Who Owns Bank of America?

Bank of America is publicly traded on the New York Stock Exchange with no single entity owning the financial giant outright. Instead, institutional investors like Berkshire Hathaway, Vanguard, and BlackRock hold the largest stakes in this major American banking institution.

The bank operates through approximately 3,900 branches nationwide, serving millions of customers with consumer banking, wealth management, and investment services. Brian Moynihan has led as Chairman and CEO since 2010, guiding the institution through significant expansion of digital banking capabilities. The company operates through four primary business segments: Consumer Banking, Global Wealth and Investment Management, Global Banking, and Global Markets.

Bank of America traces its origins to 1904 when Amadeo Giannini founded it as the Bank of Italy in San Francisco. Today, it ranks among America’s Big Four banks, competing with JPMorgan Chase and Wells Fargo in the financial sector.

Who owns Bank of America?

Bank of America operates as a publicly traded corporation with shares trading on the NYSE under ticker symbol BAC. Ownership is distributed among institutional investors, mutual funds, and individual shareholders, creating a diverse ownership structure typical of large financial institutions.

Institutional Ownership Dominates

Large investment firms control the majority of shares through various investment vehicles. These institutions manage money for pension funds, retirement accounts, and individual investors.

They wield significant voting power during shareholder meetings and play a crucial role in corporate governance decisions. The concentration of institutional ownership reflects the scale required to invest meaningfully in one of the nation’s largest banks.

No Single Controlling Entity

The bank does not have a majority owner, which prevents any single party from dominating corporate decisions. Even Berkshire Hathaway’s stake, which was reduced to 9.99% in October 2024, does not grant operational control.

This structure ensures that the board of directors and executive leadership guide strategic direction through consensus rather than the influence of a single majority shareholder. The dispersed ownership model provides checks and balances in corporate governance.

Public Shareholders Participate

Retail investors collectively own approximately 15 to 20 percent of outstanding shares. Anyone can purchase BAC stock through standard brokerage accounts, making Bank of America accessible to individual investors.

However, individual holdings are typically small compared to institutional positions, reflecting the different scale at which retail and institutional investors operate in the market.

Largest shareholders of Bank of America

Institutional investors dominate the shareholder roster with holdings that represent significant portions of their portfolios. These financial giants manage trillions in assets across various investment vehicles, making Bank of America a core holding in many diversified portfolios.

Berkshire Hathaway Adjusts Position

Warren Buffett’s company reduced its stake to 9.99% by October 2024 after a sustained selling period that began in July 2024. Berkshire initially invested during the 2008 financial crisis with $5 billion in preferred stock and warrants.

The company converted these warrants to common stock in 2017, becoming the largest shareholder. Between July 2024 and mid-2025, Berkshire sold over 427 million shares, reducing its position by approximately 41 percent from peak holdings.

The sales have generated about $10 billion in proceeds, though Buffett’s long-term value investing philosophy previously aligned well with Bank of America’s stability and growth trajectory.

Vanguard Group’s Passive Approach

Vanguard owns roughly 7.8 percent through index funds and exchange-traded funds. The firm takes a passive investment strategy, avoiding active trading based on short-term market conditions.

Instead, Vanguard includes Bank of America in broad market index funds that track the S&P 500 and other benchmarks. This approach reflects Vanguard’s philosophy of low-cost, diversified investing that mirrors market performance rather than attempting to beat it.

BlackRock’s Global Reach

BlackRock controls about 6.3 percent of shares through countless institutional products offered to clients worldwide. Like Vanguard, BlackRock follows mostly passive strategies in its index fund offerings.

However, the asset manager exercises voting rights on governance matters and proxy proposals, maintaining engagement with company management on strategic issues. BlackRock’s position reflects its status as one of the world’s largest asset managers.

State Street’s Holdings

State Street Corporation owns approximately 4.2 percent of the bank through exchange-traded funds and retirement accounts. The company manages money for institutional and individual investors worldwide.

Its holdings reflect broad market exposure rather than concentrated bets on specific stocks, similar to other major index fund providers. State Street’s position demonstrates the importance of passive investment vehicles in modern financial markets.

Active Managers Take Positions

Capital Group Companies and T. Rowe Price represent active investment approaches with smaller but still significant holdings. Capital Group holds 2.5 to 3 percent while T. Rowe Price owns about 2 percent.

These firms conduct fundamental analysis and select companies based on growth potential and valuation metrics. They engage more directly with management on strategic issues compared to passive investors, bringing a different perspective to shareholder engagement.

Sovereign Wealth Participation

Norges Bank Investment Management holds roughly 1 percent of shares through Norway’s sovereign wealth fund. The fund follows responsible investment principles and engages with companies on sustainability, diversity, and governance topics.

It maintains a long-term perspective and rarely sells holdings based on short-term market movements, providing stability to the shareholder base. The participation of sovereign wealth funds reflects Bank of America’s status as a globally significant financial institution.

