In his annual letter, Jamie Dimon, the longtime CEO of JPMorgan Chase, commented on the most recent economic shock by saying, “The current crisis is not yet over, and even when it is behind us, there will be repercussions from it for years to come.”” Dimon was referring to the fact that the crisis is not yet over.
In the letter that was made public on Tuesday, he continued by saying, “But importantly, recent events are nothing like what occurred during the 2008 global financial crisis.”
The most recent problems that have arisen in the banking industry in the United States began with the failure of Silicon Valley Bank on March 10, when regulators took action to close the bank after depositors withdrew tens of billions of dollars from the institution.
Other notable writings of the letter include:
“Any crisis that damages Americans’ trust in their banks damages all banks – a fact that was known even before this crisis. While it is true that this bank crisis ‘benefited’ larger banks due to the inflow of deposits they received from smaller institutions, the notion that this meltdown was good for them in any way is absurd,”
“The recent failures of Silicon Valley Bank (SVB) in the United States and Credit Suisse in Europe, and the related stress in the banking system, underscore that simply satisfying regulatory requirements is not sufficient. Risks are abundant, and managing those risks requires constant and vigilant scrutiny as the world evolves.”
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