US Commercial Banking industry analysis

COMPANY PROFILE

JPMorgan Chase & Co.

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JPMorgan Chase & Co. TABLE OF CONTENTS

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TABLE OF CONTENTS

Company Overview ........................................................................................................3 Key Facts.........................................................................................................................3 Business Description .....................................................................................................4 History .............................................................................................................................6 Key Employees .............................................................................................................29 Key Employee Biographies .........................................................................................30 Major Products & Services ..........................................................................................32 SWOT Analysis .............................................................................................................34 Top Competitors ...........................................................................................................38 Company View ..............................................................................................................39 Locations And Subsidiaries ........................................................................................42

JPMorgan Chase & Co. Company Overview

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Company Overview

COMPANY OVERVIEW

JPMorgan Chase & Co. (JPMC or 'the company') is a financial services firm. The company offers various services, such as cash management, payment solutions, wealth management & brokerage residential mortgages, home equity loans, treasury services, investment products and services and financing to real estate investors and owners. The company also offers liquidity and investment services, securities lending, merchant services and auto and home lending among others. JPMC provides these services to consumers, small businesses, corporate, institutional and government clients. The company has business presence in the Americas, Europe, the Middle East and Africa and Asia Pacific. The company is headquartered in New York City, New York, the US.

The bank reported interest income of (US Dollars) US$84,040 million for the fiscal year ended December 2019 (FY2019), an increase of 10.4% over FY2018. The net interest income after loan loss provision of the bank was US$51,660 million in FY2019, compared to net interest income after loan loss provision of US$50,188 million in FY2018. In FY2019, the bank recorded a net margin of 25.6%, compared to a net margin of 25% in FY2018. The bank reported interest income of US$16,112 million for the second quarter ended June 2020, a decrease of 15.9% over the previous quarter.

Key Facts

KEY FACTS

Head Office JPMorgan Chase & Co. 270 Park Avenue New York City New York New York City New York USA

Phone 1 212 2706000 Fax Web Address www.jpmorganchase.com Revenue / turnover (USD Mn) 115,627.0 Financial Year End December Employees 255,998 New York Stock Exchange Ticker JPM

JPMorgan Chase & Co. Business Description

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Business Description

BUSINESS DESCRIPTION

JPMorgan Chase & Co. (JPMC or 'the company') is a financial holding company that offers investment banking and financial services for consumers and small business, the company also provides financial transaction processing; commercial banking; private equity and asset management services.

As of December 31, 2019, JPMC operated 4,976 retail branches in 38 states and Washington D.C. JPMC operates through five reportable business segments: Consumer and Community Banking, Corporate and Investment Bank, Commercial Banking, Asset and Wealth Management and Corporate.

The Consumer and Community Banking segment serves businesses and consumers by providing personal services by automated teller machines (ATMs), mobile and telephone banking and online. This segment is organized into home lending and card, consumer and business banking, merchant services and auto divisions. The home lending division offers home lending production, servicing and real estate portfolios. Card, merchant services and auto division offer payment processing services to merchants, issues credit cards to small businesses and consumers, and originates and services auto loans and leases. The consumer and business banking division provides lending, deposit and cash management and payment solutions to small businesses and investment and deposit products and services to consumers. In FY2019, the Consumer and Community Banking segment reported revenue of US$55,883 million, which accounted for 48.3% of the company's revenue.

The Corporate and Investment Bank segment offers a range of prime brokerage, market-making, investment banking and treasury and securities products and services to a global client base of investors, corporations, government and municipal entities and financial institutions. Within banking, the segment offers banking and markets and investor services categories. The banking category offers investment banking, treasury services and lending. Markets and investor service consist of fixed income and equity markets, securities services, credit adjustments and other. In FY2019, the Corporate and Investment Bank segment reported revenue of US$38,298 million, which accounted for 33.1% of the company's revenue.

The Asset and Wealth Management segment offers wealth management and investment services. It has client assets of US$2.8 trillion. The segment’s clients include institutions, high-net-worth individuals and retail investors in every major market throughout the world. JPMC's asset management segment offers investment management including fixed income, equities, alternatives and money market funds. It also offers multi-asset investment management, providing solutions to a broad range of clients' investment needs. The segment also provides retirement products and services, banking and brokerage services including trust and estate, loans, mortgages and deposits for individual investors, the majority of asset management client assets are in actively managed portfolios. In FY2019, the Asset and Wealth Management segment reported revenue of US$14,316 million, which accounted for 12.3% of the company's revenue.

The Commercial Banking segment offers local expertise, industry knowledge and service to the US and US multinational clients, such as financial institutions municipalities, corporations and non-profit entities with annual revenue generally ranging from US$20 million to US$2 billion. The segment provides financing to real estate investors and owners. The segment in partnership with the company's other

JPMorgan Chase & Co. Business Description

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businesses, offers financial solutions, including treasury services, lending, asset management and investment banking to address the domestic and international financial needs of its clients. In FY2019, the Commercial Banking segment reported revenue of US$8,984 million, which accounted for 10.6% of the company's revenue.

The Corporate segment comprises private equity, treasury, chief investment officer (CIO), and other corporate. The treasury and CIO are responsible for measuring, monitoring, reporting and managing the company's liquidity, funding, capital and structural interest rate and foreign exchange risks. The corporate units include real estate, enterprise technology, legal, compliance, finance, human resources, internal audit, risk management, oversight and control, corporate responsibility and various other corporate groups. In FY2019, the Corporate segment reported revenue of US$1,211 million, which accounted for 6.3% of the company's revenue.

Geographically, the company classifies its operations into four segments: Europe, Middle East and Africa, Asia Pacific, Latin America and the Caribbean, and North America. In FY2018, North America accounted for 77.8% of the company's revenue, followed by Europe, Middle East and Africa (13.7%), Asia Pacific (6.2%), Latin America and the Caribbean (2.3%).

JPMorgan Chase & Co. History

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History

HISTORY

Asset Purchase

Year: 2020

In February, JPMC acquired Eco Holmby Hills and Eco Palm Desert MR tankers from Greek owner Top Ships, for a value of US$35 million each.

Corporate Changes/Expansions

Year: 2020

In March, the company announced the opening of its branch in Charlotte, North Carolina, the US.

Business / Operations Closure

Year: 2020

In January, the bank partnered with GreenPath Financial Wellness to launch a virtual financial coaching pilot.

