Headquarters: 270 Park Avenue
New York, NY 10017
CEO: Jaime Dimon
Stock Symbol: JPM
JPMorgan Chase is one of the nation's largest banking companies with over $2.3 trillion in assets and operations in over 60 countries.
The company provides banking services, loans and credit cards to customers under the Chase brand.
JPMorganChase is a leader in investment banking, financial services for consumers, small business and commercial banking, financial transaction processing, asset management, and private equity. A component of the Dow Jones Industrial Average, JPMorgan Chase has its corporate headquarters in New York and its U.S. retail financial services and commercial banking headquarters in Chicago. Under its JPMorgan and Chase brands, the firm serves millions of consumers in the United States and many of the world's most prominent corporate, institutional and government clients.
The company reported a $2 billion-plus loss in its own trading desk in May. The company's chief investment officer Ina Drew resigned as a result of the loss.
JPMorgan Chase has seven lines of businesses:
Retail Financial Services:
* Retail Financial Services includes Consumer Banking, Small Business Banking, Auto and Education Finance, Insurance, and Home Finance. The company has 5,508 retail branches nationwide.
* The company has over 26.6 million checking accounts with total deposits of $367 billion.
* JPMorgan is a global leader in asset management services. We serve four distinct client groups through three businesses: institutions and retail clients through Investment Management, ultra high net worth clients through Private Banking, and high net worth clients through Private Client Service. With assets under supervision of $1.6 trillion and assets under management of $1.2 trillion, we are one of the largest asset and wealth managers in the world.
Treasury & Securities Services:
* Treasury & Securities Services currently generates more than $6 billion in annual revenue for the firm providing services for corporate CFOs, treasurers, financial institutions, issuers and institutional investors. Our products and services are sold directly by Treasury & Securities Services’ sales teams, as well as bundled with additional products and sold by other teams across JPMorgan Chase. In fact, we help generate more than $2 billion in annual revenues for other areas of the firm. Our product managers continuously monitor emerging market trends to assure we are developing products to meet the future needs of our clients. Within Treasury & Securities Services our employees act as advisors, often partnering with bankers to develop solutions and recommendations to meet specific client needs.
* Chase Card Services creates lifelong, engaged relationships with our customers by being a trusted provider of financial services. With 155 million cards in circulation and $157 billion in managed loans, we are the second largest issuer of credit cards in the United States and the largest merchant acquirer. Our customers use our cards for more than $281 billion worth of purchases a year that translates to about 97 Chase Card transactions per second. We offer a variety of cards to satisfy the individual needs of our cardmembers, including outstanding proprietary cards like Chase Freedomsm, cards reflecting our partnerships with major airlines, hotels, universities, top retailers, other financial institutions and a host of well known brands.
* JPMorgan is one of the world’s leading investment banks with one of the most extensive client lists in the world. Our full platform enables us to develop some of the most complete and innovative financial solutions in the industry. We offer clients a full range of services, including strategic advice, capital raising, restructuring, risk management, market-making and research. We operate in more than 100 countries and have global leadership positions in our key products. JPMorgan also commits its own capital to proprietary investing and trading activities. We continue to strengthen our platform and develop new products to meet clients’ needs.
* Commercial Banking includes three client segments: Middle Market, which serves companies with revenues between $10 million and $500 million; Mid-Corporate, which focuses on clients with more significant Investment Banking needs; and Real Estate. We also have two product segments: Asset Based Lending and Leasing. Our critical core competency is outstanding credit management, and we rely heavily on our local presence to cross sell investment banking, treasury and investment management products and services.
* The company has two centralized principal activities, Global Treasury and Private Equity. Global Treasury primarily manages the firm’s liquidity and investment portfolio, and invests in leverage buyouts, growth equity and venture capital for the firm and third parties around the world. Our staff functions include: - Audit - Corporate Strategy & Development - Finance - Global Real Estate & Business Services - Human Resources - Legal, Compliance & Government Relations - Marketing & Communications - Risk Management - Technology & Operations
* This includes private banking
In 2011, JPMorganChase reported total net revenue of $97.2 billion, a 5% drop. Net income for the year was $18.9 billion.
CEO Jamie Dimon said: "Every day, we put the Firm's resources to work to help our customers, corporate clients and the communities where we do business. During 2011, the Firm provided credit and raised capital of over $1.8 trillion for our commercial and consumer clients, up 18% from the prior year. We provided more than $17 billion of credit2 to U.S. small businesses, up 52% over prior year. We raised capital or provided credit2 of $68 billion for more than 1,200 not-for-profit and government entities, including states, municipalities, hospitals and universities. We also provided new credit cards to 8.5 million people and originated more than 765,000 mortgages. In order to help struggling homeowners, the Firm has offered more than 1.2 million mortgage modifications since 2009, of which 452,000 were completed."
The company's history is made up of major legacy institiutions including J.P. Morgan, Chase Manhattan, Chemical, Manufacturers Hanover, Bank One, First Chicago, and National Bank of Detroit.
The company's beginnings go back to 1799 with the Bank of Manhattan.
John Pierrepont Morgan, born in 1837 and the son of successful financier, became a partner in his father's firm Drexel, Morgan and Co. in 1856. The firm was renamed J.P. Morgan and Co. in 1895 and became one of the most powerful banks in the world.
In 1955, the Chase Bank would merge with the Bank of Manhattan to form Chase Manhattan Bank. Chemical Bank was acquired by Chase Manhattan in 1996.
In 2000, Chase Manhattan Bank merged with J.P. Morgan to form JP Morgan Chase.
JPMorgan Chase merged with Bank One on July 1, 2004.
In May 2008, JPMorgan Chase acquired rival investment bank Bear Stearns for $10 a share with financial assistance from the Federal Reserve. The deal was made to rescue Bear Stearns from potential bankruptcy.
In September 2008, JPMorganChase acquired the assets and liabilities of Washington Mutual bank for $1.9 billion after it was seized by the FDIC.
All employees have their pay linked to a combination of firm, business unit, team, and individual performance.
The company provides a choice among health, dental and vision plans. Also provided are life insurance, business travel insurance, long-term care insurance and group legal services.
- Eligibility begins after one year of total service
- Monthly pay credits from 3% to 9% of "benefits pay" (up to legal limits - currently $210,000) depending on years of cumulative service
- Pay credits for "benefits pay" in excess of the legal limit will be made to the nonqualified Excess Retirement Plan, up to the plan limit of $1 million, if eligible
- Grandfathered benefits continue for certain heritage employees
- Monthly interest credits
- 100% vested after five years of total service
- JPMorgan Chase paid
- Immediate eligibility for full-time employees to make before-tax contributions up to 20% of "benefits pay" (up to legal limits - currently $210,000)(90-day wait period for part-time employees)
- Employee contributions on a before-tax basis
- Dollar-for-dollar matching contributions on the first 5% of "benefits pay" contributed each pay period for participants with annual total cash compensation of less than $250,000
- Begin after one year of total service
- Immediate vesting
- Employee directed investment
- 26 investment funds
- JPMorgan Chase and employee contributions
Employee Stock Purchase
- After one year of service, purchase JPMorgan Chase common stock quarterly at a 5% discount with dividend reinvestments
- Election to participate only during an annual benefits enrollment period
- No brokerage or commission fees
- Employee contributions on an after-tax basis from $240 to $25,000 per year up to 20% of "benefits pay"