FIXED INCOME INVESTOR INFORMATION
February 25, 2020
Continuing to optimize funding mix
Total liabilities & stockholders'equity($B) | Capital markets liabilities (%) | Secured funding highlights |
$2,687 | |||
Long-term | |||
secured | |||
debt | |||
7% | |||
Deposits | 1,562 | ||
Securities | |||
loaned/repo | |||
agreements | |||
33% | |||
Trading liabilities | 119 | ||
Accounts payable and other | 215 | ||
liabilities1 | |||
Secured funding | 249 | ||
Unsecured funding | 281 | $557 | Short-term |
secured debt2 | |||
Preferred stock | 27 | 5% | |
Common stockholders' equity | 234 | ||
12/31/2019 | Commercial paper2 | ||
3% |
Preferred Stock
5%
Long-term
unsecured debt
46%
Other borrowed
funds2
1%
- Long-termsecured debt
- $29B FHLB advances
- $6B credit card securitization
- Short-termsecured debt
- $18B collateralized commercial paper
- $9Basset-backed commercial paper
Unsecured funding highlights
- Long-termunsecured debt
- $166B senior debt
- $18B subordinated debt3
- $75B structured notes
- Commercial paper
- $15B
- Supports CIB Markets business
Note: For footnoted information, refer to slide 6
1
JPMorgan Chase & Co. ("HoldCo") unsecured benchmark funding - Managing a balanced and efficient portfolio
Gross issuance by security type ($B)
Senior debt Subordinated debt Preferred stock
$38 | ||||
6 | $28 | |||
3 | $25 | $25 | $25 | |
5 | ||||
28 | 27 | 23 | 24 | 20 |
2015 | 2016 | 2017 | 2018 | 2019 |
Gross issuance by tenor ($B)2 | ||||
<5 yrs. | 5-10 yrs. | 10+ yrs. |
WAM3:
~8 yrs. | ~7 yrs. | ~15 yrs. | ~10 yrs. | ~11 yrs. |
$32 | $28 | |||
4 | $23 | $24 | ||
9 | 6 | $20 | ||
12 | 13 | |||
19 | 15 | 11 | ||
8 | ||||
10 | 5 | 6 | ||
3 | 3 | 2 | ||
2015 | 2016 | 2017 | 2018 | 2019 |
Long-term debt maturity profile ($B)1 | |||||
Senior debt | Subordinated debt | ||||
$92 | |||||
$20 | $18 | $18 | 12 | ||
$16 | |||||
$12 | 2 | 3 | 80 | ||
20 | |||||
16 | 16 | 15 | |||
12 | |||||
2020 | 2021 | 2022 | 2023 | 2024 | >2024 |
Preferred stock trends ($B) | Issuances | Redemptions | |||
$6
$5 | ||||||
$4 | ||||||
$1 | $1 | $2 | $2 | |||
2015 | 2016 | 2017 | 2018 | 2019 |
Note: Totals may not sum due to rounding. For footnoted information, refer to slide 6
2
Firmwide wholesale long-term funding outstanding
End of period outstanding($B) - HoldCo (left) vs. Bank1(right)
Senior unsecured | Subordinated debt2 | Structured notes | FHLB | Credit card securitization3 | Other secured debt4 |
WAM: | |||||
~9 yrs. | ~5 yrs. |
$183 |
21 |
21 |
141 |
$136 |
12 |
30 |
72 |
17 |
$188 |
24 |
20 |
143 |
$140 |
13 |
33 |
80 |
12 |
$192 |
27 |
17 |
149 |
$113 |
19 |
21 |
61 |
8 |
$196 |
29 |
16 |
151 |
$100 |
24 |
13 |
44 |
13 |
$211 |
36 |
17 |
158 |
$87 |
38 |
6 |
29 |
9 |
HoldCo2015Bank | HoldCo2016Bank | HoldCo2017Bank | HoldCo2018Bank | HoldCo2019Bank |
Note: Totals may not sum due to rounding. The HoldCo includes JPMorgan Chase & Co. and its non-bank subsidiaries. The Bank includes JPMorgan Chase Bank, N.A and its subsidiaries
For footnoted information, refer to slide 7
3
TLAC and external LTD requirement summary - TLAC compliance is maintained
TLAC Requirements - key metrics, at 12/31/2019 ($B) | External TLAC | External LTD | |||||||
Eligible long-term debt | $172 | $162 | |||||||
Preferred equity | 27 | - | |||||||
Common equity Tier 1 | 188 | - | |||||||
Total | $386 | $162 | |||||||
% of RWA | 25.5% | 10.7% | |||||||
Requirement | 23.0% | 9.5% | |||||||
(Shortfall)/surplus | $38 | $18 | |||||||
% of leveraged assets | 11.3% | 4.7% | |||||||
Requirement | 9.5% | 4.5% | |||||||
(Shortfall)/surplus | $61 | $8 | |||||||
HoldCo - external long-term debt, at 12/31/2019 ($B) | |||||||||
$197 | $172 | ||||||||
($9) | $162 | ||||||||
($16) | ($10) | ||||||||
Senior debt | 180 | ||||||||
Sub. & jr. | |||||||||
sub. debt | |||||||||
17 | |||||||||
2019 | Structured notes & other | Debt with <1 yr | Debt eligible for external | 50% haircut on LTD | External | ||||
