Bank of America 2000 Annual Report Download - page 27

Investment Banking
Making one of the fastest leaps up the rank-
ings of lead investment bankers, Banc of
America Securities delivered the goods as a
growth business. This full-service investment
bank and institutional brokerage service
extensively expanded its team to more aggres-
sively pursue a strategy of delivering cre-
ative, value-added capital raising solutions
and advisory services that help clients achieve
financial success. Over the past year, Banc of
America Securities and affiliated companies
overseas hired senior staff worldwide in
investment banking, equity research, trading
and institutional sales to round out its invest-
ment banking platform.
In 2000, Banc of America Securities
completed more than $1 trillion in debt, equity
and advisory transactions. Ours is among the
fastest growing firms in the business, and
momentum continues at an all-time high.
Bank of America fields one of the most
comprehensive research organizations in the
global markets, with award-winning analysts
covering the equity and debt markets, for-
eign exchange, derivatives and global and
country risk. This knowledge and perspective
forms the cornerstone of Banc of America
Securities’ reputation with issuers and investors
across industries and across markets.
Strong market share improvements moved
Banc of America Securities to the top 10 in the
U.S. equities underwriting league tables – rank-
ing us as the fastest growing equity under-
writer on Wall Street in 2000. Last year, Banc
of America Securities helped raise over $54 bil-
lion in equity capital, up 132 percent from 1999.
The bank has made major strides in build-
ing out its European equity business, with an
expanded team now covering key industry sec-
tors in Europe for institutional clients.
Banc of America Securities helps growth
companies raise private as well as public equity,
with private equity volume totaling $143 million
in 2000. Fixed income transactions led or co-
led by Banc of America Securities in 2000 hit
$282 billion, including a $1 billion offering of
senior notes for Bank of America Corporation
that was the first transaction executed on
our fixed income, e-underwriting Web site.
Enabling investors and issuers to interact
online with Banc of America Securities
through the course of a new issue, this pro-
prietary site also centralizes deal details.
Feedback about the capability has been over-
whelmingly positive.
We continued to strengthen relationships
across the spectrum of bank clients – corpo-
rations, institutions and individuals, including
from our Private Bank – by meeting their
hedging and investment needs through strate-
gically structured trading for them in the
equities market. Revenue from our equity
financial products doubled in 2000.
We are also a trusted financial advisor
to corporations seeking to buy or sell assets,
arrange mergers and joint ventures and
divest subsidiaries. Clients benefit from our
significant transactional experience across
multiple industries, receiving innovative
advice on the pricing, structure and financing
of transactions. We continued to make signif-
icant progress in expanding our M&A and
equities capabilities in 2000, gaining advan-
tage over traditional investment banks because
of the magnitude of our top-tier banking rela-
tionships and our ability to finance, as well
as advise, major transactions.
Our company leads in debt market domi-
nance across a broad sweep of global syndi-
cation activities. As part of a broader Web
strategy, we recently launched a proprietary
Web site that provides borrowing and invest-
ing clients with timely information and per-
spective on the syndicated loan market.
Among the largest bank providers of real
estate finance in the world, Bank of America
works with clients nationally and internation-
ally to originate, structure, underwrite and
distribute transactions on commercial and
residential property.
We remain a leading provider of spe-
cialized financing capabilities such as leas-
ing, asset securitizations and project finance
on a global basis.
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As one of the nation’s most
prominent investment banking
operations, we have an oppor-
tunity to participate in a stag-
gering number and variety of
transactions. As a result, we
stand at or near the top of most
rankings. For example:
We hold more than $27 bil-
lion in prime brokerage custo-
dial assets for 700 clients.
We make daily trades of
$5 billion to $7 billion in U.S.
Treasury securities.
We have arranged more
than $13 billion of Project
Financing debt for infrastruc-
ture, telecommunications and
energy projects.
We ranked 10th among
Merger and Acquisition advisors
in 2000, up significantly from
22nd in 1999.