(Bloomberg) -- Bank of America Corp. revamped leadership across its wealth-management business, placing more responsibilities on current heads Andy Sieg and Katy Knox.
Certain product teams were moved under Sieg and Knox to better align with client needs, the executives said Thursday in an interview. Changes went into effect immediately.
Sieg, president of Merrill Lynch, is now responsible for the investment solutions and personal retirement groups. Knox, president of the private bank, adds responsibility for the wealth-management banking and lending strategy unit and the trust specialists team.
“These changes are about streamlining our wealth-management businesses and pulling product capabilities closer” to the unit, Sieg said in an interview.
The adjustments come as demand for advisers climbs and banks bolster businesses that serve affluent clients. Bank of America reported record year-over-year growth across its wealth management businesses, including a 12% jump in revenue to $20.7 billion, and $4.3 trillion in client balances at the end of 2021.
Bank of America’s revamp “is accelerating growth we’ve already seen and gets us closer to client delivery,” Knox said.
It also follows the promotion of Merrill’s top performers at the end of last year as veteran leaders Bill Lorenz and Paul Lampert planned for retirement. Lindsay Hans and Chandler Root were named division executives in their place.
Keith Glenfield, who continues to lead investment solutions group products and platforms while adding responsibility for personal retirement, joins Sieg’s leadership team. Chris Adam, head of personal retirement, will report to Glenfield.
Artificial intelligence has been a driver for the firm as it seeks to expand client engagement. The alternative investment business saw a record $18 billion of client flows last year, according to the company. In response to the demand, the firm is planning on hiring more AI specialists and adding products to the platform.
Also joining Sieg’s team is Nancy Fahmy, who will continue to lead alternative investments and the specialty asset management group, adding responsibility for ISG specialists. Brian Partridge, head of ISG specialists, will report to Fahmy, while Chris Hyzy will continue to lead the chief investments office which manages nearly $200 billion in CIO portfolios across wealth management.
Under Knox’s expanded role, Randy Takian, head of wealth management banking and lending, will continue to lead the team. Trust specialists will report to Jeff Busconi, head of products, service and platforms for the private bank.
Keith Banks who was vice chairman and head of the investment solutions group since 2017, was named chief investment officer for Bank of America’s pension and benefit plan investments, which total over $22 billion, according to the company. Banks will report to Paul Donofrio, former chief financial officer and current vice chair who took responsibility for the plans.