maturity | TLAC1 | 1-2 yrs. maturity | LTD |
Note: Totals may not sum due to rounding | 4 |
1Includes ~$19B of debt classified as structured notes |
Wholesale funding sources - purpose and key features
Available to meet regulatory requirement
HoldCo
Broker- dealer
Bank
Product | Typical term | Callable | Multi- | TLAC | T1/T2 | LCR | NSFR | |||||||
currency3 | Reg. cap. | |||||||||||||
Senior unsecured | 2-30 years | | | | | | | |||||||
Subordinated debt | 10-30 years1 | | | | | | | |||||||
Preferred stock | Perpetual | | | | | | | |||||||
Structured notes | 2-30 years | | | /4 | | | | |||||||
Commercial paper | Generally < 1 year2 | | | | | | 2 | |||||||
Securities loaned / Repo agreements | Generally < 6 months | | | | | | 2 | |||||||
Collateralized commercial paper | Generally < 1 year2 | | | | | | 2 | |||||||
Senior unsecured | 2-30 years | | | | | | | |||||||
Subordinated debt | 2-30 years | | | | | | | |||||||
Structured notes | 2-30 years | | | | | | | |||||||
FHLB borrowing | Generally < 5 years2 | 2 | | | | | 2 | |||||||
Card securitization | 1-10 years | | | | | | | |||||||
Asset-backed commercial paper | Generally < 1 year2 | | | | | | 2 |
Secured funding
Note: excludes deposits and common equity. For footnoted information, refer to slide 7
5
Notes
Slide 1 - Continuing to optimize funding mix
- Includes federal funds purchased andclient-driven loan securitizations which are included in beneficial interests issued by consolidated variable interest entities on the Firm's Consolidated balance sheets totaling ~$4B as of December 31, 2019
- The Firm's obligations under the collateralized commercial paper ("CCP") programs,short-term Federal Home Loan Bank ("FHLB") advances, unsecured commercial paper and other borrowed funds ("OBF") are reported in short-term borrowings on the Firm's Consolidated balance sheets. Obligations under the asset-backed commercial paper ("ABCP") programs are included in beneficial interests issued by consolidated variable interest entities on the Firm's Consolidated balance sheet
- Includes junior subordinated debt
Slide 2 - JPMorgan Chase & Co. ("HoldCo") unsecured benchmark funding - Managing a balanced and efficient portfolio
- Excludes ~$22B of debt classified as structured notes
- Excludes preferred stock issuance
- Weighted average maturity ("WAM") is calculated based on the final maturity of all unsecuredlong-term debt issuance
6
Notes
Slide 3 - Firmwide wholesale long-term funding outstanding
- Senior unsecured for banking subsidiaries includes subordinated debt of $7.7B and $3.9B in 2015 and 2016, respectively, and $313M, $301M and $305M in 2017, 2018 and 2019, respectively
- Includes junior subordinated debt
- Includes $1.8B and $1.5B of student loan securitizations in 2015 and 2016, respectively
- Includes $500M of other secured debt in a HoldCo (i.e., JPMorgan Chase & Co) subsidiary in each of 2015 and 2016, and $21M in 2019
Slide 5 - Wholesale funding sources - purpose and key features
- Currently it is not optimal from a regulatory capital treatment perspective to issue subordinated debt with a tenor of less than 10 years
- Commercial Paper ("CP")/CCP/ABCP can be issued for periods up to 397 days, except for certain CP/CCP, which has a maximum tenor of 270 days. Certificates of Deposit ("CD") do not have a maximum contractual maturity. FHLB advances may have a legal maturity of up to 30 years and may also be extendible. Only funding with maturities > 365 days get the full benefit for the net stable funding ratio ("NSFR")
- Multi-currencyrepresents two or more currencies
- Certainplain-vanilla debt that is classified as structured notes is TLAC-eligible
7
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JPMorgan Chase & Co. published this content on 25 February 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 25 February 2020 13:14:05 UTC