JPMorgan WSS Buys Up Part of Nordea’s Portfolio of Institutional Assets

(NewsVisual, powered by IntellectSpace) -- In a move that probably required the approval of the Board of Directors of the parent company, JPMorgan Worldwide Securities Services (WSS), a division of JPMorgan Chase & Co (NYSE: JPM) that provides global custody and fund services, announced from London on Thursday that it was acquiring the institutional global custody portfolio of Nordea.

Nordea is a Nordic leader of the custody of institutional assets with approximately 200 Billion Euros under management.

“JPMorgan WSS also intends to offer local depository services to in-country mutual funds through the establishment of new branches in Denmark, Finland and Norway together with an expanded presence in Sweden,” the WSS statement reported.

Since it comes on the heels of JP Morgan Chase’s buyout of The Bear Stearns Companies Inc (NYSE: BSC), its likely to raise questions among shareholders as to whether the Bank’s Directors should have allowed the acquisition to go forward at this time.

JP Morgan CEO Dimon Needs to Draw Off of His Experience to Win over Bear’s Staff

(NewsVisual, powered by IntellectSpace) -- Although the news accounts suggests that JPMorgan Chase & Co (NYSE: JPM) CEO/President/Chairman James Dimon may have been slightly mauled by several angry employees of The Bear Stearns Companies Inc (NYSE: BSC) when he visited them in the latter’s own headquarters, he must nevertheless continue to move forward in order to effectively assimilate them into JPMorgan.

The report of the Dimon visit in The New York Times suggests this will be no easy task, not even for an executive who has as impressive a resume as Mr Dimon.

In fact, the Times implies that he still has some work to do to convince many of Bear’s unhappy executives that they should support JPMorgan’s acquisition of their firm:

Will JPMorgan’s Directors Allow The Bank to Walk Away From its WTC Commitment?

(NewsVisual, powered by IntellectSpace) --JPMorgan Chase & Co (NYSE: JPM) signaled on Monday that it might not fulfill its stated option to move into the World Trade Center.

The Bank’s change in plans came on the heels of its market-shattering news concerning its buyout for $2 per share of its former competitor The Bear Stearns Companies Inc (NYSE:BSC).

The Wall Street Journal reported that JP Morgan will move its investment-banking operation to “the Madison Avenue skyscraper it is set to inherit as part of its $2-a-share acquisition of the troubled firm.” 

“Even if the deal to buy Bear Stearns falls through, J.P. Morgan will still have an option to buy the 43-story skyscraper,” the Journal article added.

The question of how the Bank’s Board of Directors will respond if an outcry of public pressure develops over its reneging on its commitment to move in the WTC remains unclear.

Do JP Morgan’s Board Members Have the Experience to Protect Shareholder Interests?

(NewsVisual, powered by IntellectSpace) -- As NewsVisual reported earlier on Friday, JPMorgan Chase & Co (NYSE: JPM), along with the Federal Reserve Bank of New York, made a large financial commitment to provide help to the troubled investment-banking firm The Bear Stearns Companies Inc (NYSE:BSC).

In what appeared to be an effort to preemptively mitigate any investor concerns over whether this commitment would adversely affect JPMorgan’s financial health, the Bank made the following blunt statement in its Friday morning press release:

“JPMorgan Chase does not believe this transaction exposes its shareholders to any material risk.”

NewsVisual decided to create an IntellectSpace Knowledge Map in order to illustrate the business connections of JP Morgan’s Board of Directors as a method for assessing whether they have enough experience of financial issues so that they can look after the Bank’s shareholders’ interests.

Could JP Morgan’s Directors Have Helped to Staunch the Bank’s Flow of Red Ink?

Wednesday morning brought more bad news for the financial sector as JP Morgan Chase & Co (NYSE: JPM) announced in a statement that its fourth-quarter earnings fell by 21 percent from the previous year’s Q4 results, helping to make it for the entire financial industry one of the worst quarters since 1929.

Specifically, fourth-quarter income was down from the 2006 level of $3.9 billion to $3.0 billion, which, in terms of earnings per share, was down from the 2006 level of $1.09 to $0.86, the bank said.

Still, while the bank’s fourth-quarter results were down, its overall performance for 2007 was good: income was up 15 percent; continuing operations brought in a record $15.4 billion, with earnings per share $4.38; and, by comparison, that was up from the 2006 income figure of $13.6 billion, with earnings per share at $3.82.

Connections Valuable as Thain Brings Chai to Merrill Lynch

Newly appointed CEO John Thain is quickly making changes at Merrill Lynch, bringing on former colleague Nelson Chai as the company’s Chief Financial Officer (see article from CFO.com). Investors are hoping that the management changes will be just what Merrill Lynch needs overcome its losses as a result of the US mortgage crisis. An IntellectSpace Knowledge Map reveals Chai’s past Executive history as well as the connections that helped him secured his latest position (Note: the information contained and presented in Knowledge Maps is public information from the Securities and Exchange Commission of the United States of America).

The obvious link that likely got Chai the job is NYSE Euronext, where he is currently the CFO and Thain was CEO until he joined Merrill just last week. Merrill Lynch doesn’t have time to waste to experience a turnaround given the company’s recent $7.9 billion write down, so Thain’s decision to bring on a CFO that he worked closely with in the past may be a wise decision, offering an advantage to the leadership team and restoring investor confidence.

US Banker’s Celebrates 25 Most Powerful Women at Black and White Ball

On Monday night, US Banker’s held its Black and White Ball, recognizing the 25 most powerful women in the industry. Topping that list was Heidi G Miller, who currently serves as the Head of the Treasury and Services group at JP Morgan Chase (see article from DealBook). To achieve a better understanding how of Miller’s corporate experience helped her land the top spot on US Banker’s list, we created an IntellectSpace Knowledge Map of her corporate ties (Note: the information contained and presented in Knowledge Maps is public information from the Securities and Exchange Commission of the United States of America).

As shown in this Knowledge Map, we can see that Miller has past Executive experience achieved from working at companies that include Citigroup, Bank One Corp and Priceline. She also has served as a Director at General Mills, Merck and Mead Corporation. The Knowledge Map also allows us to take a look at Miller’s non-corporate leadership affiliations. Some of this experience includes serving as a Trustee for Princeton University and the NYU Medical School as well as a Director for the Children’s Defense Fund.

It is not difficult to understand why Ms. Miller was chosen to head the list of the 25 most powerful women in banking. Her past and present corporate experience combined with her participation in many other diverse entities demonstrates why she is a person to follow.

Dimon’s Experience Leads to Positive Results for JP Morgan

JP Morgan Chase CEO James Dimon appears to have gotten the last laugh as the company posted its successful third-quarter results, which greatly surpassed that of Citigroup, the company that had previously given Dimon the boot (see article from WSJ DealJournal). Judging from JP Morgan’s positive performance since Dimon became CEO in 2005, it is likely that he holds a wealth of experience and network connections that would have contributed to the company’s latest figures. An IntellectSpace Knowledge Map illustrates Dimon’s numerous past and present roles in leadership.

As shown in this Knowledge Map, Dimon not only has held Executive Positions at such leading financial institutions as Citigroup and JP Morgan Chase but also at numerous other corporate entities and organizations. After getting his start at American Express in 1982, Dimon quickly worked his way up to Executive status. He served as head of Bank One and SB Holdings and was the President of Travelers Group. Dimon’s leadership at numerous non-corporate organizations is extensive, having held roles as a Director of the National Center on Addiction and Substance Abuse, Harvard Business School, The United Negro College Fund and the University of Chicago. He also is on the Board of Trustees at the New York University Medical Center.