F I N A N C I A L R E S U L T S
4Q16
January 13, 2017
1 See note 2 on slide 15
2 Represents estimated common equity Tier 1 (“CET1”) capital and ratio under the Basel III Fully Phased-In capital
rules to which the Firm will be subject as of January 1, 2019. See note 7 on slide 15
3 Last twelve months (“LTM”). Net of employee issuance
4 See note 1 on slide 15
5 See note 3 on slide 15
6 See note 8 on slide 15
7 Net of employee issuance
4Q16 net income of $6.7B and EPS of $1.71
Managed revenue of $24.3B4
Adjusted expense of $13.6B5 and adjusted overhead ratio of 56%5
Fortress balance sheet
Average core loans6 up 12% YoY and 3% QoQ
Basel III Fully Phased-In CET1 capital of $182B2, Advanced CET1 ratio of 12.2%2 and Standardized CET1
ratio of 12.3%2
Delivered strong capital return
$3.8B7 returned to shareholders in 4Q16, including $2.1B of net repurchases
Common dividend of $0.48 per share
ROTCE1
14%
Net payout LTM3
65%
Common equity Tier 12
12.2%
4Q16 Financial highlights
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Significant items ($mm, excluding EPS)
Pretax Net income EPS
Tax benefit – $475 $0.13
1
$ O/(U)
4Q16 3Q16 4Q15
Net interest income $12.1 $0.2 $0.6
Noninterest revenue 12.3 (1.3) –
Managed revenue1 24.3 (1.2) 0.6
Expense 13.8 (0.6) (0.4)
Credit costs 0.9 (0.4) (0.4)
Reported net income $6.7 $0.4 $1.3
Net income applicable to common stockholders $6.2 $0.4 $1.3
Reported EPS $1.71 $0.13 $0.39
ROE2 11% 10% 9%
ROTCE2,3 14 13 11
Overhead ratio – managed1,2 57 57 60
Memo: Adjusted expense 4 $13.6 ($0.9) –
Memo: Adjusted overhead ratio 1,2,4 56% 57% 57%
Note: Totals may not sum due to rounding
1 See note 1 on slide 15
2 Actual numbers for all periods, not over/(under)
3 See note 2 on slide 15
4 See note 3 on slide 15
$B, excluding EPS
4Q16 Financial results1
Firm NII up $553mm YoY and up $163mm QoQ with NIM down 2bps QoQ
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Change in reserves
4Q16: $(416)mm
4Q15: $187mm
4Q16 ROE O/H ratio
CCB 17% 57%
CIB 20% 49%
CB 16% 38%
AM 25% 70%
2
$ O/(U)
FY2016 FY2015 FY2015
Net interest income $47.3 $44.6 $2.7
Noninterest revenue 51.9 52.0 (0.2)
Managed revenue1 99.1 96.6 2.5
Expense 55.8 59.0 (3.2)
Credit costs 5.4 3.8 1.5
Reported net income $24.7 $24.4 $0.3
Net income applicable to common stockholders $22.6 $22.4 $0.2
Reported EPS $6.19 $6.00 $0.19
ROE2 10% 11%
ROTCE2,3 13 13
Overhead ratio – managed1,2 56 61
Memo: Adjusted expense 4 $56.1 $56.0 –
Memo: Adjusted overhead ratio 1,2,4 57% 58%
Full year 2016 financial results1
$B, excluding EPS
Note: Totals may not sum due to rounding
1 See note 1 on slide 15
2 Actual numbers for all periods, not over/(under)
3 See note 2 on slide 15
4 See note 3 on slide 15
5 Net of employee issuance
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Net capital distributions of $15.0B5 including common dividends of $6.9B, or $1.88 per share, and
net repurchases of $8.1B5
Change in reserves
FY16: $669mm
FY15: $(259)mm
3
4Q16 3Q16 4Q15
Basel III Advanced Fully Phased-In1
CET1 $182 $181 $173
CET1 ratio 12.2% 11.9% 11.6%
Tier 1 capital $207 $207 $199
Tier 1 capital ratio 13.9% 13.6% 13.3%
Total capital $226 $227 $220
Total capital ratio 15.2% 14.9% 14.7%
Risk-weighted assets $1,490 $1,523 $1,496
Firm SLR
2 6.5% 6.6% 6.5%
Bank SLR
2 6.6 6.6 6.6
HQLA
3,4
$524 $539 $496
