What if you bought Bank of America at its pre-2008-crisis peak?
This uses real data to show what would have happened if you had invested a lump sum of ₩10M in the big U.S. bank Bank of America (BAC) on November 20, 2006, near its pre-crisis peak. A crash of over 90% and an extremely long recovery delay are the main story.
⚠️ Know the risk first
After entry, BAC crashed more than 90% from its peak in the crisis and took a very long time to reclaim it. The final result only holds if you held through that extreme drawdown without selling.
⚠️ This asset is an individual stock chosen as of today, so past returns can look better than they really were (survivorship bias).
What happened that day
Around November 2006, Bank of America traded near its pre-crisis peak (about $54–55). In the 2008 crisis it crashed more than 90% from its peak on the burden of the Merrill Lynch and Countrywide acquisitions and bad assets, taking a very long time to recover.
Why this date
November 2006, when BAC was near its pre-crisis peak, is used as the buy date, computing 'what if you bought a bank at the worst pre-crisis timing' at that day's close.
Investment conditions
Asset · Bank of America (BAC) · lump-sum near the pre-crisis peak, then held long-term
Method · Lump-sum (all at once)
Period · 2006-11-20 ~ 2026-07-01
Amount · $7,407
As of · 2026-07-01
Key metrics
These results do not reflect taxes. Based on historical data.
Buy and final prices are shown in the asset's local currency (US & crypto $, Japan ¥, Korea ₩). Total invested and final value are in Korean won (₩).
Risk & recovery
As important as returns. This service does not hide maximum drawdown or loss periods.
Maximum drawdown (MDD)
-93.5%
Largest drop from peak
Longest loss period
174months
Months in loss: 201
Recovery period
147months
Growth over time
Invested principal (dashed) and portfolio value (solid). Values below match the calculation.
Total invested $7,407 → Final value $11,837 (+59.8%), Maximum drawdown (MDD) -93.5%
Why this period and asset
Around November 2006, Bank of America traded near its pre-crisis peak (about $54–55). In the 2008 crisis, BAC was hit hard by the burden of the Merrill Lynch and Countrywide acquisitions and bad assets, crashing more than 90% from its peak. It is a signature 'casualty bank' of the crisis and, even among surviving big banks, one of the slowest to recover.
Interpreting the result
The heart of this page is not the final return but 'how extremely underwater you went after buying at the crisis top, and how long recovery took.' Look at the maximum drawdown and loss periods first. BAC crashed more than 90% from its peak and took a very long time to reclaim that high. Even the same 'buying a bank at the crisis top' produced a far more extreme drawdown and recovery delay than JPMorgan — showing how much single-stock choice changes the outcome.
Caveats & limits
As a single stock, be especially mindful of survivorship bias. BAC is a case that eventually survived despite a severe crash, but far more financial firms went bankrupt or vanished in the same crisis. Holding through a 90%+ drawdown without selling is extremely hard in reality. Figures use adjusted close (dividends and splits reflected) and exclude exchange rates, fees, and taxes; always review the maximum drawdown and loss periods. Past results do not guarantee the future.
Event fact sources
- stockanalysis.com — Bank of America (BAC) stock price history 1979–2026
- FXStreet — Bank of America eyeing all-time highs from 2006 (2025-12)
Requested date vs actual trading date
If the event date is a holiday, the fill uses the next trading day's close. The 'effective trading date' below is the date actually used.
Data sources & limits
- Price data source: Yahoo Finance / FinanceDataReader
- Collected on: 2026-07-28
- Effective trading date: 2026-07-01
- Price basis: Adjusted close (reflects dividends and stock splits)
- This asset is an individual stock chosen as of today, so past returns can look better than they really were (survivorship bias).
- Trading fees and taxes are not reflected — figures are pre-tax.
- Based on historical data; does not guarantee future returns.
Frequently asked questions
Did it really fall more than 90%?
Yes. Bank of America crashed more than 90% from its peak in the 2008 crisis, as the burden of the Merrill Lynch and Countrywide acquisitions combined with bad assets. See that extreme stretch in the maximum drawdown metric below.
When did it reclaim that peak?
It took a very long time. Even among surviving big banks, BAC is cited as one of the slowest to reclaim its pre-crisis high. See the time to recover in the loss-period metric below.
How is it different from JPMorgan?
Even the same crisis-top bank purchase, BAC had a far deeper drawdown and a far slower recovery than JPMorgan. It is a contrast showing that within the same sector, single-stock choice can sharply change the outcome.
Are FX and taxes reflected?
No. Exchange rates, trading fees, and taxes are not reflected — figures are pre-tax. This page only shows historical data and recommends no stock.
Related scenarios
📋 Results are based on historical data; past returns do not guarantee future returns.
📋 This service is provided for educational purposes to help you understand investing, not as investment advice.
⚠️ Calculated using today's representative assets, which may differ from the market composition at the time.