Financing Agreements

Year: 2020

In February, the bank and other companies invested in MEMX (Members Exchange) through a strategic round of funding.

Financing Agreements

Year: 2020

In March, the company invested US$50 million to help address the immediate impacts of COVID-19.

Financing Agreements

Year: 2020

In March, the bank invested in Glenhawk through a venture funding round.

Plans/Strategy

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Year: 2020

In January, JPMC announced its plans to acquire 49% stake in China International Fund Management Co. from Shanghai International Trust Co.

Contracts/Agreements

Year: 2020

In March, the company signed an agreement with Nestle to oversee the sale of Nestle's Chinese business unit Yinlu.

Litigation

Year: 2020

In March, the company settled the fees paid for the credit card cryptocurrency purchase in US.

Financing Agreements

Year: 2020

In March, JPMorgan Chase and other companies raised US$146 million in Capital Network.

Plans/Strategy

Year: 2020

In March, the company announced its plans to raise US$10 billion for alternative investments.

Contracts/Agreements

Year: 2020

In April, JPMorgan Chase entered into a strategic alliance with Taulia to offer a differentiated trade finance solution for clients.

Financing Agreements

Year: 2020

In May, JPMorgan along with BNY Mellon, Citi, Clearstream, Computershare, HSBC, Deutsche Bank, and State Street invested a strategic funding of US$20.5 million in Proxymity, a London, UK-based digital investor communications platform.

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Contracts/Agreements

Year: 2020

In May, the company's JP Morgan Global Alternatives and New Ease entered into a partnership to form a US$600 million worth Chinese logistics joint venture.

Acquisitions/Mergers/Takeovers

Year: 2020

In July, JPMC acquired minority stake in FitBank, a provider of financial services.

Plans/Strategy

Year: 2020

In August, JPMorgan announced its plans to invest US$50 million in ConsenSys.

Plans/Strategy

Year: 2020

In September, JPMorgan announced its plans to acquire additional 20% stake in J.P. Morgan Securities (China).

Financing Agreements

Year: 2020

In September, JPMorgan along with Citigroup, and State Street invested a strategic investment in Capitolis.

Contracts/Agreements

Year: 2020

In June, the company and Prince's Trust collaborated to digitize the NHS employment programme for unemployed young people.

Contracts/Agreements

Year: 2020

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In May, J.P. Morgan Asset Management entered into a partnership with Calastone to launch new levels of automation to money market funds through its Morgan Money trading platform.

Contracts/Agreements

Year: 2019

In January, the company and D'Artagnan signed a new financial agreement for the support for growth with gourmet offerings.

Corporate Changes/Expansions

Year: 2019

In January, JPMorgan expanded its services in Mexico and in Latin America.

Acquisitions/Mergers/Takeovers

Year: 2019

In February, JPMC agreed to acquire a minority stake in UK workplace pension provider, Smart Pension.

New Products/Services

Year: 2019

In February, the bank introduced its Cryptocurrency, JPM Coin that will permit institutional clients to make instantaneous payments with other bank clients.

New Products/Services

Year: 2019

In March, JPMorgan Chase, Berkshire Hathaway, and Amazon partnered to launch a Health Care Venture, Haven.

Contracts/Agreements

Year: 2019

In April, JPMorgan and Nomura Holdings entered into an agreement to set up a new securities joint ventures in China.

Contracts/Agreements

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Year: 2019

In May, JPMorgan and Microsoft signed a memorandum of understanding to drive Enterprise Adoption of Quorum.

Financing Agreements

Year: 2019

In April, JPMorgan Chase and other companies raised US$9 million for Mosaic Smart Data in an investment round.

Plans/Strategy

Year: 2019

In March, JPMorgan Chase's consumer banking unit announced its plans to open up to 90 branches in new U.S. markets.

Acquisitions/Mergers/Takeovers

Year: 2019

In May, JPMorgan acquired a minority stake in Global Pay-Ex.

Acquisitions/Mergers/Takeovers

Year: 2019

In May, the company entered into an agreement to acquire InstaMed, a healthcare technology company specialized in healthcare payments.

New Products/Services

Year: 2019

In June, JPMorgan Chase announced to introduce E-customs payment solution for the cross-border payments in China.

New Products/Services

Year: 2019

In June, Chase Bank along with Southwest Airlines announced to launch Southwest rapid rewards performance business card to offer enhanced day-of-travel experiences to customers.

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Acquisitions/Mergers/Takeovers

Year: 2019

In July, JPMorgan Chase entered into an agreement to acquire InstaMed.

Plans/Strategy

Year: 2019

In March, the company announced its plan to open 90 branches in new the US markets.

Plans/Strategy

Year: 2019

In August, JPMorgan announced its plan to divest its AARP credit card portfolio.

Financing Agreements

Year: 2019

In September, J.P. Morgan and Societe Generale invested in Wematch to transform traditionally voice- traded financial markets.

Corporate Changes/Expansions

Year: 2019

In October, the bank opened a new branch on Commonwealth Avenue, Brookline, the US.

Corporate Changes/Expansions

Year: 2019

In October, the company established JP Morgan Trust Company (Singapore), a trust company in Singapore.

Financing Agreements

Year: 2019

In November, JPMorgan invested in Limeglass for the incubation of technology ready companies.

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Contracts/Agreements

Year: 2019

In November, the company signed a strategic collaboration with the Boost Payment Solutions to automate the delivery of J.P. Morgan’s SUA and other commercial card payments.

Contracts/Agreements

Year: 2019

In December, JPMC signed an agreement with Envestnet l Yodlee to help protect customers’ financial data.

Regulatory Approval

Year: 2019

In December, the company's subsidiary J.P. Morgan Securities (China) Company Limited received approval from China Securities Regulatory Commission for its Securities and Futures Business Permit.

Acquisitions/Mergers/Takeovers

Year: 2018

In January, Brookfield Asset Management acquired a 75 percent interest from an indirect subsidiary of JPMorgan Chase & Co.

Contracts/Agreements

Year: 2018

In January, the company partnered with AutoFi, a financial technology company, to deliver Digital Car- Buying for dealerships across the country.

Contracts/Agreements

Year: 2018

In January, the company, Amazon and Berkshire Hathaway partnered to minimize the health-care costs and improve services for their U.S. employees.

