Looking back on a year of interrelated and cascading pressures, State Street demonstrated the strength and diversification of our franchise and the commitment of our employees in support of our clients. As an essential partner to many of the world's institutional investors, State Street offers a range of capabilities across the investment life cycle, including investment servicing, investment management, research, and trading. State Street provides its clients with deep industry expertise and global reach, economies of scale, skill, and sophisticated risk management, all of which are built upon a foundation of trust earned from our history of effectively serving partners through all environments.

Our deep experience and history — State Street was founded in 1792 — enable us to be future-facing, innovative, and technology-led across our businesses and functions. State Street has innovated many industry firsts that have played an important role in shaping the future of financial services — from co-creating exchange-traded funds (ETFs) 30 years ago to launching the investment services industry's first comprehensive front-to-back platform in State Street Alpha℠ just a few years ago to today working to tokenize assets. We also support and enable the global financial system through our engagement with industry participants, policymakers, central banks, and other organizations.

In 2022, State Street once again demonstrated its strength and resiliency — serving its clients and shareholders through market volatility and external macro shocks. The ongoing war in Ukraine, persistent inflation and rising interest rates, supply chain disruptions, tight labor market challenges — these and other pressures placed significant burdens on our clients and investors worldwide.

Policymakers have been required to raise interest rates after a long period of near zero rates, with the most aggressive rate hikes coming from the Federal Reserve throughout 2022. Inflation rates have fallen, but nowhere close to the Fed's 2 percent target. However, other collateral consequences are emerging from this rapid rise in the cost of money. And just days before this report was set to print, Silicon Valley Bank and Signature Bank collapsed as a result of balance sheets impaired by rising rates and extraordinary deposit outflows. First Republic Bank, threatened by the same combination of forces, was supported by a consortium of 11 large banks, including State Street.

These events also suggest that adjusting and responding to inflation after so many years of its absence likely will create new risks for markets and investors. At the same time, the strength and resilience of State Street and other large U.S. banks is reflected in the action taken to support our industry and underscores the importance of being a trusted partner to clients and a steadying force during changing and challenging times. Against this backdrop, State Street's purpose — to help achieve better outcomes for the world's investors and the people they serve — has never been more important.

Our strong full-year 2022 results reflect our strategic ambition to be the world's leading technology-led investment services platform and a winning globally scaled index and systematic investment manager. These results were underpinned by our relentless focus on innovation, the power of our distinctive value proposition, and State Street's diversified products and services. This strategy continues to resonate with the marketplace, as demonstrated by yet another year of strong client wins.

In 2022, clients entrusted us with $1.9 trillion of total new asset servicing wins, including additional Alpha client mandates and relationship expansions; the Markets and Financing businesses achieved year-over-year revenue growth while continuing to support clients through a changing and volatile environment with a variety of sophisticated markets and financing services; and State Street Global Advisors continued to innovate through the introduction of new products including State Street's SPDR® Portfolio Low-Cost Suite and Fixed Income solutions.

While achieving this growth, State Street also continued to deliver strong expense management and productivity gains. While continuing to innovate and drive forward our ambitious multi-year strategic agenda, our performance was also reflected in 2022 total shareholder return, which exceeded our industry peers and the S&P 500.

To help create better outcomes for the world's investors and the people they serve.

We achieved solid financial performance in 2022, with net income of $2.8 billion, up 3 percent from 2021. This growth was achieved despite significantly depressed market levels, which directly affect State Street's fee revenue.

Investment Servicing assets under custody and/or administration (AUC/A) were $36.7 trillion at year-end, a decrease of 16 percent compared to 2021, primarily due to lower market levels.

State Street Global Advisors assets under management (AUM) were $3.5 trillion as of December 31, 2022, a decrease of 16 percent compared to December 31, 2021, primarily due to lower market levels.

Total revenue for 2022 increased 1 percent compared to last year, despite weaker equity and fixed income market levels during a challenging economic environment, with total fee revenue down 4 percent compared to 2021.

