financial position and results of operations.

In March 2023, the FASB issued amended guidance related to accounting for investments in tax credit structures using the proportional amortization method (ASU 2023-02). The amendment permits reporting entities to elect to account for their tax equity investments using the proportional amortization method if certain conditions are met and makes the delayed equity contributions guidance applicable only when the proportional amortization method is applied to a tax equity investment. This amendment also requires entities to make disclosures about all investments in a tax credit program for which they have elected to account for using the proportional amortization method, including those investments in an elected tax credit program that do not meet the conditions to use the proportional amortization method. This new guidance is effective for our fiscal year beginning on October 1, 2024. This guidance may be applied on a retrospective basis or modified retrospective basis to all qualifying tax equity investments; however, the transition method must be applied consistently to all affected investments. Early adoption is permitted on a program-by-program basis. We are still evaluating the impact, including from any potential early adoption, that this new guidance will have on our financial position, results of operations, and disclosures.

RISK MANAGEMENT

Risks are an inherent part of our business and activities. Management of risk is critical to our fiscal soundness and profitability. Our risk management processes are multi-faceted and require communication, judgment, and knowledge of financial products and markets. We have a formal Enterprise Risk Management (“ERM”) program to assess and review aggregate risks across the firm. Our management takes an active role in the ERM process, which requires specific administrative and business functions to participate in the identification, assessment, monitoring, and control of various risks.

The principal risks related to our business activities are market, credit, liquidity, operational, model, and compliance.

Governance

Our Board of Directors, including its ~~Audit~~Risk Committee and ~~Risk~~Audit Committee, oversees the firm’s management and mitigation of risk, reinforcing a culture that encourages ethical conduct and risk management throughout the firm. Senior management communicates and reinforces this culture through three lines of risk management and a number of senior-level management committees. Our first line of risk management, which includes all of our businesses, owns its risks and is responsible for identifying, mitigating, and escalating risks arising from its day-to-day activities. The second line of risk management, which includes Compliance and Risk Management, advises our client-facing businesses and other first-line functions in identifying, assessing, and mitigating risk. The second line of risk management tests and monitors the effectiveness of controls, as deemed necessary, and escalates risks when appropriate to senior management and the Board of Directors. The third line of risk management, Internal Audit, independently reviews activities conducted by the previous lines of risk management to assess their management and mitigation of risk, providing additional assurance to the Board of Directors and senior management, with a view toward enhancing our oversight, management, and mitigation of risk. Our legal department provides legal advice and guidance to each of these three lines of risk management.

Market risk

Market risk is our risk of loss resulting from the impact of changes in market prices on our trading inventory, derivatives, and investment positions. We have exposure to market risk primarily through our broker-dealer trading operations and our banking operations. Through our broker-dealer subsidiaries, we trade debt obligations and equity securities and maintain trading inventories to ensure availability of securities to facilitate client transactions. Inventory levels may fluctuate daily as a result of client demand. We also hold investments within our available-for-sale securities portfolio, and from ~~time-to-time~~time to time may hold SBA loan securitizations not yet transferred. Our primary market risks relate to interest rates, equity prices, and foreign exchange rates. Interest rate risk results from changes in levels of interest rates, the volatility of interest rates, mortgage prepayment speeds, and credit spreads. Equity risk results from changes in prices of equity securities. Foreign exchange risk results from changes in spot prices, forward prices, and volatility of foreign exchange rates. See Note 2 of the Notes to


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

Consolidated Financial Statements of our 2022 Form 10-K and Notes 3, 4, and 5 of the Notes to Condensed Consolidated

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~

Financial Statements of this Form 10-Q for fair value and other information regarding our trading inventories, available-for-sale securities, and derivative instruments.

We regularly enter into underwriting commitments and, as a result, we may be subject to market risk on any unsold shares issued in the offerings to which we are committed. Risk exposure is controlled by limiting our participation, the transaction size, or through the syndication process.

The Market Risk Management department is responsible for measuring, monitoring, and reporting market risks associated with the firm’s trading and derivative portfolios. While Market Risk Management maintains ongoing communication with the revenue-generating business units, it is independent of such units.

Interest rate risk

Trading activities

We are exposed to interest rate risk as a result of our trading inventory (primarily comprised of fixed income instruments) in our Capital Markets segment. Changes in value of our trading inventory may result from fluctuations in interest rates, credit spreads, equity prices, macroeconomic factors, investor expectations or risk appetites, liquidity, as well as dynamic relationships among these factors. Other market factors, such as the recent downgrade of the U.S. government’s credit rating by Fitch, could also impact the market value of our trading inventory and other financial instruments on our Condensed Consolidated Statements of Financial Condition. We actively manage interest rate risk arising from our fixed income trading inventory through the use of hedging strategies utilizing U.S. Treasuries, exchange traded funds, futures contracts, liquid spread products, and derivatives.

Our primary method for controlling risks within trading inventories is through the use of dollar-based and exposure-based limits. A hierarchy of limits exists at multiple levels, including firm, business unit, desk (e.g., for equities, corporate bonds, municipal bonds), product sub-type (e.g., below-investment-grade positions) and, at times, at the individual position. For derivative positions, which are primarily comprised of interest rate swaps, we have established ~~limits based on a number of factors, including interest rate,~~sensitivity-based and foreign exchange spot ~~and forward rates, spread, ratio, basis, and volatility risk.~~limits. Trading positions and derivatives are monitored against these limits through daily reports that are distributed to senior management.During volatile markets, we may temporarily reduce limits and/or choose to pare our trading inventories to reduce risk.

We monitor Value-at-Risk (“VaR”) for all of our trading portfolios on a daily basis for risk management purposes and as a result of applying the Fed’s Market Risk Rule (“MRR”) for the purpose of calculating our capital ratios. The MRR, also known as the “Risk-Based Capital Guidelines: Market Risk” rule released by the Fed, the Office of the Comptroller of the Currency and the FDIC, requires us to calculate VaR for all of our trading portfolios, including fixed income, equity, derivatives, and foreign exchange instruments. VaR is an appropriate statistical technique for estimating potential losses in trading portfolios due to typical adverse market movements over a specified time horizon with a suitable confidence level. However, there are inherent limitations of utilizing VaR including: historical movements in markets may not accurately predict future market movements; VaR does not take into account the liquidity of individual positions; VaR does not estimate losses over longer time horizons; and extended periods of one-directional markets potentially distort risks within the portfolio. In addition, should markets become more volatile, actual trading losses may exceed VaR results presented on a single day and might accumulate over a longer time horizon. As a result, management complements VaR with sensitivity analysis and stress testing and employs additional controls such as a daily review of trading results, review of aged inventory, independent review of pricing, monitoring of concentrations, and review of issuer ratings.

To calculate VaR, we use models which incorporate historical simulation. This approach assumes that historical changes in market conditions, such as in interest rates and equity prices, are representative of future changes. Simulation is based on daily market data for the previous twelve months. VaR is reported at a 99% confidence level for a one-day time horizon. Assuming that future market conditions change as they have in the past twelve months, we would expect to incur losses greater than those predicted by our one-day VaR estimates about once every 100 trading days, or about three times per year on average. For regulatory capital calculation purposes, we also report VaR and Stressed VaR numbers for a ten-day time horizon. The VaR model is independently reviewed by our Model Risk Management function. See “Item 7 - Management’s Discussion and Analysis of Financial Condition and Results of Operations - Risk management - Model risk” of our 2022 Form 10-K for further information.

The modeling of the risk characteristics of trading positions involves a number of assumptions and approximations that management believes to be reasonable. However, there is no uniform industry methodology for estimating VaR, and different


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES Management’s Discussion and Analysis						Index

assumptions or approximations could produce materially different VaR estimates. As a result, VaR results are more reliable when used as indicators of risk levels and trends within a firm than as a basis for inferring differences in risk-taking across firms.

~~RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES~~

~~Management’s Discussion and Analysis~~

The following table sets forth the high, low, period-end and average daily one-day VaR for all of our trading portfolios, including fixed income and equity instruments, and for our derivatives for the periods and dates indicated.


		Three months ended December 31, 2022				Period-end VaR					Three months ended December 31,				Nine months ended June 30, 2023				Period-end VaR						Three months ended June 30,			Nine months ended June 30,
$ in millions	$ in millions	High		Low		December 31, 2022		September 30, 2022		$ in millions	2022		2021			$ in millions	High		Low		June 30, 2023		September 30, 2022		$ in millions	2023		2022		2023		2022
Daily VaR	Daily VaR	$	3	$	2	$	3	$	3	Average daily VaR	$	2	$	1		Daily VaR	$	3	$	1	$	2	$	3	Average daily VaR	$	2	$	1	$	2	$	1

Average daily VaR was higher during the three and nine months ended ~~December 31, 2022~~June 30, 2023 compared with the three and nine months ended ~~December 31, 2021~~June 30, 2022 due to the impact of increased market volatility ~~in December 2022,~~during the period, as well as the addition of the SumRidge Partners trading inventory beginning in July 2022. Period-end VaR was lower at June 30, 2023 compared to September 30, 2022, due to a decline in trading inventory.