Corporate Changes/Expansions

Year: 2018

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In February, JPMC and Mayor Bill de Blasio plans to open a new headquarters in New York City, the US.

Contracts/Agreements

Year: 2018

In March, JPMorgan and Amazon partnered to create a new current-account-like product.

Contracts/Agreements

Year: 2018

In March, JPMorgan and Amazon partnered to introduce a small business customer credit card in the US for SMEs.

Acquisitions/Mergers/Takeovers

Year: 2018

In March, JPMorgan acquired minority stake in Mosaic Smart Data.

Plans/Strategy

Year: 2018

In March, JPMC plans to spin-off its blockchain project, Quorum.

Contracts/Agreements

Year: 2018

In April, JPMorgan and Black Knight entered into a contract for the implementation of the LoanSphere Empower loan origination system (LOS) for supporting its home equity originations business.

Financing Agreements

Year: 2018

In April, the company issued funds in series A funding to AccessFintech.

Others

Year: 2018

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In April, JPMorgan made an investment of US$2.5 million for the expansion of Ascend 2020 program that supports minority-owned small businesses.

Corporate Changes/Expansions

Year: 2018

In April, JPMorgan opened a new branch in Greater Washington, D.C., the US, expanding its branch network.

Acquisitions/Mergers/Takeovers

Year: 2018

In May, the company announced its plans to acquire majority stake in its Chinese fund management joint venture.

Contracts/Agreements

Year: 2018

In June, Chase and Starbucks partnered to introduce the Starbucks Rewards Visa Prepaid Card.

Others

Year: 2018

In July, the company made an investment in an artificial intelligence company, Volley (volley.com), for generating, synthesis, and recommend personalized content for learning and knowledge management applications.

Plans/Strategy

Year: 2018

In July, JPMC plans to invest US$4 million to provide minority entrepreneurs with critical access to capital, education and other resources.

New Products/Services

Year: 2018

In July, the company and Southwest Airlines collaborated to launch the new southwest rapid rewards priority credit card.

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Contracts/Agreements

Year: 2018

In August, JPMorgan Chase's Chase Card Services partnered with Expedia to enhance the Chase Ultimate Rewards travel hub by including new choices, capabilities, and more redemption flexibility.

New Products/Services

Year: 2018

In August, the company launched a new trading app for millennial customers to trade on their mobile devices.

New Products/Services

Year: 2018

In September, JPMC launched US$500 million worth five-year initiative, AdvancingCities to drive inclusive growth and create greater economic opportunity in cities across the world.

Corporate Changes/Expansions

Year: 2018

In September, the company restructured its Wealth Management business operation in Luxembourg.

Plans/Strategy

Year: 2018

In September, the company planned to expand its branch network with 50 new branches in Philadelphia and the Delaware Valley.

Corporate Changes/Expansions

Year: 2018

In September, Chase announced its plan to open a branch in downtown Wilmington, the U.S.

Plans/Strategy

Year: 2018

In September, JPMorgan announced its plan to open a new branch in Jacksonville, Florida.

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Contracts/Agreements

Year: 2018

In October, the company announced to expand its branch network by opening 60 new branches and 130 new ATMs centers in New England.

Plans/Strategy

Year: 2018

In October, JPMorgan announces its plan to open 50 locations in Greater Boston, the U.S.

Plans/Strategy

Year: 2018

In September, the company announced plans to open 50 new branches in Delaware, southern New Jersey, and Philadelphia.

Corporate Changes/Expansions

Year: 2018

In October, the company's property investment division offered a contract to VolkerFitzpatrick to build its new office space in Maidenhead.

Business / Operations Closure

Year: 2018

In September, the company closed the operations of its namesake downtown tower branch in Houston.

Contracts/Agreements

Year: 2018

In September, the company partnered with 70 banks to integrate them in its interbank blockchain project.

Plans/Strategy

Year: 2018

In October, JPMorgan announced its plan to open its New headquarters in Palo Alto, California.

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New Products/Services

Year: 2018

In September, JPMorgan launched a new premium checking account, Sapphire Banking, designed to enhance everyday banking for customers.

Financing Agreements

Year: 2018

In November, the company and other investors raised US$10 million for Inpher in Series A funding.

Financing Agreements

Year: 2018

In November, the company invested in iCapital Network through financing round.

Corporate Changes/Expansions

Year: 2018

In November, the company launched its franchise and restaurant group within its Middle Market Banking and Specialized Industries business.

Contracts/Agreements

Year: 2018

In July, J.P. Morgan Asset Management and a life insurance business, Resolution Life, signed a strategic partnership to implement multi-manager portfolio investment strategy.

Contracts/Agreements

Year: 2018

In November, JPMC entered into a partnership with Visa to provide contactless credit cards to the customers.

Acquisitions/Mergers/Takeovers

Year: 2018

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In December, a consortium of Investors including JPMorgan, HSBC, Credit Suisse, NEXT Investors, Barclays, Prudential and Wells Fargo acquired a majority stake in Simon Markets from Goldman Sachs.

Contracts/Agreements

Year: 2017

In May, the company selected Zerocoin Electric Coin Company's technology, to secure blockchain platform.

Corporate Changes/Expansions

Year: 2017

In May, the company announced the opening of a new office in Omaha, Nebraska.

Plans/Strategy

Year: 2017

In May, the company plans for the expansion of Dublin operation.

Corporate Changes/Expansions

Year: 2017

In July, JPMorgan to launch suite of hedge fund ETFs in Europe.

New Products/Services

Year: 2017

In July, the company launched new MBS Agency Index.

Acquisitions/Mergers/Takeovers

Year: 2017

In October, the company acquired WePay, for an easy payment friction.

Contracts/Agreements

Year: 2017

In May, the company entered into a partnership with JPMorgan Chase & Co, to process payments in US.

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Contracts/Agreements

Year: 2017

In August, Chase extended their partnership for 4 years with OnDeck to provide small business customers an easiest bank enabled with technologies that can assist online lending products.

Contracts/Agreements

Year: 2017

In October, the company entered into agreement with Alipay for Chinese consumers in North America to enable payments using Alipay Mobile Wallet at Chase merchant clients.

Contracts/Agreements

Year: 2017

In October, JPMorgan entered into a partnership agreement with Royal Bank of Canada and Australia and New Zealand Banking Group, to launch an Interbank Information Network (IIN), aimed at improving payment processing in money transfers around the world.

