Business credit

JP Morgan Wealth revenue increases in second quarter after strong hiring

Recruitment in the wealth management arms of JP Morgan Chase has shown no signs of slowing despite runaway inflation and fears of a recession – which the megabank CEO says has not materialized.

JP Morgan Wealth Management and the megabank’s global private bank added a combined 750 financial advisers year-over-year to a combined total of 7,756 across the two units in the second quarter, according to company results at second trimester, that it disclosed the 14th of July. In a call with analysts, JP Morgan CEO Jamie Dimon offered a slightly different assessment than he made last month when he warned of “a hurricane” looming in the economy and advised investors to “prepare”. With rival Morgan Stanley reporting earnings the same day, Dimon joined the CEO of the other megabank arguing that the country is ready for a downturn.

Consumers are spending 10% more than last year and about 30% more than before the pandemic, Dimon said.

“They have more income. There are many jobs,” he said, according to a transcription of The Motley Fool. “Companies, [if] you talk to them, they are in good shape. They are fine. We have never seen business credit better than in our lifetime. And this is the current environment. The future environment, which is not that far away, involves rising rates, perhaps more than we think because of inflation. There could be a soft landing.

In its wealth management arms, the company’s recruitment led it to a softer landing for the quarter, although falling stock values ​​reduced earnings across the board. For coverage of the company’s first quarter results, Click here. For an overview of the fourth quarter and full prior year results, follow this link. To see key findings from JP Morgan’s first quarter results, scroll through our slideshow.

Note: The company does not detail specific wealth management measures in its organization, which includes global private banking in its Asset & Wealth Management division and JP Morgan Wealth Management in the Consumer & Community Banking segment.