Consumer Banking
Net new checking accounts: The addition of approximately 157,000 net new checking accounts demonstrates growth in the consumer banking segment.
Credit card accounts: The addition of 1.2 million credit card accounts indicates an expansion of the credit card business.
Consumer investment accounts: The record 3.7 million consumer investment accounts and $46 billion in net client flows since 2Q 22 suggest a strong interest from customers in investment services.
Digital sales: The 8% year-over-year growth in digital sales, representing 51% of total sales, highlights the increasing importance of digital channels in driving consumer banking activities.
Global Wealth & Investment Management
Net new relationships: The addition of over 12,000 net new relationships across Merrill and Private Bank signifies growth in the wealth management business.
Net client flows: The $83 billion in net client flows since 2Q22 indicates positive asset growth within the wealth management segment.
Bank accounts and referrals: The increase in opened bank accounts and referrals to other lines of business suggests cross-selling opportunities and a focus on expanding the customer base.
Global Banking
New clients and relationship deepening: The addition of over 1,100 new clients year-to-date, along with efforts to deepen relationships with existing clients, reflects growth and expansion in the global banking segment.
Client-facing headcount: The 9% increase in client-facing headcount since 2Q20 highlights the commitment to serving clients and supporting business growth.
Global Transaction Services revenue: The $2.9 billion revenue from Global Transaction Services, growing by 23% year-over-year, indicates strength in transaction banking activities.
Investment banking fees: The market share growth of 153 basis points (bps) in investment banking fees positions the institution as the second-largest player in investment banking.
Global Markets
Sales and trading revenue: The highest first-half sales and trading revenue in over a decade suggest robust performance in the global markets division.
Average loans: The record average loans of $129 billion, up 12% year-over-year, indicates growth in lending activities.
Credit trading revenue: The 47% year-over-year increase in credit trading revenue highlights strong performance in this area.
Trading loss days: The absence of trading loss days in the first half of 2023 signifies a successful risk management and trading strategy.
Overall, this showcases positive growth, record achievements, and strong performance across various segments of the financial institution, indicating successful execution of business strategies, customer acquisition, relationship building, and revenue generation.
What Could This Mean for The Future?
Growth Opportunities
The net new checking accounts, credit card accounts, and consumer investment accounts highlight Bank of America's ability to attract new customers and expand its consumer banking and investment services. This suggests potential growth opportunities in these areas for the bank.
Global Banking Strength
Bank of America's addition of new clients, relationship deepening, and growth in Global Transaction Services revenue indicates a positive outlook for its global banking division. The bank's market share growth in investment banking fees positions it well in the competitive investment banking landscape.
How Did the Markets React?
Bank of America rose as much as 1.6% pre-market after the earnings came out.