Contracts/Agreements

Year: 2017

In July, JPMorgan Chase and PayPal entered into payments partnership for enhancement of payments online, in app and in store.

Contracts/Agreements

Year: 2017

In June, the company selected Zelle network for an easy and fast way to pay other individuals.

Contracts/Agreements

Year: 2017

In July, the company and Finicity signed an agreement to enhance the security and quality of information the bank’s customers choose to share with apps.

Contracts/Agreements

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Year: 2017

In September, Chase and Bill.com partnered to reintroduce a new payment experience for their business clients.

Corporate Changes/Expansions

Year: 2017

In September, the bank opened a new branch and its operations in Downtown tower, El Paso, Texas, the US.

New Products/Services

Year: 2017

In October, JPMC launched a new all-mobile bank, Finn by Chase, for greater control for consumers.

Contracts/Agreements

Year: 2017

In November, Chase, American Express, Bank of America, and Wells Fargo, partnered to establish a company, TruSight, combining best practices.

Contracts/Agreements

Year: 2017

In May, the company signed co-brand credit card agreement with Marriott International and American Express.

Contracts/Agreements

Year: 2017

In March, the company and Dream Payments signed a landmark partnership to add Chase Paymentech's market-specific solution in Canada to Dream Payments' terminal portfolio.

Contracts/Agreements

Year: 2017

In July, the company and Intuit announced partnered to share financial data through an application programming interface.

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Contracts/Agreements

Year: 2017

In September, JPMC entered into an agreement to acquire Cartigny and Chevrier from SwissMarine Services SA, for value of US$89.6 million.

Regulatory Approval

Year: 2016

In April, JPMorgan secured approval from Reserve Bank to open three more branches in India.

Asset Purchase

Year: 2015

In May, Chase agreed to acquire the mortgage servicing rights for 266,000 Fannie Mae loans worth US$45 billion from Ocwen Loan Servicing.

Financing Agreements

Year: 2014

In May, Motif Investing raised US$35 million in funding led by the company, Wicklow Capital, and Balderton Capital.

Contracts/Agreements

Year: 2013

In November, JPMorgan and Brookings Institution together launched a new network, the Exchange, with 20 pioneering metropolitan areas to increase global trade and economic competitiveness.

Financing Agreements

Year: 2003

In December, JPMorgan Chase and other companies raised US$7.5 million in Axentis Software through Series C funding round.

Financing Agreements

Year: 2002

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In September, the bank and other companies raised funds in Brion Technologies through Series A funding round.

Financing Agreements

Year: 2016

JPMC made an equity investment in InvestCloud, a California fintech firm.

Contracts/Agreements

Year: 2015

Chase Commerce Solutions, the global payment processing, merchant acquiring business of JPMC, signed a multi-year agreement with Chevron USA. Inc. to handle payment acceptance and processing at Chevron's approximately 8,000 retail locations in the US. Further, USA Technologies, Inc. (USAT), a provider of wireless, cashless payment and M2M/IoT solutions for small-ticket, self-serve retailing industries and Chase Commerce Solutions signed a multi-year agreement. Through this agreement, self- service retailers could benefit from USAT's best-in-class cashless payments and M2M/IoT service.

Corporate Changes/Expansions

Year: 2015

Chase Auto Finance, a division of JPMC, became the private-label auto finance provider at more than 130 Enterprise Car Sales locations in the US. The company also announced that Chase Visa cardholders can use Samsung Pay to make mobile payments.

Corporate Changes/Expansions

Year: 2014

JPMC announced that it will explore a full range of options for its prepaid card business, including a sale. The prepaid card business includes all Corporate, the US Public Sector and Electronic Benefit Transfer (EBT) programs, as well as Health Savings Accounts (HSA).

Contracts/Agreements

Year: 2014

J.P. Morgan Asset Management signed an agreement to sell its Kansas City-based 401(k) recordkeeping business, J.P. Morgan Retirement Plan Services, to Great-West Financial. Later, JPMC and The Water Council entered into a five-year $30 million grant partnership program to boost small business support networks and help growing enterprises in specific industries.

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Spin-off

Year: 2014

The company entered into a definitive agreement to sell its interests in 50% of the portfolio companies held by its private equity unit One Equity Partners to Lexington Partners and AlpInvest Partners. Further, the company completed the sale of parts of its physical commodities business to Mercuria Energy Group Limited.

New Products/Services

Year: 2012

The company launched Disney's Visa Debit Card.

Corporate Changes/Expansions

Year: 2012

J.P. Morgan Worldwide Securities Services, a subsidiary of the company, extended the regional rollout of it securities lending capabilities to Malaysia, making it the first international lender in the Malaysian market to offer a securities lending product.

Acquisitions/Mergers/Takeovers

Year: 2012

NCO Group, an affiliate of One Equity, which is the private investment arm of JPMC, acquired APAC Customer Services, a provider of business process outsourcing services, including accounts receivable management, revenue cycle management, and order to cash BPO services. Also, JPMC acquired Bloomspot, a provider of targeted merchant offers. Later, Freepoint Commodities LLC, acquired J.P. Morgan Metals & Concentrates LLC, merchant of physical base metal concentrates and copper cathodes.

Regulatory Approval

Year: 2011

The company's joint venture with China's First Capital Securities Co., received regulatory approvals.

Acquisitions/Mergers/Takeovers

Year: 2011

The company completed the integration of assets acquired from Sempra. Later, NCO Group, an affiliate

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of One Equity, which is the private investment arm of JPMC, acquired APAC Customer Services, a provider of business process outsourcing services, including accounts receivable management, revenue cycle management, and order to cash BPO services.

Contracts/Agreements

Year: 2010

The company formed a joint venture with China's First Capital Securities Co., which if approved by regulators would make JPMorgan Chase & Co. foreign institution to be allowed to underwrite and sponsor deals in China's securities market.

Acquisitions/Mergers/Takeovers

Year: 2009

JPMC acquired stake in Agfa-Gevaert N.V., completed the acquisition of UBS Commodities Canada Ltd. and UBS AG's global agricultural business. Later, it completed WaMu integration also.