Total assets (EOP) $2,491 $2,521 $2,352
Tangible common equity (EOP)
5
$183 $183 $176
Tangible book value per share
5
$51.44 $51.23 $48.13
$B, except per share data
1 Estimated for all periods. Represents the capital rules the Firm will be subject to commencing January 1, 2019. See note 7 on slide 15
2 Estimated for all periods. Represents the supplementary leverage rules the Firm will be subject to commencing January 1, 2018. See note 7 on slide 15
3 High quality liquid assets (“HQLA”) represents the amount of assets that qualify for inclusion in the liquidity coverage ratio under the U.S. rule (“U.S. LCR”)
4 Estimated for 4Q16
5 See note 2 on slide 15
4Q16 Basel III
Standardized Fully
Phased-In of 12.3%1
Fortress balance sheet and returns
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Firmwide total credit reserves of $14.9B
4
4Q16 3Q16 4Q15
Consumer & Business Banking
Average Business Banking loans
3 $22.5 $22.1 $20.9
Business Banking loan originations 1.6 1.8 1.6
Client investment assets (EOP) 234.5 231.6 218.6
Deposit margin 1.80% 1.79% 1.83%
Mortgage Banking
Average loans $234.2 $234.2 $220.7
Loan originations
4 29.1 27.1 22.5
EOP total loans serviced 846.6 863.3 910.1
Net charge-off rate
5,6 0.10% 0.10% 0.13%
Card, Commerce Solutions & Auto
Card average loans $136.2 $132.7 $127.6
Auto average loans and leased assets 77.9 75.5 67.5
Auto loan and lease originations 8.0 9.3 9.2
Card net charge-off rate 2.67% 2.51% 2.42%
Card Services net revenue rate 10.14 11.04 12.54
Credit Card sales volume
7 $148.5 $139.2 $130.8
Merchant processing volume 284.9 267.2 258.2
$ O/(U)
4Q16 3Q16 4Q15
Revenue $11,019 ($309) ($203)
Consumer & Business Banking 4,774 55 187
Mortgage Banking 1,690 (184) 10
Card, Commerce Solutions & Auto 4,555 ( 80) (4 0)
Expense 6,303 (207) 31
Credit costs 949 (345) (89)
Net charge-offs 1,199 130 161
Change in allowance (250) (475) (2 0)
Net income $2,364 $160 ($43)
Key drivers/statistics ($B) – detail by business
Consumer & Community Banking1
$mm
Net income of $2.4B, down 2% YoY
Revenue of $11.0B, down 2% YoY, driven by Card new
account origination costs, largely offset by higher NII on
volume growth
Expense of $6.3B, flat YoY, driven by growth in the business,
offset by continued expense efficiencies and lower legal
expense
Credit costs of $949mm, down $89mm YoY, driven by a net
reserve release, largely offset by higher Card net charge-offs
Financial performance
Key drivers/statistics ($B)2
1 See note 1 on slide 15
For additional footnotes see slide 16
Average deposits up 11% YoY
Average loans up 7% YoY and core loans up 14%
CCB households up ~2.2mm YoY
Active mobile customers of 26.5mm, up 16% YoY
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4Q16 3Q16 4Q15
EOP Equity $51.0 $51. $51.0
ROE 17% 16% 18%
Overhead ratio 57 57 56
Average loans $466.9 $462.1 $437.8
Average deposits 607.2 593.7 545.7
CCB households (mm) 60.0 59.7 57.8
Active mobile customers (mm) 26.5 26.0 22.8
Debit & credit card sal s volume $219.0 $207.1 $197.3
5
$ O/(U)
4Q16 3Q16 4Q15
Corporate & Investment Bank revenue $8,461 ($994) $1,392
Investment banking revenue 1,487 (253) 17
Treasury Services 950 33 49
Lending 346 63 (44)
Total Banking 2,783 (157) 22
Fixed Income Markets 3,369 (965) 795
Equity Markets 1,150 (264) 86
Securities Services 887 (29) (46)
