WASHINGTON: Bank of America Corp (BAC.N) is reassigning its employees in wealth management section and lending to other roles within the firm, a source said on Friday, as higher interest rates continue to weigh on the businesses.
Less than 200 officials of the bank are being moved to product specialist positions within the firm’s global operations organization, Reuters reported.
Bank of America Corp
A Bank of America spokesperson told the media that as their business and client needs grow, their focus continues to be on aligning their team to areas of greatest need. Based on present market conditions, they are re-aligning talent to support these sectors,”.
It may be recalled that the news was first reported by Bloomberg on Friday.
The latest move highlights the broader problems in Wall Street banks’ mortgage and wealth management businesses in an increasing interest rate atmosphere.
Interest rate hikes by world central banks to tame high levels of inflation have considered on consumer and corporate expenditure, affecting the position for Wall Street heavyweights such as Morgan Stanley (MS.N) and Goldman Sachs Group Inc (GS.N).
