JPMorgan Chase
JPMorgan Chase & Co.
Public
NYSE: JPM BMV: JPM
FWB: CMC TYO: 8634
Traded as
Dow Jones Component
S&P 500 Component
Banking, Financial services
Industry
Chase Manhattan Corporation
Predecessor(s)
J.P. Morgan & Co.
2000
Founded
270 Park Avenue, Manhattan,
Headquarters
New York City, New York, U.S.
Worldwide
Area served
Jamie Dimon
Chairman, President/CEO
Key people
Doug Braunstein
Vice Chairman
Asset management, consumer banking,
corporate banking, credit cards,
Products
investment banking, mortgage loans,
private banking, wealth management
US$ 110.84 billion (2011)[1]
Revenue
Operating
US$ 26.75 billion (2011)[1]
income
US$ 18.98 billion (2011)[1]
Net income
US$ 2.321 trillion (September 2012)[1]
Total assets
US$ 183.57 billion (2011)[1]
Total equity
259,547 (2012)[1]
Employees
J.P. Morgan Asset Management
Divisions
Chase, J.P. Morgan & Co., J.P. Morgan
Subsidiaries
Cazenove, One Equity Partners
JPMorganChase.com
Website
Type
JPMorgan Chase & Co. headquarters in Manhattan, New York City, New York, U.S.
JPMorgan Chase & Co. (NYSE: JPM) is an American multinational banking corporation of securities, investments and
retail. It is the largest bank in the United States by assets.[2] It is a major provider of financial services, with assets of $2
trillion and according to Forbes magazine is the world's second largest public company based on a composite ranking.[3] The
hedge fund unit of JPMorgan Chase is one of the largest hedge funds in the United States.[4] It was formed in 2000, when
Chase Manhattan Corporation merged with J.P. Morgan & Co.[5]The J.P. Morgan brand is used by the investment banking
as well as the asset management, private banking, private wealth management and treasury & securities services divisions.
Fiduciary activity within private banking and private wealth management is done under the aegis of JPMorgan Chase Bank,
N.A.—the actual trustee. The Chase brand is used for credit card services in the United States and Canada, the bank's retail
banking activities in the United States, and commercial banking. The corporate headquarters are in 270 Park Avenue,
Midtown, Manhattan, New York City, New York, and the retail and commercial bank is headquartered in Chase Tower,
Chicago Loop, Chicago, Illinois, United States.[5]JPMorgan Chase is one of the Big Four banks of the United States with
Bank of America, Citigroup and Wells Fargo.[6][7][8][9][10][11] According to Bloomberg, as of October 2011 JPMorgan Chase
surpassed Bank of America as the largest U.S. bank by assets.[12] Through its predecessor, the Bank of the Manhattan
Company, it is the 22nd oldest bank in the world.JPMorgan Chase, in its current structure, is the result of the combination of
several large U.S. banking companies over the last decade including Chase Manhattan Bank, J.P. Morgan & Co., Bank One,
Bear Stearns and Washington Mutual. Going back further, its predecessors include major banking firms among which are
Chemical Bank, Manufacturers Hanover, First Chicago Bank, National Bank of Detroit, Texas Commerce Bank, Providian
Financial and Great Western Bank.
Chemical Banking Corporation
Main article: Chemical Bank
The New York Chemical Manufacturing Company was founded in 1823 as a maker of various chemicals. In 1824, the
company amended its charter to perform banking activities and created the Chemical Bank of New York. After 1851, the
bank was separated from its parent and grew organically and through a series of mergers, most notably with Corn Exchange
Bank in 1954, Texas Commerce Bank (a large bank in Texas) in 1986, and Manufacturer's Hanover Trust Company in 1991
(the first major bank merger "among equals"). In the 1980s and early 1990s, Chemical emerged as one of the leaders in the
financing of leveraged buyout transactions. In 1984, Chemical launched Chemical Venture Partners to invest in private
equity transactions alongside various financial sponsors. By the late 1980s, Chemical developed its reputation for financing
buyouts, building a syndicated leveraged finance business and related advisory businesses under the auspices of pioneering
investment banker, Jimmy Lee.[14][15] At many points throughout this history, Chemical Bank was the largest bank in the
United States (either in terms of assets or deposit market share).