Acquisitions/Mergers/Takeovers

Year: 2008

JPMC acquired ClimateCare. Further, Nordea Bank AB sold its institutional global custody business to JPMC. Also, JPMC bought 11.5 million shares of Bear Stearns Companies (Bear) to make sure it successfully completes its purchase of Bear. Furthermore in the same year, JPMC purchased 47% of the principal amount of Target Corporation's credit card receivables for approximately $3.6 billion in cash. JPMC acquired Bear in a stock swap deal. Subsequently, JPMC acquired deposits, assets and certain liabilities of Washington Mutual. The Bank of New York Mellon Corporation also acquired all the shares of JPMorgan Trust Bank Limited in Japan from JPMC.

Regulatory Approval

Year: 2007

JPMC received approval from the China Banking Regulatory Commission to establish a locally incorporated bank in China.

New Products/Services

Year: 2007

JPMC launched a global depositary receipt program for Almacenes Exito. The transaction reinforces JPMC's focus on the Latin American market. Also, Chase originated $39.2 billion in mortgages, an increase of 35% from a year earlier.

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Contracts/Agreements

Year: 2007

The healthcare solutions business of JPMC entered a strategic relationship with RelayHealth, the connectivity services company of McKesson Corporation, to offer an integrated set of claim and payment processing solution.

Acquisitions/Mergers/Takeovers

Year: 2007

JPMC acquired Xign Corporation, a provider of business-to-business on-demand financial settlement solutions. Later, JPMC acquired assets of FisaCure, a provider of electronic remittance services for Healthcare Insurance Portability and Accountability Act of 1996 (HIPAA) compliant transaction sets.

Divestiture

Year: 2006

JPMC sold its life insurance and annuity underwriting business to Protective Life Corporation.

Contracts/Agreements

Year: 2006

JPMC and Kohl's Corporation entered an agreement to offer private label credit cards to Kohl customers.

Acquisitions/Mergers/Takeovers

Year: 2006

JPMC acquired Collegiate Funding Services, a provider of student loan services. Also, JPMC acquired several businesses of The Bank of New York Company, these were the consumer, small-business and middle-market banking businesses.

Contracts/Agreements

Year: 2005

JPMC reached a settlement with insurers relating to its involvement with Enron. Further, JPMC entered into a joint venture with Sallie Mae. JPMC acquired Neovest Holdings, a provider of high-performance trading technology.

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Corporate Changes/Expansions

Year: 2004

The combined company had assets of $1.1 trillion and approximately 2,300 branches in 17 states. Subsequently, J.P. Morgan Chase & Co. was renamed to JPMorgan Chase & Co.

Acquisitions/Mergers/Takeovers

Year: 2004

JP Morgan and Bank One merged into a single entity. The merger established the second largest banking franchise in the US (based on core deposits).

Acquisitions/Mergers/Takeovers

Year: 2002

JPMorgan Chase Bank, a principal banking subsidiary of JPMC, acquired APEX Property Exchange's Like-Kind Exchange business. Moreover, this transaction helped JPMC in expanding its global servicing capabilities. Further, JPMC also acquired Systems & Services Technologies, a third-party service provider.

Corporate Changes/Expansions

Year: 1996

JPMC announced $48 million (£28.6 million) investment to upgrade infrastructure at its operational hub in Europe, Bournemouth Technology & Operations Centre.

Contracts/Agreements

Year: 1996

JPMC signed a definitive agreement to sell a portfolio of mezzanine loans in North America and Europe, as well as loans and related special situations investments in Australia and across Asia, with an aggregate value of $1.3 billion to Sankaty Advisors, LLC.

Acquisitions/Mergers/Takeovers

Year: 1996

Chemical Banking Corporation, which was by then the second-largest bank in the US, merged with another New York bank, The Chase Manhattan Corporation, to form what became the largest bank in the nation. Although the Chemical Banking Corporation had been the larger partner in the merger, the

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resulting firm was called The Chase Manhattan Corporation. Chase Manhattan merged with J.P. Morgan & Co. to form J.P. Morgan Chase & Co.

Acquisitions/Mergers/Takeovers

Year: 1991

The company's merger with Manufacturers Hanover Corporation represented one of the largest US bank mergers up to that time. The merged company became the Chemical Banking Corporation.

Acquisitions/Mergers/Takeovers

Year: 1987

The corporation acquired Texas Commerce Bancshares, Inc.

Corporate Changes/Expansions

Year: 1969

The bank assumed the name Chemical Bank, when it became part of the holding company Chemical New York Corporation.

Corporate Changes/Expansions

Year: 1965

JPMC was among only 12 US banks to have opened branches outside the US.

Acquisitions/Mergers/Takeovers

Year: 1959

JPMC merged with Guaranty Trust Company to create Morgan Guaranty Trust Company. The merger created one of the world's largest trust operations.

Corporate Changes/Expansions

Year: 1950

All four of JPMC's major New York City heritage firms grew through mergers.

Contracts/Agreements

Year: 1939

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JPMC was chosen by the British and French governments to sell publicly traded securities, valued at $1.5 billion, in the New York market.

Others

Year: 1933

JPMC investigated the causes of the 1929 stock market crash.

Others

Year: 1927

The company was considered as the leading American Depositary Receipt (ADR) depositary bank.

Incorporation/Establishment

Year: 1871

JPMorgan Chase & Co. (JPMC or 'the company') was founded in New York as Drexel, Morgan & Co, by J Pierpont Morgan and Anthony Drexel (a Banker from Philadelphia). This merchant banking partnership served, initially, as an agent for Europeans investing in the US.

Corporate Changes/Expansions

Year: 1824

The company's most recent history can be traced back to Chemical New York Corporation, which was chartered in New York City as a division of the New York Chemical Manufacturing Company.

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Key Employees

KEY EMPLOYEES

Name Job Title Board James Dimon Chairman, Chief Executive Officer Executive Board Linda B. Bammann Director Non Executive Board Stephen B. Burke Director Non Executive Board James S. Crown Director Non Executive Board Timothy P. Flynn Director Non Executive Board Michael A. Neal Director Non Executive Board Todd A. Combs Director Non Executive Board Lee R. Raymond Director Non Executive Board Mary Callahan Erdoes Chief Executive Officer-Asset and

Wealth Management Senior Management

Douglas B. Petno Chief Executive Officer-Commercial Banking

Senior Management

Stacey Friedman General Counsel Senior Management Ashley Bacon Chief Risk Officer Senior Management Marianne Lake Chief Executive Officer Senior Management Virginia M. Rometty Director Non Executive Board Daniel E. Pinto Chief Executive Officer-Corporate and

Investment Banking, Co-President- Corporate and Investment Banking, Co- Chief Operating Officer

Senior Management

Gordon A. Smith Chief Executive Officer-Consumer & Community Banking, Co-Chief Operating Officer, Co-President

Senior Management

James Wey Head-Southeast Asia, JPMorgan Private Banking

Senior Management

Anita Mak Head-China, JPMorgan Private Banking Senior Management Boaz Lahovitsky Head-Wealth Management, U.S.

