Bank of America 2006 Annual Report Download - page 29

Like many affluent Americans, Ted Tyler, an architect and business owner in
California, needed more personalized financial services. “When I first started
my business 40 years ago, I was dealing with small banks, primarily because
I had the impression that only they could really give you personal service,”
said Tyler. “That was true in some cases, but not always.” Then Tyler tried
Bank of America’s Premier Banking & Investments™. “It’s personal service
backed by the resources of a very large bank,” explained Tyler.
A dedicated team of professionals serves Tyler’s financial needs in
one combined and convenient relationship. His financial advisor, Michael
Wedemeyer, handles his investment accounts. His personal banker, Bill
Kinsey, helps him structure real estate loans, including one that he needed
on a moment’s notice to purchase an investment property. Together, this
local team provides Tyler with the integrated service and financial guidance
that would be hard to get if he had to manage his banking and investments
at separate institutions.
For Tyler, having everything in one place makes complicated transac-
tions run smoothly and gives him peace of mind. “The ability to transfer
funds back and forth is a big plus,” he said. “I can phone up Michael and say,
‘Transfer this amount from that account to Bill for the loan,’ and so forth.”
But the greatest advantage for Tyler is that he’s now free to focus on his
profession. “My passion is my business, which is architecture,” Tyler said.
“I’m not one of those people who wants to be involved in every financial
issue. Michael and Bill handle things for me in a way that I trust, and it
just makes my life a lot easier.”
As a result of Tyler’s great experience at Bank of America, his daughter
is now a client of Premier Banking & Investments, too. The Tyler family
shows how Bank of America grows: When we earn the confidence of our
customers, they choose us for other products and services, and they pass
along the good word to the people they care about.
Bank of America 2006 27
■ Tailored solutions and investment services
for affluent households
■ Trust services for families with assets of $1 million
■ Integrated online brokerage and banking capabilities
Our
Innovations
■ Affluent households are growing four times faster
than the U.S. population.
■ About three-quarters of U.S. personal investable
assets are owned by affluent households.
■ The affluent market segment is underserved
by traditional financial services models.
The
Opportunity
G. PATRICK PHILLIPS,
PRESIDENT,
PREMIER BANKING
& INVESTMENTS
A
Opportunities in Serving
Affluent Customers
Americans who have between $100,000 and
$3 million make up about one-quarter of U.S.
households and own three-quarters of all
investable U.S. assets. With 8 million of
these affluent households as customers,
Bank of America has the relationships to build
upon. In 2006, the number of Premier Banking
clients who have investment accounts with us
grew by 10 percent.
Managing the wealth of these customers
is more complex than it is for the average
consumer, yet few providers serve them
effectively, said Pat Phillips, president of
Premier Banking & InvestmentsTM. To serve
them better, Bank of America created Premier
Banking & Investments as an alternative to
consumer banking and traditional private
financial services for the very wealthy.
Phillips explained that customers appreci-
ate having one team manage their complex
needs. “When affluent customers move from
consumer banking into Premier Banking
& Investments, our research shows that on
average their deposit balances improve by
8 percent, their loan balances improve by
60 percent and their investment balances
improve by 159 percent.”
Bank of America invested in the expansion
of Premier Banking & Investments by adding
10 percent more client managers in 2006.
“That investment will allow us to provide an
even better client experience to more affluent
Americans,” Phillips said.