In 1996, Chemical Bank acquired the Chase Manhattan Corporation taking the more prominent Chase name. In 2000, the
combined company acquired J.P. Morgan & Co. and combined the two names to form what is today JPMorgan Chase & Co.
JPMorgan Chase retains Chemical Bank's headquarters at 270 Park Avenue and stock price history.
Chase Manhattan Bank
Main article: Chase Manhattan Bank
Logo used by Chase following the merger with the Manhattan Bank in 1955.
The Chase Manhattan Bank was formed upon the 1955 purchase of Chase National Bank (established in 1877) by the
Bank of the Manhattan Company (established in 1799),[16] the company's oldest predecessor institution. The Bank of
the Manhattan Company was the creation of Aaron Burr, who transformed The Manhattan Company from a water
carrier into a bank.Led by David Rockefeller during the 1970s and the 1980s, Chase Manhattan emerged as one of
the largest and most prestigious banking concerns, with leadership positions in syndicated lending, treasury and
securities services, credit cards, mortgages, and retail financial services. Weakened by the real estate collapse in
the early 1990s, it was acquired by Chemical Bank in 1996 retaining the prominent Chase name. Prior to its
notable merger with J.P. Morgan & Co., the new Chase expanded the investment and asset management groups
through two acquisitions. In 1999, it acquired San Francisco-based Hambrecht & Quist for $1.35 billion. In April
2000, UK-based Robert Fleming & Co. was sold to the new Chase Manhattan Bank for $7.7 billion.According to
page 114 of An Empire of Wealth by John Steele Gordon, the origin of this strand of JPMorgan Chase's history
runs as follows:At the turn of the nineteenth century, obtaining a bank charter required an act of the state
legislature. This of course injected a powerful element of politics into the process and invited what today would
be called corruption but then was regarded as business as usual. Hamilton's political enemy—and eventual
murderer—Aaron Burr was able to create a bank by sneaking a clause into a charter for a company, called the
Manhattan Company, to provide clean water to New York City. The innocuous-looking clause allowed the
company to invest surplus capital in any lawful enterprise. Within six months of the company's creation, and long
before it had laid a single section of water pipe, the company opened a bank, the Bank of the Manhattan
Company. Still in existence, it is today J.P.Morgan Chase, the second largest bank in the United States.
J.P. Morgan & Company
The heritage of the House of Morgan traces its roots to the partnership of Drexel, Morgan & Co., which in 1895 was
renamed J.P. Morgan & Co. (see also: J. Pierpont Morgan). Arguably the most influential financial institution of its era, J.P.
Morgan & Co. financed the formation of the United States Steel Corporation, which took over the business of Andrew
Carnegie and others and was the world's first billion-dollar corporation. In 1895, J.P. Morgan & Co. supplied the United
States government with $62 million in gold to float a bond issue and restore the treasury surplus of $100 million. In 1892,
the company began to finance the New York, New Haven and Hartford Railroad and led it through a series of acquisitions
that made it the dominant railroad transporter in New England. Although his name was big, Morgan owned only 19% of
Morgan assets. The rest was owned by the Rothschild family following a series of bailouts and rescues attributed by some to
Morgan's stubborn will and seemingly "non-existent" investment savvy.
September 16, 1920: a bomb exploded in front of the headquarters of J.P. Morgan Inc. at 23 Wall Street, injuring 400 and
killing 38 people.
Built in 1914, 23 Wall Street was known as the "House of Morgan", and for decades the bank's headquarters was the most
important address in American finance. At noon, on September 16, 1920, a terrorist bomb exploded in front of the bank,
injuring 400 and killing 38. Shortly before the bomb went off, a warning note was placed in a mailbox at the corner of Cedar
Street and Broadway. The warning read: "Remember we will not tolerate any longer. Free the political prisoners or it will be
sure death for all of you. American Anarchists Fighters." While there are many hypotheses regarding who was behind the
bombing and why they did it, after 20 years of investigation the FBI rendered the case inactive without ever finding the
perpetrators.
