When considering a position in Bank of America (NYSE:BAC) today, many are still bullish despite the risks because of its size and very low share price. But a responsible investor makes sure to always consider the bear perspective, so in this video, Motley Fool analyst Anand Chokkavelu details what some of the risks are with Bank of America.
Bank of America contains some "black boxes" -- unknowns that could present serious risk. Its purchases of Merrill Lynch and Countrywide recently mean that apart from its retail banking, it now has a fully developed Wall Street bank under its umbrella. The bank still faces litigation from the Countrywide acquisition, a big area of potentially hidden risk.