Credit Adjustments & Other 272 421 535
Total Markets & Investor Services 5,678 (837) 1,370
Expense 4,172 (762) (264)
Credit costs (198) (265) (279)
Net income $3,431 $519 $1,683
Key drivers/statistics ($B)2
EOP equity $64.0 $64.0 $62.0
ROE 20% 17% 10%
Overhead ratio 49 52 63
Comp/revenue 20 27 26
IB fees ($mm) $1,612 $1,855 $1,538
Average loans 118.0 114.8 106.9
Average client deposits3 390.8 381.5 364.8
Assets under custody ($T) 20.5 21.2 19.9
ALL/EOP loans ex-conduits and trade4,5 1.86% 2.02% 1.88%
Net charge-off/(recovery) rate 0.10 0.01 0.02
Average VaR ($mm)6 $39 $43 $52
Corporate & Investment Bank1
$mm Financial performance
1 See note 1 on slide 15
2 Actual numbers for all periods, not over/(under)
3 Client deposits and other third party liabilities pertain to the Treasury Services and Securities Services
businesses
4 ALL/EOP loans as reported was 1.27%, 1.38%, and 1.18% for 4Q16, 3Q16, and 4Q15, respectively
5 See note 5 on slide 15
6 See note 8 on slide 16
Net income of $3.4B on revenue of $8.5B
ROE of 20%; 17% excluding the impact of tax benefits, credit
costs and legal expense5
Banking revenue
IB revenue of $1.5B, up 1% YoY, driven by higher debt
underwriting fees, largely offset by lower advisory and equity
underwriting fees
– Ranked #1 in Global IB fees for FY16
Treasury Services revenue of $950mm, up 5% YoY
Lending revenue of $346mm, down 11% YoY
Markets & Investor Services revenue
Markets revenue of $4.5B, up 24% YoY
– Fixed Income Markets of $3.4B, up 31% YoY, driv n by
strong performance across products
– Equity Markets revenue of $1.2B, up 8% YoY, driven by
strong performance in derivatives
Securities Services revenue of $887mm, down 5% YoY
Credit Adjustments & Other, a gain of $272mm
Expense of $4.2B, down 6% YoY, driven by lower compensation
and lower legal expense
Credit costs benefit of $198mm reflects reserve releases in Oil &
Gas and Metals & Mining
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4Q16 3Q16 4Q15
Revenue2 $1,963 $93 $203
Middle Market Banking 764 48 70
Corporate Client Banking 634 22 114
Commercial Term Lending 355 5 24
Real Estate Banking 128 11 32
Other 82 7 (37)
Expense 744 (2) (6)
Credit costs 124 245 7
Net income $687 ($91) $137
Key drivers/statistics ($B)3
EOP equity $16.0 $16.0 $14.0
ROE 16% 18% 15%
Overhead ratio 38 40 43
Gross IB Revenue ($mm) $608 $600 $455
Average loans 188.9 181.5 165.9
Average client deposits 180.0 173.7 178.6
Allowance for loan losses 2.9 2.9 2.9
Nonaccrual loans 1.1 1.2 0.4
Net charge-off/(recovery) rate4 0.11% 0.10% 0.04%
ALL/loans4 1.55 1.54 1.71
$ O/(U)
$mm
Commercial Banking1
Net income of $687mm, up 25% YoY and down 12% QoQ
Record revenue of $2.0B, up 12% YoY and 5% QoQ
Net interest income of $1.4B, up 17% YoY and 5% QoQ
Gross IB Revenue of $608mm, up 34% YoY and 1% QoQ
Expense of $744mm, down 1% YoY and flat QoQ
Credit costs of $124mm
Net charge-off rate of 11 bps, driven by Oil & Gas
Net reserve build of $71mm largely driven by select client
downgrades
Average loan balances of $189B, up 14% YoY and 4% QoQ
C&I5 up 9% YoY and 3% QoQ
CRE5 up 19% YoY and 5% QoQ
Average client deposits of $180B, up 1% YoY and 4% QoQ
1 See note 1 on slide 15
2 Certain clients were transferred from Middle Market Banking to Corporate Client Banking and from
