If you're interested in the financial sector, you may have wondered who owns Bank of America (BAC +0.74%). Like any publicly traded company, Bank of America is owned by its shareholders. The Charlotte, North Carolina-based financial institution is the second-largest bank in the U.S., with roughly $4.3 trillion in assets at the end of 2024, second only to JPMorgan Chase (JPM +1.29%).
NYSE: BAC
Key Data Points
Bank of America offers virtually every banking product imaginable, including bank accounts, credit cards, mortgages, and loans. Amid the financial crisis in 2008, it also acquired investment firm Merrill Lynch and is most commonly referred to now as "Merrill."
Institutional investors own roughly 67% of Bank of America's shares, while insiders own about 8%. Let's dive in and learn more about who owns Bank of America, as well as who sits on its board of directors.
Who is the owner of Bank of America?
Bank of America was founded in 1904 by Amadeo Peter Giannini, the son of Italian immigrants. In 1927, Giannini had unified several local banks around the state of California under the name the Bank of America of California.
By 1930, he merged the original Bank of Italy and the Bank of America of California to create the Bank of America we know Today. When Giannini died in 1949, the bank had grown to more than 500 branches and $6 billion in assets.
Today, Bank of America is a publicly traded company, which means anyone with a brokerage account can invest in the stock. However, several institutions and some high-net-worth individuals hold large stakes in the institution. Interesting fact: The bank still has the same charter number as Giannini's original bank: No. 13044.
How to invest in Bank of America
Because it's a publicly traded company, anyone with a brokerage account can invest in Bank of America stock. Once you've opened and funded the account, you'll need to enter its ticker, BAC. Indicate how many shares you want and whether you want to place a market order or a limit order, then place your order.
It's important to understand the pros and cons of investing in bank stocks before you put money into the company. For instance, bank stocks tend to be cyclical, meaning they usually perform well in good times but poorly in a recession, when consumers pull back on spending and are more likely to default on loans.
It's also possible to get Bank of America exposure by investing money in an ETF. You could invest your money in a fund that focuses exclusively on financial stocks, but you'd also get exposure by investing in a fund that tracks the overall stock market, like an S&P 500 fund.
FAQ
About the Author
