Bank of America’s wealth management division, encompassing Merrill Lynch and its private bank, achieved significant growth in 2024, driven by an influx of affluent clients and expanding relationships with existing ones. Net income rose 8% from the previous year to $4.3 billion, reflecting the division’s continued momentum.
The group reported $13.7 billion in asset management fees for 2024, marking a robust 16% increase from 2023. Total revenue reached $22.9 billion, up 9% year-over-year, underscoring its growing market share and ability to attract high-value clients.
Merrill Lynch ended the year with $3.6 trillion in total client balances—a 12% increase compared to 2023. This figure includes a record $1.5 trillion in assets under management (AUM) within Merrill’s fee-based Investment Advisory Program, an 18% year-over-year increase. Inflows to this program surged to $68 billion, representing an 81% jump from the prior year.
“This growth reflects our ability to bring new clients into the Merrill ecosystem and deepen our relationships with existing ones,” said Lindsay Hans, president and co-head of Merrill Wealth Management. “Many clients are transitioning assets from our brokerage platform to the fee-based advisory model, which highlights the value they see in tailored, fiduciary-focused solutions.”
The fee-based advisory platform now accounts for over 40% of Merrill’s total client balances, signaling a broader industry trend toward fiduciary advice and comprehensive financial planning.
The Bank of America Private Bank also saw impressive growth, closing the year with $674 billion in client balances—an 11% increase from 2023. This performance aligns with Bank of America’s overall fourth-quarter results, which delivered $6.7 billion in profit, more than double the prior year’s figure and exceeding analyst expectations. The bank’s earnings per share for the quarter came in at 82 cents, ahead of the 77-cent forecast, while total revenue reached $25.3 billion, surpassing projections of $25.1 billion.
Merrill is sharpening its focus on affluent and ultrahigh-net-worth (UHNW) clients, recognizing the revenue potential of these complex financial relationships. The firm has established a specialized UltraHigh-Net-Worth Advisory Group led by Rob Romano, formerly head of capital markets investor solutions. This team collaborates with Merrill advisors to provide advanced strategies and connect clients with Bank of America’s broader suite of services, such as custom lending solutions.
“Rapid wealth creation, increasingly intricate financial needs, and the rising importance of generational wealth transfer are driving demand for sophisticated advisory services,” Romano said. “This group enhances our ability to address the unique needs of ultrahigh-net-worth families and individuals.”
In 2024, Merrill and the private bank added approximately 24,000 net new client relationships, with 72% of those having assets of $500,000 or more, up from 60% the previous year. In the fourth quarter alone, Merrill added about 3,900 net new households, highlighting its ability to attract and retain high-net-worth clients.
A key component of this growth strategy is fostering cross-enterprise collaboration. Bank of America reported that 62% of Merrill clients now have a banking or lending relationship with the broader enterprise, emphasizing the benefits of a holistic approach to client management.
“Many of our wealth management clients are introduced to us through retail or institutional relationships across the enterprise,” said Eric Schimpf, co-president and co-head of Merrill Wealth Management. “This integrated model allows us to serve their comprehensive financial needs—from commercial banking and retirement benefits to lending and wealth planning. The opportunities for growth across these channels remain vast.”
By aligning its wealth management efforts with broader enterprise capabilities, Merrill is positioning itself to capture a larger share of the high-net-worth and ultrahigh-net-worth markets. With strong performance metrics, a growing client base, and an enhanced focus on advanced advisory solutions, Bank of America’s wealth division continues to solidify its leadership in the industry.