In August 1914, Henry P. Davison, a Morgan partner, traveled to the UK and made a deal with the Bank of England to make
J.P. Morgan & Co. the monopoly underwriter of war bonds for the UK and France. The Bank of England became a "fiscal
agent" of J.P. Morgan & Co., and vice-versa. The company also invested in the suppliers of war equipment to Britain and
France. Thus, the company profited from the financing and purchasing activities of the two European governments.
In the 1930s, all of J.P. Morgan & Co. along with all integrated banking businesses in the United States, was required by the
provisions of the Glass–Steagall Act to separate its investment banking from its commercial banking operations. J.P.
Morgan & Co. chose to operate as a commercial bank, because at the time commercial lending was perceived as more
profitable and prestigious. Additionally, many within J.P. Morgan believed that a change in political climate would
eventually allow the company to resume its securities businesses but it would be nearly impossible to reconstitute the bank
if it were disassembled.
In 1935, after being barred from securities business for over a year, the heads of J.P. Morgan spun off its investmentbanking operations. Led by J.P. Morgan partners, Henry S. Morgan (son of Jack Morgan and grandson of J. Pierpont
Morgan) and Harold Stanley, Morgan Stanley was founded on September 16, 1935 with $6.6 million of nonvoting preferred
stock from J.P. Morgan partners. In order to bolster its position, in 1959, J.P. Morgan merged with the Guaranty Trust
Company of New York to form the Morgan Guaranty Trust Company. The bank would continue to operate as Morgan
Guaranty Trust until the 1980s, before beginning to migrate back toward the use of the J.P. Morgan brand. In 1984, the
group finally purchased the Purdue National Corporation of Lafayette Indiana, uniting a history between the two figures of
Salmon Portland Chase and John Purdue. In 1988, the company once again began operating exclusively as J.P. Morgan &
Co.
Bank One Corporation
Main article: Bank One Corporation
In 2004, JPMorgan Chase merged with Chicago based Bank One Corp., bringing on board current chairman and CEO Jamie
Dimon as president and COO and designating him as CEO William B. Harrison, Jr.'s successor. Dimon's pay was pegged at
90% of Harrison's. Dimon quickly made his influence felt by embarking on a cost-cutting strategy, and replaced former
JPMorgan Chase executives in key positions with Bank One executives—many of whom were with Dimon at Citigroup.
Dimon became CEO in January 2006 and Chairman in December 2006.
Bank One Corporation was formed upon the 1998 merger between Banc One of Columbus, Ohio and First Chicago NBD.
These two large banking companies had themselves been created through the merger of many banks. This merger was
largely considered a failure until Dimon—recently ousted as President of Citigroup—took over and reformed the new firm's
practices—especially its disastrous technology mishmash inherited from the many mergers prior to this one. Dimon effected
changes more than sufficient to make Bank One Corporation a viable merger partner for JPMorgan Chase.
Bank One Corporation traced its roots to First Bancgroup of Ohio, founded as a holding company for City National Bank of
Columbus, Ohio and several other banks in that state, all of which were renamed "Bank One" when the holding company
was renamed Banc One Corporation. With the beginning of interstate banking they spread into other states, always
renaming acquired banks "Bank One", though for a long time they resisted combining them into one bank. After the First
Chicago NBD merger, adverse financial results led to the departure of CEO John B. McCoy, whose father and grandfather
had headed Banc One and predecessors. Dimon was brought in to head the company. JPMorgan Chase completed the
acquisition of Bank One in the third quarter of 2004. The former Bank One and First Chicago headquarters in Chicago serve
as the headquarters of Chase, JPMorgan Chase's commercial and retail banking subsidiary.
Bear Stearns
Main article: Bear Stearns
Bear Stearns logo
At the end of 2007, Bear Stearns & Co. Inc. was the fifth largest investment bank in the United States but its market
capitalization had deteriorated through the second half of 2007. On Friday, March 14, 2008 Bear Stearns lost 47% of its
equity market value to close at $30.00 per share as rumors emerged that clients were withdrawing capital from the bank.
Over the following weekend it emerged that Bear Stearns might prove insolvent and on or around March 15, 2008 the
Federal Reserve engineered a deal to prevent a wider systemic crisis from the collapse of Bear Stearns.
