Bank of America(US:BAC) 智通财经网·2025-07-09 03:12Core Insights - Kuwait Investment Authority (KIA) has sold $3.1 billion worth of shares in Bank of America (BAC.US), following Warren Buffett's significant reduction of his holdings in the bank [1][2] - The sale was executed at a price of $47.95 per share, close to the historical peak price of Bank of America, with the stock closing at $47.15 on the day of the report [1][2] - KIA's divestment aligns with a broader trend of reducing investments in financial services, as they also sold approximately $3.4 billion in shares of AIA Group Ltd. within the same week [2][3] Company-Specific Developments - Bank of America has underperformed compared to its peers since the Federal Reserve began its aggressive interest rate hikes in early 2022, with a stock return of only 24% [2] - Berkshire Hathaway, once the largest institutional investor in Bank of America, has reduced its holdings from 1.03 billion shares to approximately 632 million shares, dropping below 10% ownership [2][3] - Following the recent divestments, Vanguard Group Inc. has become the largest shareholder of Bank of America [3] Market Context - The recent stock sale by KIA was at a 1.5% discount to the previous closing price, leading to a temporary drop in Bank of America's stock price to $46.76 [2] - Despite the recent sell-offs, the financial sector has seen a strong rebound, with Bank of America's stock recovering all losses from the previous year and reaching new historical highs [3]