Banner year for Wall Street is good news for state and NYC coffers, report says

Wall Street is on pace to have one of its most profitable years ever, according to a new state report.

That’s good news for the New York state and city governments.

The report from Comptroller Thomas DiNapoli’s office found New York’s securities industry saw $30.4 billion in profit in the first half of 2025, putting it on pace to top last year’s $49.9 billion, which itself was the fourth-most profitable year on record.

Both the state and New York City governments rely on Wall Street for a significant chunk of their tax revenue, with the securities industry accounting for nearly 20% — or $22 billion — of total tax collected by the state in its last fiscal year, according to the report. The industry also accounted for about a quarter of the city’s personal income tax.

“The securities industry’s gains provide an important boost for tax revenues that support critical investments in housing, transportation and public services that New Yorkers depend on,” DiNapoli said in a statement.

DiNapoli’s office analyzes Wall Street profits each year as an indicator of the state and city’s broader economic condition. The comptroller looks at the pretax profits of the 130 firms that are licensed to trade on the New York Stock Exchange.

The securities industry had a total of 201,500 jobs in 2024, which was the highest level on record.

The average salary in New York City’s securities industry was $505,630 last year, an increase of more than 7% from 2023 but trailing behind the all-time high of $516,520 in 2021, according to the report. That includes compensation from bonuses, with the average bonus totaling $244,700 per employee.

About one in 13 jobs in New York City were associated with the industry, DiNapoli’s report estimates. The industry accounted for an estimated 17.7% of the city’s gross product, according to DiNapoli’s estimates.

DiNapoli’s report comes as Gov. Kathy Hochul and state lawmakers begin to look ahead to the next state budget for the fiscal year that will begin April 1. The most recent estimates from Hochul’s budget division suggest the state could be facing a budget deficit of more than $10 billion — a number that would come down if tax collections outpace projections.

State budget negotiations begin in January, when lawmakers return to the Capitol for their annual session.

While the securities industry’s performance was strong in the first half of 2025, DiNapoli warned of potential challenges in the second half of the year.

“While uncertainty remains around interest rates, inflation and the broader economy, Wall Street looks to have another strong year,” he said.

Earlier this month, Jamie Dimon, chair and CEO of JPMorgan Chase, struck a similarly cautious tone in discussing the banking giant’s third-quarter results.

“While there have been some signs of a softening, particularly in job growth, the U.S. economy generally remained resilient,” Dimon said. “However, there continues to be a heightened degree of uncertainty stemming from complex geopolitical conditions, tariffs and trade uncertainty, elevated asset prices and the risk of sticky inflation.”