Expense management

The largest U.S. bank's strong third quarter did not insulate its leaders from being pressed about the downside of pricey investments in technology, whether capital rules make commercial lending growth hard for big banks to achieve, and whether another economic downturn is edging closer.

Banks’ tab to fight hackers rose 9% from last year by one measure. Investors want them to rein in tech investments, but security experts say the crooks are getting smarter and smarter.

The cuts are part of a broader effort to trim expenses by roughly $3 billion a year by 2020.

The company said the move should address investor concerns about potential margin compression, slower loan growth and an economic slowdown.

Prosperity Bancshares in Houston said that its earnings increased 19% from a year earlier as its efficiency ratio rose.

Banks could shed as much as 20 million square feet of office space over the next five years as they shift many functions to high-tech operations centers in markets with cheaper rents.

Banc of California in Santa Ana will cut roughly 9% of its workforce as it looks to trim $15 million in expenses.

The Seattle company is firing 127 people, or a tenth of its mortgage staff, after enduring months of slow activity.

Whether they’re thwarting cyber thieves or building out new apps, bank chiefs say hefty tech investments are now a cost of doing business — but they have to convince shareholders.

The $1.9 trillion-asset bank is under pressure to provide investors more information about when it expects to resolve the numerous headaches that have arisen in the wake of its phony-accounts scandal.