Exhibit 99.1

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, 2010 (as revised by a Current Report on Form 8-K dated November 4, 2011), and Quarterly Reports on Form 10-Q for the quarters ended March 31, 2011 (as revised by a Current Report on Form 8-K dated November 4, 2011), June 30, 2011 (as revised by a Current Report on Form 8-K dated November 4, 2011), and September 30, 2011, which have been filed with the Securities and Exchange Commission and are available on JPMorgan Chase & Co.’s website (www.jpmorganchase.com) 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 respective dates of the referenced forward-looking statements.

February 28, 2012

F

I

R

M

O

V

E

R

V

I

E

W

Doug Braunstein, Chief Financial Officer

I.

JPMorgan Chase overview

Performance summary

Customer focus

Leveraging the franchise

Global presence

Loan growth and run-off portfolios

Credit quality

Deposit growth

Net interest margin

Expense and investments

Agenda

II.

Specific risk questions from investors

European exposure

Mortgage settlement

Private label litigation

III.

Firmwide capital

LOB capital allocation

Target returns

Capital planning

IV.Key firmwide themes

V.

Appendix

1

$mm, excluding EPS

Performance summary

JPMorgan Chase overview

1

See note 1 on slide 43

2

See note 4 on slide 43

3

Estimated

4

Excludes MB FY11 net loss of ($2.1B) or (11)%

Total = $19.0B

Net income –

2011

4

Total = $99.8B

Firmwide

revenue

–

2011

2

Book value per share: growing our fortress balance sheet

JPMorgan Chase overview

Shares

outstanding

(EOP)

3.7B

3.9B

3.9B

3.8B

3.4B

3.5B

1

Actual change

2

Excludes litigation reserve

3

CAGR

Key metrics since 2006

3

2011 share

repurchases: $9B

1

1

1

Peer group includes BAC, C, WFC, GS and MS

2

Based on Basel I RWA

3

(NII+NIR-NCOs)/Basel I RWA; excludes GS and MS

4

Presented on a managed basis. See note 1 on slide 43

5

Wholesale includes Corporate

Note: Totals may not sum due to rounding

Business returns

JPMorgan Chase overview

ROA does not capture the difference in business

mix between JPM and its peers

For instance, the IB includes large asset classes

which have low yield but low risk, including the

repo book

We consider return on RWA and risk-adjusted return

to be more relevant for JPM and comparisons to

peers

4

Return analysis

Comments

2011 revenue mix

4

2009

2010

2011

Return on assets

1

JPM

0.6%

0.9%

0.9%

Peer avg.

0.6

0.6

0.6

Best-in-class

1.5

1.0

1.2

Return on RWA

1,2

JPM

1.0%

1.5%

1.6%

Peer avg.

1.0

1.2

1.1

Best-in-class

3.2

1.9

1.6

Risk-adjusted return

1,3

JPM

6.5%

6.8%

7.3%

Peer avg.

5.2

5.8

6.1

Best-in-class

6.7

6.8

7.3

Building market leading franchises

JPMorgan Chase overview

1

2006 IB financial data represents heritage JPM only. JPM’s Dealogic IB fees rank was #1 in 2011 and # 1 in 2006 for heritage JPM only

2

Includes deposits and deposits swept to on-balance sheet liabilities

3

Source: Inside Mortgage Finance, 4Q06 and 4Q11 for 2006 and 2011, respectively

4

Excludes Commercial Card

5

GPCC stands for General Purpose Credit Card; excludes WaMu and Commercial Card

6

2011 is through November

5

Select key stats ($B, except where noted)

2006

2011

2006-2011

CAGR

IB fees ($mm)

$5,537

$5,859

1.1%

Fixed income markets ($mm)

8,736

15,337

11.9

Equity markets ($mm)

3,458

4,832

6.9

Average liability balances

$73.6

$174.7

18.9%

Average loans

53.6

104.2

14.2

IB revenue, gross

0.7

1.4

14.7

Overhead ratio

52%

35%

Average liability balances

$189.5

$318.8

11.0%

Assets under custody ($T)

13.9

16.9

3.9

Average trade loan balances

1.5

27.8

79.6

Non-U.S. revenue (%)

40.8%

55.0%

Assets under management

$1,013.1

$1,336.2

5.7%

Long-term flows

45.0

53.0

3.3

Number of Private Banking client advisors

1,506

2,883

13.9

Average total deposits

$190.1

$360.7

13.7%

Client investment assets, excluding deposits

80.6

137.9

11.3

End-of-period Business Banking loans

14,205

17,652

4.4

Number of branches

3,079

5,508

12.3

Mortgage loans originated

$119.2

$145.6

4.1%

Retail branch and direct to consumer originations

40.5

87.2

16.6

Number of branch salespeople

1,196

3,125

21.2

Mortgage loan origination market share

5.8%

11.5%

Card Services sales volume

4

$256.8

$343.7

6.0%

Card Services net revenue rate (% avg. loans)