History of Bank of America Co-founders

Amadeo Pietro Giannini founded the Bank of Italy in 1904 with a revolutionary vision for American banking. He established it in San Francisco to serve immigrant communities that traditional banks often rejected based on their background or modest means.

Giannini’s Vision

Giannini believed in serving working-class people with the same attention and respect given to wealthy clients. He offered small loans to immigrants and laborers, an approach that was revolutionary for early 20th-century banking.

His institution focused on building relationships rather than just managing wealth for the already affluent. This customer-centric philosophy set the foundation for what would become one of America’s largest banks.

The Earthquake Response

After the 1906 San Francisco earthquake, Giannini made his mark on banking history. He rescued funds from the bank’s vault before fires spread throughout the city.

He set up a temporary bank using a plank across two barrels on the waterfront, providing loans for rebuilding when other banks remained closed. This bold action demonstrated his commitment to serving customers during crisis and established his reputation for reliability.

Growth Through Innovation

Giannini pioneered branch banking in California by acquiring smaller banks and creating a statewide network. This expansion model was uncommon at the time when most banks operated from single locations.

His approach to building a branch network allowed the institution to serve customers across a wide geographic area. The strategy proved successful and became a model for modern banking expansion.

The Name Change and Legacy

In 1930, the Bank of Italy merged with the Bank of America, Los Angeles, creating one of the largest banking institutions in the western United States. The combined entity adopted the Bank of America name, signaling its ambition to serve the entire nation.

Giannini’s legacy extends beyond traditional banking services. He financed the Golden Gate Bridge construction and supported the California wine industry during crucial development phases. His approach to accessible banking influenced the entire financial sector, demonstrating that serving ordinary people could be both socially beneficial and commercially successful. The institution he built grew into the global powerhouse that exists today alongside other financial giants like Morgan Stanley.

Who is on the board of directors for Bank of America?

The board oversees corporate governance and strategic planning with directors bringing diverse backgrounds in finance, technology, law, and academia. They ensure compliance with banking regulations and evaluate management performance to protect shareholder interests.

Leadership Structure

Brian Moynihan serves as both Chairman and CEO, providing unified leadership since joining the company in 1993 following the FleetBoston Financial acquisition. His dual role requires strong independent director oversight to maintain proper checks and balances.

This leadership structure mirrors those at other major financial institutions, though some governance experts advocate for separating the chairman and CEO positions. The board regularly evaluates whether this arrangement continues to serve shareholder interests effectively.

Independent Directors Provide Oversight

Most board members are independent, meaning they don’t have financial ties to the company beyond their director compensation. This independence ensures objective decision-making on executive pay, risk management, and strategic initiatives.

Independent directors bring external perspectives that challenge management assumptions and ensure decisions align with shareholder interests rather than executive preferences. Their role becomes particularly important given the chairman and CEO positions are combined.

Committee Structure

The board operates through specialized committees that focus on specific oversight areas. The Audit Committee monitors financial reporting accuracy and works closely with external auditors to ensure transparency.

The Risk Committee evaluates the bank’s risk profile and mitigation strategies, a particularly important function given the financial sector’s complexity. The Compensation Committee reviews executive pay packages and ensures alignment with shareholder interests and company performance.

Governance and Ethics

The Corporate Governance Committee manages board structure and ethics policies. It nominates new directors and evaluates board effectiveness to ensure the institution maintains high standards of corporate responsibility.

This committee also oversees director succession planning and ensures the board composition reflects the skills needed to guide a major financial institution. Their work helps maintain investor confidence in the bank’s governance practices.

Diversity and Expertise

Directors bring experience from various industries beyond traditional banking. Some have backgrounds in technology and innovation, helping the bank navigate digital transformation.

Others specialize in regulatory compliance or international finance, providing comprehensive oversight for the bank’s complex operations. This mix of expertise ensures the board can effectively evaluate strategic opportunities and risks across all business segments.

The board meets regularly to review financial performance and participates in strategic planning sessions throughout the year. Members also engage with regulators and represent shareholder interests in major corporate decisions. Similar governance structures exist at other major banks, including Chase and U.S. Bank.

FAQs

Who is the largest shareholder of Bank of America?

Berkshire Hathaway holds the largest stake at approximately 9.99% of outstanding shares as of October 2024. Warren Buffett’s company reduced its position after sustained selling throughout 2024.

Does Warren Buffett own Bank of America?

Buffett’s Berkshire Hathaway owns a significant stake but not the entire company. Bank of America is publicly traded with distributed ownership among institutional and individual shareholders.

Is Bank of America publicly or privately owned?

Bank of America is publicly traded on the New York Stock Exchange under ticker symbol BAC. Anyone can purchase shares through standard brokerage accounts.

Who founded Bank of America?

Amadeo Pietro Giannini founded the Bank of Italy in 1904 in San Francisco. The institution later became Bank of America after merging with Bank of America, Los Angeles in 1930.

How many branches does Bank of America operate?

Bank of America operates approximately 3,900 branches across the United States. The bank also maintains an extensive ATM network and award-winning digital banking platform.