The new banking unit, which aims to sell products ranging from loans and commodities trading to cash management services to multinational corporations, intends to initially focus on emerging economies such as China, India and Brazil.
The UK, Germany and Switzerland will also be targeted to reduce dependence on the relatively slow growing US economy which accounts about 75% of its revenues.
Greg Guyett, head of JP Morgan in Japan, who is expected to move to London to lead the new unit, told the newspaper: “We are doing this now for a couple of reasons??to balance our growth and increase the portion of our revenues that comes from outside the US and from emerging markets in particular.”
In a recent note to staff, Jes Staley, head of JP Morgan’s investment bank and Heidi Miller, who runs its treasury and securities services business, said: “The rationale for growing this business is compelling. Increasingly we are hearing from our clients that they want more corporate bank services in more of the international locations where they operate.”
Separately, JP Morgan has named Steve Black, the former co-head of the investment bank, as vice-chairman. Mr Black had become executive chairman of the investment bank in September 2009 when JP Morgan ousted Bill Winters, the other co-head and moved Jes Staley to run the unit.