Real Estate Banking to Corporate Client Banking effective in the second quarter and third quarter of
2016, respectively. Prior period revenue was revised to conform with the current period presentation
3 Actual numbers for all periods, not over/(under)
4 Loans held-for-sale and loans at fair value were excluded when calculating the net charge-
off/(recovery) rate and loan loss coverage ratio
5 CB’s Commercial and Industrial (C&I) and Commercial Real Estate (CRE) groupings are generally
based on client segments and do not align with regulatory definitions
Financial performance
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7
4Q16 3Q16 4Q15
Revenue $3,087 $40 $42
Global Investment Management 1,550 53 (65)
Global Wealth Management 1,537 (13) 107
Expense 2,175 45 (21)
Credit costs (11) (43) (28)
Net income $586 $29 $79
Key drivers/statistics ($B)2
EOP equity $9.0 $9.0 $9.0
ROE 25% 24% 21%
Pretax margin 30 29 27
Assets under management (AUM) $1,771 $1,772 $1,723
Client assets 2,453 2,447 2,350
Average loans 115.1 114.2 110.3
Average deposits 158.3 153.1 145.6
$ O/(U)
Asset Management1
1 See note 1 on slide 15
2 Actual numbers for all periods, not over/(under)
Net income of $586mm, up 16% YoY and up 5% QoQ
Revenue of $3.1B, up 1% YoY and up 1% QoQ
Expense of $2.2B, down 1% YoY and up 2% QoQ
AUM of $1.8T, up 3% YoY and flat QoQ
Client assets of $2.5T, up 4% YoY and flat QoQ
Net outflows of $21B from long-term products and net inflows of
$35B into liquidity products
Record average loan balances of $115.1B, up 4% YoY and up
1% QoQ
Record average deposit balances of $158.3B, up 9% YoY and up
3% QoQ
Solid investment performance
80% of mutual fund AUM ranked in the 1st or 2nd quartiles over
5 years
$mm Financial performance
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4Q16 3Q16 4Q15
Treasury and CIO ($197) $11 ($335)
Other Corporate (144) (187) (228)
Net income ($341) ($176) ($563)
$ O/(U)
Corporate1
Treasury and CIO
Net loss of $197mm, compared to a net loss of $208mm in 3Q16
Other Corporate
Net loss of $144mm
1 See note 1 on slide 15
$mm Financial performance
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9
Outlook
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Firmwide
Consumer & Community Banking
Commercial Banking
Asset Management
Expect 1Q17 Firmwide net interest income to be up
modestly QoQ
Expect 1Q17 CCB expense to be up by ~$150mm QoQ
Expect 1Q17 CB expense to be $775mm+/-
Expect 1Q17 AM revenue to be slightly <$3B
10
Page
Agenda
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Appendix 11
League table results – wallet share FY2016 FY2015
Rank Share Rank Share
Based on fees 7 :
Global Debt, Equity & Equity-related 1 7.2 % 1 7.7 %
U.S. Debt, Equity & Equity-related 1 11.9 % 1 11.7 %
Global Long-term Debt8 1 6.9 % 1 8.3 %
U.S. Long-term Debt 2 11.1 % 1 11.9 %
Global Equity & Equity-related9 1 7.6 % 1 7.0 %
U.S. Equity & Equity-related 1 13.4 % 1 11.4 %
Global M&A10 2 8.6 % 2 8.4 %
U.S. M&A 2 10.1 % 2 9.9 %
Global Loan Syndications 1 9.4 % 1 7.5 %
U.S. Loan Syndications 2 11.9 % 2 10.8 %
Global IB fees7,11 1 8.1 % 1 7.9 %
Select leadership positions
Corporate & Investment Bank Consumer & Community Banking
Consumer & Business Banking
Deposit volume growing at more than twice the industry
growth rate1
Largest active mobile customer base among major U.S.