The Fed’s MRR requires us to perform daily back-testing procedures for our VaR model, whereby we compare each day’s projected VaR to its regulatory-defined daily trading losses, which exclude fees, commissions, reserves, net interest income, and intraday trading. Regulatory-defined daily trading losses are used to evaluate the performance of our VaR model and are not comparable to our actual daily net revenues. Based on these daily “ex ante” versus “ex post” comparisons, we determine whether the number of times that regulatory-defined daily trading losses exceed VaR is consistent with our expectations at a 99% confidence level. During the three months ended ~~December 31, 2022,~~June 30, 2023, our regulatory-defined daily losses in our trading portfolios did not exceed our predicted VaR. During the nine months ended June 30, 2023, our regulatory-defined daily losses in our trading portfolios exceeded our predicted VaR on one occasion.

Separately, RJF provides additional market risk disclosures to comply with the MRR, including 10-day VaR and 10-day Stressed VaR, which are available on our website at https://www.raymondjames.com/investor-relations/financial-information/filings-and-reports within “Other Reports and Information.”

Banking operations

Our Bank segment maintains an interest-earning asset portfolio that is comprised of cash, SBL, C&I loans, ~~commercial and residential real estate~~CRE loans, REIT loans, and tax-exempt loans, as well as securities held in the available-for-sale securities portfolio. These interest-earning assets are primarily funded by client deposits. Based on the current asset portfolio, our banking operations are subject to interest rate risk. We analyze interest rate risk based on forecasted net interest income, which is the net amount of interest received and interest paid, and the net portfolio valuation, both across a range of interest rate scenarios.

One of the objectives of the Asset and Liability Committee is to manage the sensitivity of net interest income to changes in market interest rates. This committee uses several measures to monitor and limit interest rate risk in our banking operations, including scenario analysis and economic value of ~~equity.~~equity (“EVE”). We utilize a hedging ~~strategy~~strategies using interest rate swaps in our banking operations as a ~~result~~component of our asset and liability management process. For further information regarding this hedging strategy, see Note 2 of the Notes to Consolidated Financial Statements of our 2022 Form 10-K and Notes 1213 and 1314 of the Notes to Condensed Consolidated Financial Statements of this Form 10-Q.

To ensure that we remain within the tolerances established for net interest income, a sensitivity analysis of net interest income to interest rate conditions is estimated under a variety of scenarios. We use simulation models and estimation techniques to assess the sensitivity of net interest income to movements in interest rates. The model estimates the sensitivity by calculating interest income and interest expense in a dynamic balance sheet environment using current repricing, prepayment, and reinvestment of cash flow assumptions over a 12-month time horizon. Assumptions used in the model include interest rate movement, the slope of the yield curve, and balance sheet composition and growth.The model also considers interest rate-related risks such as pricing spreads, pricing of client cash accounts, including deposit betas, and prepayments. Various interest rate scenarios are modeled in order to determine the effect those scenarios may have on net interest income.

7588


RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES ~~Management’s Discussion and Analysis~~ Management’s Discussion and Analysis						Index

The following table is an analysis of our banking operations’ estimated net interest income over a 12-month period based on instantaneous shifts in interest rates (expressed in basis points) using our previously described asset/liability model, which assumes a dynamic balance sheet, that the interest rates on substantially all of our deposits change by an amount equal to the change in market interest rates (i.e., deposit beta of 100%), and that interest rates do not decline below zero. While not presented, additional rate scenarios are performed, including interest rate ramps and yield curve shifts that may more realistically mimic the speed of potential interest rate movements. We also perform simulations on time horizons of up to five years to assess longer-term impacts to various interest rate scenarios. On a quarterly basis, we test expected model results to actual performance. Additionally, any changes made to key assumptions in the model are documented and approved by the Asset and Liability Committee.


Instantaneous changes in rate (1)	Instantaneous changes in rate (1)	Net interest income ($ in millions)	Projected change in net interest income	Instantaneous changes in rate (1)	Net interest income ($ in millions)	Projected change in net interest income
+200	+200	$2,533	16%	+200	$1,779	5%
+100	+100	$2,353	8%	+100	$1,736	2%
0	0	$2,176	—%	0	$1,698	—%
-100	-100	$1,981	(9)%	-100	$1,643	(3)%
-200	-200	$1,823	(16)%	-200	$1,599	(6)%


Florida						59-1517485
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $.01 par value	RJF	~~New York Stock Exchange~~
~~Depositary Shares, Each Representing a 1/40th Interest in a Share of 6.75% Fixed-to-Floating Rate Series A Non-Cumulative Perpetual Preferred Stock~~	~~RJF PrA~~	New York Stock Exchange
Depositary Shares, Each Representing a 1/40th Interest in a Share of 6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock	RJF PrB	New York Stock Exchange


Large accelerated filer	x	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐


INDEX
		PAGE
PART I	FINANCIAL INFORMATION
Item 1.	Financial Statements (Unaudited)	3
	Condensed Consolidated Statements of Financial Condition (Unaudited)	3
	Condensed Consolidated Statements of Income and Comprehensive Income (Unaudited)	4
	Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited)	5
	Condensed Consolidated Statements of Cash Flows (Unaudited)	6
	Notes to Condensed Consolidated Financial Statements (Unaudited)
	Note 1 - Organization and basis of presentation	8
	Note 2 - Update of significant accounting policies	8

	Note 3 - Fair value	9
	Note 4 - Available-for-sale securities	1415
	Note 5 - Derivative assets and derivative liabilities	1718
	Note 6 - Collateralized agreements and financings	1920
	Note 7 - Bank loans, net	2123
	Note 8 - Loans to financial advisors, net	2830
	Note 9 - Variable interest entities	2831

	Note 10 - ~~Other~~Goodwill and identifiable intangible assets, net	2932
	Note 11 - ~~Leases~~Other assets	3032
	Note 12 - ~~Bank deposits~~Leases	3033
	Note 13 - Bank deposits	33
	Note 14 - Other borrowings	3134


	Note 1415 - Income taxes	32
	~~Note 15 - Commitments, contingencies and guarantees~~	3235
	Note 16 - ~~Shareholders’ equity~~Commitments, contingencies and guarantees	3435
	Note 17 - ~~Revenues~~Shareholders’ equity	3738
	Note 18 - ~~Interest income and interest expense~~Revenues	3941
	Note 19 - ~~Share-based compensation~~Interest income and interest expense	3945
	Note 20 - ~~Regulatory capital requirements~~Share-based compensation	4045
	Note 21 - ~~Earnings per share~~Regulatory capital requirements	4346
	Note 22 - Earnings per share	49
	Note 23 - Segment information	4450
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	4652
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	8296
Item 4.	Controls and Procedures	8296
PART II	OTHER INFORMATION
Item 1.	Legal Proceedings	8396
Item 1A.	Risk Factors	8396
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	8397
Item 3.	Defaults Upon Senior Securities	8397
Item 4.	Mine Safety Disclosures	8397
Item 5.	Other Information	8397
Item 6.	Exhibits	8498
	Signatures	8599


$ in millions, except per share amounts	$ in millions, except per share amounts	December 31, 2022		September 30, 2022		$ in millions, except per share amounts	June 30, 2023		September 30, 2022
Assets:	Assets:					Assets:
Cash and cash equivalents	Cash and cash equivalents	$	6,177	$	6,178	Cash and cash equivalents	$	8,375	$	6,178
Assets segregated for regulatory purposes and restricted cash	Assets segregated for regulatory purposes and restricted cash	5,116		8,481		Assets segregated for regulatory purposes and restricted cash	3,839		8,481
Collateralized agreements	Collateralized agreements	335		704		Collateralized agreements	410		704
Financial instruments, at fair value:	Financial instruments, at fair value:					Financial instruments, at fair value:
Trading assets ($969 and $1,188 pledged as collateral)		1,112		1,270
Available-for-sale securities ($74 and $74 pledged as collateral)		9,793		9,885
Trading assets ($980 and $1,188 pledged as collateral)						Trading assets ($980 and $1,188 pledged as collateral)	1,156		1,270
Available-for-sale securities ($23 and $74 pledged as collateral)						Available-for-sale securities ($23 and $74 pledged as collateral)	9,566		9,885
Derivative assets	Derivative assets	107		188		Derivative assets	229		188
Other investments ($15 and $14 pledged as collateral)		296		292
Other investments ($6 and $14 pledged as collateral)						Other investments ($6 and $14 pledged as collateral)	306		292
Brokerage client receivables, net	Brokerage client receivables, net	2,641		2,934		Brokerage client receivables, net	2,364		2,934
Other receivables, net	Other receivables, net	1,252		1,615		Other receivables, net	1,612		1,615
Bank loans, net	Bank loans, net	44,066		43,239		Bank loans, net	43,345		43,239
Loans to financial advisors, net	Loans to financial advisors, net	1,122		1,152		Loans to financial advisors, net	1,122		1,152
Deferred income taxes, net	Deferred income taxes, net	572		630		Deferred income taxes, net	612		630
Goodwill and identifiable intangible assets, net	Goodwill and identifiable intangible assets, net	1,938		1,931		Goodwill and identifiable intangible assets, net	1,928		1,931
Other assets	Other assets	2,520		2,452		Other assets	2,769		2,452
Total assets	Total assets	$	77,047	$	80,951	Total assets	$	77,633	$	80,951

