JPMorgan Chase and Co. triples estimate of trading losses to $5.8bnJul 14, 10:40 am
London, July 14 (ANI): JPMorgan Chase and Co., a leading global financial services firm has tripled its estimate of recent losses from trading in complex financial derivatives from two billion dollars to 5.8 billion dollars.
The American multinational bank claimed that it would claw back as much remuneration as possible from the individuals deemed responsible for the losses, equivalent to about two years' worth of pay.
Despite the revelation, JPMorgan reported a surprisingly strong three-month net profit of 4.96 billion dollars.
According to the BBC, when the Wall Street firm first announced the loss at its chief investment office in May, it said it amounted to at least 2 billion dollars.
However, in its latest financial results, the bank said that it had recorded a 4.4 billion dollar loss in the second quarter of the year due to the trading position, on top of a 1.4 billion dollar loss in the first three months of the year, which was 459 million dollars bigger than the bank had initially calculated and forced JPMorgan to restate its first quarter results.
The bank also said it had found evidence that some traders may have been trying to hide their losses and blamed the restatement on the fact that "certain individuals may have been seeking to avoid showing the full amount of the losses in the portfolio during the first quarter".
CEO of the firm Jamie Dimon claimed that it was "silly" to think that mistakes would never be made
"I think it's silly for anyone in the business world to think you're not going to make mistakes," he said. (ANI)
- Japan promotes eco-friendly transportation
- Cameron announces plans for 'biggest trade deal' in history between EU and US
- Chidambaram for mobilisation of resources from insurance and pension sector for IDFs
- Big security data claims businesses unable to use power to ward off threats: McAfee Study
- Increase production of oil and coal, restrict gold consumption, says Chidambaram
- Japan's ORIX acquires over 25 percent share of MEDGULF insurance firm
- RBI decision to hold policy rates at status quo disappointing: CII
- Fujitsu displays "Fujitsu Cloud Initiative" at Interop Tokyo 2013
- Senior Apple executive defends company's e-book pricing model with publishers
- US SC rules natural human genes can't be patented