On March 16, 2008, after a weekend of intense negotiations between JPMorgan, Bear, and the federal government,
JPMorgan Chase announced that it had plans to acquire Bear Stearns in a stock swap worth $2.00 per share or $240 million
pending shareholder approval scheduled within 90 days. In the interim, JPMorgan Chase agreed to guarantee all Bear
Stearns trades and business process flows.[17] Two days later, on March 18, 2008, JPMorgan Chase formally announced the
acquisition of Bear Stearns for $236 million. The stock swap agreement was signed in the late-night hours of March 18,
2008, with JPMorgan agreeing to exchange 0.05473 of each of its shares upon closure of the merger for one Bear share,
valuing the Bear shares at $2 each. [18]
On March 24, 2008, after considerable public discontent by Bear Stearns shareholders over the low acquisition price
threatened the deal's closure, a revised offer was announced at approximately $10 per share. Under the revised terms,
JPMorgan also immediately acquired a 39.5% stake in Bear Stearns (using newly issued shares) at the new offer price and
gained a commitment from the board (representing another 10% of the share capital) that its members would vote in favor
of the new deal. With sufficient commitments thus in hand to ensure a successful shareholder vote, the merger was
completed on June 2, 2008.
Washington Mutual
Main article: Washington Mutual
The Washington Mutual logo prior to its acquisition by JPMorgan Chase.
On September 25, 2008, JPMorgan Chase bought most of the banking operations of Washington Mutual from the
receivership of the Federal Deposit Insurance Corporation. That night, the Office of Thrift Supervision, in what was by far
the largest bank failure in American history, had seized Washington Mutual Bank and placed it into receivership. The FDIC
sold the bank's assets, secured debt obligations and deposits to JPMorgan Chase & Co for $1.836 billion, which re-opened
the bank the following day. As a result of the takeover, Washington Mutual shareholders lost all their equity.[19]
JPMorgan Chase raised $10 billion in a stock sale to cover writedowns and losses after taking on deposits and branches of
Washington Mutual.[20] Through the acquisition, JPMorgan now owns the former accounts of Providian Financial, a credit
card issuer WaMu acquired in 2005. The company announced plans to complete the rebranding of Washington Mutual
branches to Chase by late 2009.
Chief executive Alan H. Fishman was flying from New York to Seattle on the day the bank was closed, and eventually
received a $7.5 million sign-on bonus and cash severance of $11.6 million after being CEO for 17 days.
Other recent acquisitions
In 2006, JPMorgan Chase purchased Collegiate Funding Services, a portfolio company of private equity firm Lightyear
Capital, for $663 million. CFS was used as the foundation for the Chase Student Loans, previously known as Chase
Education Finance.[21]
In April 2006, JPMorgan Chase announced it would swap its corporate trust unit for The Bank of New York Co.'s retail and
small business banking network. The swap valued The Bank of New York business at $3.1 billion and JPMorgan's trust unit
at $2.8 billion and gave Chase access to 338 additional branches and 700,000 new customers in New York, New Jersey, and
Connecticut.
In March 2008, JPMorgan acquired the UK-based carbon offsetting company ClimateCare.[22]
In November 2009, JPMorgan announced it would acquire the balance of JPMorgan Cazenove, an advisory and
underwriting joint venture established in 2004 with the Cazenove Group, for GBP1 billion.[23]
Acquisition history
The following is an illustration of the company's major mergers and acquisitions and historical predecessors (this is not a
comprehensive list):
JPMorgan Chase
& Co.
JPMorgan Chase
(merged 2000)
Chase Manhattan Bank
(merged 1996)[24]
Chemical Bank Chemical Bank
(merged 1991) (reorganized 1988)
The
Chemical
Bank
Manufacturers
Hanover
(merged 1961)
Chase
Manhattan Bank
(merged 1955)
Bank One
(acq. 2004)
Bear Stearns
(est. 1923;
acq. 2008)[31]
of New
York
(est. 1823)
Citizens
National
Bank
(est. 1851,
acq. 1920)
Corn
Exchange
Bank
(est. 1852,
acq. 1954)
New York
Trust
Company
(acq. 1959)
Texas
Commerce
Bank
(est. 1866,
acq.
1986)[25]
Manufacturers
Trust
Company
(est. 1905)[26]
Hanover Bank
(est. 1873)
Bank of the
Manhattan Company
(est. 1799)
Chase National Bank
of the City of New York
(est. 1877)[27]
J.P. Morgan & Co.
