BofA Shake-Up: Athanasia, DeMare Become Co-Presidents

Core Insights - Bank of America has appointed two new co-presidents, Jim DeMare and Dean Athanasia, to drive company-wide initiatives focused on long-term growth [2][3] - The bank is currently facing challenges, being the worst-performing major US bank over the past year, with a stock return of only 34% since the Fed's interest rate hike began in March 2022, compared to 78% for the next worst performer [3][4] - The leadership under CEO Brian Moynihan has been scrutinized, as the bank has lost ground relative to competitors like JPMorgan over the last five years [6][13] Leadership Changes - The new co-presidents will oversee the management team across eight business lines, indicating a shift in leadership dynamics within the bank [2] - CFO Alister Borthwick has also been given the title of executive vice president, although it is unclear if this is a promotion [2][3] - Moynihan has expressed his intention to remain CEO until at least 2030, raising questions about the future leadership succession [8][9] Market Position - Bank of America is experiencing a significant relative value gap in the market, which has led to frustrations among its management [3][4] - The bank's stock is perceived to deserve a better multiple than what it is currently receiving, indicating potential for improvement [7] - The seasoned management team, while experienced, has not signaled any intention to seek outside talent, suggesting confidence in internal capabilities [10][12]