Bank of America Boosts Dividend by 9% Following Stress Test

Bank of America plans to increase its quarterly common stock dividend by 9% to 24 cents per share starting in the third quarter of 2023, following the Federal Reserve's stress test. Unlike its rivals, BofA had delayed its decision on the dividend, citing a dialogue with the Fed to understand the differing results between the stress test and the companies' own assessments. The talks are ongoing, and the stress test showed that major lenders, including BofA, have sufficient capital to withstand a severe economic downturn.