Guaranty Trust Company
(formerly Morgan Guaranty
of New York
Trust)
(est. 1866)
(merged 1959)
J.P. Morgan & Co.
("The House of Morgan")[28]
(est. 1895)[29]
Banc One Corp.[30]
City National Bank
(merged 1968)
& Trust Company
Farmers Saving
& Trust Company
First Chicago NBD
First Chicago Corp.
(merged 1995)
(est. 1863)
NBD Bancorp.
(formerly
National Bank of Detroit)
(est. 1933)
Louisiana’s First
Commerce Corp.
Washington Mutual
(acq. 2008)[32]
Washington Mutual
(founded 1889)
Great Western Bank
(acq. 1997)
H. F. Ahmanson & Co.
(acq. 1998)
Bank United of Texas
(acq. 2001)
Dime Bancorp, Inc.
(acq. 2002)
Providian Financial
(acq. 2005)
Structure
JPMorgan Chase & Co. owns five bank subsidiaries in the United States:[33] JPMorgan Chase Bank, National Association;
Chase Bank USA, National Association; Custodial Trust Company; JPMorgan Chase Bank, Dearborn; and J.P. Morgan
Bank and Trust Company, National Association.
JPMorgan Chase's activities are organized, for management reporting purposes, into six business segments: [34] investment
banking, card services and consumer lending, commercial banking; personal and business banking, home lending, treasury
& securities services, asset management, corporate; including private equity (One Equity Partners) and treasury and
corporate functions.[citation needed] The investment banking division at J.P. Morgan is divided by teams: industry, M&A and
capital markets. Industry teams include consumer and retail, healthcare, diversified industries and transportation, natural
resources, financial institutions, metals and mining, real estate and technology, media and telecommunications.
JPMorgan Europe, Ltd.
Main article: J.P. Morgan in the United Kingdom
The company, known previously as Chase Manhattan International Limited, was founded on September 18, 1968.[35][36]
In August 2008, the bank announced plans to construct a new European headquarters, based at Canary Wharf, London.[37]
These plans were subsequently suspended in December 2010, when the bank announced the purchase of a nearby existing
office tower at 25 Bank Street for use as the European headquarters of its investment bank.[38] 25 Bank Street had originally
been designated as the European headquarters of Enron and was subsequently used as the headquarters of Lehman Brothers
International (Europe).
The regional office is in London, with offices in Bournemouth, Glasgow, and Edinburgh for asset management, private
banking and investment.[39]
Financial data
Financial data in $ millions
Year
2004
2005[40] 2006[40] 2007[41] 2008[42] 2009
Revenue 43,097 54,533 61,437 71,372 67,252 100,434
EBITDA 7,140 13,740 22,218
Net Income 4,466 8,483 14,444 15,365 5,605 11,728
Employees 160,968 168,847 174,360 180,667 224,961 222,316
[40]

Asset & Liability

Asset/Liability Ratio

Net Income
[43]
JPMorgan Chase was the biggest bank at the end of 2008 as an individual bank. (not including subsidiaries)
Operations
Earlier in 2011 the company announced that by the use of supercomputers the time taken to assess risk had been greatly
reduced, with a conclusion from within hours to instead minutes. The banking corporation uses for this calculation FieldProgrammable Gate Array technology.[44]
History
The Bank began operations in Japan in 1924,[45] in Australia during the later part of the nineteenth century,[46] and in
Indonesia during the early 1920s.[47] An office of the Equitable Eastern Banking Corporation (one of J.P. Morgan's
predecessors) opened a branch in China in 1921 and Chase National Bank was established there in 1923.[48] The bank has
operated in Saudi Arabia[49] and India[50] since the 1930s. Chase Manhattan Bank opened an office in Korea in 1967.[51] The
firm's presence in Greece dates to 1968.[52] An office of JPMorgan was opened in Taiwan in 1970,[53] in Russia (Soviet
Union) in 1973,[54] and Nordic operations began during the same year.[55] Operations in Poland began in 1995.[52]
Controversies
Conflicts of interest on investment research
In December 2002, Chase paid fines totaling $80 million, with the amount split between the states and the federal
government. The fines were part of a settlement involving charges that ten banks, including Chase, deceived investors with
biased research. The total settlement with the ten banks was $1.4 billion. The settlement required that the banks separate
investment banking from research, and ban any allocation of IPO shares.[56]
