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Chris McGraty

Managing Director and Head of U.S. Bank Research at KBW

Christopher McGratty is a Managing Director and Head of U.S. Bank Research at Keefe, Bruyette & Woods (KBW), specializing in comprehensive equity research on large-cap and mid-cap U.S. banks. He covers a portfolio of 26 publicly traded financial companies, including institutions such as Comerica, Commerce Bancshares, and Fulton Financial, and has achieved a 68% success rate with an average 12% return per recommendation, including a standout return of 107% on First Republic Bank. McGratty began his finance career at Morgan Stanley as a Financial Controller before joining KBW in 2004, and has risen from leading the firm's SMID-cap bank research to his current senior leadership role; he was named Head of U.S. Bank Research in 2020. He holds a B.S. from Villanova University, is a CFA charterholder, and has been recognized by Institutional Investor with top two analyst rankings for U.S. mid-cap banks in 2023 and 2024.

Chris McGraty's questions to PNC FINANCIAL SERVICES GROUP (PNC) leadership

Question · Q3 2025

Chris McGraty asked about the drivers behind the $9 billion surge in commercial interest-bearing deposits during the third quarter, whether it represented new balance sheet activity or a change in client behavior, and the outlook for this trend. He also inquired about expectations for the deposit mix growth heading into next year, given lower rates and the commercial focus of year-over-year growth.

Answer

EVP and CFO Rob Reilly explained that the deposit surge was a combination of new and existing corporate clients, with some customers shifting from sweep accounts and money markets to on-balance sheet deposits due to narrowing rate differentials. Mr. Reilly anticipates further deposit growth next year, with the mix remaining fairly stable, though a slight increase in non-interest-bearing deposits is possible in the fourth quarter.

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