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	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
	BancAnalysts Association of Boston Conference
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BancAnalysts Association of Boston Conference

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  1. Global Wealth & Investment Management at Bank of America Brian Moynihan President, Global Corporate & Investment Banking BancAnalysts Association of Boston November 9, 2007
  2. Key Takeaways 1. Solid momentum 2. Strong returns and client relationships 3. Lots of opportunity to grow 2
  3. Opportunity to Leverage the Strength of Our Franchise Global Wealth & Investment Management Bank of America Opportunities Leadership Position 3 million individual and 13.4 million affluent institutional clients customer relationships Largest private banking 300,000 wealthy customer business in the U.S. relationships Leading manager of 30,000 middle market specialty assets institution relationships Top 10 U.S. mutual fund relationships with 80% of family, wholesale asset companies with pension mgt complex and global assets of $200MM money fund manager 3
  4. A sizeable and successful competitor YTD GWIM Financials as of September 30, 20071 ($B) Revenue2 $6.0 Net Income 1.7 AUM3 709.9 Total Client Assets 999.2 Average Loans 70.3 Average Deposits2 120.4 Efficiency ratio 54.4% ROE 22.2% Associates 13,694 1) July 2007, the operations of the recently acquired U.S. Trust Corporation were combined with the former Private Bank creating U.S. Trust, Bank of America Private Wealth Management. The results of the combined business were reported for periods beginning on July 1, 2007. Prior to July 1, 2007, the results solely reflect that of the former Private Bank. 4 2) YTD Migration impact of $9.0Bn in Balances and $151MM of Deposit NII included; 3) see corresponding end note on page 24
  5. How We’re Organized 5
  6. Financial Snapshot Revenue by LOB YTD Q307* Revenue by product YTD Q307* Other Brokerage 4.5% Income Loan NII Columbia Premier Management Banking & Investments 22.7% 46.2% Asset Mgt Deposit NII Fees 26.6% U.S. Trust Other Income YTD as of 9/30/07 Line of Business Revenue Net Income Pre-tax margin ROE Premier Banking & Investments $2.8B $0.98B 55.3% 81.2% U.S. Trust 1.6B 0.34B 33.7% 21.2% Columbia Management 1.4B 0.33B 37.7% 26.4% Total GWIM $6.0B $1.76B 45.9% 22.2% 6 *Includes U.S. Trust revenue YTD Q32007
  7. Global Wealth & Investment Management Our Clients and How We Serve Them High Ultra High Mid-Market Mass Large Affluent Net Worth Net Worth Institutions Market Institutions INVESTABLE ASSETS $3MM - $50MM $50MM Plus To $250MM $250MM Plus To $100K $100K - $3MM Banking, Integrated Wealth & Family Office, Investment & Asset NEED Borrowing, Banking & Legacy Investment Distribution Policy, Management Saving Investments Planning Consulting Trustee Services Excellence Plus… Plus… Deposits, Plus… Foundation, Mutual Funds Loans Charitable Giving Wealth Structuring Multi Family Office PRODUCTS Integrated Liquidity Banking and Alternative Asset Trustee Services Strategies Straightforward Banking & Investment Investment Structured Credit Mgt products Investment Separate Products Securities Consulting Accounts Complex Trust Philanthropic and Brokerage Insurance Foundation Retirement Alternative Services Simple Trust Administration Investments Global Consumer Premier Banking U.S. Trust Columbia Relationship CHANNEL Bank of America, Private Wealth Management & Small Business & Investments Management Institutional Banking GCSBB Alternative Investment Group · Bank of America Retirement & GWIM Client Solutions · Columbia Management 7
  8. Our Growth Strategy Affluent client segment • grow sales capacity to serve clients • build new model to serve more affluent customers in Consumer • build out retirement capabilities … while maximizing value High Net Worth client segment of the franchise through Partnerships for Growth • integrate U.S. Trust successfully • leverage brand, business model and Bank of America franchise Asset management • sustain investment performance • integrate Excelsior and build out investment offerings • continue to strengthen distribution 8
  9. How Bank of America Serves the Affluent Today Affluent households with investable assets of $100K - $3MM 26 million In the United States 13.4 million Served by Bank of America Served by Global Consumer & Small 6.4 million Business Banking (excluding card only) 800K Served by Premier Banking & Investments 9