Liabilities and shareholders’ equity:	Liabilities and shareholders’ equity:					Liabilities and shareholders’ equity:
Bank deposits	Bank deposits	$	51,979	$	51,357	Bank deposits	$	53,768	$	51,357
Collateralized financings	Collateralized financings	194		466		Collateralized financings	181		466
Financial instrument liabilities, at fair value:	Financial instrument liabilities, at fair value:					Financial instrument liabilities, at fair value:
Trading liabilities	Trading liabilities	692		836		Trading liabilities	768		836
Derivative liabilities	Derivative liabilities	452		530		Derivative liabilities	393		530
Brokerage client payables	Brokerage client payables	7,728		11,446		Brokerage client payables	6,035		11,446
Accrued compensation, commissions and benefits	Accrued compensation, commissions and benefits	1,281		1,787		Accrued compensation, commissions and benefits	1,700		1,787
Other payables	Other payables	1,703		1,768		Other payables	1,727		1,768
Other borrowings	Other borrowings	1,150		1,291		Other borrowings	1,100		1,291
Senior notes payable	Senior notes payable	2,038		2,038		Senior notes payable	2,039		2,038
Total liabilities	Total liabilities	67,217		71,519		Total liabilities	67,711		71,519
Commitments and contingencies (see Note 15)
Commitments and contingencies (see Note 16)						Commitments and contingencies (see Note 16)
Shareholders’ equity	Shareholders’ equity					Shareholders’ equity
Preferred stock	Preferred stock	120		120		Preferred stock	79		120
Common stock; $.01 par value; 650,000,000 shares authorized; 248,081,414 shares issued and 214,984,869 shares outstanding as of December 31, 2022; 248,018,564 shares issued and 215,122,523 shares outstanding as of September 30, 2022		2		2
Common stock; $.01 par value; 650,000,000 shares authorized; 248,561,711 shares issued and 208,498,326 shares outstanding as of June 30, 2023; 248,018,564 shares issued and 215,122,523 shares outstanding as of September 30, 2022						Common stock; $.01 par value; 650,000,000 shares authorized; 248,561,711 shares issued and 208,498,326 shares outstanding as of June 30, 2023; 248,018,564 shares issued and 215,122,523 shares outstanding as of September 30, 2022	2		2
Additional paid-in capital	Additional paid-in capital	2,975		2,987		Additional paid-in capital	3,099		2,987
Retained earnings	Retained earnings	9,254		8,843		Retained earnings	9,870		8,843
Treasury stock, at cost; 33,096,545 and 32,896,041 common shares as of December 31, 2022 and September 30, 2022, respectively		(1,604)		(1,512)
Treasury stock, at cost; 40,063,385 and 32,896,041 common shares as of June 30, 2023 and September 30, 2022, respectively						Treasury stock, at cost; 40,063,385 and 32,896,041 common shares as of June 30, 2023 and September 30, 2022, respectively	(2,259)		(1,512)
Accumulated other comprehensive loss	Accumulated other comprehensive loss	(891)		(982)		Accumulated other comprehensive loss	(842)		(982)
Total equity attributable to Raymond James Financial, Inc.	Total equity attributable to Raymond James Financial, Inc.	9,856		9,458		Total equity attributable to Raymond James Financial, Inc.	9,949		9,458
Noncontrolling interests	Noncontrolling interests	(26)		(26)		Noncontrolling interests	(27)		(26)
Total shareholders’ equity	Total shareholders’ equity	9,830		9,432		Total shareholders’ equity	9,922		9,432
Total liabilities and shareholders’ equity	Total liabilities and shareholders’ equity	$	77,047	$	80,951	Total liabilities and shareholders’ equity	$	77,633	$	80,951


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
			THE SECURITIES EXCHANGE ACT OF 1934


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
			THE SECURITIES EXCHANGE ACT OF 1934


$ in millions	$ in millions	Level 1		Level 2		Level 3		Netting adjustments		Balance as of December 31, 2022		$ in millions	Level 1		Level 2		Level 3		Netting adjustments		Balance as of June 30, 2023
Assets at fair value on a recurring basis:	Assets at fair value on a recurring basis:											Assets at fair value on a recurring basis:

Trading assets:	Trading assets:											Trading assets:
Municipal and provincial obligations	Municipal and provincial obligations	$	—	$	163	$	—	$	—	$	163	Municipal and provincial obligations	$	—	$	257	$	—	$	—	$	257
Corporate obligations	Corporate obligations	19		583		—		—		602		Corporate obligations	24		598		—		—		622
Government and agency obligations	Government and agency obligations	47		79		—		—		126		Government and agency obligations	44		105		—		—		149
Agency mortgage-backed securities (“MBS”), collateralized mortgage obligations (“CMOs”) and asset-backed securities (“ABS”)	Agency mortgage-backed securities (“MBS”), collateralized mortgage obligations (“CMOs”) and asset-backed securities (“ABS”)	—		134		—		—		134		Agency mortgage-backed securities (“MBS”), collateralized mortgage obligations (“CMOs”) and asset-backed securities (“ABS”)	—		19		—		—		19
Non-agency CMOs and ABS	Non-agency CMOs and ABS	—		34		—		—		34		Non-agency CMOs and ABS	—		60		—		—		60
Total debt securities	Total debt securities	66		993		—		—		1,059		Total debt securities	68		1,039		—		—		1,107
Equity securities	Equity securities	17		1		—		—		18		Equity securities	10		2		—		—		12
Brokered certificates of deposit	Brokered certificates of deposit	—		29		—		—		29		Brokered certificates of deposit	—		28		—		—		28
Other	Other	—		—		6		—		6		Other	—		—		9		—		9
Total trading assets	Total trading assets	83		1,023		6		—		1,112		Total trading assets	78		1,069		9		—		1,156
Available-for-sale securities (1)	Available-for-sale securities (1)	987		8,806		—		—		9,793		Available-for-sale securities (1)	1,238		8,328		—		—		9,566
Derivative assets:	Derivative assets:											Derivative assets:
Interest rate - matched book		—		14		—		—		14
Interest rate - other		2		418		—		(327)		93
Interest rate												Interest rate	9		414		—		(199)		224

Foreign exchange												Foreign exchange	—		5		—		—		5

Total derivative assets	Total derivative assets	2		432		—		(327)		107		Total derivative assets	9		419		—		(199)		229

All other investments:	All other investments:											All other investments:
Government and agency obligations (2)	Government and agency obligations (2)	80		—		—		—		80		Government and agency obligations (2)	82		—		—		—		82
Other	Other	90		2		30		—		122		Other	93		2		29		—		124
Total all other investments	Total all other investments	170		2		30		—		202		Total all other investments	175		2		29		—		206
Other assets - fractional shares		86		—		—		—		86
Other assets - client-owned fractional shares												Other assets - client-owned fractional shares	100		—		—		—		100
Subtotal	Subtotal	1,328		10,263		36		(327)		11,300		Subtotal	1,600		9,818		38		(199)		11,257
Other investments - private equity - measured at net asset value (“NAV”)	Other investments - private equity - measured at net asset value (“NAV”)									94		Other investments - private equity - measured at net asset value (“NAV”)									100
Total assets at fair value on a recurring basis	Total assets at fair value on a recurring basis	$	1,328	$	10,263	$	36	$	(327)	$	11,394	Total assets at fair value on a recurring basis	$	1,600	$	9,818	$	38	$	(199)	$	11,357

Liabilities at fair value on a recurring basis:	Liabilities at fair value on a recurring basis:											Liabilities at fair value on a recurring basis:
Trading liabilities:	Trading liabilities:											Trading liabilities:
Municipal and provincial obligations	Municipal and provincial obligations	$	6	$	—	$	—	$	—	$	6	Municipal and provincial obligations	$	10	$	2	$	—	$	—	$	12
Corporate obligations	Corporate obligations	—		525		—		—		525		Corporate obligations	—		561		—		—		561
Government and agency obligations	Government and agency obligations	137		—		—		—		137		Government and agency obligations	129		—		—		—		129

Total debt securities	Total debt securities	143		525		—		—		668		Total debt securities	139		563		—		—		702
Equity securities	Equity securities	24		—		—		—		24		Equity securities	66		—		—		—		66

Total trading liabilities	Total trading liabilities	167		525		—		—		692		Total trading liabilities	205		563		—		—		768
Derivative liabilities:	Derivative liabilities:											Derivative liabilities:
Interest rate - matched book		—		14		—		—		14
Interest rate - other		3		479		—		(61)		421
Foreign exchange		—		13		—		—		13
Interest rate												Interest rate	8		461		—		(80)		389