Weaker average market levels created fee revenue headwinds for our Investment Servicing and Asset Management businesses in 2022, as servicing and management fees decreased 8 percent and 6 percent year-over-year, respectively. Our Markets and Financing businesses, however, combined with higher interest rates and our deposit strategy, produced materially higher net interest income (NII), which increased 34 percent compared to 2021 from $1.9 billion to $2.5 billion, primarily due to higher interest rates from U.S. and international central bank rate hikes, and our balance sheet strategy.

Foreign Exchange (FX) trading services revenue was up 14 percent in 2022 versus the prior year, reflecting higher FX spreads and increased clients on our platform, partially offset by lower client FX volumes. And front-office software and data revenue was up 14 percent compared to 2021, demonstrating the revenue diversification benefits of our business model.

Total expenses decreased by 1 percent in 2022, reflecting continued productivity improvements and currency translation benefits, partially offset by ongoing business investments and salary increases. Firm-wide productivity efforts achieved gross savings of approximately $320 million, partially self-funding internal investments and partially offsetting inflation pressures. Our businesses gained broad efficiency improvements through operations, automation, IT, and vendor and real estate management. We reinvested in the business to drive growth and further productivity.

I am pleased to report that in 2022 we continued to progress State Street toward its financial goals, delivering the third consecutive year of both pre-tax margin expansion and higher return on equity (ROE) despite the broad market downturns.

Pre-tax margin increased to 27.4 percent, up 1.0 percentage point compared to last year, while ROE was 11.1 percent, up 0.4 percentage points year-over-year. Diluted earnings per share was $7.19, flat versus the prior year largely as a result of a higher share count.

Capital return is important to our shareholders and remains an explicit target for us. In 2022, we increased our quarterly common stock dividend by 10.5 percent to $0.63 per share, and in 2022 we returned approximately $2.4 billion to our shareholders in the form of common stock dividends and as we resumed common share repurchases in the fourth quarter.

Investment Services: Delivering The Future To Our Clients

Our Investment Servicing business provides a range of services and products for institutional investors of all types and across geographies worldwide. We enable our clients to invest and execute investment transactions daily in markets across the globe and more efficiently perform services associated with the execution, clearing, and settlement of securities transactions and related payments.

In May, Lou Maiuri was appointed President and Head of Investment Services in addition to his chief operating officer responsibilities. Investment Services achieved servicing wins of $1.9 trillion in 2022, with $3.6 trillion of new business yet-to-be-installed at year-end, underscoring the power of our distinctive value proposition. Investment Servicing revenue increased 4 percent as compared to 2021, as the impact of weaker average equity and fixed income market levels on servicing fees was more than offset by stronger FX trading services revenue, an increase in software and processing fees, and robust NII growth.

Our Asia-Pacific (APAC) region — which last year celebrated its 40^th anniversary since opening its first office in Hong Kong — achieved its best sales performance ever, with $470 billion in new wins. This included winning Australia's largest custody mandate in history — the newly formed Australian Retirement Trust — among other important wins. Our continued strength and success in APAC were recognized by a number of regional awards, including being named Best Custodian for Asset Owners in the AsianInvestor Asset Management Awards, and Best Global Custodian in APAC (25 Years) and Best Middle- and Back-Office Provider in the Asia Asset Management Best of the Best Awards.

Last year Investment Services continued to progress its transformation agenda, which focuses on operational and technology resiliency and productivity while driving innovation and growth. Highlights of that effort included further implementation of our infrastructure modernization effort, accelerated by key strategic partnerships with the industry's leading technology and cloud service providers.

Central to our Investment Services strategy is the State Street Alpha℠ platform — our comprehensive, front-to-back open architecture platform that empowers our clients to customize and manage their end-to-end investment process and operation — which continued to grow in 2022. Last year we won three new Alpha mandates, expanded 17 existing Alpha client relationships, and at year-end had 12 clients live on the platform.