  10. How Premier Banking & Investments Serves Affluent Clients Today Dedicated teams More than 4,000 Client Managers and Financial Advice Advisors in local markets nationwide Bank of America brand 5,800 stores, 17,000 ATMs, # 1 Online Banking, Convenience integrated and highly rated online brokerage Priority service Premier Relationship Center Respect Banc of America Investment Services, Inc. (BAI) Investment Center 1,200 professionals in these centers combined Relationship and targeted pricing Value $0 Online Equity Trades, Mortgages, CD Rates, Money Market 10
  11. Growth in Premier Banking & Investments Premier HH w/ brokerage relationship (000s) Client loans & deposits referred from FAs to CMs 32% $7.1B CAGR 11% $5.8B 267 32% $3.5B 237 28% $2.3B 217 Q3 2005 Q3 2006 Q3 2007 2004 2005 2006 YTD2007 PB&I client balances at period end ($B) PB&I client average loan balances ($B) CAGR 13% CAGR 19% $299 $35.5 $266 $30.8 100 $241 Deposits 86 $25.0 87 MM MF 32 27 17 167 Other 153 Brokerage 129 Q3 2005 Q3 2006 Q3 2007 11 Q3 2005 Q3 2006 Q3 2007
  12. Why We Like the Retirement Opportunity • ~ 80% of consumers see retirement as issue 1. Client Needs • Planning assistance is key • 1st of 78MM Baby Boomers turn 62 in 2008 2. Demographics • Population > 60 increases 55% in next 20 years • $15.1T total assets 3. Market Size • ~ $35B annual profit pool 4. Competition • Highly fragmented 12
  13. Building Out Our Retirement Capabilities 13
  14. 14
  15. More Powerful Capabilities for Serving Wealthy Clients WEALTH STRUCTURING INVESTMENT MANAGEMENT BANKING AND CREDIT MULTI-FAMILY OFFICE Financial planning Investment strategy Custom credit solutions Comprehensive set of Tax consulting Asset allocation Mortgage lending services to meet the Trust and estate planning Investment management Personal and business complex needs of ultra and fiduciary services banking high net worth clients Philanthropic advisory Specialty asset management 15
  16. Improved Margins ($MM) Q3 2006 Revenue NIBT Pre-Tax Margin The Private Bank $454 $147 32.4% U.S. Trust 175 25 14.3% Combined 629 172 27.3% Q3 2007 U.S. Trust $674 $227 33.7% YOY Growth 7% 32% 640bps U.S. Trust client balances (as of 9/30/07) Deposits (average) $27.8B Loans (average) 41.5B Assets under management 225.3B Client brokerage assets 32.8B 16
  17. 17
  18. Columbia Management and affiliates Assets under management: $709B1 Total Assets Under Management ($B) 23rd largest asset manager globally2 (as of 9/30) 16th largest U.S.-based asset manager3 $709 8th largest U.S. mutual fund family4 700 8th largest global money fund manager5 600 246 $517 AUM by Client Segment (as of 9/30/07) $457 500 $429 109 232 400 210 34% 26% 183 300 High Net Retail 87 85 354 Worth 200 95 198 100 162 40% 151 0 Institutional 2004 2005 2006 2007 Equity Fixed Income MM / Other 1) Represents Columbia Management and its affiliates as of 9/30/07, please see corresponding end note on page 24. 2) Ranked by total worldwide institutional AUM as of 12/31/06, according to Pensions & Investments, 5/28/07; 3) Ranked by AUM as of 12/31/06, according to 18 Pensions & Investments, 5/28/07; 4) Source: Strategic Insight, 9/30/07; 5) Source: iMoneyNet, 9/30/07
  19. Morningstar Equity Fund Rankings By Firm – 3 Year 3 Yr Avg % Funds Above Rank Firm Funds Assets Median Ranked Mstar 1 Alger 13 5,702 6.4 100% 2 Nicholas-Applegate 11 735 19.7 100% 3 Waddell & Reed 11 16,648 20.6 81.8% 4 Royce 16 24,830 28.8 81.3% 5 Nationwide 21 2,629 30.2 76.2% 6 Columbia Management 42 88,947 30.7 81.0% 7 Dimensional Investment Grp 33 82,884 31.0 75.8% 8 JennisonDryden 20 23,549 31.5 70.0% 9 Janus 42 94,593 31.7 78.6% 10 Allianz Funds 28 26,335 32.6 75.0% 11 Vanguard 25 268,479 33.4 84.0% 12 Hartford Mutual Funds 48 85,924 34.3 70.8% 13 OppenheimerFunds 27 94,719 35.4 66.7% 14 American Funds 12 823,523 35.7 66.7% 15 Old Mutual Advisor 16 3,138 36.5 68.8% 16 Schwab Funds 10 10,933 37.4 70.0% 17 Fidelity Investments 146 664,396 38.3 68.5% 18 Ivy Funds 16 13,607 38.8 62.5% 19 Neuberger Berman 12 22,056 39.2 66.7% 20 Eaton Vance 26 21,583 39.8 65.4% ... 83 Legg Mason Partners 19 23,305 71.2 15.8% Average Rankings based on Morningstar data as of 9/30/07 for firms with minimum of 10 funds. Rankings include actively managed equity funds 19 but exclude index and Fund of Funds; share classes used may have limited eligibility and may not be available to all investors; the representative share class for Columbia Management fund performance is Class A where appropriate; Excelsior Funds are excluded and rank # 35 separately.
