JP Morgan Chase 2013 Annual Report Download - page 58

Management’s discussion and analysis
64 JPMorgan Chase & Co./2013 Annual Report
This section of JPMorgan Chase’s Annual Report for the year ended December 31, 2013 (“Annual Report”), provides Management’s
discussion and analysis (“MD&A”) of the financial condition and results of operations of JPMorgan Chase. See the Glossary of Terms
on pages 341–345 for definitions of terms used throughout this Annual Report. The MD&A included in this Annual Report contains
statements that are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements
are based on the current beliefs and expectations of JPMorgan Chase’s management and are subject to significant risks and
uncertainties. These risks and uncertainties could cause the Firm’s actual results to differ materially from those set forth in such
forward-looking statements. Certain of such risks and uncertainties are described herein (see Forward-looking Statements on page
181 of this Annual Report) and in JPMorgan Chase’s Annual Report on Form 10-K for the year ended December 31, 2013 (“2013
Form 10-K”), in Part I, Item 1A: Risk factors; reference is hereby made to both.
INTRODUCTION
JPMorgan Chase & Co., a financial holding company
incorporated under Delaware law in 1968, is a leading
global financial services firm and one of the largest banking
institutions in the United States of America (“U.S.”), with
operations worldwide; the Firm has $2.4 trillion in assets
and $211.2 billion in stockholders’ equity as of
December 31, 2013. The Firm is a leader in investment
banking, financial services for consumers and small
businesses, commercial banking, financial transaction
processing, asset management and private equity. Under
the J.P. Morgan and Chase brands, the Firm serves millions
of customers in the U.S. and many of the world’s most
prominent corporate, institutional and government clients.
JPMorgan Chase’s principal bank subsidiaries are JPMorgan
Chase Bank, National Association (“JPMorgan Chase Bank,
N.A.”), a national bank with U.S. branches in 23 states, and
Chase Bank USA, National Association (“Chase Bank USA,
N.A.”), a national bank that is the Firm’s credit card–issuing
bank. JPMorgan Chase’s principal nonbank subsidiary is J.P.
Morgan Securities LLC (“JPMorgan Securities”), the Firm’s
U.S. investment banking firm. The bank and nonbank
subsidiaries of JPMorgan Chase operate nationally as well
as through overseas branches and subsidiaries,
representative offices and subsidiary foreign banks. One of
the Firm’s principal operating subsidiaries in the United
Kingdom (“U.K.”) is J.P. Morgan Securities plc (formerly J.P.
Morgan Securities Ltd.), a subsidiary of JPMorgan Chase
Bank, N.A.
JPMorgan Chase’s activities are organized, for management
reporting purposes, into four major reportable business
segments, as well as a Corporate/Private Equity segment.
The Firm’s consumer business is the Consumer &
Community Banking segment. The Corporate & Investment
Bank, Commercial Banking, and Asset Management
segments comprise the Firm’s wholesale businesses. A
description of the Firm’s business segments, and the
products and services they provide to their respective client
bases, follows.
Consumer & Community Banking
Consumer & Community Banking (“CCB”) serves consumers
and businesses through personal service at bank branches
and through ATMs, online, mobile and telephone banking.
CCB is organized into Consumer & Business Banking,
Mortgage Banking (including Mortgage Production,
Mortgage Servicing and Real Estate Portfolios) and Card,
Merchant Services & Auto (“Card”). Consumer & Business
Banking offers deposit and investment products and
services to consumers, and lending, deposit, and cash
management and payment solutions to small businesses.
Mortgage Banking includes mortgage origination and
servicing activities, as well as portfolios comprised of
residential mortgages and home equity loans, including the
purchased credit-impaired (“PCI”) portfolio acquired in the
Washington Mutual transaction. Card issues credit cards to
consumers and small businesses, provides payment services
to corporate and public sector clients through its
commercial card products, offers payment processing
services to merchants, and provides auto and student loan
services.