National Senior Management

David Castillo Managing Director-OmniAI Ecosystem Senior Management Lori A. Beer Chief Information Officer Senior Management Mellody Hobson Director Non Executive Board Robin Leopold Head-Human Resources Senior Management Peter L. Scher Head-Corporate Responsibility Senior Management Jason R. Scott Head-Investor Relations Senior Management Jennifer Piepszak Chief Financial Officer Senior Management

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Key Employee Biographies

KEY EMPLOYEE BIOGRAPHIES

James Dimon

Board:Executive Board Job Title:Chairman, Chief Executive Officer Since:2006 Age:64

Mr. Dimon is the Chairman and Chief Executive Officer at JPMC. Earlier, Mr Dimon served as the Chairman and the Chief Executive Officer at Bank One Corporation from 2000 to 2004. He also served in various executive roles at Citigroup Inc., the Travelers Group, Commercial Credit Company and American Express Company; and as the President and the Chief Operating Officer at JPMC. Mr. Dimon also serves as the Director at Harvard Business School and Catalyst, a member of The Business Council, the Chairman of the Business Roundtable, and as a member of the Board of Trustees of New York University School of Medicine.

Mary Callahan Erdoes

Board:Senior Management Job Title:Chief Executive Officer-Asset and Wealth Management Since:2009 Age:52

Ms. Erdoes is the Chief Executive Officer at JPMC. She also serves as the board member of Robin Hood, the U.S. Fund for UNICEF and the U.S.-China Business Council.

Douglas B. Petno

Board:Senior Management Job Title:Chief Executive Officer-Commercial Banking Since:2012 Age:54

Mr. Petno is the Chief Executive Officer of Commercial Banking at JPMC. Earlier, he served as the Chief Operating Officer of Commercial Banking at the company. Prior to that, he was the Global Head of Natural Resources in the Investment Bank.

Ashley Bacon

Board:Senior Management Job Title:Chief Risk Officer Since:2013

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Age:50

Mr. Bacon is the Chief Risk Officer at JPMC. Previously, he served as the Deputy Chief Risk Officer and its Head at of JPMC.

Marianne Lake

Board:Senior Management Job Title:Chief Executive Officer Since:2013 Age:49

Ms. Lake is the Chief Executive Officer at JPMC. Previously, she served as the Chief Financial Officer of Consumer & Community Banking at JPMC from 2009 to 2012. Ms. Lake served as the Global Controller of Investment Bank from 2007 to 2009 and managed global financial infrastructure and control programs as part of the Corporate Finance group from 2004 to 2007. Earlier, she served as the Senior Financial Officer in the UK at Chase and at as the Chief Financial Officer for the Credit Trading business at J.P. Morgan.

Gordon A. Smith

Board:Senior Management Job Title:Chief Executive Officer-Consumer & Community Banking, Co-Chief Operating Officer, Co- President Since:2018 Age:61

Mr Smith is the Co-President and Co-Chief Operating Officer and Chief Executive Officer of Consumer and Community Banking at the company. Previously, he served as the Co-Chief Executive Officer and Chief Executive Officer at the company.

Lori A. Beer

Board:Senior Management Job Title:Chief Information Officer Since:2017 Age:52

Ms. Beer is Chief Information Officer at JPMorgan’s corporate and investment bank. Previosuly, she served as Chief Information Officer of the Corporate and Investment Bank at the company. Earlier, Ms. Beer also served as the Executive Vice President of Specialty Businesses and Information Technology for Anthem, Inc. She served as the Global Head of Banking Technology from 2014 to 2016.

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Major Products & Services

MAJOR PRODUCTS & SERVICES

JPMorgan Chase & Co. (JPMC or 'the company') is a provider of financial services. The company's key services and brands include the following:

Services:

Consumer and community banking: Lending Deposit Cash Management Payment Solutions Residential Mortgages Home Equity Loans Investment Products and Services Auto Loan Services Credit Cards Merchant Services Personal Bank Account Retirement & Investing Small Business

Corporate and investment bank: Investment banking Market-making Prime brokerage Treasury and securities products and services Advising on corporate strategy and structure Capital-raising in equity and debt markets Loan origination and syndication Cash management and liquidity solutions Risk management solutions Research

Asset management: Investment and wealth management services

Commercial banking: Lending Treasury services Investment banking Asset management Financing to real estate investors and owners

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Brands:

Chase J.P. Morgan

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SWOT Analysis

SWOT ANALYSIS

JPMorgan Chase & Co. (JPMC or 'the company’) is a financial services company. Increase in total deposits, dominant presence in the global financial services market and increase in non-interest income are the company's major strengths, whereas litigation remains the cause for concern. Positive outlook for global investment banking and brokerage industry, agreements and contracts, and business expansion through new openings are likely to offer growth opportunities to the company. However, increase in competition from non-banks, limited talent and solvency II could affect its business operations.

Strength

Increase in non-interest income Dominant presence in the global financial services market Increase in total deposits

Weakness

Litigation

Opportunity

Agreements and contracts Business expansion through new openings Positive outlook for global investment banking and brokerage industry

Threat

Increase in competition from non-banks Solvency II Limited talent

Strength

Increase in non-interest income

The company’s non-interest income (NII) increased in FY2018, which strengthened its revenue. In FY2018, JPMC reported non-interest income of US$53,970 million, as compared to US$50,608 million in FY2017, an annual growth of 6.6%. NII is an important source of revenue for entities providing banking and other financial solutions. In FY2018, it constituted 49.5% of the company’s total net revenue. The increase was majorly due to growth in investment banking fees, lending and deposit related fees, asset management, administration and commissions, and card income.

