Bank of America Corporation (BAC: 14.96 +0.10 +0.67%), on Thursday, announced the setting up of a new platform to improve the delivery of its Global Liquidity Product offering.The new Global Liquidity Platform is a centralized technological system offering an enhanced, streamlined workflow and reporting capabilities. By eliminating reliance on multiple account platforms, it will enable BofA to offer seamless, consistent and integrated liquidity solutions to its clients across the globe.
The new Global Liquidity Platform comprises liquidity, operational and product-specific mechanism/section and puts forward superior global account connectivity and liquidity concentrated products to BofA’s clients. The company is committed to providing ground-breaking technology to its corporate banking and treasury management clients and the new Global Liquidity Platform is a step in that direction.
The new Global Liquidity Platform will also facilitate BofA to introduce updated products in the market more efficiently and quickly.
The new Global Liquidity Platform is particularly beneficial when used with the Interest Optimization tool, which was launched in April 2010. Interest Optimization creates end-of-day global position of client balances, which is vital for client accounts held in various currencies.
BofA with its new Global Liquidity Platform is committed to deliver innovative liquidity solutions to its clients. The new platform will broaden the company’s client base. Hence, revenues will also shoot up in the days ahead.
BofA is scheduled to release its second quarter 2010 financial results on July 16, 2010. The Zacks Consensus Estimate for earnings for the second quarter is 22 cents per share.
BofA’s first quarter 2010 earnings came in at 28 cents per share, substantially ahead of the Zacks Consensus Estimate of 9 cents. However, this compares unfavorably with the earnings of 44 cents per share in the year-ago quarter. Strong capital market activity and lower provision for credit losses were the primary factors that helped BofA bounce back to profitability after incurring huge losses for the last couple of quarters.
The market turmoil was more harmful to BofA than its peers except Citigroup Inc.(C: 4.025 +0.055 +1.39%). However, BofA concluded its biggest acquisitions in this period. Following the Countrywide acquisition in 2008, the company acquired Merrill Lynch almost during the height of the financial crisis last year.
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