10.4%

12.3%

GPCC sales volume market share

5

15.7

19.3

Auto originations market share

3.1

4.3

Card

AM

IB

CBB

TSS

CB

MB

1

1

1

2

3

4

6

2

88%

of

the

customers

surveyed

are

satisfied

with

their

relationship

with

Chase

Highest

client

loyalty

score

–

Ahead

of

WFC,

USB,

PNC

and

BAC

Customer focus

JPMorgan Chase overview

1

Greenwich Associates, 2011

2

2010 Chase Relationship Survey

3

Greenwich

Associates,

2011

Twenty

Two

State

Footprint

Market

Share

Study

4

Client surveys conducted by the TS and WSS client service team

5

Survey of retail investors in the 10 largest European countries

6

Cogent Research Investor Brandscape, 2012

7

Cogent Advisor Touchpoints 2011: Trends and Best Practices for Creating a Connection with FAs

8

Chase Relationship Survey

9

Monthly Consumer Bank relationship survey (data from December 2011). Strongly agree equals a 9 or 10 on a 10-point scale

10

JD Power and Associates 2011 Credit Card Satisfaction Trends

AM

MB

Card

According

to

the

JD

Power

overall

satisfaction

index

rankings,

Chase

moved

up

to

the

4

position,

topping

the

industry

average, ahead of WFC, USB, COF, C and BAC

10

Continuing focus on issue identification, elimination and prevention has yielded positive results with significant reduction

in OCC/CFPB complaints

CB

TSS

CBB

Overall

satisfaction

with

Chase

(top

2-box

scores)

increased

from

57%

to

67%

in

2011

8

For customers with top 2-box scores:

69%

of

households

surveyed

strongly

agree

that

they

are

likely

to

use

Chase

to

fulfill

new

financial

need

9

81%

of

households

surveyed

strongly

agree

that

they

are

likely

to

recommend

Chase

to

others

9

Ranked

#1

in

client-oriented

thinking

by

the

2012

Fund

Brand

30

report

5

Significant

increase

in

loyalty

score

–

Ranked

#7

in

2011,

up

from

#21

in

2010

6

Ranked

#1

for

satisfaction

with

website,

investment

tools

and

resources

for

advisors

7

IB

Selected

as

a

Quality

and

Share

Leader

for

48

distinctions

across

15

programs

1

,

including

Global

Fixed

Income, U.S. Large Corporate Finance and U.S. Equities

Ranked #5 in the JD Power mortgage origination survey, up from #12 in 2010; topping the industry average and ahead of

WFC, C and BAC

Customer satisfaction for origination and servicing (top 2-box scores) of ~70% by the end of 2011

Customer

complaint

inventory

declined

by

more

than

60%

since

May

2011

Overall TS Service Delivery rated at near “best-in-class”

levels

with 89% of U.S. and 87% of

EMEA clients rating service

Excellent/Very Good

4

82%

of

WSS

clients

in

2011

indicated

that

they

were

satisfied

with

their

current

level

of

service

WSS moved to #3 in 2011 from #7 in 2010 in Global Custodian Magazine’s 2011 Global Custody Survey

6

Customer satisfaction metrics

2

th

3

4

Major competitive advantage: leveraging the franchise

JPMorgan Chase overview

JPMorgan Chase & Co.

1

Calculated based on gross domestic IB revenue for SLF, M&A, Equity Underwriting, Bond Underwriting

75% of CB clients

use Treasury

Services products

$2.3B of revenue in

2011

CBB clients use TS

services ($215mm in

2011, up 10% YoY)

