Jamie Dimon May Lastly Be Able to Name It Quits

What’s on deck:

However first, JPM – JD = ?

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The massive story

A retirement looms

The world’s most recognizable banker may lastly be able to name it quits.

JPMorgan CEO Jamie Dimon, who has led the financial institution for nearly 20 years, stated the plan to search out his successor is “effectively on its method,” on the financial institution’s annual investor day, writes Enterprise Insider’s Paul Squire.

Dimon, who’s 68 and has an incentive package deal to remain by way of at the least 2026, had joked for years that he was 5 years away from retirement at any time when the subject got here up. However this time he nodded to his long-running joke, saying it is “not 5 years anymore.”

The comings and goings of Wall Avenue executives are widespread, even on the highest ranges. Two of the most important US banks, Citi and Morgan Stanley, have named new CEOs over the previous three years.

However Dimon and JPMorgan are a distinct story.

The financial institution’s CEO since 2006 and chairman since 2007, Dimon’s legacy has grown with JPMorgan’s measurement. He helped the banking business climate the 2008 monetary disaster, rising JPMorgan into the biggest US financial institution by belongings.

There have been challenges, too, together with a $6 billion buying and selling loss because of the London Whale. However JPMorgan’s continued success lately, together with its assist throughout the Silicon Valley Financial institution disaster, has solely strengthened Dimon’s place atop Wall Avenue.

As large as Dimon’s footwear shall be to fill, JPMorgan has been getting ready for some time. 

Wall Avenue has lengthy speculated about who will finally succeed Dimon. Earlier this 12 months, the financial institution supplied some clues with a management shuffle that noticed Jennifer Piepszak, Marianne Lake, and Troy Rohrbaugh tackle new roles.

However speculating the place Dimon will find yourself is simply as attention-grabbing an train.

Politics has lengthy been seen as Dimon’s potential post-banking profession. His most up-to-date annual letter to shareholders reads like one thing a politician may construct a marketing campaign round.

He definitely appears to have a hold of the entire lobbying factor. A report from The Wall Avenue Journal this weekend recognized Dimon as the important thing particular person organizing financial institution CEOs’ struggle in opposition to proposed rules requiring lenders to carry additional cash on their stability sheets.

Dimon’s work paid off, with the Fed now trying to loosen its restrictions, in keeping with the WSJ’s report, which cited individuals aware of the matter.

Within the meantime, JPMorgan continues to push ahead with Dimon on the helm. The financial institution’s investor day included slides highlighting plans for its development in areas like funding banking, AI, and tech spending, writes BI’s Reed Alexander.

Dimon and different executives additionally addressed questions concerning the premature dying of a Financial institution of America banker and the influence inside their agency, writes Reed.

Nonetheless, with or with out Dimon, traders did not essentially appear bought on the financial institution’s imaginative and prescient. JPMorgan’s inventory completed down 4.5% on Monday.

3 issues in markets

1. What Goldman Sachs is getting unsuitable with its girls staff. Lindsay MacMillan was named vp on the financial institution by the point she was 28, however left feeling burnt out. The work wasn’t the difficulty — it was feeling like she needed to preserve her female facet tucked away on the job.
2. Greater than a 3rd of US states are exhibiting indicators of actual financial bother. Nancy Lazar, Piper Sandler’s chief international economist, highlighted the latest uptick in common unemployment in 19 states as an indication a recession might be looming. The very fact the rich are nonetheless sitting fairly highlights our “very bifurcated financial system, unstable financial system,” she added.
3. FDIC boss resigns. Martin Gruenberg has informed workers he’ll stand down as chairman as soon as a alternative has been discovered, per The Wall Avenue Journal. Gruenberg’s resignation comes after an unbiased report described the FDIC’s work tradition as “patriarchal,” “misogynistic,” and “insular.”

3 issues in tech

1. Extra AI is coming. This time, it is for our PCs. Microsoft simply unveiled its Copilot+ PCs, which begin at $999. The announcement got here forward of Construct, Microsoft’s annual developer convention, the place it is anticipated to disclose extra of its AI improvements.
2. Neuralink is making some modifications. After getting the FDA go-ahead for a second implant, Neuralink will embed the wires deeper into the mind to repair issues it encountered with its first affected person. A report from the Wall Avenue Journal says the corporate hopes to conduct its subsequent implant in June.
3. OpenAI angers Scarlett Johansson. The “Her” actor stated in a press release on Monday that she had beforehand turned down Sam Altman’s request to voice GPT-4o — and so was “shocked” and “angered” after OpenAI launched a voice for its new mannequin that sounded “eerily related” to her personal.

3 issues in enterprise

1. Millennials’ tackle the FIRE motion is extra about monetary independence than slowing down from work. For a sure group of millennials, the FIRE motion — or monetary independence, retire early — is not all about a straightforward retirement. As a substitute, they’re busy creating their very own variations of life after work.
2. Hims & Hers is stepping into the weight-loss drug sport. The net pharmacy stated it can promote weight-loss injectables beginning at $200 a month — far lower than opponents like Ozempic. The corporate’s inventory surged greater than 30% on Monday in response to the information.
3. Purple Lobster goes bankrupt. The troubled restaurant chain — greatest recognized for its all-you-can-eat shrimp promotion — stated in a press release on Sunday that it had filed for Chapter 11 chapter, though its eating places will keep open for now.

In different information

What’s taking place right this moment

• At the moment’s earnings: Lowe’s, Macy’s, and different corporations are reporting.
• Microsoft’s BUILD developer convention begins right this moment.

The Insider At the moment crew: Dan DeFrancesco, deputy editor and anchor, in New York. Jordan Parker Erb, editor, in New York. Hallam Bullock, senior editor, in London. George Glover, reporter, in London.