JPMorgan’s redeployment raises new questions about who will succeed Jamie Dimon

JPMorgan Chase (JBM) has promoted Jennifer Piepszak to Chief Operating Officer as part of the new management shake-up Announced TuesdayBut the country’s largest bank said Piepszak does not want to succeed Jamie Dimon as CEO.

“Jennifer has made her preference clear for this senior operating role, working closely with Jamie and supporting the senior leadership team,” said Joe Evangelisti, a JPMorgan spokesman, but “moving forward, she said she does not want to be considered for this position.” position.” CEO position at this time.”

This change adds new uncertainty to the situation Race for success Dimon, 68, is the longest-serving CEO of major banks and the only remaining person who called the shots during the 2008 financial crisis.

Piepszak was previously seen as one of the front runners to eventually land Damon’s job.

The view now within the bank is that three other executives – Lake MarianDoug Pitno and Troy Rohrbaugh – are now the top candidates for CEO. Piepszak can step in immediately if Dimon has to exit unexpectedly — an emergency referred to within the bank as a “hit by the bus” scenario.

JPMorgan stock rose slightly Tuesday morning. It has risen 44% over the past 12 months. The bank is expected to set another record for the highest full-year profits in the history of American banks when it announces its earnings on Wednesday morning.

Other management changes announced Tuesday include the departure of President and Chief Operating Officer Daniel Pinto, who will relinquish his responsibilities by June and retire at the end of 2026. He was previously considered the right choice to replace Damon in a “hit the bus” scenario.

Pitno will move from co-head of global banking to succeeding Bebczak as co-chief executive of JPMorgan’s commercial and investment bank. Pitno will work alongside Rohrbaugh, who was already co-CEO of the massive division.

Lake, who runs the sprawling consumer banking unit, and head of asset management Mary Erdos, will remain in their current roles, reporting directly to Dimon.

“I want to congratulate Jennifer, Doug and John on their expanded roles. I have never been prouder and more optimistic about our company, due in large part to the extraordinary efforts of these leaders and our other members,” Damon said in a statement. Operational Committee and Executive Team.”

Damon explained Last year, he marked the end of his tenure as head of the largest U.S. bank, telling analysts that his exit timeline was “not five years anymore” and that the succession process was “on track.”

The story continues

During an interview with CBS that aired last weekend, Damon said, “I love my job, yeah.”

The previous management shake-up announced last year has put the spotlight squarely on the succession of Piepszak and Lek, who each had a hand in overseeing the company’s two largest parts.

The two executives have a lot in common in terms of credentials. Both were CFOs at JPMorgan, both are in their mid-50s, and both have been at the bank longer than Dimon, who joined in 2004.

Until January 2024, they were also in charge of JPMorgan’s sprawling consumer and small business unit, which oversees everything from checking accounts to credit cards to home loans.

Bebczak, as part of a 2024 management shake-up, then became co-CEO of JPMorgan’s commercial and investment bank, which operates as a major player on Wall Street. Lake became sole head of the consumer division.

A year later, Bebczak is now taking on a new role where she will coordinate all technology, operations, data, analytics and corporate strategy across the company – working closely with Pinto over the next two months.

“She is deeply committed to the future of the company, and is honored and excited by this opportunity,” JPMorgan’s Evangelisti said.

He added that Piepszak “has made clear her preference to assist Jimmy and support the company’s future leaders.”

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