Since launching Alpha in 2019, we have continued to enhance its capabilities and technology architecture: We have migrated Alpha to the cloud, onboarded new clients, and expanded the platform through key strategic partnerships with leading fintech companies. The State Street Alpha Data Platform, which is built on the Snowflake® data cloud, is live and enables data security and integrity for our clients while streamlining data flow across the front, middle, and back office.

We are now scaling and extending Alpha into new areas. Alpha for Private Markets, launched in 2021, allows institutional investors to fully manage the entire life cycle of their private equity, real estate, infrastructure, private debt, and fund of funds investments through a single fully integrated, digital, front-to-back platform — giving us an early advantage in the private markets space.

Our Alpha platform is a significant key differentiator for State Street. The platform is deepening our relationships with our clients as an enterprise outsource partner and is also driving core back-office servicing growth. Finally, Alpha is enabling us to build relationships in new client segments. In 2023, we plan to further advance Alpha implementation through ongoing software development and scaling core capabilities.

A key component of Alpha is Charles River Development (CRD). CRD is an industry-leading, cloud-deployed technology through which we provide front-office solutions and services for institutional investors. At 2022 year-end, 86 CRD clients were live on Microsoft Azure's cloud solution. In 2023, CRD will deliver significant new software releases to clients, including a comprehensive fixed income upgrade.

We launched State Street Digital® in 2021 to help institutional investors prepare for and thrive in a digital finance future. We have prioritized the tokenization of various asset classes and the greater digitalization of State Street's businesses. As institutional investors continue to recognize the benefits of tokenization and the utilization of blockchain technology, we have started to embed State Street Digital into the larger Investment Services product suite to help clients further capture synergies across governance, technical engineering, and products.

Global Markets' Outstanding Year Of Growth And Client Service

State Street's Global Markets and Financing — which supports our Investment Services clients — is a leading provider of liquidity, financing and research solutions. The business had an outstanding year of growth and innovation in 2022. Full-year 2022 FX trading services revenues increased 14 percent compared to 2021 and State Street once again earned several prestigious Euromoney FX Survey 2022 awards, including being named No. 1 FX provider to asset managers in 2022 (up from No. 2 last year). We are growing our markets and financing businesses by efficiently deploying capital and investing in technology across FX trading and securities finance and lending divisions. In May 2022, Eric Aboaf was appointed Vice Chairman and assumed oversight and accountability for State Street's Global Markets business in addition to his duties as chief financial officer.

Our proprietary GlobalLink technology platform, which brings together the trading and liquidity infrastructure our clients need with digital custody and tokenization capabilities, continued to win new clients. And through State Street Associates®, our academic and financial research arm, we continued to distinguish our research as a true differentiator for clients. This is particularly so for our PriceStats® inflation-tracking tool, a leading source of high-frequency global inflation analytics, which proved especially valuable to clients and policymakers last year as it helped them better manage inflation risk and make better-informed asset allocation decisions.

In November, we launched Venturi, a new peer-to-peer financing platform. Venturi is specifically designed to connect buy-side firms with new sources of liquidity in the global repo markets, leveraging the breadth of our Investment Services client base while also providing a capital-efficient offering.

State Street Global Advisors: Innovating To Meet Changing Market Environments

A pioneer in indexing and quantitative investing, creator of many of the industry's first ETFs, and the world's fourth-largest asset manager (by AUM), State Street Global Advisors serves some of the largest and most sophisticated institutional investors with investment solutions covering most major asset classes, investment styles, and vehicles.

Global Advisors' full-year 2022 net inflows across Cash Solutions and State Street's SPDR ETFs franchise of $22 billion demonstrated the strength and diversity of Global Advisors strategies, even in the face of down markets.

As cash became desirable to investors seeking yield and downside protection last year, Global Advisors provided clients with attractive investment opportunities. Our Cash Solutions franchise gained market share in money market funds in 2022 and helped Global Advisors become one of only five firms among the top 10 global institutional money market fund providers that saw net positive flows in 2022.

