Malinie (Dipchand) Surujnarine的动态

Interesting #financialinclusion move by JPMorgan in the US: 100 new bank branches will open in Low-Income Communities. “This is not just ‘do-gooding,’ this is business,” outlined CEO Jamie Dimon. These new branches will include the fundamentals — tellers, ATMs, etc. — but also offer services for small businesses and host financial literacy workshops. They will be staffed by staff who have a background of working with community organizations. This forms part of JPMorgan’s broader strategy to increase its physical presence in the US, a market where the Federal Reserves estimates that ??banking deserts?? impact 12 million Americans. https://lnkd.in/gND74zrT Marjolaine Chaintreau Barbara Magnoni Garance Wattez-Richard

JPM Chase significantly expanding their branch network with 500+ new branches and revamping 1700 more over the next 3 years. This will not only create 3500 jobs but also aims to deepen community engagement and enhance consumer banking services, focusing on reaching underserved communities. Why? Deposits. Focusing on market coverage, new builds have contributed significantly in terms of deposit growth for JPM Chase (~85B deposit growth since 2017 from branches < 10 years old). With a break-even of ~ 4 years. Growth engine that can't be ignored. https://lnkd.in/efb4jng4

Banking Cinderella Citi Is Finally Making Money For Me Again! Citi's traumatic past is one reason why this 210 year old New York money center bank still trades at such a shameful discount to book value and joke val metrics relative to my alma mater J.P. Morgan Chase, the banking gold standard?on Wall Street and the planet. As the singer Bob Dylan once crooned, the times they are a changin and I am a true?blue Mr. Tambourine man. After a decade of horror stories, a shotgun marriage with Uncle Sam during GFC, a zillion changes in strategy/psychotic restructuring sprees, Stone Age risk controls, boardroom palace coups/counter coups, 50,000 layoffs, exit from 14 Asian consumer banking markets and untold billions in legal fines/regulatory costs, the first female CEO in Citi's history has finally engineered a strategic turnaround that looks credible. So Jane Frazer is Citi's Tarzan and the shares have been a winner since my cost price is in the early 50's. Citi poised to rerate, as Wells Fargo just did, up 16% since I table pounded this California bank on my post just before its earnings a week ago. Why? One, I buy the argument that spinning off the century-old Mexican GCB subsidiary and investing in wealth management, a business with odious ethics in the Gulf, boosts ROE. Two, Citi's commercial banking, trade finance, loan syndications, project finance and structured credit business is its true crown jewel. Lady Jane has simplified this SBU, derisked its balance sheet and set the stage for consistent 20% EPS growth as long as the world does not slip into global recession. Three, the sale of non-core assets and the franchise's?fundamental earnings power will generate excess capital and higher share buybacks, the high octane fuel for a valuation rerating. Four, Citi trades at 0.64X tangible book value but the new Citi can easily rise to book value once the Street is convinced that its CEO will not gamble recklessly and wipeout shareholder capital as Chuck Prince did at Citi, Joseph Ackermann at Deutsche and Macel Ospel did at UBS, the Swiss mega bank whose wealth management DNA was insufficient to prevent its failure. Five, Wall Street has dissed Citi as a classic value trap as it has been a chronic underperformer and prone to monumental management failures. It does take a funny talent to promote mediocrities with crazy egos but very refined backstabbing/political skills to the C-suite but Citi did just that for decades until it found Jane Frazer. The world would be a lot safer and gentler without an excess of male testosterone. So would?banking. Six, expense control is a major variable the CEO must address. True, all the queen's men and all the queen's horses have not yet fixed humpty-dumpty from his great fall but I bet Jane Frazer has a good shot at it. Hence a nervous long on Citi with fingers crossed for the next nasty surprise!

Why is JPMorgan Chase opening 500 new bank branches? It's a head scratcher. But let's break down why ?? Every bank is shutting down branches. It's just cheaper and easier to service customers digitally. But JPMorgan Chase might be on to something. It has to do with how to get consumers to switch banks. In most surveys, the reasons for people to switch will be (generally in this order): 1. Online and Mobile bank capabilities 2. Fees/Pricing 3. Customer service 4. Bank branch network Looking across JPMorgan Chase's main competitors, it's tough to differentiate with number 1 and 2. A lot of the big banks offer similar features and an online/mobile experience. But more bank branches are just another great reason to get a consumer to switch. Let's also do some quick, rough math. The average bank branch costs $1.5M to set up and $1M/year to service. With an average of 900,000 customers entering their local branch every year. That's $50 to service a branch customer over a 3 year period. Bank branches effectively have captive audiences. Branch employees can take the time to cross/up-sell that consumer into a mortgage, wealth management service, or other product/services. Increasing the LTV of one customer. There's more to unpack with this strategy. But it might not be a bad move by JPMorgan Chase. #jpmorgan #finance #banking #fintech #innovation

Are the big banks setting their crosshairs on credit unions and community banks? A new Forbes article (link in comments) shows that JPMorgan Chase has opened 650 new branches in the past five years and has planned to open 500 new branches and renovate over 1,700 branches over the next three years. This goes against the narrative that big banks are closing branches and retreating from "banking deserts." This initiative also focuses on a staffing model change, from a traditional teller staffing model to more dynamic and consultative services. Some branches will also feature community rooms, and there will be a heavy focus on traditionally under-served communities. Credit unions have led the way in developing the branch of the future and delivering excellent member service while supporting under-served communities. But the big banks are taking notice and starting to move. Are you ready for this new era of banking?

Last May, JPMorgan Chase purchased a majority stake in First Republic Bank, which was stumbling toward insolvency after many of its affluent clients pulled $100 billion in a single quarter. Nearly a third of the $92 billion in deposits JPMorgan received from the deal came from “large” bank accounts. While some First Republic branches were open the day the deal was announced, JPMorgan is now in the process of converting others into luxury branches, or what the bank is calling JPMorgan Financial Centers. A spokesperson from JPMorgan Chase tells Fortune that not only are the select locations being designed to cater to affluent customers, but that lessons learned will be fed back into JPMorgan’s broader network, which includes 4,900 branches in 48 states and the District of Columbia. Read more: https://lnkd.in/et_wYzVv

Branch Banking: Still Relevant and Important Despite the rise of online banking, physical branches remain crucial. Chase’s plan to open 500+ new branches and hire 3,500 employees over the next three years is a testament to this. Branches offer personalised advice and support for complex financial decisions, enhancing the digital experience rather than competing with it. Other banks like Bank of America, Wells Fargo, and PNC are also investing in their branch networks. Branch banking is evolving, not dying, and continues to be a vital channel for many customer segments #branchbanking #customerexperience #digitalchannels #microsoftadvocate https://lnkd.in/eK_byvqV

“TD Bank, Wells Fargo, Bank of America and Chase shut a total of 36 branches between April 7 and 13th of 2024.” I remember over 7 years ago saying, tellers will not exist in 10 years. Here’s what also changed the paradigm: Online banking via bankrate.com Digital currency A.I. Brick and mortar locations are closing because banks are realizing they are more productive online, some banks saving as much as $100 million. Think about the aftermath for commercial real estate where all those banks close, further proving we will continue as a society to embrace remote work. Banking is evolving once again & sadly many jobs will be lost.

Branches will someday be extinct! (said everyone at one time or another ?? ). This PNC news comes on the heels of Chase announcing 500 new openings over the next 3 years. So what gives? Is Gen Z "coming home" to branches as their financial lives become more complex, or are there other drivers? #fintech #retailbanking #genz https://lnkd.in/eyEFNcMg