Raymond James CEO on loan quality: Spread extremely tight for high yield & investment grades credit

Company Performance & Financial Health - Raymond James reported its fifth consecutive record year of revenues and earnings [3] - Non-performing loans to total loans are around 05%, which is historically very low [5] Market & Economic Outlook - Analysts are bullish on Raymond James stock, with price target hikes from multiple firms [1] - The company anticipates demand for securities-based loans to increase as interest rates are expected to decrease [1] - Credit spreads in both high yield and investment grade categories are near record lows, indicating a strong economy [6] - The banking system is well-capitalized and can absorb potential credit losses [9] Strategic Initiatives & Technology - Raymond James is doubling down on its AI investment, including promoting a chief AI officer and head of AI strategy [10] - The company is focusing on resiliency, cybersecurity, efficiencies, and data-driven insights within its technology platform [11][12] - AI is expected to drive productivity gains, earnings growth, and valuations for companies [13]