Other	Other	—		—		4		—		4		Other	—		—		4		—		4
Total derivative liabilities	Total derivative liabilities	3		506		4		(61)		452		Total derivative liabilities	8		461		4		(80)		393
Other payables - fractional shares		86		—		—		—		86
Other payables - repurchase liabilities related to client-owned fractional shares												Other payables - repurchase liabilities related to client-owned fractional shares	100		—		—		—		100
Total liabilities at fair value on a recurring basis	Total liabilities at fair value on a recurring basis	$	256	$	1,031	$	4	$	(61)	$	1,230	Total liabilities at fair value on a recurring basis	$	313	$	1,024	$	4	$	(80)	$	1,261


Three months ended December 31, 2022 Level 3 instruments at fair value
Three months ended June 30, 2023 Level 3 instruments at fair value										Three months ended June 30, 2023 Level 3 instruments at fair value
		Financial assets				Financial liabilities	Financial assets						Financial liabilities
		Trading assets		Other investments				Derivative liabilities			Trading assets			Other investments		Derivative liabilities
$ in millions	$ in millions	Other		All other				Other		$ in millions	Other			All other		Other
Fair value beginning of period	Fair value beginning of period	$	1	$	29			$	(3)	Fair value beginning of period	$	3		$	28	$	(4)
Total gains/(losses) included in earnings	Total gains/(losses) included in earnings	—		1				(1)		Total gains/(losses) included in earnings	(1)			1		—
Purchases and contributions	Purchases and contributions	25		—				—		Purchases and contributions	19			—		—
Sales, distributions, and deconsolidations		(20)		—				—
Sales and distributions										Sales and distributions	(12)			—		—
Transfers:	Transfers:									Transfers:
Into Level 3	Into Level 3	—		—				—		Into Level 3	—			—		—
Out of Level 3	Out of Level 3	—		—				—		Out of Level 3	—			—		—
Fair value end of period	Fair value end of period	$	6	$	30			$	(4)	Fair value end of period	$	9		$	29	$	(4)
Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period	Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period	$	(1)	$	1			$	(1)	Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period	$	1		$	1	$	—


Nine Months Ended June 30, 2023 Level 3 instruments at fair value
	Financial assets				Financial liabilities
	Trading assets		Other investments			Derivative liabilities
$ in millions	Other		All other			Other
Fair value beginning of period	$	1	$	29		$	(3)
Total gains/(losses) included in earnings	(1)		—			(1)
Purchases and contributions	55		—			—
Sales and distributions	(46)		—			—
Transfers:
Into Level 3	—		—			—
Out of Level 3	—		—			—
Fair value end of period	$	9	$	29		$	(4)
Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period	$	1	$	—		$	(1)


Three months ended December 31, 2021 Level 3 instruments at fair value
	Financial assets						Financial liabilities
	Trading assets		Derivative assets		Other investments			Derivative liabilities
$ in millions	Other		Other		All other			Other
Fair value beginning of period	$	14	$	—	$	98		$	(1)
Total gains included in earnings	2		1		—			1
Purchases and contributions	25		—		—			—
Sales and distributions	(39)		—		—			—
Transfers:
Into Level 3	—		—		—			—
Out of Level 3	—		—		—			—
Fair value end of period	$	2	$	1	$	98		$	—
Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period	$	(1)	$	2	$	—		$	—


Three months ended June 30, 2022 Level 3 instruments at fair value
	Financial assets						Financial liabilities
	Trading assets		Derivative assets		Other investments			Trading liabilities		Derivative liabilities
$ in millions	Other		Other		All other			Other		Other
Fair value beginning of period	$	13	$	—	$	53		$	(1)	$	—
Total gains/(losses) included in earnings	(1)		2		—			1		(1)
Purchases and contributions	37		—		—			—		—
Sales, distributions, and deconsolidations	(49)		—		(2)			—		—
Transfers:
Into Level 3	—		—		—			—		—
Out of Level 3	—		—		—			—		—
Fair value end of period	$	—	$	2	$	51		$	—	$	(1)
Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period	$	—	$	2	$	5		$	—	$	(1)


Nine Months Ended June 30, 2022 Level 3 instruments at fair value
	Financial assets						Financial liabilities
	Trading assets		Derivative assets		Other investments			Derivative liabilities
$ in millions	Other		Other		All other			Other
Fair value beginning of period	$	14	$	—	$	98		$	(1)
Total gains/(losses) included in earnings	1		2		—			—
Purchases and contributions	91		—		7			—
Sales, distributions, and deconsolidations	(106)		—		(42)			—
Transfers:
Into Level 3	—		—		—			—
Out of Level 3	—		—		(12)			—
Fair value end of period	$	—	$	2	$	51		$	(1)
Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period	$	—	$	2	$	5		$	(1)


$ in millions	$ in millions	Recorded value		Unfunded commitment		$ in millions	Recorded value		Unfunded commitment
December 31, 2022
June 30, 2023						June 30, 2023
Private equity investments measured at NAV	Private equity investments measured at NAV	$	94	$	38	Private equity investments measured at NAV	$	100	$	36
Private equity investments not measured at NAV	Private equity investments not measured at NAV	5				Private equity investments not measured at NAV	7
Total private equity investments	Total private equity investments	$	99			Total private equity investments	$	107

September 30, 2022	September 30, 2022					September 30, 2022
Private equity investments measured at NAV	Private equity investments measured at NAV	$	90	$	39	Private equity investments measured at NAV	$	90	$	39
Private equity investments not measured at NAV	Private equity investments not measured at NAV	5				Private equity investments not measured at NAV	5
Total private equity investments	Total private equity investments	$	95			Total private equity investments	$	95


$ in millions	$ in millions	Cost basis		Gross unrealized gains		Gross unrealized losses		Fair value		$ in millions	Cost basis		Gross unrealized gains		Gross unrealized losses		Fair value
December 31, 2022
June 30, 2023										June 30, 2023
Agency residential MBS	Agency residential MBS	$	5,486	$	1	$	(588)	$	4,899	Agency residential MBS	$	5,064	$	1	$	(560)	$	4,505
Agency commercial MBS	Agency commercial MBS	1,484		—		(199)		1,285		Agency commercial MBS	1,469		—		(197)		1,272
Agency CMOs	Agency CMOs	1,585		—		(240)		1,345		Agency CMOs	1,497		—		(245)		1,252
Other agency obligations	Other agency obligations	692		—		(29)		663		Other agency obligations	710		—		(28)		682
Non-agency residential MBS	Non-agency residential MBS	495		—		(41)		454		Non-agency residential MBS	509		—		(44)		465
U.S. Treasuries	U.S. Treasuries	1,016		—		(29)		987		U.S. Treasuries	1,265		—		(27)		1,238
Corporate bonds	Corporate bonds	146		—		(4)		142		Corporate bonds	140		—		(6)		134
Other	Other	18		—		—		18		Other	18		—		—		18
Total available-for-sale securities	Total available-for-sale securities	$	10,922	$	1	$	(1,130)	$	9,793	Total available-for-sale securities	$	10,672	$	1	$	(1,107)	$	9,566

September 30, 2022	September 30, 2022									September 30, 2022
Agency residential MBS	Agency residential MBS	$	5,662	$	—	$	(668)	$	4,994	Agency residential MBS	$	5,662	$	—	$	(668)	$	4,994
Agency commercial MBS	Agency commercial MBS	1,518		—		(208)		1,310		Agency commercial MBS	1,518		—		(208)		1,310
Agency CMOs	Agency CMOs	1,637		—		(233)		1,404		Agency CMOs	1,637		—		(233)		1,404
Other agency obligations	Other agency obligations	613		—		(31)		582		Other agency obligations	613		—		(31)		582
Non-agency residential MBS	Non-agency residential MBS	492		—		(41)		451		Non-agency residential MBS	492		—		(41)		451
U.S. Treasuries	U.S. Treasuries	1,014		—		(28)		986		U.S. Treasuries	1,014		—		(28)		986
Corporate bonds	Corporate bonds	146		—		(5)		141		Corporate bonds	146		—		(5)		141
Other	Other	18		—		(1)		17		Other	18		—		(1)		17
Total available-for-sale securities	Total available-for-sale securities	$	11,100	$	—	$	(1,215)	$	9,885	Total available-for-sale securities	$	11,100	$	—	$	(1,215)	$	9,885


