JPMorgan aims to amass 15% of US consumer deposits, boost credit card share
The biggest U.S. bank wants to get even bigger
JPMorgan Chase has set an ambitious goal of attracting 15% of the country’s consumer deposits, Marianne Lake, its CEO of consumer and community banking, told Reuters in an interview at the company’s New York headquarters.
The bank had an 11.3% share of U.S. retail deposits at the end of June 2023, the latest available data.
The lender also wants to provide credit cards that account for 20% of the nation’s spending, expanding from a current 17%.
“Market share is a game of inches, and it is a very powerful game,” Lake said. “While we are not putting any timeline on it, our strategies are geared towards achieving it,” she said.
Its U.S retail deposits were worth $1.1 trillion at the end of the first quarter.
“We’re continuing to build our capabilities to compete and win and investing in modernizing our infrastructure and data, leveraging AI, payments and other business strategies,” Lake said. The investments “will ensure that we continue to be the leader even five to 10 years from now.”
JPMorgan acquired failed lender First Republic last year, adding $92 billion in deposits. The purchase was made after a series of bank failures that triggered tumult in the industry and has since subsided.
CEO SUCCESSION
JPMorgan is set to report its earnings on Friday. Investors and analysts will be watching out for any commentary on its CEO succession plans. Lake has been named by the bank’s board as a potential successor to CEO Jamie Dimon, who has served in the role since 2006.
While Wall Street banks have made some strides on diversity, Citigroup CEO Jane Fraser is the only woman to lead one of the nation’s six biggest banks.
JPMorgan’s consumer business reported $17.6 billion in revenue during the first quarter, comprising the biggest chunk of the company’s total revenue of $41.9 billion.
Reporting by Nupur Anand and Lananh Nguyen in New York; Editing by Jamie Freed via Reuters