Provide custodial and

transfer agency

services to AM

Significant revenue

generated from the

CB client base

Joint coverage of

~1,800 clients

25% of North

American IB

revenue

in

2011

1

$1.4B of gross total

IB revenue from CB

clients in 2011

Robust client referral

to and from AM

41 new PB clients

through IB referrals

Manage $90B of

AUM for TSS clients

$140mm in 2011

firmwide revenue

IM products offered

to CB clients

$370mm in 2011

firmwide revenue

Products offered to

retail clients through

the branch network

$510mm in firmwide

revenue

~45% of Chase

branded cards sold

through branches

~40% of Card

Services revenue

from new merchants

is sourced through

the branches

~20% of JPM IM

U.S. Retail AUM

comes from the

branches

>16mm branch

transactions annually

by CB clients

Treasury

&

Securities

Services

Investment

Bank

Consumer &

Business

Banking

Card Services

& Auto

Joint coverage of foreign multinational clients

Presence in 40+ countries

$200B+ of global exposure to GCB clients

Mortgage

Banking

6.1mm existing

eligible Chase

banking relationships

with no mortgage

relationship

~50% of retail

mortgages originated

through branches

Referral source for

Private Bank, Private

Wealth Management

and Chase Private

Client

CB clients

accounting for 66%

of total Global

Commercial Card

clients, driving nearly

$15B in Card spend

in 2011

Increased signings

of new Paymentech

accounts through

branch referrals by

34%

Sourced most new

Middle Market

Commercial Card

customers through

CB

Generated

>40%

of

Commercial Card

revenue from

wholesale clients

7

Leveraging the franchise

Global Corporate Bank

Commercial

Bank

Asset

Management

Global footprint and scorecard

JPMorgan Chase overview

LatAm/Caribbean

(9%)

3

2011 revenue of $2.2B

2006 –

2011 CAGR: 11%; up

32% YoY

Operate in 9 countries in the region

4 new offices opened in 2011

$5B in deposits

4

, down 15% YoY

$25B in loans

5

, up 53% YoY

$34B in AUM

2011 revenue of $6.0B

2006 –

2011 CAGR: 13%; down

2% YoY

Operate in 16 countries in the region

2 new offices opened in 2011

$58B in deposits

4

, up 8% YoY

$31B in loans

5

, up 51% YoY

$105B in AUM

2011 revenue of $16.1B

2006 –

2011 CAGR: 7%; up 14%

YoY

Operate in 33 countries in the region

3 new offices opened in 2011

$169B in deposits

4

,

up 18% YoY

$37B in loans

5

, up 31% YoY

$278B in AUM

EMEA

(64%)

3

Asia Pacific (24%)

3

22%

78%

26%

74%

41%

59%

48%

52%

1

On a managed basis

2

Primarily composed of CIO net gains

3

% of Wholesale revenue

4

Average deposits are based on the location from which the customer relationship is managed

5

End-of-period

loans

outstanding

are

based

predominantly

on

the

domicile

of

the

borrower

and

exclude

loans

held-for-sale

and

loans

carried

at

fair

value

Note: Wholesale international operations comprised of IB, AM, TSS, CB and CIO/Treasury. Totals may not sum due to rounding

Wholesale

revenue

1

–

($B)

Firmwide

revenue

1

–

($B)

Int’l

Wholesale

revenue

by

LOB

1

8

$105

$100

$55

$53

Other

2

TSS

IB

AM

17%

54%

15%

Total = $25B

14%

Loan growth

JPMorgan Chase overview

Total loans increased 4% YoY driven by core loan growth of 14% across all businesses, including Wholesale loan growth of

25%

CB achieved six consecutive quarters of loan growth through the end of 2011; Middle Market loans up 17% YoY

TSS trade loans up 73%

Business Banking loans up 5%; 24% increase in new origination volume in 2011

Run-off portfolios decreased 16% YoY driven by runoff of Mortgage Banking loans

Note:

Wholesale

includes

IB,

CB,

TSS,

AM

and

Corporate;

Consumer

includes

CBB,

MB

and

Card

1

Other includes Card run-off portfolio, including certain legacy WaMu loans, legacy balance transfer programs and terminated partner portfolios (e.g. Kohl’s ), and CBB run-off portfolio, including

discontinued products

2

MB run-off portfolio includes WaMu purchased credit-impaired loans, discontinued products, and certain prime loans with estimated current LTVs greater than 80% as of January 2010

3

AM includes loans originated by AM that are held in Corporate and other loans held in Corporate

Note: Totals may not sum due to rounding

2010

2011

$693

$724

(16)%

14%

Growth

Total loans: 4%

Consumer

Wholesale

Run-off

(MB and Other)

1,2

Consumer

Wholesale

Core

$477

Core

$543

$216

$180

2010

2011

$477

$543

Card

MB

CB

CB

IB

IB

TSS

TSS

AM

3

AM

3

MB

Growth

14%

Card

30%

58%

13%

25%

2%

3%

14%

Core loans by line of business ($B)

Run-off portfolios

Run-off

(MB and Other)

1,2

CBB

9

Total end-of-period loans ($B)

Impact of our run-off portfolios: a simulation

JPMorgan Chase overview

Simulation assumes provision for credit losses equals net charge-offs; other reserve actions not simulated

NII will decline as portfolios run off; reduction of higher yield loans puts pressure on firmwide NIM