During 2022, Global Advisors launched a range of important solutions to address client demand for fixed income solutions with liquidity, including: the SPDR Blackstone High Income Fund (HBYL), an active fixed income ETF; SPDR MarketAxess Investment Grade 400 Corporate Bond ETF (LQIG), focused on the most liquid names in the market; and a collaboration with Barclays Quantitative Portfolio Strategy (Barclays QPS) to help meet the needs of investors seeking active fixed income strategies.

As investor demand for environmental, social and governance (ESG) investment solutions continued to grow, last year Global Advisors launched additional new ESG-related ETF offerings, including SPDR MSCI Climate Aligned ETFs (NZUS and NZAC), which are aligned with the Paris Climate Agreement, and the active SPDR Nuveen Municipal Bond ESG Fund (MBNE). In 2023, State Street celebrates the 30^th anniversary of launching the first U.S.-listed ETF, thereby helping to open doors to markets, liquidity, and investment efficiency previously unavailable to the majority of investors.

Global Advisors continued to grow in defined contribution (DC) offerings, with $48 billion of overall inflows in 2022, including Target Date Fund franchise net inflows of $21 billion. Our innovative IncomeWise solution, developed in partnership with the University of California, Berkeley, continued to see increased client adoption. IncomeWise provides the benefit of longevity protection, helping DC participants maintain income in retirement.

Finally, toward year-end we welcomed Global Advisors' new Chief Executive Officer, Yie-Hsin Hung. Yie-Hsin succeeds Cyrus Taraporevala, who retired in early 2023. Yie-Hsin's deep experience positions her well to lead Global Advisors and realize its vision of being the world's leading partner and provider of investment exposures and tailored asset management solutions.

ESG Conviction: Delivering Value To Investors And Shareholders

During a year in which ESG spurred much political rhetoric, State Street continued to serve clients under the proposition that ESG-related issues constitute both risks and opportunities for investors and portfolio companies.

Most of our clients invest with a long-term horizon because their liabilities are similarly long-term. At its highest level, ESG is an evaluation and assessment of long-term risk for investors and associated implications for companies and policymakers. It is a more complete view of value creation and risk mitigation. Though we each have values, ESG for State Street is about value, not only values.

State Street employs a three-pronged approach to ESG: as a corporation, investment manager, and investment servicer. As ESG considerations evolve, State Street will continue to partner with clients, regulators, and the communities in which we live and work to navigate this changing landscape and the complexities that regulations and market dynamics may bring.

A brief word on climate, which today is the most actively debated aspect of ESG. We believe that climates are changing, and that emissions are in part driving this change. We believe that climate change presents both risks and opportunities that investors want disclosed. We believe that addressing climate change requires strategic plans that outline investment — not divestment — in high-emitting industries — to effect change and enable the world's energy transition.

In 2022, we progressed our corporate ESG objectives through important initiatives that included the release of our Sustainability Bond Framework and issuance of our first Sustainability Bond, the proceeds of which will be exclusively allocated to projects with positive environmental impacts and/or positive social outcomes aligned to one or more of the U.N. Sustainable Development Goals.

State Street Global Advisors has long enabled and encouraged its institutional clients in separate accounts to vote their proxies. In 2022, Global Advisors announced it would extend proxy voting choice to more index fund investors.

Diversity, equity, and inclusion (DEI) is a business imperative for State Street. Diversity is a reflection of our clients, employees, and communities. And it is a crucial ingredient when it comes to spurring new ways of thinking and attracting the next generation of talent. Thus, we are committed to DEI because it adds value.

In 2022, State Street furthered its commitment to DEI by continuing partnerships with minority-, women-, and veteran-owned institutions. Last year we achieved our commitment of having at least one diverse firm as a bookrunner in each of our corporate debt issuances as well as having multiple diverse co-managers. Approximately 40 percent of underwriting fees were paid to diverse firms for the $3.75 billion of corporate debt that we issued to the public in 2022.