		Less than 12 months				12 months or more				Total					Less than 12 months				12 months or more				Total
$ in millions	$ in millions	Estimated fair value		Unrealized losses		Estimated fair value		Unrealized losses		Estimated fair value		Unrealized losses		$ in millions	Estimated fair value		Unrealized losses		Estimated fair value		Unrealized losses		Estimated fair value		Unrealized losses
December 31, 2022
June 30, 2023														June 30, 2023
Agency residential MBS	Agency residential MBS	$	1,322	$	(99)	$	3,516	$	(489)	$	4,838	$	(588)	Agency residential MBS	$	190	$	(8)	$	4,274	$	(552)	$	4,464	$	(560)
Agency commercial MBS	Agency commercial MBS	322		(21)		963		(178)		1,285		(199)		Agency commercial MBS	136		(5)		1,136		(192)		1,272		(197)
Agency CMOs	Agency CMOs	247		(24)		1,098		(216)		1,345		(240)		Agency CMOs	26		(1)		1,226		(244)		1,252		(245)
Other agency obligations	Other agency obligations	615		(28)		19		(1)		634		(29)		Other agency obligations	208		(3)		474		(25)		682		(28)
Non-agency residential MBS	Non-agency residential MBS	454		(41)		—		—		454		(41)		Non-agency residential MBS	53		(2)		412		(42)		465		(44)
U.S. Treasuries	U.S. Treasuries	981		(28)		6		(1)		987		(29)		U.S. Treasuries	325		(6)		763		(21)		1,088		(27)
Corporate bonds	Corporate bonds	107		(4)		—		—		107		(4)		Corporate bonds	26		(1)		65		(5)		91		(6)
Other	Other	18		—		—		—		18		—		Other	5		—		13		—		18		—
Total	Total	$	4,066	$	(245)	$	5,602	$	(885)	$	9,668	$	(1,130)	Total	$	969	$	(26)	$	8,363	$	(1,081)	$	9,332	$	(1,107)
September 30, 2022	September 30, 2022													September 30, 2022
Agency residential MBS	Agency residential MBS	$	2,165	$	(226)	$	2,829	$	(442)	$	4,994	$	(668)	Agency residential MBS	$	2,165	$	(226)	$	2,829	$	(442)	$	4,994	$	(668)
Agency commercial MBS	Agency commercial MBS	494		(41)		816		(167)		1,310		(208)		Agency commercial MBS	494		(41)		816		(167)		1,310		(208)
Agency CMOs	Agency CMOs	337		(32)		1,067		(201)		1,404		(233)		Agency CMOs	337		(32)		1,067		(201)		1,404		(233)
Other agency obligations	Other agency obligations	582		(31)		—		—		582		(31)		Other agency obligations	582		(31)		—		—		582		(31)
Non-agency residential MBS	Non-agency residential MBS	451		(41)		—		—		451		(41)		Non-agency residential MBS	451		(41)		—		—		451		(41)
U.S. Treasuries	U.S. Treasuries	982		(28)		4		—		986		(28)		U.S. Treasuries	982		(28)		4		—		986		(28)
Corporate bonds	Corporate bonds	128		(5)		—		—		128		(5)		Corporate bonds	128		(5)		—		—		128		(5)
Other	Other	17		(1)		—		—		17		(1)		Other	17		(1)		—		—		17		(1)
Total	Total	$	5,156	$	(405)	$	4,716	$	(810)	$	9,872	$	(1,215)	Total	$	5,156	$	(405)	$	4,716	$	(810)	$	9,872	$	(1,215)


$ in millions	$ in millions	Overnight and continuous		Up to 30 days		30-90 days		Greater than 90 days		Total		$ in millions	Overnight and continuous		Up to 30 days		30-90 days		Greater than 90 days		Total
December 31, 2022
June 30, 2023												June 30, 2023
Repurchase agreements:	Repurchase agreements:											Repurchase agreements:
Government and agency obligations	Government and agency obligations	$	139	$	—	$	—	$	—	$	139	Government and agency obligations	$	107	$	—	$	—	$	—	$	107
Agency MBS and agency CMOs	Agency MBS and agency CMOs	11		—		—		—		11		Agency MBS and agency CMOs	3		—		—		—		3
Total repurchase agreements	Total repurchase agreements	150		—		—		—		150		Total repurchase agreements	110		—		—		—		110
Securities loaned:	Securities loaned:											Securities loaned:
Equity securities	Equity securities	44		—		—		—		44		Equity securities	71		—		—		—		71
Total collateralized financings	Total collateralized financings	$	194	$	—	$	—	$	—	$	194	Total collateralized financings	$	181	$	—	$	—	$	—	$	181
September 30, 2022	September 30, 2022											September 30, 2022
Repurchase agreements:	Repurchase agreements:											Repurchase agreements:
Government and agency obligations	Government and agency obligations	$	183	$	—	$	—	$	—	$	183	Government and agency obligations	$	183	$	—	$	—	$	—	$	183
Agency MBS and agency CMOs	Agency MBS and agency CMOs	111		—		—		—		111		Agency MBS and agency CMOs	111		—		—		—		111
Total repurchase agreements	Total repurchase agreements	294		—		—		—		294		Total repurchase agreements	294		—		—		—		294
Securities loaned:	Securities loaned:											Securities loaned:
Equity securities	Equity securities	172		—		—		—		172		Equity securities	172		—		—		—		172
Total collateralized financings	Total collateralized financings	$	466	$	—	$	—	$	—	$	466	Total collateralized financings	$	466	$	—	$	—	$	—	$	466


$ in millions	$ in millions	C&I loans		CRE loans		REIT loans		Residential mortgage loans		Total		$ in millions	C&I loans		CRE loans		REIT loans		Residential mortgage loans		Total
Three months ended December 31, 2022
Three months ended June 30, 2023												Three months ended June 30, 2023
Purchases	Purchases	$	163	$	39	$	24	$	190	$	416	Purchases	$	3	$	—	$	—	$	94	$	97
Sales	Sales	$	—	$	—	$	—	$	—	$	—	Sales	$	441	$	—	$	—	$	—	$	441

Three months ended December 31, 2021
Nine months ended June 30, 2023												Nine months ended June 30, 2023
Purchases	Purchases	$	339	$	—	$	—	$	184	$	523	Purchases	$	360	$	39	$	24	$	394	$	817
Sales	Sales	$	51	$	—	$	—	$	—	$	51	Sales	$	588	$	—	$	—	$	—	$	588

Three months ended June 30, 2022												Three months ended June 30, 2022
Purchases												Purchases	$	439	$	—	$	—	$	383	$	822
Sales												Sales	$	33	$	—	$	—	$	—	$	33
Nine months ended June 30, 2022												Nine months ended June 30, 2022
Purchases												Purchases	$	1,219	$	—	$	—	$	790	$	2,009
Sales												Sales	$	145	$	—	$	—	$	—	$	145


$ in millions	$ in millions	30-89 days and accruing		90 days or more and accruing		Total past due and accruing		Nonaccrual with allowance		Nonaccrual with no allowance		Current and accruing		Total loans held for investment		$ in millions	30-89 days and accruing		90 days or more and accruing		Total past due and accruing		Nonaccrual with allowance		Nonaccrual with no allowance		Current and accruing		Total loans held for investment
December 31, 2022
June 30, 2023																June 30, 2023
SBL	SBL	$	—	$	—	$	—	$	—	$	—	$	14,885	$	14,885	SBL	$	—	$	—	$	—	$	—	$	—	$	14,227	$	14,227
C&I loans	C&I loans	10		—		10		27		—		11,368		11,405		C&I loans	—		—		—		75		—		10,588		10,663
CRE loans	CRE loans	9		—		9		—		19		6,901		6,929		CRE loans	—		—		—		29		14		7,048		7,091
REIT loans	REIT loans	—		—		—		—		—		1,680		1,680		REIT loans	—		—		—		—		—		1,715		1,715
Residential mortgage loans	Residential mortgage loans	4		—		4		—		15		7,799		7,818		Residential mortgage loans	2		—		2		—		9		8,411		8,422
Tax-exempt loans	Tax-exempt loans	—		—		—		—		—		1,667		1,667		Tax-exempt loans	—		—		—		—		—		1,548		1,548
Total loans held for investment	Total loans held for investment	$	23	$	—	$	23	$	27	$	34	$	44,300	$	44,384	Total loans held for investment	$	2	$	—	$	2	$	104	$	23	$	43,537	$	43,666

September 30, 2022	September 30, 2022															September 30, 2022
SBL	SBL	$	—	$	—	$	—	$	—	$	—	$	15,297	$	15,297	SBL	$	—	$	—	$	—	$	—	$	—	$	15,297	$	15,297
C&I loans	C&I loans	—		—		—		32		—		11,141		11,173		C&I loans	—		—		—		32		—		11,141		11,173
CRE loans	CRE loans	—		—		—		12		16		6,521		6,549		CRE loans	—		—		—		12		16		6,521		6,549
REIT loans	REIT loans	—		—		—		—		—		1,592		1,592		REIT loans	—		—		—		—		—		1,592		1,592
Residential mortgage loans	Residential mortgage loans	4		—		4		—		14		7,368		7,386		Residential mortgage loans	4		—		4		—		14		7,368		7,386
Tax-exempt loans	Tax-exempt loans	—		—		—		—		—		1,501		1,501		Tax-exempt loans	—		—		—		—		—		1,501		1,501
Total loans held for investment	Total loans held for investment	$	4	$	—	$	4	$	44	$	30	$	43,420	$	43,498	Total loans held for investment	$	4	$	—	$	4	$	44	$	30	$	43,420	$	43,498


Loan type ($ in millions)	Loan type ($ in millions)	Nature of collateral	December 31, 2022		September 30, 2022		Loan type ($ in millions)	Nature of collateral	June 30, 2023		September 30, 2022