  20. Stronger Performance, Stronger Sales Net Flows ($B) $35.0 $27.5 $24.4 88% 88% 77% 61% 55% 53% 2005 2006 YTD 2007 Intermediary Gross Sales ($B) $34.0 $29.7 $28.8 9/30/05 9/30/06 9/30/2007 $21.3 % of AUM (in all funds) in 4 or 5 star funds % of AUM in 1st and 2nd performance quartiles 2004 2005 2006 YTD 2007 See corresponding end notes on page 24 20
  21. Strategic Initiatives Underway Alternatives International Retirement 21
  22. Partnerships for Growth: Client Referral Momentum Why: Client Referrals Completed as of 9/30 1 Best way to solve our clients’ needs Deepening relationships with existing 183,423 CAGR 64% customers represents best opportunity for profitable growth Leverages strength of our franchise by generating referrals for all LOB 116,880 Strengthens teamwork across lines of business in each market 68,135 What’s involved: 46 local markets with GWIM leader Personal and institutional client teams drive teamwork 2005 2006 2007 Referral guidelines ensure right channel 1) Excludes migration of customers from Global Consumer and Appropriate incentives for fulfilling clients’ Small Business Banking to Premier Banking & Investments needs 22
  23. Key Takeaways 1. GWIM has solid momentum, and we are investing and executing to extend it 2. GWIM provides strong returns for shareholders and maintains strong relationships with clients 3. Our best opportunity is to continue to leverage the strength of the Bank of America franchise 23
  24. End Notes Note for pages 4 and 18 Columbia Management and its affiliates (Columbia Management) Columbia Management and its affiliates comprise the wealth and investment management division of Bank of America Corporation. As of September 30, 2007, Columbia Management and its affiliates managed assets of $709.9 billion. Columbia Management and its affiliates’ managed assets consist of assets under the discretionary management of the registered investment advisors, Columbia Management Advisors, LLC ($377.9 billion), Columbia Wanger Asset Management, L.P. ($38.5 billion) and Marsico Capital Management, LLC ($103.4 billion); U.S. Trust, Bank of America Private Wealth Management; Banc of America Investment Services, Inc.; Banc of America Investment Advisors, Inc.; Bank of America Capital Advisors, LLC; Premier Banking & Investments, and United States Trust Company, National Association, including its subsidiary, UST Advisers, Inc. ($116.5 billion). Notes for page 20 (1) Results shown are defined by Columbia Management’s calculation using Morningstar’s Overall Rating criteria for 4 & 5 star rating. The assets under management of the Columbia Funds that had a 4 & 5 star rating were totaled then divided by the assets under management of all the funds in the ranking. ©2006 by Morningstar, Inc. All rights reserved. The information contained herein is the proprietary information of Morningstar, Inc., may not be copied or redistributed for any purpose and may only be used for noncommercial, personal purposes. The information contained herein is not represented or warranted to be accurate, correct, complete or timely. Morningstar, Inc. shall not be responsible for investment decisions, damages or other losses resulting from the use of this information. Past performance is no guarantee of future results. (2) Results shown are defined by Columbia Management’s calculation of its percentage of assets under management in the top two quartiles of categories based on Morningstar (Equity categories), Lipper ( Fixed Income categories), and iMoneyNet (Money Market funds). The category percentile rank was calculated by ranking the three year gross return of share classes within the categories stated above. The assets of funds within the top two quartiles were added and then divided by total mutual fund assets under management in Columbia Management and affiliates. Had fees been included, rankings would have been lower. Past performance is no guarantee of future results. 24
  25. Forward Looking Statements This presentation contains forward-looking statements, including statements about the financial conditions, results of operations and earnings outlook of Bank of America Corporation. The forward-looking statements involve certain risks and uncertainties. Factors that may cause actual results or earnings to differ materially from such forward-looking statements include, among others, the following: 1) projected business increases following process changes and other investments are lower than expected; 2) competitive pressure among financial services companies increases significantly; 3) general economic conditions are less favorable than expected; 4) political conditions including the threat of future terrorist activity and related actions by the United States abroad may adversely affect the company’s businesses and economic conditions as a whole; 5) changes in the interest rate environment and market liquidity reduce interest margins, impact funding sources and effect the ability to originate and distribute financial products in the primary and secondary markets; 6) changes in foreign exchange rates increases exposure; 7) changes in market rates and prices may adversely impact the value of financial products; 8) legislation or regulatory environments, requirements or changes adversely affect the businesses in which the company is engaged; 9) changes in accounting standards, rules or interpretations, 10) litigation liabilities, including costs, expenses, settlements and judgments, may adversely affect the company or its businesses; 11) mergers and acquisitions and their integration into the company; and 12) decisions to downsize, sell or close units or otherwise change the business mix of any of the company. Accordingly, readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made. Bank of America does not undertake to update forward-looking statements to reflect the impact of circumstances or events that arise after the date the forward-looking statements are made. For further information regarding Bank of America Corporation, please read the Bank of America reports filed with the SEC and available at www.sec.gov. 25

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