This is a fool.com article.
As a large universal bank, Bank of America must hold more capital than smaller, simpler peers.
This isn’t how it was supposed to be. Bank of America (NYSE:BAC) once touted the synergies that would spring from its 2008 acquisition of Merrill Lynch. In reality, however, it seems like the combination is leading to more pain than profit at the nation’s second biggest bank by assets.
In this segment of Industry Focus: Financials, The Motley Fool’s Gaby Lapera and John Maxfield dig into the role that higher capital requirements for large universal banks play in Bank of America’s subpar performance over the past eight years.
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