C&I loans	C&I loans	Commercial real estate and other business assets	$	11	$	11	C&I loans	Commercial real estate and other business assets	$	9	$	11
CRE loans	CRE loans	Retail, industrial, and health care real estate	$	19	$	21	CRE loans	Office, healthcare, industrial, and retail real estate	$	42	$	21

Residential mortgage loans	Residential mortgage loans	Single family homes	$	8	$	6	Residential mortgage loans	Single family homes	$	4	$	6


		December 31, 2022																June 30, 2023
		Loans by origination fiscal year																		Loans by origination fiscal year
$ in millions	$ in millions	2023		2022		2021		2020		2019		Prior		Revolving loans		Total			$ in millions	2023		2022		2021		2020		2019		Prior		Revolving loans		Total
SBL	SBL																		SBL
Risk rating:	Risk rating:																		Risk rating:
Pass	Pass	$	5	$	14	$	79	$	54	$	27	$	93	$	14,613	$	14,885		Pass	$	20	$	18	$	83	$	44	$	16	$	38	$	13,999	$	14,218
Special mention(1)	Special mention(1)	—		—		—		—		—		—		—		—			Special mention(1)	—		—		—		—		—		—		4		4
Substandard(1)	Substandard(1)	—		—		—		—		—		—		—		—			Substandard(1)	—		—		—		—		—		—		5		5
Doubtful	Doubtful	—		—		—		—		—		—		—		—			Doubtful	—		—		—		—		—		—		—		—
Total SBL	Total SBL	$	5	$	14	$	79	$	54	$	27	$	93	$	14,613	$	14,885		Total SBL	$	20	$	18	$	83	$	44	$	16	$	38	$	14,008	$	14,227


$ in millions	$ in millions	Aggregate assets		Aggregate liabilities		$ in millions	Aggregate assets		Aggregate liabilities
December 31, 2022
June 30, 2023						June 30, 2023

LIHTC funds	LIHTC funds	$	60	$	6	LIHTC funds	$	53	$	6
Restricted Stock Trust Fund	Restricted Stock Trust Fund	27		27		Restricted Stock Trust Fund	27		27
Total	Total	$	87	$	33	Total	$	80	$	33

September 30, 2022	September 30, 2022					September 30, 2022

LIHTC funds	LIHTC funds	$	59	$	6	LIHTC funds	$	59	$	6
Restricted Stock Trust Fund	Restricted Stock Trust Fund	17		17		Restricted Stock Trust Fund	17		17
Total	Total	$	76	$	23	Total	$	76	$	23


$ in millions	~~December 31, 2022~~June 30, 2023
Three months or less	$	3740
Over three through six months	1625
Over six through twelve months	1531
Over twelve months	12
Total estimated certificates of deposit that exceeded the FDIC insurance limit	$	80108


$ in millions, except share count	$ in millions, except share count	December 31, 2022		September 30, 2022		$ in millions, except share count	June 30, 2023		September 30, 2022
6.75% Fixed-to-Floating Rate Series A Non-Cumulative Perpetual Preferred Stock (“Series A Preferred Stock”):	6.75% Fixed-to-Floating Rate Series A Non-Cumulative Perpetual Preferred Stock (“Series A Preferred Stock”):					6.75% Fixed-to-Floating Rate Series A Non-Cumulative Perpetual Preferred Stock (“Series A Preferred Stock”):
Shares outstanding	Shares outstanding	40,250		40,250		Shares outstanding	—		40,250
Carrying value	Carrying value	$	41	$	41	Carrying value	$	—	$	41
Aggregate liquidation preference	Aggregate liquidation preference	$	40	$	40	Aggregate liquidation preference	$	—	$	40
6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock (“Series B Preferred Stock”):	6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock (“Series B Preferred Stock”):					6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock (“Series B Preferred Stock”):
Shares outstanding	Shares outstanding	80,500		80,500		Shares outstanding	80,500		80,500
Carrying value	Carrying value	$	79	$	79	Carrying value	$	79	$	79
Aggregate liquidation preference	Aggregate liquidation preference	$	81	$	81	Aggregate liquidation preference	$	81	$	81


						Dividends declared		Dividends paid
$ in millions, except per share amounts	$ in millions, except per share amounts	Total dividends		Per preferred share amount			$ in millions, except per share amounts		Total dividends		Per preferred share amount		Total dividends		Per preferred share amount
Dividends declared:
Three months ended June 30, 2023							Three months ended June 30, 2023
Series A Preferred Stock (1)							Series A Preferred Stock (1)		$	—	$	—	$	1	$	16.88
Series B Preferred Stock							Series B Preferred Stock		1		$	15.94	1		$	15.94
Total preferred stock dividends (1)							Total preferred stock dividends (1)		$	1			$	2
Nine Months Ended June 30, 2023							Nine Months Ended June 30, 2023
Series A Preferred Stock (1)							Series A Preferred Stock (1)		$	2	$	33.76	$	3	$	50.64
Series B Preferred Stock							Series B Preferred Stock		3		$	47.82	3		$	47.82
Total preferred stock dividends (1)							Total preferred stock dividends (1)		$	5			$	6
Three months ended June 30, 2022							Three months ended June 30, 2022
Series A Preferred Stock	Series A Preferred Stock	$	1	$	16.88		Series A Preferred Stock		$	1	$	16.88	$	—	$	—
Series B Preferred Stock	Series B Preferred Stock	1		$	15.94		Series B Preferred Stock		1		$	15.94	—		$	—
Total preferred stock dividends declared		$	2
Dividends paid:
Total preferred stock dividends							Total preferred stock dividends		$	2			$	—
Nine months ended June 30, 2022							Nine months ended June 30, 2022
Series A Preferred Stock	Series A Preferred Stock	$	1	$	16.88		Series A Preferred Stock		$	1	$	16.88			$	—
Series B Preferred Stock	Series B Preferred Stock	1		$	15.94		Series B Preferred Stock		1		$	15.94	—		$	—
Total preferred stock dividends paid		$	2
Total preferred stock dividends							Total preferred stock dividends		$	2			$	—


$ in millions	$ in millions	Net investment hedges		Currency translations		Subtotal: net investment hedges and currency translations		Available- for-sale securities		Cash flow hedges		Total		$ in millions	Net investment hedges		Currency translations		Subtotal: net investment hedges and currency translations		Available- for-sale securities		Cash flow hedges		Total
Three months ended December 31, 2022
Three months ended June 30, 2023														Three months ended June 30, 2023
AOCI as of beginning of period	AOCI as of beginning of period	$	153	$	(276)	$	(123)	$	(902)	$	43	$	(982)	AOCI as of beginning of period	$	136	$	(206)	$	(70)	$	(758)	$	30	$	(798)
OCI:	OCI:													OCI:
OCI before reclassifications and taxes	OCI before reclassifications and taxes	(19)		60		41		85		2		128		OCI before reclassifications and taxes	(22)		36		14		(102)		26		(62)
Amounts reclassified from AOCI, before tax	Amounts reclassified from AOCI, before tax	—		—		—		—		(5)		(5)		Amounts reclassified from AOCI, before tax	—		—		—		—		(9)		(9)
Pre-tax net OCI	Pre-tax net OCI	(19)		60		41		85		(3)		123		Pre-tax net OCI	(22)		36		14		(102)		17		(71)
Income tax effect	Income tax effect	5		—		5		(38)		1		(32)		Income tax effect	6		—		6		26		(5)		27
OCI for the period, net of tax	OCI for the period, net of tax	(14)		60		46		47		(2)		91		OCI for the period, net of tax	(16)		36		20		(76)		12		(44)
AOCI as of end of period	AOCI as of end of period	$	139	$	(216)	$	(77)	$	(855)	$	41	$	(891)	AOCI as of end of period	$	120	$	(170)	$	(50)	$	(834)	$	42	$	(842)

Three months ended December 31, 2021
Nine months ended June 30, 2023														Nine months ended June 30, 2023
AOCI as of beginning of period	AOCI as of beginning of period	$	81	$	(90)	$	(9)	$	(5)	$	(27)	$	(41)	AOCI as of beginning of period	$	153	$	(276)	$	(123)	$	(902)	$	43	$	(982)
OCI:	OCI:													OCI:
OCI before reclassifications and taxes	OCI before reclassifications and taxes	(2)		1		(1)		(72)		8		(65)		OCI before reclassifications and taxes	(45)		107		62		109		21		192
Amounts reclassified from AOCI, before tax	Amounts reclassified from AOCI, before tax	—		—		—		—		4		4		Amounts reclassified from AOCI, before tax	—		—		—		—		(22)		(22)
Pre-tax net OCI	Pre-tax net OCI	(2)		1		(1)		(72)		12		(61)		Pre-tax net OCI	(45)		107		62		109		(1)		170
Income tax effect	Income tax effect	1		—		1		17		(3)		15		Income tax effect	12		(1)		11		(41)		—		(30)
OCI for the period, net of tax	OCI for the period, net of tax	(1)		1		—		(55)		9		(46)		OCI for the period, net of tax	(33)		106		73		68		(1)		140
AOCI as of end of period	AOCI as of end of period	$	80	$	(89)	$	(9)	$	(60)	$	(18)	$	(87)	AOCI as of end of period	$	120	$	(170)	$	(50)	$	(834)	$	42	$	(842)