Dominant presence in the global financial services market

JPMC is a leading global financial services firm with assets of US$ 2,622,532 million in FY2018. With operations in more than 30 countries, the company serves millions of consumers, small businesses, including corporate, institutional and government clients under its Chase and J.P. Morgan brands. The company is a leader in investment banking, financial services for consumers, small business and commercial banking, financial transaction processing, asset management and private equity. It is also one of the largest banking institutions in the US. recognition helps the company in maintaining strong market position and improve its business further.

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Increase in total deposits

Increase in total deposits of the company reflects strong customer sentiments and better returns on cash deposits. JPMC has exhibited an increase in its total deposits in FY2018. The company reported total deposits of US$1,470,666 million in FY2018, as compared to US$1,443,982 million in FY2017, an annual increase of 1.8%. The company’s Consumer and Community Banking segment’s total deposits increased 2.9% from US$659,885 million in FY2017 to US$678,854 million in FY 2018. JPMC’s Corporate and Investment Bank segment reported 5.7% growth in total deposits from US$455,883 million in FY2017 to US$482,084 million in FY2018. Similarly, the company’s Corporate segment’s total deposits increased 9.5% from US$295 million in FY2017 to US$323 million in FY 2018. Such increase in total deposits strengthens the bank’s financial position and expands its lending capabilities.

Weakness

Litigation

The company is involved in various lawsuits. As per the judgement released in September, 2018, the company has reached a settlement with financial advisers to pay US$19.5 million to the members of the class which were discriminated racially. In the same year, the company was sued by a female vice president who accused the company of paying women less compared to men. In April 2018, a lawsuit has been filed against JPMC, alleging that the bank overcharged its credit card customers when they used funds to purchase cryptocurrencies. Involvement in legal issues could render the company incur additional costs and affect its brand image.

Opportunity

Agreements and contracts

The company signed new contracts and agreements in recent times. In April 2018, JPMorgan and Black Knight entered into a contract for the implementation of the LoanSphere Empower loan origination system (LOS) for supporting its home equity originations business. In March 2018, JPMorgan and Amazon partnered to introduce a small business customer credit card in the US for SMEs. In January 2018, the company, Amazon and Berkshire Hathaway partnered to minimize the health-care costs and improve services for their US employees. In the same month 2018, the company entered into partnership with AutoFi to deliver Digital Car-Buying for dealerships across the country. The partnership allows the company to offer the best experience to its customers by delivering financing terms online through the AutoFi platform. Such new contracts and agreements indicate demand for the company's services in the market which could enable the company to improve its market position further.

Business expansion through new openings

The company has opened several new branched in the recent year. In December 2018, the company opened its first retail branch in Greater Boston. The new branch allows the company to lend to more

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consumers, offer good paying jobs and further invest in neighborhoods. In November 2018, JPMC established its first branch in Greater Washington, D.C. The new branch enables the company to able to help more of its customers in the region. In September 2018, the company announced its plan to open 50 new branches in Philadelphia, Delaware and South Jersey. The expansion would increase the company’s current base in Philadelphia and the Delaware Valley region. The company also plans to open 400 new branches in the next five years. Expansion initiatives, such as these enable the company to serve the needs of broad customer base, expand its global reach and provide enhanced services to its clients.

Positive outlook for global investment banking and brokerage industry

The global investment banking and brokerage industry has experienced healthy growth in recent years and also expected to grow in the next few years. According to in-house-research the global investment banking and brokerage market is forecast to reach a value of US$78 billion by 2023 from US$73.5 billion in 2018, growing at a CAGR of 1.2% during 2018-2023. Europe accounted for 25.1% of the global investment banking and brokerage market value in 2018, followed by Asia-Pacific (22.7%), Japan (5%) and rest of the world (47.2%). The company through its corporate and investment bank segment offers a range of prime brokerage, market-making, investment banking, and treasury and securities products and services to a global client base of investors, corporations, government and municipal entities, and financial institutions. The company stands to benefit from the growing investment banking and brokerage industry, which in turn will help drive the company's financial and operational growth.

Threat

Increase in competition from non-banks

Competition in the banking industry has intensified due to the aggressive focus of non-banks. Non- traditional participants in the banking ecosystem, including specialized banks, specialist service providers, and non-bank banks, could have a significant impact in changing the competitive dynamics of the industry as well. Specialized banks could continue to enhance their market differentiation and could be well- positioned to offer greater choice and personalization to customers. These banks are expected to compete aggressively with traditional banks to control select, more-profitable market segments. Specialist service providers, however, could have a very different, but no less powerful, impact on the industry. Through superior capabilities in operational functions, customer intimacy, and/or risk and capital management, these firms could at least partially offset the current scale and efficiency advantages enjoyed by larger players. Increasing competition from non-banks could impact the competitive dynamics of the banking industry by impacting the competitive advantages of traditional big companies such as JPMC.

Solvency II

Changing regulatory environment could impact the company’s competitiveness. Companies operating in the insurance market are required to comply with regulatory guidelines. Insurance companies such as JPMC have to comply with Solvency II program, an EU-wide insurance regulatory program trying to enhance customer protection, improved supervision, and integrate the EU insurance market. The program expects insurers in the EU to meet both the Solvency Capital Requirement and Minimum Capital

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Requirement, apart from stringent governance and supervision through effective risk management, and being transparent in reporting capital adequacy and risks faced by them. Adhering to and complying with Solvency II program will present compliance and strategic challenges to insurance companies such as JPMC.

Limited talent

The company’s wealth management business faces competition from peers in recruiting and retaining talented investment managers. It competes with asset management firms, private banks, multi-family offices, single family offices and wealth management firms for personnel with experience and talent. If it fails to retain the existing team of professionals, the bank’s asset management, and investment advisory service offerings could get adversely affected. Also, some provisions in the Dodd-Frank Act also suggest the Federal Reserve to establish compensation guidelines for regulated financial institutions. Such restrictions on employee compensation could limit the bank’s ability to recruit new talent and preserve its team of professional advisors.

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Top Competitors

TOP COMPETITORS

The following companies are the major competitors of JPMorgan Chase & Co.

Bank of America Corp Citigroup Inc Deutsche Bank AG HSBC Holdings Plc Nomura Holdings Inc The Goldman Sachs Group Inc

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Company View

COMPANY VIEW

An excerpt from the Management’s Discussion and Analysis section of JPMorgan Chase & Co., is given below. The excerpt has been taken from the company’s 10-K report for Fy2019.

