A top executive at Bank of America indicated Tuesday that the financial giant’s trading operations may outperform earlier projections calling for 15% revenue growth during the second quarter, with equity trading driving much of the increased activity.
Co-President Jim DeMare told attendees at a Morgan Stanley U.S. financial services conference that while credit market conditions have remained stable, the equity side of the business has generated significantly more trading volume and revenue.
“While credit spreads and the like have remained firm, a lot more of the activity and revenues have been coming from the equity business,” DeMare explained during his conference remarks.
The optimistic outlook builds on previous guidance from Bank of America CEO Brian Moynihan, who indicated last month that the company anticipated trading revenues would climb 15% in the current quarter compared to the same period last year, when market turbulence from elevated U.S. trade tariffs impacted performance.
