JP Morgan is the known owner and founder of Chase bank and chase company. JP Morgan Chase and company is an American bank holding company that has their headquarter based in New York City. It rose to the top of the list as one of the best American banks after it merged with JP Morgan and Chase Manhattan bank in December 2000. Checking the list of banks in the world, JP Morgan’s chase has made it as one of the largest banks in the world by assets rating. It is the sixth in the world with assets worth 2.5trillion dollars. It has a list of 28 trillion dollars worth of assets and in December 2016, it employed up to 243,335 people.
Key Takeaways
- JP Morgan chase is a universal bank as well as a custodian bank that give credit card services in USA and Canada
- JP Morgan is one of the major branches of the JP Morgan Chase Company
- The Chase Manhattan bank was first created in 1955 after the Bank of Manhattan, company bought the Chase national bank
- During the late 1990s, JP Morgan became one of the biggest banks in all of the United States
- Chase bank offers investment banking, market-making, brokerage, treasury, and security products to its customers
JP Morgan History And Chase Company
JP Morgan Chase company was first originated on December 1st, 2000 after they merged with the JP Morgan Chase Manhattan bank. After the merger, the JP Morgan Chase company took it upon themselves to get a bank one corporation four years after the merger happened in 2004. They also got alongside this achievement, bear streams and Washington Mutual in 2008. It was formerly known to be the bank of Manhattan, the bank was originally created in 1799.
About JP Morgan
JP Morgan is one of the major branches of the JP Morgan Chase Company. The company was first created in 1871 when it was in partnership with Drexel. It was formally named Drexel, Morgan, and company until they later decided to change the name to something simpler like JP Morgan. The name change happened in 1895 after their partner Drexel passed away. This bank has been known to be some of the best banks that the world has known, it was once Morgan Stanley, Deutsche bank, and JP Morgan Chase Bank and Co. It was among the most influential financial institutions during its peak years. It was one of the sponsors that were part of the creation of the United States corporation and the New Haven and Hartford railroad in the year 1892. Just three years later, it was able to give the United States government the sum of 62 million dollars in gold so that a bonds issue can be solved and the government’s surplus desire of 100 million dollars will be met.
Chase Manhattan Bank
The Chase Manhattan bank was first created in 1955 after the Bank of Manhattan, company bought the Chase national bank. The founder of the bank of Manhattan company is known as Aaron Burr in 1799. He got this clever idea because he solely wanted to supply water to the lower Manhattan region. The bank used to be managed or governed by David Rockefeller during the decade of 1970 and 1980. Under David’s wings, the bank became one of the most prestigious financial institutions that the world knew. After the real estate collapse in 1990, the bank was financially unstable, and this way they were up for a deal that would keep them in business. Instead of that, Chemical bank bought it off their hands in 1996. Chemical bank also decided to hold on to the name Chase even after they had combined. Chase Manhattan Bank had a merger in 2000 with the JP Morgan Chase and company.
The Merger
During the late 1990s, JP Morgan became one of the biggest banks in all of the United States. This was possible because of its debt and equity dominance. In essence, the bank was in dire need of a strong stance in commercial and investment banking. In 1998, they got the idea of a merger with another bank to expand its scope of services. The public knew about their new decision.
Chase Manhattan Bank
They were in search of a potential candidate to get this service expanse work for them. They looked at banks like Credit Suisse, Deutsche Bank AG, Goldman Sachs, and the last bank, Chase Manhattan Bank. In 2000, chase Manhattan told the public that they were in search of a merger with another US Bank that would help them strengthen their investment packages. Well, they both needed each other so they both merged and both companies became JP Morgan Chase and company. With the new merger, both companies have been able to make it to the top and add more services to their portfolio. They had new services like investment banking, retail banking, asset management, commercial banking, private banking, and private equity.
JP Morgan Chase Business Sectors
Both companies after the merger have been able to create for sectors of business. They are:
Consumer And Community Banking
This sector is for the part of the company that renders services to their clients via the branches, ATM, online, mobile, and telephone banking systems. This section has three segments in it. Firstly, the consumer and business banking segments, mortgage banking segments, and the card, commerce solution.
A Table Showing The Three Segments And How They Work
| Segments | What They Do |
| The consumer and business banking segments | This segment is in charge of deposit, investment products, and services to the consumers at large. It is also for cash deposits, management, payment solutions to small or average-sized companies. |
| Mortgage banking segments | This segment offers home equity loans, mortgage services, and residential mortgages. |
| Card, commerce solution, and auto segments | They offer credit cards services, merchant payment solutions, auto loans, and leases, and student loans. |
Corporate And Investment Bank
This sector of the company is in charge of investment banking, market-making, brokerage, treasury, and security products. They also handle big clients like global firms, government, banks, municipalities, and personal investors. These services are offered via the banking, market, and ancestor services that are available in this segment. Banking is also part of advising investors on the company’s strategies and form. Capital increment inequity and the debt market, treasury services, loan establishment, and services. Market and investor services are all a part of the risk management solutions, the brokerage, security services, lending, product assets, and investment funds.
Commercial Banking
This sector is known as the commercial banking division which gives financial solutions like treasury services, asset management, and investment banking. It also offers finance to real estate investors and the property owners that come to them. The sector has specialists who work with them and financial experts who have their way of giving out industry knowledge to banks and non-profit organizations, global corporations, and governments.
Asset And Wealth Management
The division is known as asset and wealth management. The name should already explain itself but we will spell it out for you. This sector is in charge of the investment management across the several assets sections like money market funds and fixed incomes. For the clients who have several asset investment requirements, this sector is in charge of taking care of all the requirements. Other services that this sector offers are retirement planning, brokerage, and bank services. The clients that this sector gets to work with are mostly high-end investors, institutions, and individual investments.
Is Chase Bank A Privately Owned Bank?
The JP Morgan Chase bank is seen to be a universal bank and a custodian bank as well. The JP Morgan brand is also used by investment banking, asset management, private banking, private wealth management, and treasury services sectors.
Is Chase Company Also Owned By JP Morgan?
Yes, Chase is a US consumer and commercial banking institution that is owned by JP Morgan Chase and co. A high-end global financial service company that has 2.6 trillion dollars worth of assets.
Does Morgan Stanley Have Any Connection With Chase Bank?
Yes, Morgan Stanley has a similar name to JP Morgan Chase and co. Well, this is not just a mere coincidence where two people end up with the same name. Morgan Stanley was originated as an investment bank but it is way more than that. The commercial banking operation by Morgan Stanley is a big competition even for Wells Fargo.
Who Is The CEO Of JP Morgan Currently?
Jamie Dimon is the CEO of JP Morgan Chase and Co.
Final Words
JP Morgan. Chase Bank which is also known as chase, is an institution that is based in Illinois and handles the banking operations of JP Morgan Chase, the famous banking company. It is very functional in more than 85 countries in the world and has thousands of employees.
References:
1. https://en.wikipedia.org/wiki/Chase_Bank
2. https://www.investopedia.com/companies-owned-by-jpmorgan-chase-and-co-5092490
Last Updated on October 28, 2022 by Magalie D.
Magalie D. is a Diploma holder in Public Administration & Management from McGill University of Canada. She shares management tips here in MGTBlog when she has nothing to do and gets some free time after working in a multinational company at Toronto.
