Reuters logo
UPDATE 1-JPMorgan CFO sees fourth-quarter market revenue down 15 pct
December 5, 2017 / 4:11 PM / 11 days ago

UPDATE 1-JPMorgan CFO sees fourth-quarter market revenue down 15 pct

(Adds comments on tax changes, consumer spending)

NEW YORK, Dec 5 (Reuters) - Financial markets quarterly trading revenue at JPMorgan Chase & Co is running about 15 percent lower than a year earlier, Chief Financial Officer Marianne Lake said on Tuesday at an investor conference.

Lake’s remarks were the first update from a major U.S. trading firm in the final month of the quarter and were in line with some Wall Street analysts’ estimates. Markets were especially active last year as investors changed positions around the U.S. election.

Lake, who addressed a wide range of topics in response to questions, also said JPMorgan expects to ultimately benefit from changes in federal taxes working through U.S. Congress, but that its quarterly results could see a one-time hit from a higher-than-usual tax bill if the bank is allowed to repatriate profits from overseas.

She also predicted that banks would compete away at least some of the additional net income that would be left after lower tax rates. For example, Lake said, JPMorgan would likely lower some prices to customers and improve services to win business while still being able to deliver its expected 15 percent return on equity.

Lake said JPMorgan sees good economic conditions continuing in 2018. Consumer spending going into the end of the year is “quite strong,” she said.

JPMorgan, the largest U.S. bank by assets, tracks consumer spending patterns through its role as the biggest U.S. credit card lender and wholly owned transaction processor. (Reporting by David Henry in New York; Editing by Chizu Nomiyama and Meredith Mazzilli)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below