banks2, up 16% YoY
#1 in consumer retail banking nationally for the fourth
consecutive year, according to TNS, and winner of three
TNS Choice Awards in 2016
Mortgage Banking
#2 mortgage originator and servicer3
Card, Commerce Solutions & Auto
#1 credit card issuer in the U.S. based on sales volume
and loans outstanding4
#1 U.S. co-brand credit card issuer5
#2 merchant acquirer6
For footnoted information see slide 17
Asset Management Commercial Banking
#1 in perceived customer satisfaction12
#1 multifamily lender in the U.S.13
Top 3 in overall middle market, large middle market and
ABL bookrunner14
#1 North America Private Bank15
Asset Management Company of the Year, Asia16
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11
Consumer credit – Delinquency trends1
Note: Home equity and residential mortgage exclude Asset Management, Corporate and government-insured loans
1 Excluding purchased credit-impaired and held-for-sale loans
2 Residential mortgage includes prime (including option adjustable rate mortgages (“ARMs”)) and subprime loans
3 Excluding operating lease assets
Residential mortgage delinquency trend ($mm)2 Home equity delinquency trend ($mm)
Credit card delinquency trend ($mm)
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Auto delinquency trend ($mm)3
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
Dec-12 Jun-13 Dec-13 Jun-14 Dec-14 Jun-15 Dec-15 Jun-16 Dec-16
30 – 149 day delinquencies
150+ day delinquencies
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
Dec-12 Jun-13 Dec-13 Jun-14 Dec-14 Jun-15 Dec-15 Jun-16 Dec-16
30+ day delinquencies 30-89 day delinquencies
$0
$500
$1,000
$1,500
$2,000
Dec-12 Jun-13 Dec-13 Jun-14 Dec-14 Jun-15 Dec-15 Jun-16 Dec-16
30+ day delinquencies 60-119 day delinquencies
$0
$500
$1,000
$1,500
$2,000
$2,500
Dec-12 Jun-13 Dec-13 Jun-14 Dec-14 Jun-15 Dec-15 Jun-16 Dec-16
30 – 149 day delinquencies
150+ day delinquencies
12
O/(U)
4Q16 3Q16 4Q15 4Q15
Mortgage Banking (NCI)
Net charge-offs $51 $49 $59 ($8)
NCO rate 0.10% 0.10% 0.13% (3) bps
Allowance for loan losses $1,328 $1,488 $1,588 ($260)
ALL/annualized NCOs2 651% 759% 673%
ALL/nonaccrual loans retained 33 36 34
Card Services
Net charge-offs $914 $838 $774 $140
NCO rate 2.67% 2.51% 2.42% 25 bps
Allowance for loan losses $4,034 $3,884 $3,434 $600
ALL/annualized NCOs2 110% 116% 111%
Mortgage Banking and Card Services – Coverage ratios1
Mortgage Banking and Card Services credit data ($mm)
1 See note 6 on slide 15
2 Net charge-offs annualized (NCOs are multiplied by 4)
3 2Q12 adjusted net charge-offs for Card Services were $1,254mm or 4.05%; excluding the effect of a change in charge-off policy for troubled debt restructurings, 2Q12 reported net charge-offs were $1,345mm or 4.35%
4 3Q12 adjusted net charge-offs for Mortgage Banking exclude the effect of an incremental $825mm of net charge-offs based on regulatory guidance
5 4Q12 adjusted net charge-offs for Mortgage Banking reflects a full quarter of normalized Chapter 7 Bankruptcy discharge activity, which exclude one-time adjustments related to the adoption of Chapter 7 Bankruptcy discharge regulatory guidance
6 4Q14 adjusted net charge-offs for Card Services were $797mm or 2.48% excluding losses from portfolio exits; 4Q14 reported net charge-offs were $858mm or 2.69%
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NCOs ($mm)
877 808
697
599
534
452
293
206
168
177
112
81
113 104 81
41 59 60 38 49 51
1,390 1,386
1,254
1,116 1,097 1,082
1,014
892 891 888 885 798 797 789 800 759 774
830 860 838
914
$0
$1,000
$2,000
4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16
Mortgage Banking Card Services
3
4
5
6
13
4Q16 3Q16 4Q15
Consumer, ex. credit card
LLR/Total loans 0.88% 0.93% 1.01%
LLR/NPLs 61 62 58
Credit Card
LLR/Total loans 2.85% 2.91% 2.61%
Wholesale
LLR/Total loans 1.18% 1.21% 1.21%
LLR/NPLs 233 218 437
Firmwide
LLR/Total loans 1.34% 1.37% 1.37%
LLR/NPLs (ex. credit card) 111 109 117
LLR/NPLs 171 164 172
Firmwide – Coverage ratios1
$13.8B of loan loss reserves at December 31, 2016, up
$0.2B from $13.6B in the prior year. Both wholesale
and consumer credit quality are relatively stable
Nonperforming loan loss coverage ratio (ex. credit card)
of 111%1
1 See note 4 on slide 15
Comments JPM Credit Summary JPM Credit Summary
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$mm
7,017 6,921 6,645 6,616 6,303 7,367 7,178 7,059 6,721
14,185 14,065 13,915 13,466 13,555 13,994 14,227 14,204 13,776
0.00%
1.00%
2.00%
3.00%
4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16
0%
100%
200%
300%
400%
Loan loss reserve Nonperforming retained
loans
Loan loss reserve/Total loans1 Loan loss reserve/NPLs1
14
Notes on non-GAAP financial measures
