JPMorgan Chase CEO Jamie Dimon will start to promote 1 million shares of the financial institution he runs subsequent yr, the corporate stated Friday in a submitting.
The plan sparked concern that Dimon, who’s 67 years outdated, could possibly be considering retirement. Dimon is arguably the nation’s high banker; he has led JPMorgan since 2005, serving to construct it into the most important and most worthwhile American financial institution. His stewardship included navigating JPMorgan by means of two banking crises, serving to stabilize the trade by buying failed banks.
Prior to now, Dimon has by no means bought shares of JPMorgan aside from technical causes like exercising choices. He has additionally spent his personal cash snapping up JPMorgan shares up to now.
Shares of the financial institution slipped 2.5% in morning buying and selling, worse than the 0.8% decline of the KBW Financial institution Index.
“It is a reminder that the CEO is getting nearer to retirement,” Wells Fargo analyst Mike Mayo stated in a observe. Dimon could transition from his present position in about 3.5 years, if prior statements show correct, Mayo added.
A spokesman for the New York-based financial institution stated the transfer wasn’t associated to succession planning, and that Dimon has “no present plans” for one more sale, although his wants may change over time.
Right here is the financial institution’s assertion:
Chairman & CEO Jamie Dimon confirmed at this time that he and his household plan to promote a portion of their holdings of JPMorgan inventory for monetary diversification and tax-planning functions. Beginning in 2024 they presently intend to promote 1 million shares, topic to the phrases of a inventory buying and selling plan. That is Mr. Dimon’s first such inventory sale throughout his tenure on the firm.
Mr. Dimon continues to consider the corporate’s prospects are very sturdy and his stake within the firm will stay very important. He and his household presently maintain roughly 8.6 million shares, and as well as he continues to have unvested Efficiency Share Items regarding 561,793 shares and Inventory Appreciation Rights regarding 1,500,000 shares, topic to the phrases and situations of every grant.
Mr. Dimon will use inventory buying and selling plans to promote his shares, in accordance with pointers specified below Rule 10b5-1 of the Securities and Trade Act of 1934.
