Bank of America is said to form 3.5K-person wealth lending group

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Within its global wealth and investment management unit, Bank of America (NYSE:BAC) has formed a group dedicated to lending to wealthy clients, according to a Monday report by Reuters.

The new wealth management banking and lending group, which has become home to 3.5K employees derived from BofA’s wealth and consumer businesses, will be led by April Schneider, who previously oversaw $4.5B of expenses across the company’s real estate portfolio, BAC told Reuters.

Schneider was said to have been appointed in August by BofA CEO Brain Moynihan to lead the wealth lending group. She is reporting to both Merrill Wealth Management President Andy Sieg and Bank of America Private Bank President Katy Knox.

Moreover, the wealth lending entity is set to underwrite rich clients’ margin loans, mortgages and securities lending, BAC added.

Note that the lender’s revenue in its global wealth and investment management segment totaled $5.43B in Q2, down from $5.48B in the prior quarter, but up $5.07B a year before.

Bank of America (BAC) stock edged up 0.7% in premarket trading.

Last week, (Sep. 7) Bank of America names Burkhardt next strategy chief for global i-banking.