J.P. Morgan Chase is reportedly enhancing its competitive capabilities to remain the biggest bank in the United States.
The bank is modernizing its infrastructure and data and using artificial intelligence and payments, Marianne Lake, CEO of consumer and community banking at J.P. Morgan Chase, told Reuters in an interview posted Thursday (July 11).
These investments “will ensure that we continue to be the leader even five to 10 years from now,” Lake said, per the report.
Lake also said J.P. Morgan aims to boost its market share, increasing its share of U.S. retail deposits from 11.3% to 15% and its share of the nation’s spending on its credit cards from 17% to 20%, according to the report.
“While we are not putting any timeline on it, our strategies are geared towards achieving it,” Lake said, per the report.
J.P. Morgan added $92 billion in deposits with its acquisition of failed bank First Republic last year, the report said. Federal law prohibits banks that hold 10% of U.S. deposits to grow through acquisitions, unless they’re buying a failed bank.
Lake said J.P. Morgan would do so again if it was important to the ecosystem, adding that she did not hope for more bank failures, according to the report.
With J.P. Morgan set to report its earnings Friday (July 12), industry observers are watching for any news of a potential successor to CEO Jamie Dimon, who has served in that role since 2006, the report said.
The bank’s board has said that Lake is one of four potential successors to Dimon, per the report.
It was reported in February that J.P. Morgan plans to open more than 500 new bank branches over the next three years, expanding its presence in areas where it lacks representation.
The bank already has the largest branch network, with 4,897 branches. It added 650 new ones over the previous five years.
Lake said at the time that J.P. Morgan had less than a 5% branch share in 17 of the top 50 markets it aims to expand into.
The bank’s earnings report Friday will arguably set the tone for the macro-outlook governing consumer spending and business resilience, PYMNTS reported Monday (July 8).
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