Page 25 - Bank of America E Case Study

Diagram 6: Source: Bank of America - Ref: (14)

The earnings report from BofA point to the key variables
moving in the right direction as the figures below show:

• “Net interest income came in at $11.2 billion during the second
quarter of 2017, growing by 9% versus the same quarter last

year.

• Net interest yield grew from 2.23% to 2.34%.

• Investment banking fees grew 9%, to $1.5 billion during the

period.

• Average deposits grew 4% versus the second quarter in 2016, and

average loans and leases increased 5%.

• The company ended the quarter with over $2.6 trillion in assets

under management in the wealth management business,
generating $28 billion in asset flows during the period.

• Asset quality is clearly improving across different segments, and

consumer net charge-offs are at the lowest level in over a decade.
Provision for credit losses improved 26% to $726 million from