JPMorgan’s CEO Faces Shareholders [VIDEO]
The CEO of JPMorgan Chase has won a shareholder endorsement of his pay package and will keep the title
of chairman of the board.
CEO Jamie Dimon won the votes Tuesday at JPMorgan’s annual meeting in Tampa, Fla. Most ballots were cast before Thursday, when Dimon disclosed a $2 billion trading loss at the bank.
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Dimon says the bank’s mistakes were “self-inflicted.”
Investors have pummeled JPMorgan’s stock price since Dimon disclosed the trading loss on Thursday. The stock has dropped 12 percent and lost almost $20 billion in market value.
Dimon got something of a vote of confidence from President Barack Obama, who appeared on ABC’s “The View” for an episode to be aired Tuesday. Obama used the appearance to press for tighter
regulation of Wall Street.
“JPMorgan is one of the best-managed banks there is,” the president said. “Jamie Dimon, the head of it, is one of the smartest banks we got, and they still lost $2 billion and counting.”
Obama said the bank was “making bets” in the market for the complex financial instruments known as derivatives. Dimon has said the bank was hedging against financial risk.
A part of the 2010 financial overhaul known as the Volcker rule would restrict banks from some trading for their own profit. Dimon and critics of the financial industry have disagreed over whether the trading in question would violate that rule.
(Copyright 2012 by The Associated Press. All Rights Reserved.)