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JPMorgan Chase & Co. (JPM)

  • Wed, Jan. 28, 7:02 AM
    • Frank Gong was appointed to the role less than a year ago, after Fang Fang - CEO for China investment banking at JPM - was forced out amid an investigation into the bank's hiring practices in that country.
    • Fang was replaced by Brian Gu and Jing Zhao, who became co-CEOs of investment banking in China.
  • Tue, Jan. 27, 1:31 PM
    • JPMorgan (JPM -0.6%) looks like it was on the right side of the action when the SNB shocked the markets 10 days ago by abandoning its support of the euro/franc floor.
    • Bloomberg's Julia Verlaine reports the Bank of Dimon made between $250M and $300M as the franc soared higher following the move.
    • The profit at JPMorgan comes as other lenders - reportedly Deutsche Bank, Barclays, and Citigroup - lost hundreds of millions in the tumult.
    • Previously: Banks lose millions on SNB move (Jan. 16)
    • Previously: Citi reportedly loses more than $150M on Swiss franc move (Jan. 16)
  • Sat, Jan. 24, 4:48 PM
    • The financial sector is off to a worse start to the year than even the energy names, with the XLF down 3.9% YTD vs. the XLE's 3.2% decline. The S&P 500 is roughly flat. The SPDR KBW Bank ETF (NYSEARCA:KBE) is off 7.5%, and the Regional Bank ETF (NYSEARCA:KRE) is lower by 6.9%.
    • Q4 earnings results haven't been wonderful, but financial names had been savaged well before those reports started coming out. Instead there's a difficult regulatory regime that won't quit, and - for now - it's looking like "wait'll next year" for the rising interest rates that were supposed to drive profit margins higher. The 10-year/2-year spread - already pretty low at 150 basis points to start the year - has narrowed to 137 bps.
    • A partial roll call of banks: Bank of America (NYSE:BAC-12.1% YTD, Citigroup (NYSE:C-10.1%, JPMorgan (NYSE:JPM-9.4%, Morgan Stanley (NYSE:MS-9.4%, Regions Financial (NYSE:RF) -14.7%, KeyCorp (NYSE:KEY) -4.5%, PNC Financial (NYSE:PNC-5.4%, Bank of New York (NYSE:BK-9.1%, Capital One (NYSE:COF) -6%, Discover (NYSE:DFS-13.6%.
    • Other spread-starved sector names: MetLife (NYSE:MET-9.8%, AIG (NYSE:AIG-8%, Prudential (NYSE:PRU-10.8%, Schwab (NYSE:SCHW-9.9%.
    • Some of what's working in financials: Blackstone (NYSE:BX+6.7%, E*Trade (NASDAQ:ETFC+1.2%, WisdomTree (NASDAQ:WETF+12.3%, Legg Mason +2.8%.
  • Thu, Jan. 22, 4:48 PM
    • The JPMorgan (NYSE:JPM) boss received $20M in 2014, equal to 2013, but last year's pay included a cash bonus of $7.4M - his first cash bonus in three years. Bonuses in 2012 and 2013 were limited to stock as the board slapped Dimon on the wrist for presiding over the London Whale mess.
    • For all 2014, Dimon received $1.5M in salary, $11.1M in restricted stock, and the aforementioned $7.4M cash bonus.
    • JPMorgan common stock gained 7% last year, lagging the S&P 500's Financials Index by 600 basis points.
  • Wed, Jan. 21, 2:54 PM
    • Though it was not JPMorgan's (JPM +0.3%) intention to do so, rules a federal appeals court, the bank clearly authorized counsel to file papers in 2008 making a loan to GM unsecured instead of secured.
    • While secured creditors were repaid in full during GM's bankruptcy, unsecured creditors took losses.
    • This particular case deals with JPMorgan unintentionally releasing a lien on GM fixtures and equipment. During bankruptcy proceedings, JPMorgan initially won its argument that the security interest was still in effect, but the appeals court today reversed that decision, noting the paperwork had been reviewed by the bank managing director responsible for the loan, as well as counsel.
  • Wed, Jan. 21, 9:09 AM
    • The Global Credit Index business - a 12-person unit focused solely on trading credit index products like CDS and ETFs - is the first of its kind at a major investment bank, says JPMorgan (NYSE:JPM). It's been set up in response to a boom in customer demand for trading indexes instead of individual bonds, where liquidity has been drying up.
    • Credit ETFs are a $197B market today vs. $58B five years ago, says the bank, and indexes now make up 42% of the CDS market vs. 29% in 2010, according to the Depository Trust and Clearing Corporation.
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  • Tue, Jan. 20, 2:25 AM
    • Fidelity Investments and eight other big money managers, including BlackRock (NYSE:BLK), BNY Mellon (NYSE:BK), JPMorgan (NYSE:JPM), and T. Rowe Price (NASDAQ:TROW), are close to launching a dark pool.
    • The project is aimed at creating a private trading venue for the benefit of mutual fund shareholders in an effort to reform trading by cutting costs and weeding out high-frequency traders.
    • Despite coming under increased regulatory scrutiny, dark pools have recently seen a major jump in trading volume.
    • Previously: Nasdaq considers joining the dark side (Jan. 12 2015)
  • Wed, Jan. 14, 9:20 AM
    • Touting the benefits the bank gets from its platform, scale, and franchise, JPMorgan (NYSE:JPM) boss Jamie Dimon scoffs at the idea (thanks to a Goldman report) his bank should be broken up. CFO Marianne Lake earlier: "You don't undertake major surgery when generating strong returns."
