Bank of America, the second biggest U.S. lender after J.P. Morgan Chase, benefited last year from the corporate tax cut, rising interest rates and Moynihan’s efforts to cut costs. The bank generated $ 28.1 billion in profits in 2018, 54 percent more than the previous year, on $ 91.2 billion in revenue.
Moynihan, 59, has led the Charlotte, North Carolina-based bank since the start of 2010. He spent much of the earlier part of his tenure cleaning up the mortgage-related mess related to his predecessor’s acquisition of subprime lender Countrywide Financial. More recently, his stature among investors and analysts has climbed with the bank’s financial performance.
His rivals have also gotten raises. J.P Morgan’s Jamie Dimon, typically the highest-paid of bank CEOs, got a 5 percent increase to $ 31 million. Morgan Stanley’s James Gorman got a 7 percent raise to $ 29 million.
Goldman Sachs CEO David Solomon got $ 23 million, but his firm said some of that could get clawed back if the results of an investigation into the 1MDB scandal would have influenced the board’s pay decisions.