JPMorgan Beats Estimates on Mixed Asset Data

Revenues from retail asset management were $482 million, up 17%, while revenue from institutional sale came in at $433 million, down 11%.

In private-wealth management sales rose 4% to $348 million, up 4%, though revenue from JPMorgan Securities was $110 million, flat compared with the prior year.

Assets under supervision grew 6% year over year to $1.6 trillion, and assets under management were $1.2 trillion, a decrease of $10 billion, or 1%. The company attributed this decline in AUM “to outflows in liquidity products, predominantly offset by inflows in fixed income and equity products and the effect of higher market levels.”

Custody, brokerage, administration and deposit balances improved 29% to $479 billion, thanks “to custody and brokerage inflows and the effect of higher market levels,” the company said.

The provision for credit losses was $5 million, compared with $59 million in the prior year.

Reforms Coming

Before the Senate approved the financial services reform bill, 60-39, on Thursday, Dimon shared his concerns about the bill: “We recognize a number of positive aspects of the pending regulatory reform legislation, including systemic risk oversight and resolution authority. However, many challenges and uncertainties remain which may result in unintended consequences for our clients, the markets and our businesses.

“With a need for global regulatory coordination and hundreds of rules to be written, increased focus is critical in order to implement these reforms in a way that protects consumers and the competitiveness of the U.S. financial system, while ensuring the flow of safe and sound credit,” he said in a statement.