Bank of America Corporation is an American multinational banking and financial services corporation headquartered in Charlotte, North Carolina. It is the second-largest bank holding company in the United States by assets. Bank of America serves clients in more than 150 countries and has a relationship with 99% of the U.S.
As a diversified, global financial services institution, BofA provides banking products and services to individuals, businesses, government agencies, and other financial institutions in the U.S., and in 36 other countries. The purpose of the BofA pilot project was to test the security, reliability, and speed of exchanging business transactions (payment instructions) over the Internet under actual circumstances over an extended period of time. In 1994, BofA partnered with LLNL to begin exchanging limited financial transactions between the FEDI systems of the two organizations.
Moynihan is pledging that this approach will make Bank of America into one of the most profitable companies on the planet. In March, at a presentation to investors in the baroque ballroom of New York's Plaza Hotel, Moynihan unveiled his audacious goal of earning as much as $40 billion before taxes by the middle of the decade. That translates into $25 billion in net income, far more than any non-oil company in America made in 2010.
The Bank of America literally changed the banking industry during the 1950s by means if its ERMA and IBM 702 computer systems. These innovations in information technology resulted in a dominate design that helped keep the Bank of America in the lead for over a decade and a half. Due in large part to IBM's failure to deliver a fully operational operating system for its 360/65, however, coinciding wit the leadership's attention toward international markets, in the late 1960s the Bank of America lost its lead. After several decades "in the trough," as a result of aggressive investment and leadership, the bank re-emerged as a strong competitor.
As the Dodd-Frank bill moved through Congress, the banks vehemently protested the Durbin Amendment, a rule proposed by Democratic senator Dick Durbin that would slash fees banks could charge merchants. The rule passed and overnight wiped out $6.6 billion in revenues banks had made on debit cards. In response, Bank of America announced it would charge consumers $5 a month for their debit cards. After being savaged by outraged customers, BofA announced this past November that it would drop the plan. "The Durbin rule was the worst rule," says an executive at one of the major banks. "Debit cards had nothing to do with the crisis. The fact is, we give free stuff to our customers. Now we're going to have to be the bad guy.
Bank of America has systematically ripped off almost everyone with whom it has a significant business relationship, cheating investors, insurers, depositors, homeowners, shareholders, pensioners and taxpayers. It brought tens of thousands of Americans to foreclosure court using bogus, "robo-signed" evidence -- a type of mass perjury that it helped pioneer. It hawked worthless mortgages to dozens of unions and state pension funds, draining them of hundreds of millions in value.
Here the author provides an in-depth look at a five-step process that Bank of America has used to create new service concepts for retail banking. The company has turned a set of its branches into, in effect, a laboratory where a corporate research team conducts service experiments with actual customers during regular business hours, compares results with those of control branches, and pinpoints attractive innovations for broader rollout.
There's a lot to like about BofA. It ranks as the largest U.S. bank, with nearly $2.3 trillion in assets. And it boasts more market-leading franchises than any player in financial services. BofA has the biggest retail business, with $410 billion in deposits and 5,800 branches from California to Maine; it owns the premier wealth management platform in Merrill Lynch and U.S. Trust; and it stands just behind J.P. Morgan Chase as the world's second-largest investment bank.
According to Ad Age's DataCenter, BofA is the 17th-largest marketer in the country, with $1.55 billion in U.S. ad spending. The company's rethink comes amid widespread mistrust of large financial organizations that manifested during the Occupy Wall Street movement.One outcome of the review process will be BofA shedding its "Bank of Opportunity" slogan, which was developed by BBDO. The tag was adopted a few years ago to replace the prior "Higher Standards" campaign, but it lost resonance amid a recession that tightened consumers' purse strings and crippled many small businesses across America.
The global markets segment provides financial products, advisory services, financing, securities clearing,
settlement, and custody services globally to its institutional investor clients in support of their investing and trading activities. The company also works with its commercial and corporate clients to provide debt and equity underwriting and distribution capabilities and risk management products using interest rate, equity, credit, currency and commodity derivatives, foreign exchange, fixed income, and mortgage-related products. The global markets segment is also engaged in global distribution of fixed income, currency, and energy commodity products and derivatives. It has equity trading operations in the world and is engaged in origination and distribution of equity and equity-related product.
It is a financial institution, serving individual consumers, small and middle market businesses, large corporations, and governments with a range of banking, investing, asset management, and other financial and risk management products and services. The company's activities are conducted through seven business segments: global banking and market, Global Card Services, global wealth and investment management, deposits, global commercial banking, home loans and insurance, and other.
BANK OF AMERICA STARTED OUT IN SAN Francisco in 1904 as an emblem of American capitalism. Founded by a first-generation Italian-American named Amadeo Giannini -- it was even originally called the Bank of Italy -- the bank set out to serve immigrants denied credit by other banks, and it was instrumental in helping to rebuild the city after the devastating earthquake of 1906.