Enron
Chase paid out over $2 billion in fines and legal settlements for their role in financing Enron Corporation, which collapsed
amid a financial scandal in 2001. In 2003, Chase paid $160 million in fines and penalties to settle claims by the Securities
and Exchange Commission and the Manhattan district attorney’s office. In 2005, Chase paid $2.2 billion to settle a lawsuit
filed by investors in Enron.[57]
WorldCom
JPMorgan Chase, which helped underwrite $15.4 billion of WorldCom's bonds, agreed in March 2005 to pay $2 billion; that
was 46 percent, or $630 million, more than it would have paid had it accepted an investor offer in May 2004 of
$1.37 billion. J.P. Morgan was the last big lender to settle. Its payment is the second largest in the case, exceeded only by
the $2.6 billion accord reached in 2004 by Citigroup.[58] In March 2005, 16 of WorldCom's 17 former underwriters reached
settlements with the investors.[59][60]
Jefferson County, Alabama
In November 2009, JPMorgan Chase & Co. agreed to a $722 million settlement with the U.S. Securities and Exchange
Commission to end a probe into sales of *derivatives that helped push Alabama’s most populous county to the brink of
bankruptcy. The settlement came a week after Birmingham, Alabama Mayor Larry Langford was convicted on 60 counts of
bribery, money laundering, and tax evasion related to bond swaps for Jefferson County, Alabama. The SEC alleged that J.P.
Morgan, which had been chosen by the county commissioners to underwrite the floating-rate sewer bond deals and provide
interest-rate swaps, had made undisclosed payments to close friends of the commissioners in exchange for the deal. J.P.
Morgan then allegedly made up for the costs by charging higher interest rates on the swaps.[61]
Failure to comply with client money rules in the UK
In June 2010, J.P. Morgan Securities was fined a record £33.32 million ($49.12 million) by the UK Financial Services
Authority (FSA) for failing to protect an average of £5.5 billion of clients' money from 2002 to 2009.[62][63] FSA requires
financial firms to keep clients' funds in separate accounts to protect the clients in case such firm becomes insolvent. The
firm had failed to properly segregate client funds from corporate funds following the merger of Chase and J.P. Morgan,
resulting in a violation of FSA regulations but no losses to clients. The clients' funds would have been at risk had the firm
become insolvent during this period.[64] J.P. Morgan Securities reported the incident to the FSA, corrected the errors, and
cooperated in the ensuing investigation, resulting in the fine being reduced 30% from an original amount of
£47.6 million.[63]
Mortgage overcharge of active military personnel
In January 2011, JPMorgan Chase admitted that it wrongly overcharged several thousand military families for their
mortgages, including active duty personnel in Afghanistan. The bank also admitted it improperly foreclosed on more than a
dozen military families; both actions were in clear violation of the Servicemembers Civil Relief Act which automatically
lowers mortgage rates to 6 percent, and bars foreclosure proceedings of active duty personnel. The overcharges may have
never come to light were it not for legal action taken by Marine Capt. Jonathan Rowles, a fighter pilot. Both Capt. Rowles
and his spouse Julia accused Chase of violating the law and harassing the couple for nonpayment. An official stated that the
situation was "grim", and Chase initially stated it would be refunding up to $2,000,000 to those who were overcharged, and
that families improperly foreclosed on have gotten or will get their homes back.[65] Chase has acknowledged that as many as
6,000 active duty military personnel were illegally overcharged, and more than 18 military families homes were wrongly
foreclosed. In April, Chase agreed to pay a total of $27 million in compensation to settle the class-action suit.[66] At the
company's 2011 shareholders' meeting, Dimon apologized for the error and said the bank would forgive the loans of any
active-duty personnel whose property had been foreclosed. In June 2011, lending chief Dave Lowman was forced out over
the scandal.[67][68]
Offices
Although the old Chase Manhattan Bank's headquarters were located at One Chase Manhattan Plaza in downtown
Manhattan, the current world headquarters for JPMorgan Chase & Co. are located at 270 Park Avenue.
