BNY (BK) announced a 17% increase in first-quarter profits on Friday, attributed to higher assets under custody that boosted fee income. The bank's stock price surged by 4% in premarket trading the same day. Growth in the bank's fees, usually based on assets under custody, was supported by acquiring new clients and increased market volatility, prompting investors to rearrange their portfolios to mitigate risks.

Adjusted profit for BNY shareholders for the three-month period ending March 31 was $1.15 billion, or $1.58 per share, compared to $982 million, or $1.25 per share a year earlier. BNY President and CEO, Robin Vince, stated that the bank is prepared for various economic and market situations as the operating environment outlook grows more uncertain.

In the reported quarter, total fee revenue for BNY rose by 3% year-on-year to $3.40 billion. Net interest income, reflecting the difference between earnings from assets and liabilities expenditures, increased by 11% to $1.16 billion.

BNY's assets under custody and administration reached $53.1 trillion in the first quarter, marking a 9% rise from the previous year's figures.