What's happened
Bank of America CEO Brian Moynihan promotes Jim DeMare to co-president, signaling a potential leadership change. DeMare's rise reflects a shift towards risk-taking, contrasting Moynihan's cautious style. The move comes amid internal debates on succession and strategic direction, with Moynihan indicating he plans to stay until 2030.
What's behind the headline?
Strategic Shift at BofA
The promotion of Jim DeMare to co-president signals a potential shift in BofA's leadership style, moving away from Moynihan's conservative approach. DeMare's background in trading and capital markets suggests the bank may embrace more risk to boost earnings.
Internal Dynamics
Moynihan's support for DeMare indicates a recognition of the need for change, especially as critics push for more aggressive growth strategies. The internal debate over succession highlights a broader tension between stability and risk-taking.
Future Outlook
While Moynihan plans to remain until 2030, the promotion of younger executives like DeMare and Athanasia suggests a possible early transition. The bank's leadership is balancing the desire for growth with the need to maintain stability, which will shape its strategic direction in the coming years.
Broader Industry Context
This leadership move occurs amid a competitive banking landscape where JPMorgan has outperformed BofA significantly. The emphasis on risk and strategic agility will be crucial for BofA to close the gap and adapt to evolving market conditions.
What the papers say
The New York Post reports that Moynihan's promotion of DeMare reflects a shift towards risk-taking, contrasting his cautious style with the more aggressive approach of JPMorgan. Bloomberg highlights Moynihan's comments on long-term succession planning, emphasizing stability. Business Insider UK notes the recent promotions of key executives and the internal debate about leadership transition. These sources collectively suggest BofA is at a crossroads, balancing stability with the need for strategic agility, with Moynihan's future plans and internal promotions signaling potential change ahead.
How we got here
Since taking over in 2010, Moynihan has maintained a cautious approach, emphasizing stability and DEI initiatives. His leadership has kept BofA out of major scandals, but critics argue it has limited growth compared to rivals like JPMorgan. The bank has recently promoted key executives, including DeMare, as part of succession planning amid internal and external pressures for more aggressive strategies.
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Common question
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What Do Recent Leadership Changes and Tech Developments Mean for 2025?
2025 has been a year of significant shifts in both the corporate world and the tech industry. From leadership promotions at major banks to China’s rapid AI chip advancements, these changes are shaping the future landscape. Curious about what these developments mean for the economy, technology, and global power? Below, we explore the key questions and insights that are on everyone's mind.
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Brian Thomas Moynihan is an American businessman and the Chairman and CEO of Bank of America. He joined the Board of Directors, following his promotion to President and CEO in 2010.
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The Bank of America Corporation is an American multinational investment bank and financial services company headquartered in Charlotte, with central hubs in New York City, London, Hong Kong, Dallas, and Toronto.