Displaying items by tag: jp morgan
Jamie Dimon, JPMorgan Chase C.E.O, has his eye on the road. Significantly down the road.
While he’s expected to outline his plans for the bank for years down the line, according to the New York Times, when it comes to the issue of who his successor will be, he’s likely to encounter questions anew.
While he’s not expected to climb down from the saddle anytime soon, the issue could rise to the surface among shareholders once again in light of succession plans at two rivals of JPMorgan. At Morgan Stanley, James Gorman recently announced he planned to step away within the next 12 months, while there are reports that Ken Jacobs, CEO of Lazard, is prepping to depart.
Meantime, whenever he decides the time’s right to hit the exit, Dimon will do so with considerably more than a gold watch. If he’s in his current position in 2026, he’ll pocket an additional $50 million payout, according to the site.
Speaking of which, in terms of compensation changes around the big boys of broker-dealers – save for a few exceptions among some of the regional national firms – the year, it seems, is destined to be relatively quiet, according to financial-planning.com.
JPMorgan Chase has partnered with software firm Datamaran to create a data-analysis tool for clients to gauge the ESG risks facing portfolio companies and the ESG risks that these assets pose to the world around them. This is a concept known as double materiality. While the concept is already built into EU ESG regulations, this would be the first time it is used in the U.S. The new tool is called ESG Discovery. Jean Xavier Hecker, who is the Paris-based co-head of EMEA ESG research at JPMorgan and the designer of the tool, stated, “Double materiality is the only way to think about ESG in a way that is both forward-looking and comprehensive.” The tool, which is now available to JPMorgan clients, will use artificial intelligence to compile data from corporate disclosures, regulations, and online media. It is important to note that it won’t provide an ESG rating or score. Its focus is on unpacking individual ESG drivers.
Finsum:JPMorgan has partnered with software firm Datamaran to create a tool that uses artificial intelligence to evaluate ESG risks.
Emerging market debt could be in trouble according to JPMorgan. With a seemingly never-ending Russia-Ukraine crisis as well as rising borrowing costs low grade emerging market debt could be in trouble. A note said that almost half of the sample of the 52 countries are carrying high repayment risk. Generally speaking, spillover risk is high if Russia defaults and Ukraine has to res-structure. All of this is compounded by rising yields which makes repayment even more difficult.
Finsum: For those looking for solutions to rising volatility be careful chasing emerging market debt as a response.
JPMorgan is one of the few bulls it seems on Wall Street as Kolanovic says markets are just pricing in too much risk, but three stocks could be in the best position to rally. ACV Auctions is first which is a wholesale auto dealer. The revenues and the price are just a mismatch accordinding to JPMorgan. Boot Barn Holding is next with a rise in consumer spending as well as resilient profits are moving the EBITA nail for BOOT. Finally, there is Springworks Therapeutics which is a clinical research company for rare diseases. They have two prime candidates in different stages which could mean big things for their future moving forward.
Finsum: If the Fed steers its way around a recession then markets have definitely overreacted to tightening and equities could have a high upside.
There have been huge sectoral pains for tech, bio-tech, emerging market, and growth stocks in the last couple of weeks, but JPMorgan says it's time to turn bullish on these beta positions. Analyst Kolanovic said that these equity sectors are about to benefit because many of the geopolitical risk and macro pressures are about to ease. JPMorgan’s analyst believes that there will be little inflation and the US will avoid a recession. Biotech has been beat down since last August when the Nasdaq Biotech Index peaked; it is now at 75% of its previous high.
Finsum: The Fed projections could be bad for tech stocks as higher interest rates decrease the relative value of techs profits.