Three months ended June 30, 2022														Three months ended June 30, 2022
AOCI as of beginning of period														AOCI as of beginning of period	$	71	$	(91)	$	(20)	$	(380)	$	11	$	(389)
OCI:														OCI:
OCI before reclassifications and taxes														OCI before reclassifications and taxes	32		(64)		(32)		(206)		12		(226)
Amounts reclassified from AOCI, before tax														Amounts reclassified from AOCI, before tax	—		—		—		—		2		2
Pre-tax net OCI														Pre-tax net OCI	32		(64)		(32)		(206)		14		(224)
Income tax effect														Income tax effect	(8)		—		(8)		49		(4)		37
OCI for the period, net of tax														OCI for the period, net of tax	24		(64)		(40)		(157)		10		(187)
AOCI as of end of period														AOCI as of end of period	$	95	$	(155)	$	(60)	$	(537)	$	21	$	(576)

Nine months ended June 30, 2022														Nine months ended June 30, 2022
AOCI as of beginning of period														AOCI as of beginning of period	$	81	$	(90)	$	(9)	$	(5)	$	(27)	$	(41)
OCI:														OCI:
OCI before reclassifications and taxes														OCI before reclassifications and taxes	18		(65)		(47)		(711)		55		(703)
Amounts reclassified from AOCI, before tax														Amounts reclassified from AOCI, before tax	—		—		—		—		10		10
Pre-tax net OCI														Pre-tax net OCI	18		(65)		(47)		(711)		65		(693)
Income tax effect														Income tax effect	(4)		—		(4)		179		(17)		158
OCI for the period, net of tax														OCI for the period, net of tax	14		(65)		(51)		(532)		48		(535)
AOCI as of end of period														AOCI as of end of period	$	95	$	(155)	$	(60)	$	(537)	$	21	$	(576)


	Nine Months Ended June 30, 2023
$ in millions	Private Client Group		Capital Markets		Asset Management		Bank		Other and intersegment eliminations		Total
Revenues:
Asset management and related administrative fees	$	3,319	$	2	$	620	$	—	$	(24)	$	3,917
Brokerage revenues:
Securities commissions:
Mutual and other fund products	398		4		4		—		(2)		404
Insurance and annuity products	320		—		—		—		—		320
Equities, ETFs and fixed income products	259		96		—		—		(2)		353
Subtotal securities commissions	977		100		4		—		(4)		1,077
Principal transactions (1)	81		274		—		11		(2)		364
Total brokerage revenues	1,058		374		4		11		(6)		1,441
Account and service fees:
Mutual fund and annuity service fees	306		—		1		—		(1)		306
RJBDP fees	1,200		3		—		—		(859)		344
Client account and other fees	175		5		15		—		(34)		161
Total account and service fees	1,681		8		16		—		(894)		811
Investment banking:
Merger & acquisition and advisory	—		277		—		—		—		277
Equity underwriting	27		69		—		—		—		96
Debt underwriting	—		73		—		—		—		73
Total investment banking	27		419		—		—		—		446
Other:
Affordable housing investments business revenues	—		68		—		—		—		68
All other (1)	40		1		2		33		(11)		65
Total other	40		69		2		33		(11)		133
Total non-interest revenues	6,125		872		642		44		(935)		6,748
Interest income (1)	340		65		7		2,251		66		2,729
Total revenues	6,465		937		649		2,295		(869)		9,477
Interest expense	(76)		(64)		—		(733)		(38)		(911)
Net revenues	$	6,389	$	873	$	649	$	1,562	$	(907)	$	8,566


		Actual				Requirement for capital adequacy purposes				To be well-capitalized under regulatory provisions					Actual				Requirement for capital adequacy purposes				To be well-capitalized under regulatory provisions
$ in millions	$ in millions	Amount		Ratio		Amount		Ratio		Amount		Ratio		$ in millions	Amount		Ratio		Amount		Ratio		Amount		Ratio
RJF as of December 31, 2022:
RJF as of June 30, 2023:														RJF as of June 30, 2023:
Tier 1 leverage	Tier 1 leverage	$	8,844	11.3	%	$	3,121	4.0	%	$	3,901	5.0	%	Tier 1 leverage	$	8,928	11.4	%	$	3,135	4.0	%	$	3,919	5.0	%
Tier 1 capital	Tier 1 capital	$	8,844	20.3	%	$	2,618	6.0	%	$	3,490	8.0	%	Tier 1 capital	$	8,928	20.6	%	$	2,607	6.0	%	$	3,476	8.0	%
CET1	CET1	$	8,728	20.0	%	$	1,963	4.5	%	$	2,836	6.5	%	CET1	$	8,852	20.4	%	$	1,955	4.5	%	$	2,824	6.5	%
Total capital	Total capital	$	9,407	21.6	%	$	3,490	8.0	%	$	4,363	10.0	%	Total capital	$	9,540	22.0	%	$	3,476	8.0	%	$	4,345	10.0	%

RJF as of September 30, 2022:	RJF as of September 30, 2022:													RJF as of September 30, 2022:
Tier 1 leverage	Tier 1 leverage	$	8,480	10.3	%	$	3,304	4.0	%	$	4,130	5.0	%	Tier 1 leverage	$	8,480	10.3	%	$	3,304	4.0	%	$	4,130	5.0	%
Tier 1 capital	Tier 1 capital	$	8,480	19.2	%	$	2,651	6.0	%	$	3,534	8.0	%	Tier 1 capital	$	8,480	19.2	%	$	2,651	6.0	%	$	3,534	8.0	%
CET1	CET1	$	8,380	19.0	%	$	1,988	4.5	%	$	2,871	6.5	%	CET1	$	8,380	19.0	%	$	1,988	4.5	%	$	2,871	6.5	%
Total capital	Total capital	$	9,031	20.4	%	$	3,534	8.0	%	$	4,418	10.0	%	Total capital	$	9,031	20.4	%	$	3,534	8.0	%	$	4,418	10.0	%


INDEX
			PAGE
Factors affecting “forward-looking statements”			4753
Introduction			4753
Executive overview			4753
Reconciliation of non-GAAP financial measures to GAAP financial measures			4956
Net interest analysis			5259
Results of ~~Operations~~operations
Private Client Group			5564
Capital Markets			5969
Asset Management			6071
Bank			6374
Other			6476
Statement of financial condition analysis			6577
Liquidity and capital resources			6577
Regulatory			7184
Critical accounting estimates			7284
Recent accounting developments			7386
Risk management			7386


		Three months ended				Three months ended				Nine months ended
$ in millions	$ in millions	December 31, 2022		December 31, 2021			$ in millions	June 30, 2023			June 30, 2022		June 30, 2023		June 30, 2022
Net income available to common shareholders	Net income available to common shareholders	$	507	$	446		Net income available to common shareholders	$	369		$	299	$	1,301	$	1,068
Non-GAAP adjustments:	Non-GAAP adjustments:						Non-GAAP adjustments:
Expenses directly related to acquisitions included in the following financial statement line items:	Expenses directly related to acquisitions included in the following financial statement line items:						Expenses directly related to acquisitions included in the following financial statement line items:

Compensation, commissions and benefits — Acquisition-related retention		18		11

Compensation, commissions and benefits:							Compensation, commissions and benefits:
Acquisition-related retention							Acquisition-related retention	18			16		53		41
Other acquisition-related compensation							Other acquisition-related compensation	10			2		10		2
Total “Compensation, commissions and benefits” expense							Total “Compensation, commissions and benefits” expense	28			18		63		43
Professional fees	Professional fees	—		2			Professional fees	1			4		1		11

Other — Amortization of identifiable intangible assets		11		8

Bank loan provision for credit losses — Initial provision for credit losses on acquired loans							Bank loan provision for credit losses — Initial provision for credit losses on acquired loans	—			26		—		26
Other:							Other:
Amortization of identifiable intangible assets							Amortization of identifiable intangible assets	11			8		33		22
Initial provision for credit losses on acquired lending commitments							Initial provision for credit losses on acquired lending commitments	—			5		—		5
All other acquisition-related expenses							All other acquisition-related expenses	—			4		—		10
Total “Other” expense							Total “Other” expense	11			17		33		37
Total expenses related to acquisitions	Total expenses related to acquisitions	29		21			Total expenses related to acquisitions	40			65		97		117
Other — Insurance settlement received	Other — Insurance settlement received	(32)		—			Other — Insurance settlement received	—			—		(32)		—
Pre-tax impact of non-GAAP adjustments	Pre-tax impact of non-GAAP adjustments	(3)		21			Pre-tax impact of non-GAAP adjustments	40			65		65		117
Tax effect of non-GAAP adjustments	Tax effect of non-GAAP adjustments	1		(5)			Tax effect of non-GAAP adjustments	(10)			(16)		(16)		(29)
Total non-GAAP adjustments, net of tax	Total non-GAAP adjustments, net of tax	(2)		16			Total non-GAAP adjustments, net of tax	30			49		49		88
Adjusted net income available to common shareholders	Adjusted net income available to common shareholders	$	505	$	462		Adjusted net income available to common shareholders	$	399		$	348	$	1,350	$	1,156