We are proud of State Street's charitable and philanthropic work. As a global organization with more than 6,000 employees in Poland, supporting neighboring Ukraine was a cause that galvanized our firm in 2022. In addition to charitable contributions, we contributed to the humanitarian relief effort through ramping up employee training programs to assist displaced people from Ukraine. Our Polish teammates donated over 5,000 volunteer hours with Polish charities. This does not include the many Polish employees who have housed Ukrainian refugees. On a personal level, having visited Poland in March and September 2022, I can attest that the on-the-ground efforts of our Polish colleagues have been stirring and inspiring.

The impact of the war in Ukraine also created considerable challenges for the markets that we serve. One way in which we supported our clients and other stakeholders was through our expanded Client Office Hours sessions. We held 29 such gatherings, with more than 6,000 clients, dedicated to helping them navigate topics such as sanctions, investment challenges, and operational concerns.

Sustained sources of good talent fuel our business. Last year we increased by 40 percent our investment in Early College — a nonprofit initiative that allows low-income high school students to complement their studies with tailored college-level coursework that is offered at no cost to the student — and launched the University of Massachusetts Boston's Early College Pilot Program. We also made a significant investment in the European Network Against Racism (ENAR) to advance racial equality advocacy in Europe.

Building on our strategy, our focus in 2023 is ongoing execution to grow our business profitably, transform the way we work, and build a higher-performing organization, all of which drive increased shareholder value:

Growing Our Business Profitably means remaining focused on high-priority revenue growth opportunities for the benefit of our shareholders including to:

• Continue to drive growth in core Investment Services products globally.
• Advance the build-out of Alpha as an industry-leading platform with growth in front, middle, and back office, and leverage our differentiated Alpha value proposition across all target market segments — including investment managers and private markets — as we position ourselves to become the industry's leading investment servicer platform and enterprise outsourced solutions provider.
• Maintain and grow our leadership positions through product and geographic reach. This includes extending our Global Markets services to more Investment Services clients, particularly our liquidity, financing, and research solutions. At Global Advisors, we look to continue to build on our strengths in indexing, cash, and select active and multi-asset capabilities, while accelerating growth efforts in fast-growing segments and geographies where we are positioned to win.
• Pursue new growth and innovation opportunities in wealth services and digital assets.

Transforming the Way We Work by leading with service excellence and resilience and continuously improving productivity as a differentiator as we further build out a simplified, scalable, and configurable end-to-end operating model.

Building a Higher-Performing Organization by fostering an even more results-oriented and accountability-driven culture required for future growth.

Executing against the first three priorities positions us to achieve our financial goals: positive operating leverage, expanding pre-tax margin, returning capital, and driving higher return on equity. That is, continuing to improve value to you, our shareholders.

Supported by our strength and scale, our distinctive value proposition and diversified offerings, and our resilient operating model, I believe we are well-positioned to execute on each of these strategic priorities in 2023 as we advance toward achieving these goals. We undertake this work while recognizing the important role we play in supporting and shaping the future of the investment ecosystem through our services, innovation, and deep engagement with industry stakeholders.

In closing, I would like to express deepest gratitude to our full range of stakeholders — our shareholders, clients, employees, community partners — and, in particular, our skilled Board of Directors — for going above and beyond during a most extraordinary year.

Our vision is for State Street to be widely considered the best partner, operator, innovator, steward of capital, and talent magnet in the industry. We believe we have the pieces in place — the strategy, the capabilities, the people, and the expertise — to make that vision a reality.

We are fueled by our shared sense of purpose — to help the world's investors achieve better outcomes for the people they serve. For this and more, I thank you for your continued partnership and trust.

RONALD P. O'HANLEY Chairman and CEO

FORWARD-LOOKING STATEMENTS

This annual report contains forward-looking statements as defined by U.S. securities laws. These statements are not guarantees of future performance, are inherently uncertain, are based on assumptions that are difficult to predict and have a number of risks and uncertainties.

Further, they speak only as of the time this annual report is first published, and State Street does not undertake efforts to revise forward-looking statements. Refer to Item 1A of the Form 10-K included within this annual report for details.