JP Morgan Chase 2015 Annual Report Download - page 55

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Innovation successes
We strive to be at the forefront of
our industry and invest tremendous
resources in new technologies. Here
are a few examples of the impact of
innovation in our major technology
investment areas:
DIGITAL LEADERSHIP
Digital payments
We are leading the future of pay-
ments. Chase QuickPay® oers conve-
nient and nimble person-to-person
payment solutions for consumers.
In addition, this year, we will launch
Chase PaySM to create a new digital
wallet and mobile payment experi-
ence in partnership with many of the
largest retail merchants in the coun-
try. For corporate clients, J.P. Morgan
ACCESS® now provides the ability to
execute international payments in
more than 120 currencies any time of
the day through multiple channels.
Digital platforms
We are in the process of rolling out a
brand new chase.com platform that
will enable us to increase the pace of
innovation and deliver simple, person-
alized customer experiences. We con-
tinue to improve our industry-leading
Chase Mobile® app with new features
and functionality to allow our custom-
ers to bank with us anytime and from
anywhere. We have continued to en-
hance our award-winning J.P. Morgan
Markets® platform to dierentiate
our Corporate & Investment Bank –
for example, trading volume on the
eXecute foreign exchange (FX) trad-
ing app increased by more than 80%
last year, helping the firm grow its
share of the electronic FX market.
Digitally enabled branches
Our new Chase ATMs will be able
to perform roughly 90% of teller
transactions and are being rolled out
across our branch network. They will
include innovations such as cardless
Last year, I outlined our major tech-
nology investment areas in support of
the firm’s strategy; since then, these
strategic priorities have become even
more embedded into our technology
DNA and are the focus of our invest-
ment spend. In 2015, approximately
30% of the firm’s more than $9 billion
technology budget went toward new
investment. As we continue to drive
eciency and prioritize innovation,
we intend to shift even more dollars
from “run the bank” operational activi-
ties to “change the bank” investments.
Protecting the firm
In the first eight months of 2015,
the Federal Bureau of Investigation
reported a 270% increase in fraudu-
lent wire transfers as a result of
targeted business email compromise
scams. At JPMorgan Chase, we typi-
cally identify over 200 million mali-
cious emails each month. To defend
against these and other types of
attacks, we continue to make signifi-
cant investments in building a world-
class cybersecurity operation. Globally,
thousands of employees are focused
on cybersecurity – working across the
firm and with many partners to main-
tain our defenses and enhance our
resilience to threats. We continue to
uplift standards and controls for our
third-party providers, as well as for
systems access across the firm. Three
global Security Operations Centers
monitor our systems 24 hours a day,
seven days a week, in a true “follow
the sun” model. We are embracing a
proactive, intelligence-driven approach
to detecting and preventing malicious
activity as early as possible, ideally
before the firm is even targeted. We
also are taking a prominent role in the
industry by leading a set of simulated
cybersecurity exercises with our peer
banks and other payment platforms–
to ensure that we, and the broader
industry, are increasingly prepared for
new cyberattack scenarios.
authentication at an ATM using the
Chase Mobile app – that means more
transaction flexibility and simpler
customer experiences that work seam-
lessly with our other digital channels.
DATA AND ANALYTICS
Our customers, clients and communi-
ties – as well as the firm – significantly
benefit from big data technologies
and improved data management
practices across our businesses.
Enabling customers and clients
Last year, in our Custody and Fund
Services business, we introduced NAV-
Explain, an industry-first solution that
puts key insights about underlying
fund activity and asset holdings at the
fingertips of fund accountants. This
solution reduces errors and expense,
improves productivity and provides
a far superior client experience.
Identifying new business opportunities
Innovative analytics capabilities are
helping us uncover new business
opportunities. For example, we are
analyzing broad sets of publicly avail-
able and proprietary data to better
predict the financing needs of our
clients. In Commercial Banking, our
sales teams have begun using a new
data-driven tool to more eectively
engage prospective clients – we expect
this tool to identify more than 10,000
new prospects in the United States.
Expert insights for the public good
Our unique proprietary data, expertise
and market access position the firm to
help solve issues in the broader econ-
omy. The JPMorgan Chase Institute
oers decision makers across the pub-
lic and private sectors access to the
firm’s real-time data and analytics to
tackle economic problems, from the
eect of income and consumer spend-
ing volatility on individual Americans
to the impact of local consumer
trends on neighborhoods.