JPMorgan Chase reported strong results for 2019, with record revenue, net income and EPS of $115.6 billion, $36.4 billion and $10.72 per share, respectively. The Firm reported ROE of 15% and ROTCE of 19%. Net income was $36.4 billion, up 12%. Total net revenue increased 6%. Net interest income was $57.2 billion, up 4%, driven by continued balance sheet growth and mix as well as higher average short-term rates, partially offset by higher deposit pay rates. Noninterest revenue was $58.4 billion, up 8%, driven by growth across CCB as well as higher Markets revenue in CIB. Noninterest revenue included approximately $500 million of gains on the sales of certain mortgage loans in Home Lending. Noninterest expense was $65.5 billion, up 3%, driven by continued investments across the businesses including employees, technology, real estate, and marketing, as well as higher volume- and revenue-related expenses, including depreciation expense on auto lease assets, partially offset by lower FDIC charges. Income tax expense included $1.1 billion of tax benefits related to the resolution of certain tax audits.

The provision for credit losses was $5.6 billion, up $714 million, reflecting increases in both wholesale and consumer. The increase in the wholesale provision reflects additions to the allowance for credit losses in the current year on select client downgrades. The prior year reflected a benefit related to a single name in the Oil & Gas portfolio and higher recoveries. The increase in the consumer provision reflects higher net charge-offs and additions to the allowance for loan losses in Card, predominantly offset by a higher reduction in the allowance for loan losses in Home Lending. The prior year also benefited from larger recoveries in Home Lending on loan sales.

The total allowance for credit losses was $14.3 billion at December 31, 2019, and the Firm had a loan loss coverage ratio of 1.39%, flat compared with the prior year; excluding the PCI portfolio, the equivalent ratio was 1.31% compared with 1.23% in the prior year. The Firm’s nonperforming assets totaled $4.5 billion at December 31, 2019, a decrease from $5.2 billion in the prior year, primarily reflecting paydowns in the wholesale portfolio and improved credit performance in the consumer portfolio. Firmwide average total loans of $955 billion were up 1%, or up 3% excluding the impact of certain loan sales in Home Lending.

Selected capital-related metrics The Firm’s CET1 capital was $188 billion, and the Standardized and Advanced CET1 ratios were 12.4% and 13.4%, respectively. The Firm’s SLR was 6.3%. The Firm continued to grow tangible book value per share (“TBVPS”), ending 2019 at $60.98, up 8%. ROTCE and TBVPS are non-GAAP financial measures. Refer to Explanation and Reconciliation of the Firm’s Use of Non-GAAP Financial Measures and Key Performance Measures on pages 57–59, and Capital Risk Management on pages 85–92 for a further discussion of each of these measures. Recent events On February 25, 2020, JPMorgan Chase announced additional steps in its initiatives to address climate change and further promote sustainable development. This year, JPMorgan Chase commits to facilitate $200 billion to advance the objectives of the United Nations Sustainable Development Goals (SDGs),

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including $50 billion toward green initiatives. The new commitment is intended to address a broader set of challenges in the developing world and developed countries where social and economic development gaps persist. As part of this commitment, the Firm had previously announced the creation of the J.P. Morgan Development Finance Institution to expand its financing activities for developing countries. On December 18, 2019, JPMorgan Chase announced that the China Securities Regulatory Commission has approved the application of J.P. Morgan Securities (China) Company Limited for a Securities and Futures Business Permit. This approval allows J.P. Morgan’s majority-owned securities company in China to commence operations. On December 11, 2019, JPMorgan Chase announced certain organizational changes to its U.S. Wealth Management business. The Firm’s advisors across Chase Wealth Management and J.P. Morgan Securities will become one business unit – U.S. Wealth Management.

2020 outlook These current expectations are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on the current beliefs and expectations of JPMorgan Chase’s management and are subject to significant risks and uncertainties. Refer to Forward-Looking Statements on page 141, and the Risk Factors section on pages 6–28 of the Firm’s 2019 Form 10-K, for a further discussion of certain of those risks and uncertainties and the other factors that could cause JPMorgan Chase’s actual results to differ materially because of those risks and uncertainties. There is no assurance that actual results in 2019 will be in line with the outlook set forth below, and the Firm does not undertake to update any forward-looking statements. JPMorgan Chase’s outlook for 2020 should be viewed against the backdrop of the global and U.S. economies, financial markets activity, the geopolitical environment, the competitive environment, client and customer activity levels, and regulatory and legislative developments in the U.S. and other countries where the Firm does business. Each of these factors will affect the performance of the Firm and its LOBs. The Firm will continue to make appropriate adjustments to its businesses and operations in response to ongoing developments in the business, economic, regulatory, and legal environments in which it operates.

Firmwide full-year 2020 Management expects full-year 2020 net interest income, on a managed basis, to be approximately $57 billion, market dependent, reflecting the impact of lower interest rates offset by balance sheet growth and mix. The Firm continues to take a disciplined approach to managing expenses, while investing for growth and innovation. As a result, management expects Firmwide adjusted expense for the full-year 2020 to be approximately $67 billion. The Firm continues to experience charge-off rates at very low levels, reflecting favorable credit trends across the consumer and wholesale portfolios. Management expects full-year 2020 net charge-offs to be just over $6 billion, an increase from prior year, driven by Card on growth and mix. Management expects the full-year 2020 effective tax rate, on a reported basis, to be approximately 20%, and approximately 5 to 7 percentage points higher on a managed basis.

First-quarter 2020 Management expects first-quarter 2020 net interest income, on a managed basis, to be approximately $14.2 billion, market dependent.

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Firmwide adjusted expense for the first-quarter 2020 is expected to be approximately $17 billion. The effective tax rate, on a reported basis, for the first quarter of 2020 is expected to be approximately 17% largely as a result of tax benefits related to the vesting of employee share-based awards. Markets revenue for the first-quarter of 2020 is expected to be higher when compared with the prior-year quarter by mid-teens percentage points, depending on market conditions.

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Locations And Subsidiaries

LOCATIONS AND SUBSIDIARIES

Head Office

JPMorgan Chase & Co. 270 Park Avenue New York City New York New York City New York USA Phone:1 212 2706000 www.jpmorganchase.com

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