The bulk of North American operations take place in four buildings located adjacent to each other on Park Avenue in New
York City: the former Union Carbide Building at 270 Park Avenue, the hub of sales and trading operations, and the original
Chemical Bank building at 277 Park Avenue, where most investment banking activity took place. Asset and wealth
management groups are located at 245 Park Avenue and 345 Park Avenue. Other groups are located in the former Bear
Stearns building at 383 Madison Avenue.
Chase, the U.S. and Canada, retail, commercial, and credit card bank is headquartered in Chicago at the Chase Tower,
Chicago.[5]
The Asia Pacific headquarters for JPMorgan is located in Hong Kong at Chater House.
Approximately 11,050 employees are located in Columbus at the McCoy Center, the former Bank One offices.
The bank moved some of its operations to the JPMorgan Chase Tower in Houston, when it purchased Texas Commerce
Bank.

JPMorgan Chase Tower at 270 Park Avenue, New York City

Former Bear Stearns headquarters at 383 Madison Avenue, New York City

277 Park Avenue, New York City

One Chase Manhattan Plaza, New York City

Chase Tower, Chicago Loop, Chicago

JPMorgan Chase Tower, Houston

Chase Tower, Phoenix, Arizona

Chase Tower, Rochester, New York

J.P. Morgan International Plaza, Dallas

Chase Tower, Indianapolis

25 Bank Street, Canary Wharf, London, United Kingdom
The Global Corporate Bank leverages the wider firm's operations in more than 60 countries to provide corporate banking
solutions to clients in the locations in which they operate. The main headquarters are in London, with regional headquarters
in Hong Kong, New York and Sao Paulo.[69]
The Card Services division has its headquarters in Wilmington, Delaware, with Card Services offices in Elgin, Illinois;
Springfield, Missouri; San Antonio; Mumbai and Cebu, Philippines. There are also large operations centers in Brooklyn;
Columbus; Dallas; Indianapolis; Milwaukee; Toronto; Rochester, New York; Fort Worth, Texas; Tampa, Florida; Orlando,
Florida; Louisville, Kentucky; Newark, Delaware; Phoenix, Arizona; Burlington, Ontario; and Los Angeles, California.
Operations centers in the United Kingdom are located in Bournemouth, Glasgow, London, Liverpool and Swindon of which
London hosts the European headquarters.
There are also backoffice and technology operations offices based in Manila, Cebu, Mumbai, Bangalore, Hyderabad, New
Delhi, Buenos Aires, Sao Paulo, Mexico City, and Jerusalem.
Credit derivatives
The derivatives team at JP Morgan, (including Blythe Masters), was a pioneer in the invention of credit derivatives such as
the credit default swap. The first CDS was created to allow Exxon to borrow money from JP Morgan while JP Morgan
transferred the risk to the European Bank of Reconstruction and Development. JP Morgan's team later created the 'BISTRO',
a bundle of credit default swaps that was the progenitor of the Synthetic CDO.[70][71] JP Morgan currently has the largest
credit default swap and credit derivatives portfolio by total notional amount of any US bank.[72][73]
Multibillion-dollar trading loss
In April 2012, hedge fund insiders became aware that the market in credit default swaps was possibly being affected by the
activities of Bruno Iksil, a trader for J.P. Morgan Chase & Co., referred to as "the London whale" in reference to the huge
positions he was taking. Heavy opposing bets to his positions are known to have been made by traders, including another
branch of J.P. Morgan, who purchased the derivatives offered by J.P. Morgan in such high volume[74][75] Early reports were
denied and minimized by the firm in an attempt to minimize exposure.[76] Major losses, $2 billion, were reported by the firm
in May, 2012 in relationship to these trades and updated to $4.4 billion on July 13, 2012.[77] The disclosure, which resulted
in headlines in the media, did not disclose the exact nature of the trading involved, which remains in progress and as of June
28, 2012 was continuing to produce losses which could total as much as 9 billion dollars under worst case scenarios.[78][79]
The item traded, possibly related to CDX IG 9, an index based on the default risk of major U.S. corporations,[80][81] has been
described as a "derivative of a derivative".[82][83] On the company's emergency conference call, JPMorgan Chase CEO Jamie