1. In addition to analyzing the Firm’s results on a reported basis, management reviews the Firm’s results, including the overhead ratio, and the results of the lines of business
on a “managed” basis, which are non-GAAP financial measures. The Firm’s definition of managed basis starts with the reported U.S. GAAP results and includes certain
reclassifications to present total net revenue for the Firm (and each of the business segments) on a fully taxable-equivalent (“FTE”) basis. Accordingly, revenue from
investments that receive tax credits and tax-exempt securities is presented in the managed results on a basis comparable to taxable investments and securities. These
non-GAAP financial measures allow management to assess the comparability of revenue arising from both taxable and tax-exempt sources. The corresponding income
tax impact related to tax-exempt items is recorded within income tax expense. These adjustments have no impact on net income as reported by the Firm as a whole or by
the lines of business. For a reconciliation of the Firm’s results from a reported to managed basis, see page 7 of the Earnings Release Financial Supplement.
2. Tangible common equity (“TCE”), return on tangible common equity (“ROTCE”) and tangible book value per share (“TBVPS”), are each non-GAAP financial measures.
TCE represents the Firm’s common stockholders’ equity (i.e., total stockholders’ equity less preferred stock) less goodwill and identifiable intangible assets (other than
MSRs), net of related deferred tax liabilities. For a reconciliation from common stockholders’ equity to TCE, see page 9 of the Earnings Release Financial Supplement.
ROTCE measures the Firm’s net income applicable to common equity as a percentage of average TCE. TBVPS represents the Firm’s TCE at period-end divided by
common shares at period-end. Book value per share was $64.06, $63.79 and $60.46 at December 31, 2016, September 30, 2016 and December 31, 2015, respectively.
TCE, ROTCE, and TBVPS are meaningful to the Firm, as well as investors and analysts, in assessing the Firm’s use of equity.
3. Adjusted expense and adjusted overhead ratio are non-GAAP financial measures. Adjusted expense excludes Firmwide legal expense/(benefit) of $230 million, $(71)
million and $644 million for the three months ended December 31, 2016, September 30, 2016 and December 31, 2015, respectively, and $(317) million and $3.0 billion for
the years ended December 31, 2016 and 2015, respectively. The adjusted overhead ratio measures the Firm’s adjusted expense as a percentage of managed revenues.
Management believes this information helps investors understand the effect of these items on reported results and provides an alternate presentation of the Firm’s
performance.
4. The ratios of the allowance for loan losses to end-of-period loans retained and allowance for loan losses to nonperforming loans exclude the following: loans accounted for
at fair value and loans held-for-sale; purchased credit-impaired (“PCI”) loans; and the allowance for loan losses related to PCI loans. Additionally, net charge-offs and net
charge-off rates exclude the impact of PCI loans.
5. The CIB provides certain non-GAAP financial measures, as such measures are used by management to assess the underlying performance of the business:
The ratio of the allowance for loan losses to end-of-period loans is calculated excluding the impact of consolidated Firm-administered multi-seller conduits and trade
finance loans, to provide a more meaningful assessment of CIB’s allowance coverage ratio
Adjusted ROE for the fourth quarter of 2016 is calculated excluding a total of $563 million, after tax, of tax benefits, credit costs and legal expense
6. Net charge-offs for Mortgage Banking and Card Services may be adjusted for significant items, as indicated. These adjusted charge-offs are non-GAAP financial
measures used by management to facilitate comparisons with prior periods.
Notes on key performance measures
7. Common equity Tier 1 (“CET1”) capital, Tier 1 capital, Total capital, risk-weighted assets (“RWA”) and the CET1, Tier 1 capital and total capital ratios and the
supplementary leverage ratio (“SLR”) under the Basel III Fully Phased-In capital rules, to which the Firm will be subject commencing January 1, 2019, are considered key
regulatory capital measures. These measures are used by management, bank regulators, investors and analysts to assess and monitor the Firm’s capital position. For
additional information on these measures, see Capital Management on pages 149-158 of the Firm’s Annual Report on Form 10-K for the year ended December 31, 2015,
and pages 67-73 of the Firm’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2016.
