Last year was another demonstration of the many paths of growth available to Bank of America – throughout 2006 it launched a number of initiatives to improve shareholder return. The group’s ability to innovate, integrate and execute to serve customers’ needs enabled it to grow its customer relationships by 45%, with 28.4% growth in net profits.
Bank of America acquired the US Trust Corporation, which significantly increased the size and capabilities of its wealth business and positions the bank as one of the largest financial services companies managing private wealth in the US. As one of the oldest, largest and most respected private banks in the country, US Trust combined with The Private Bank of Bank of America to create the leading private bank in the country.
In Q2/07, Bank of America announced an agreement to acquire 24.9% of Sallie Mae, the US leader in originating and servicing student loans. The bank is part of a consortium in the investment. It also introduced Business 24/7, a suite of small business services, including Easy Online Payroll and Business Credit Express, which offers credit and payment solutions to entrepreneurs.
In its global corporate and investment banking division, the bank established a business to originate and securitise middle-market leveraged loans, and created new electronic trading algorithms to optimise investment performance for institutional investor clients.