    • Webcast and presentation
    • On the sharp drop in oil prices, Dimon doesn't have too much concern. While certain companies and real estate in oil boom areas will get hurt, the overall effect on the economy will be mixed as falling oil prices puts more money in consumers' pockets. Banks with heavy exposure to energy will take lumps, but JPMorgan has the size and diversity to shrug things off.
    • Dimon: I'm surprised when people are surprised by moves in commodity prices. "Commodity prices have been on the move my whole life."
    • Previously: Dimon: "Banks are under assault" (Jan. 14)
    • Previously: Trading slump, legal charges hit JPMorgan results (Jan. 14)
    • Previously: JPMorgan Chase EPS of $1.19 (Jan. 14)
    • Shares -3.1% premarket amid a broad slump in equity prices
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  • Wed, Jan. 14, 8:26 AM
  • Wed, Jan. 14, 7:22 AM
    • Q4 included a $990M after-tax legal expense; backing that out, headline EPS would have been $1.54 vs. $1.19 reported and estimates for $1.31.
    • Q4 Consumer & Community Banking net income of $2.179B vs. $2.448B a year ago on revenue of $10.949B vs. $11.439B. Net interest income of $7.1B down marginally from a year ago. Provision for credit losses of $950M vs. just $72M a year ago. Noninterest expense of $6.411B vs. $7.321B thanks to continued job cuts in mortgage banking. Mortgage banking net income of $338M down from $593M a year ago.
    • Corporate & Investment Bank - excluding DVA adjustments - net income of $1.1B vs. $2.2B a year ago on revenue of $7.6B vs. $8.2B. Investment banking fees of $1.8B up 8% Y/Y. Fixed income markets revenue of $2.5B down 23% - excluding business simplification, including the sale of certain operations, fixed income markets revenue fell 14%. Noninterest expense of $5.6B up 14% Y/Y thanks in part to higher legal expense.
    • Commercial Banking net income of $693M vs. $711M a year ago on revenue of $1.770B vs. $1.876B.
    • Asset Management net income of $540M vs. $581M a year ago on revenue of $3.2B, flat from last year.
    • Conference call at 8:30 ET
    • Previously: JPMorgan Chase EPS of $1.19 (Jan. 14)
    • JPM -2.3% premarket
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  • Wed, Jan. 14, 7:00 AM
    • JPMorgan Chase (NYSE:JPM): Q4 EPS of $1.19 may not be comparable to consensus of $1.31.
    • Revenue of $23.6B (-2.1% Y/Y) misses by $40M.
    • Press Release
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  • Tue, Jan. 13, 5:30 PM
  • Tue, Jan. 13, 3:21 PM
    • 2015 has opened much like 2014, with interest rates doing the exact opposite of what most expected, and falling sharply. It's a tough start for bank investors who have been counting on higher interest rates to help boost earnings for a number of years.
    • In the meantime, deposits keep rolling in, and the pace of lending growth isn't quick enough to absorb all the money. In 2014, loan balances rose 4.4%, but securities holdings popped 12%, and cash assets jumped 22%.
    • The good part of falling yields are unrealized gains on those security portfolios - negative a year ago, they're were in the green by about $15B on Dec. 31. More good news, says Goldman's Richard Ramsden: Valuations. The big banks are priced at about 9.9x estimated 2016 earnings, allowing for some nice upside if and when rates do decide to go higher.
    • Reporting Q4 results tomorrow are JPMorgan (JPM) and Wells Fargo (WFC -0.8%), and on Thursday are Bank of America (BAC -1.4%) and Citigroup  (C -0.9%).
  • Fri, Jan. 9, 12:24 PM
    • The Diversified Return Emerging Markets Equity ETF (NYSEARCA:JPEM) seeks to provide investors with enhanced risk-adjusted returns and to help financial advisors keep clients invested in equities over the long term.
    • "We believe that J.P. Morgan (NYSE:JPM) has emerging markets capabilities and investment insights that will be attractive to investors, and this product is an important additional step in delivering those capabilities, with an eye toward better risk-adjusted returns," said Robert Deutsch, Global Head of ETFs for J.P. Morgan Asset Management in a press release.
    • The FTSE Emerging Diversified Factor Index will be employed in this fund, featuring a unique risk framework to distribute risk across regions and sectors and a multi-factor stock filter to rank and select stocks based on value, quality and momentum.
    • The SPDR MSCI Emerging Markets Quality Mix ETF (NYSEARCA:QEMM) will likely be the most direct competitor for this new ETF.
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  • Wed, Jan. 7, 7:33 AM
    • SolarCity (NASDAQ:SCTY) is partnering with JPMorgan (NYSE:JPM) to finance more than $350M in solar power projects with a new investment fund.
    • The fund is the second created by the two companies, and a follow-up to a fund created in 2013 to finance approximately $170M projects.
    • JPM +0.9% premarket
    • Previously: SolarCity, BofA partner on solar financing program (Dec. 11 2014)
  • Mon, Jan. 5, 4:10 PM
    • The bank has agreed to pay about $100M in lawsuits brought by counterparties, market participants, and others who claim damage by supposed efforts to rig the foreign exchange markets, reports the FT.
    • Revealed in court filings today and still requiring court approval, the settlement shows JPMorgan's (JPM -3.1%) desire to lay the manner to rest, say the FT's sources. Eleven other banks are also defendants in the suit. Together, the twelve had asked for dismissal in May, and the court has yet to rule on it.
    • JPMorgan has already paid $660M to settle global probes of forex markets and still faces investigations by the DOJ and New York's Department of Financial Services.
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Company Description
JPMorgan Chase & Co is a financial services firm and a banking institution. its segments are Consumer & Community Banking, Corporate & Investment Bank, Commercial Banking, and Asset Management.
Sector: Financial
Country: United States