Dimon said the strategy was "flawed, complex, poorly reviewed, poorly executed, and poorly monitored".[84] The episode is
being investigated by the Federal Reserve, the SEC, and the FBI.[85]
Art collection
See also: J. P. Morgan#Collector of art, books, and gemstones
The collection was begun in 1959 by David Rockefeller,[86] and comprises over 30,000 objects of which over 6,000 are
photographic based,[87] as of 2012 containing more than one hundred works by Middle Eastern and North African artists.[88]
One Chase Manhattan Plaza building was the original location at the start of collection by the Chase Manhattan Bank, the
current collection containing both this and also those works that the First National Bank of Chicago had acquired prior to
assimilation into the J.P.Morgan Chase organisation.[89] The person known as L.K.Erf has been the director of acquisitions
of works since 2004 for the bank,[90] whose art program staff is completed by an additional three full-time members and one
registrar.[91] The advisory committee at the time of the Rockefeller initiation included A.J. Barr, and D. Miller, and also
J.J.Sweeney, R.Hale, P.Rathbone and G.Bunshaft.[92]
Major sponsorships
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Chase Field, (formerly Bank One Ballpark) Phoenix, Arizona, – Arizona Diamondbacks, MLB.
Major League Soccer
Chase Auditorium (formerly Bank One Auditorium) in Chicago.
The JPMorgan Chase Corporate Challenge, owned and operated by JPMorgan Chase, is the largest corporate road
racing series in the world with over 200,000 participants in 12 cities in six countries on five continents. It has been
held annually since 1977 and the races range in size from 4,000 entrants to more than 60,000.
JPMorgan Chase is the official sponsor of the US Open.
J.P. Morgan Asset Management is the Principal Sponsor of the English Premiership Rugby 7s Series.
Winthrop Aldrich – son of the late Senator Nelson Aldrich
Andrew Crockett – former general manager of the Bank for International Settlements (1994–2003)
Pierre Danon – chairman of Eircom
Dina Dublon – member of the board of directors of Microsoft, Accenture and PepsiCo and former Executive Vice
President and Chief Financial Officer of JPMorgan Chase
Maria Elena Lagomasino – member of the board of directors of The Coca-Cola Company and former CEO of
JPMorgan Private Bank
Thomas W. Lamont – acting head of J.P. Morgan & Co. on Black Tuesday
Marjorie Magner – chairman of Gannett Company[93]
Robert I. Lipp – former CEO of The Travelers Companies
Henry S. Morgan – co-founder of Morgan Stanley, son of J. P. Morgan, Jr. and grandson of financier J. P. Morgan
Lewis Reford – Canadian political candidate
David Rockefeller – patriarch of the Rockefeller family
Harold Stanley – former JPMorgan partner, co-founder of Morgan Stanley
Jan Stenbeck – former owner of Investment AB Kinnevik
Politics and public service
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Tony Blair – Prime Minister of the United Kingdom (1997–2007)[94]
William M. Daley – U.S. Secretary of Commerce (1997–2000), U.S. White House Chief of Staff (2011–2012)
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Michael Forsyth, Baron Forsyth of Drumlean – Secretary of State for Scotland (1995–97)
Thomas S. Gates, Jr. – U.S. Secretary of Defense (1959–61)
David Laws – UK Chief Secretary to the Treasury (May 2010)
Rick Lazio – member of the U.S. House of Representatives (1993–2001)
Antony Leung – Financial Secretary of Hong Kong (2001–03)
Frederick Ma – Hong Kong Secretary for Commerce and Economic Development (2007–08)
Dwight Morrow – U.S. Senator (1930–31)
Margaret Ng – member of the Hong Kong Legislative Council
George P. Shultz – U.S. Secretary of Labor (1969–70), U.S. Secretary of Treasury (1972–74), U.S. Secretary of
State (1982–89)
Other
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R. Gordon Wasson – ethnomycologist and former JPMorgan vice president[95][96]
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Credit default swap: History
JPMorgan Chase Multibillion-dollar Trading Loss May, 2012
Palladium Card
Index products
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JPMorgan EMBI
JPMorgan GBI-EM Index
References
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title='table 1}}
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