8. Core loans represent loans considered central to the Firm’s ongoing businesses; core loans exclude loans classified as trading assets, runoff portfolios, discontinued
portfolios and portfolios the Firm has an intent to exit. For further information on total loans and core loans, see pages 3, 12, 16, 19, 21 and 23 of the Earnings Release
Financial Supplement.
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Additional Notes on slide 5 – Consumer & Community Banking
2. Actual numbers for all periods, not over/(under)
3. Includes predominantly Business Banking loans as well as deposit overdrafts
4. Firmwide mortgage origination volume was $33.5B, $30.9B and $24.7B, for 4Q16, 3Q16 and 4Q15, respectively
5. Excludes purchased credit-impaired (PCI) write-offs of $32mm, $36mm and $46mm for 4Q16, 3Q16 and 4Q15, respectively. See note 4 on slide 15
6. Excludes the impact of PCI loans. See note 4 on slide 15
7. Excludes Commercial Card
Additional Note on slide 6 – Corporate & Investment Bank
8. During the third quarter of 2016 the Firm refined the scope of positions included in risk management VaR. In particular, certain private equity positions in CIB were
removed from the VaR calculation. In the absence of this refinement, average CIB VaR, without diversification, would have been higher by the following amounts: $5
million and $6 million for the three months ended December 31, 2016 and September 30, 2016, respectively.
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Notes on slide 11 – Select leadership positions
1. Based on FDIC 2016 Summary of Deposits survey per SNL Financial – excludes branches with greater than $500mm of deposits or identified as non-retail
2. Based on disclosures by peers as of 3Q16
3. Based on Inside Mortgage Finance as of 3Q16 for Servicer and Originator rankings
4. Based on disclosures by peers and internal estimates as of 3Q16; sales volume excludes private label and commercial card
5. Based on Phoenix Credit Card Monitor for 12-month period ending October 2016; based on card accounts, revolving balance dollars and spending dollars
6. Based on Nilson data as of 2015. Chase is the #1 wholly-owned merchant acquirer in the U.S. When volume from JVs and revenue share arrangements are included in
First Data’s volume, First Data holds #1 share position in the U.S.
7. Reflects ranking of revenue wallet and market share. Source: Wallet from Dealogic Media Manager Cortex as of January 3, 2017
8. Long-term debt rankings include investment-grade, high-yield, supranational, sovereigns, agencies, covered bonds, asset-backed securities (“ABS”) and mortgage-backed
securities (“MBS”); and exclude money market, short-term debt and U.S. municipal securities
9. Global Equity and Equity-related ranking includes rights offerings and Chinese A-Shares
10. Global M&A reflects the removal of any withdrawn transactions. U.S. M&A revenue wallet represents wallet from client parents based in the U.S.
11. Global Investment Banking fees exclude money market, short-term debt and shelf deals
12. CFO Magazine’s Commercial Banking Survey 2016
13. SNL Financial based on FDIC data as of 3Q16
14. Thomson Reuters as of September 2016 YTD
15. Euromoney 2016 rankings
16. The Asset, June 2016
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Forward-looking statements
This presentation contains forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements are based on the current beliefs and expectations
of JPMorgan Chase & Co.’s management and are subject to significant risks and uncertainties.
Actual results may differ from those set forth in the forward-looking statements. Factors that could
cause JPMorgan Chase & Co.’s actual results to differ materially from those described in the
forward-looking statements can be found in JPMorgan Chase & Co.’s Annual Report on Form 10-K
for the year ended December 31, 2015, and Quarterly Reports on Form 10-Q for the quarters ended
March 31, 2016, June 30, 2016 and September 30, 2016, which have been filed with the Securities
and Exchange Commission and are available on JPMorgan Chase & Co.’s website
(http://investor.shareholder.com/jpmorganchase/sec.cfm), and on the Securities and Exchange
Commission’s website (www.sec.gov). JPMorgan Chase & Co. does not undertake to update the
forward-looking statements to reflect the impact of circumstances or events that may arise after the
date of the forward-looking statements.
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