Compensation, commissions and benefits expense	Compensation, commissions and benefits expense	$	1,736	$	1,884		Compensation, commissions and benefits expense	$	1,851		$	1,834	$	5,407	$	5,570
Less: Acquisition-related retention (as detailed above)		18		11
Less: Total compensation-related acquisition expenses (as detailed above)							Less: Total compensation-related acquisition expenses (as detailed above)	28			18		63		43
Adjusted “Compensation, commissions and benefits” expense	Adjusted “Compensation, commissions and benefits” expense	$	1,718	$	1,873		Adjusted “Compensation, commissions and benefits” expense	$	1,823		$	1,816	$	5,344	$	5,527


	Three months ended
Earnings per common share	December 31, 2022		December 31, 2021



















Diluted earnings per common share	$	2.30	$	2.10
Impact of non-GAAP adjustments on diluted earnings per common share:
Compensation, commissions and benefits — Acquisition-related retention	0.08		0.05


Professional fees	—		0.01


Other — Amortization of identifiable intangible assets	0.06		0.03



Total expenses related to acquisitions	0.14		0.09
Other — Insurance settlement received	(0.15)		—
Tax effect of non-GAAP adjustments	—		(0.02)
Total non-GAAP adjustments, net of tax	(0.01)		0.07
Adjusted diluted earnings per common share	$	2.29	$	2.17


Return on common equity	Return on common equity	Three months ended				Return on common equity	Three months ended				Nine months ended
$ in millions	$ in millions	December 31, 2022		December 31, 2021				$ in millions	June 30, 2023		June 30, 2022		June 30, 2023		June 30, 2022
Average common equity	Average common equity	$	9,537	$	8,423			Average common equity	$	9,873	$	8,999	$	9,705	$	8,711
Impact of non-GAAP adjustments on average common equity:	Impact of non-GAAP adjustments on average common equity:							Impact of non-GAAP adjustments on average common equity:

Compensation, commissions and benefits — Acquisition-related retention		9		6

Compensation, commissions and benefits:								Compensation, commissions and benefits:
Acquisition-related retention								Acquisition-related retention	9		8		27		19
Other acquisition-related compensation								Other acquisition-related compensation	4		1		2		1
Total “Compensation, commissions and benefits” expense								Total “Compensation, commissions and benefits” expense	13		9		29		20
Professional fees	Professional fees	—		1				Professional fees	1		2		—		5

Other — Amortization of identifiable intangible assets		5		4

Bank loan provision for credit losses — Initial provision for credit losses on acquired loans								Bank loan provision for credit losses — Initial provision for credit losses on acquired loans	—		13		—		7
Other:								Other:
Amortization of identifiable intangible assets								Amortization of identifiable intangible assets	6		4		17		11
Initial provision for credit losses on acquired lending commitments								Initial provision for credit losses on acquired lending commitments	—		3		—		1
All other acquisition-related expenses								All other acquisition-related expenses	—		2		—		4
Total “Other” expense								Total “Other” expense	6		9		17		16
Total expenses related to acquisitions	Total expenses related to acquisitions	14		11				Total expenses related to acquisitions	20		33		46		48
Other — Insurance settlement received	Other — Insurance settlement received	(16)		—				Other — Insurance settlement received	—		—		(24)		—
Tax effect of non-GAAP adjustments	Tax effect of non-GAAP adjustments	1		(3)				Tax effect of non-GAAP adjustments	(5)		(8)		(5)		(12)
Total non-GAAP adjustments, net of tax	Total non-GAAP adjustments, net of tax	(1)		8				Total non-GAAP adjustments, net of tax	15		25		17		36
Adjusted average common equity	Adjusted average common equity	$	9,536	$	8,431			Adjusted average common equity	$	9,888	$	9,024	$	9,722	$	8,747


Fed Funds Target Rate Schedule
RJF ~~Fiscal~~fiscal quarter ended	~~Date~~Effective date of interest rate action	Increase/(decrease) in interest rates (in basis points)	Fed funds target rate
March 31 2020	March 16, 2020	(100)	0.00% - 0.25%
March 31, 2022	March 17, 2022	25	0.25% - 0.50%
June 30, 2022	May 5, 2022	50	0.75% - 1.00%
June 30, 2022	June 16, 2022	75	1.50% - 1.75%
September 30, 2022	July 28, 2022	75	2.25% - 2.50%
September 30, 2022	September 22, 2022	75	3.00% - 3.25%
December 31, 2022	November 3, 2022	75	3.75% - 4.00%
December 31, 2022	December 15, 2022	50	4.25% - 4.50%
~~Rate changes subsequent to December 31, 2022~~
March 31, 2023	February 1,2, 2023	25	4.50% - 4.75%
March 31, 2023	March 23, 2023	25	4.75% - 5.00%
June 30, 2023	May 4, 2023	25	5.00% - 5.25%
Rate changes subsequent to June 30, 2023
September 30, 2023	July 27, 2023	25	5.25% - 5.50%


	Three months ended June 30,
	2023 compared to 2022
	Increase/(decrease) due to
$ in millions	Volume		Rate		Total
Interest-earning assets:	Interest income
Bank segment:
Cash and cash equivalents	$	10	$	57	$	67
Available-for-sale securities	4		15		19
Loans held for sale and investment:
Loans held for investment:
SBL	52		121		173
C&I loans	13		109		122
CRE loans	37		63		100
REIT loans	3		17		20
Residential mortgage loans	14		9		23
Tax-exempt loans	3		—		3

Loans held for sale	—		2		2
Total loans held for sale and investment	122		321		443
All other interest-earning assets	—		1		1
Interest-earning assets — Bank segment	$	136	$	394	$	530
All other segments:
Cash and cash equivalents	$	(2)	$	34	$	32
Assets segregated for regulatory purposes and restricted cash	(35)		54		19
Trading assets — debt securities	10		(1)		9
Brokerage client receivables	(3)		21		18
All other interest-earning assets	(6)		11		5
Interest-earning assets — all other segments	$	(36)	$	119	$	83
Total interest-earning assets	$	100	$	513	$	613

Interest-bearing liabilities:	Interest expense
Bank segment:
Bank deposits:
Money market and savings accounts	$	3	$	116	$	119
Interest-bearing demand deposits	88		62		150
Certificates of deposit	15		12		27
Total bank deposits	106		190		296
FHLB advances and all other interest-bearing liabilities	2		5		7
Interest-bearing liabilities — Bank segment	$	108	$	195	$	303
All other segments:
Trading liabilities — debt securities	$	7	$	1	$	8
Brokerage client payables	(3)		17		14

All other interest-bearing liabilities	17		(16)		1
Interest-bearing liabilities — all other segments	$	21	$	2	$	23
Total interest-bearing liabilities	$	129	$	197	$	326
Change in firmwide net interest income	$	(29)	$	316	$	287


	Three months ended December 31,
	2022 compared to 2021
	Increase/(decrease) due to
$ in millions	Volume		Rate		Total
Interest-earning assets:	Interest income
Bank segment:
Cash and cash equivalents	$	—	$	21	$	21
Available-for-sale securities	8		23		31
Loans held for sale and investment:
Loans held for investment:
SBL	87		104		191
C&I loans	21		93		114
CRE loans	44		46		90
REIT loans	4		13		17
Residential mortgage loans	16		4		20
Tax-exempt loans	4		(2)		2

Loans held for sale	(3)		4		1
Total loans held for sale and investment	173		262		435
All other interest-earning assets	(1)		3		2
Interest-earning assets — Bank segment	$	180	$	309	$	489
All other segments:
Cash and cash equivalents	$	(2)	$	33	$	31
Assets segregated for regulatory purposes and restricted cash	(15)		61		46
Trading assets — debt securities	6		4		10
Brokerage client receivables	(5)		25		20
All other interest-earning assets	1		5		6
Interest-earning assets — all other segments	$	(15)	$	128	$	113
Total interest-earning assets	$	165	$	437	$	602

Interest-bearing liabilities:	Interest expense
Bank segment:
Bank deposits:
Money market and savings accounts	$	—	$	120	$	120
Interest-bearing checking accounts	44		2		46
Certificates of deposit	2		2		4
Total bank deposits	46		124		170
FHLB advances and all other interest-bearing liabilities	4		1		5
Interest-bearing liabilities — Bank segment	$	50	$	125	$	175
All other segments:
Trading liabilities — debt securities	5		4		9
Brokerage client payables	(5)		21		16

All other interest-bearing liabilities	2		2		4
Interest-bearing liabilities — all other segments	$	2	$	27	$	29
Total interest-bearing liabilities	$	52	$	152	$	204
Change in firmwide net interest income	$	113	$	285	$	398