NII

for

run-off

portfolios

expected

to

decline

by

$1B

+/-

in

2012,

including

$500mm

+/-

related

to

MB

However, runoff will benefit firmwide ROTCE as expense and credit losses also decline, and approximately $2B of

capital

per

year

could

be

liberated

and

redeployed,

including

$1B

+/-

related

to

MB

Pro-forma

impact

on

ROTCE

6

($B)

Comments

15.3%

16.0%

0.7%

NI

$19

$0.5

$20

TCE

7

124

(2.0)

122

8

10

2011

2012

2013

2014

MB

$173

$152

$128

$110

Other

2

22

16

12

10

Total average loans

$196

$167

$140

$120

Total run-off portfolios

Net interest income

$6.3

$5.1

$4.1

$3.2

Noninterest expense

2.0

1.6

1.3

1.1

NCOs

5.8

4.2

2.8

1.6

Net income

4

($0.9)

($0.4)

($0.1)

$0.3

Capital

$12

$10

$8

$7

Net interest margin

3.2%

3.1%

2.9%

2.7%

5

5

5

1

3

Run-off portfolios simulation ($B)

1

2

3

4

5

6

MB run-off portfolio includes WaMu purchased credit-impaired loans, discontinued products, and certain prime loans with estimated current LTVs greater than 80% as of January 2010

Other includes Card run-off portfolio, including certain legacy WaMu loans, legacy balance transfer programs and terminated partner portfolios, and CBB run-off portfolio, including discontinued products

Assumes provision for credit losses equals net charge-offs associated with NCI portfolio. Assumes no reserve actions associated with run-off PCI portfolio. All amounts presented in the simulated periods 

are estimates within a range of possible outcomes. Actual results could differ significantly from these estimates

Assumes 38% tax rate

Simulated results based on current run-off portfolios trends

Run-off portfolios impact represents the incremental ROTCE impact of changes to net income and allocated capital in the first year of the simulation

Average tangible common equity

Adjusted for difference between 2011 actual and 2012 simulated amounts

Note: Totals may not sum due to rounding

7

8

Expect

reserve

levels

to

adjust

to

normalized

levels

of

~$15B

as

underlying

credit

improves

and

we

recognize the impact of certain portfolio runoff

Credit quality: strengthened coverage and reserve position

JPMorgan Chase overview

The Firm’s net charge-offs and nonperforming loans are down 48% and 44% from peak levels,

while loan loss reserves decreased 28% from peak and 13% since 2009

LLRs/NPLs

ratio

is

281%,

up

from

184%

in

2009

1

LLRs/NCOs

2

coverage

is

237%,

up

from

128%

in

2009

3

0.6

1.0

0.6

0.4

1

Loan loss reserve includes $5.7B and $1.6B of PCI reserves in 2011 and 2009, respectively

2

Reflects 4Q11 NCOs annualized

3

Reflects 4Q09 NCOs annualized; excludes NCOs for securitized credit card receivables for which there was no associated LLR

1

11

JPM

WFC

C

BAC

EOP loans

$723.7

$769.6

$647.2

$940.0

NCOs

12.2

11.3

20.0

20.8

NPLs

10.0

21.3

11.2

25.1

LLR

27.6

19.4

30.1

33.8

LLRs/NCOs

2

237%

183%

183%

208%

Peer group credit statistics –

2011 ($B)

YoY change in LLRs to change in NCOs

4Q10

4Q11

Deposit growth

JPMorgan Chase overview

40%

39%

7%

0.50%

36%

Interest-bearing deposits

Noninterest-bearing deposits

$895

$1,097

0.50%

0.43%

$895

$1,097

1

Other includes IB, MB, Card and Corporate

Note: Totals may not sum due to rounding

Growth

(3)%

23%

Avg. yield

12

AM

TSS

CB

Other¹

CBB

AM

TSS

CB

Other¹

CBB

Avg. deposits by line of business ($B)

Avg. interest-bearing vs. noninterest-bearing deposits ($B)

4Q10

4Q11

Net interest margin and net interest income rate sensitivity

JPMorgan Chase overview

Net interest income has been impacted by the runoff of

higher yield loan portfolios and portfolio mix

Net interest margin decreased by 32bps in 2011 due to

Runoff

Changes in portfolio mix

Impact of lower rates

Spread compression will negatively impact CBB net

income by $400mm+/-

Potential increases in NII relative to the implied curve

2010

2011

Net interest income

$51.4

$48.2

Interest-earning assets

3.83%

3.51%

Interest-bearing liabilities

0.84

0.86

Net interest margin (NIM %)

3.06%

2.74%

13

YoY net interest margin ($B)

Comments

Potential net interest income increases

1

Continued pressure on NIM in 2012 as market and mix

conditions continue

Portfolio runoff will negatively impact NII in REP by

$500mm+/-

1

As

of

12/31/2011.

Reflects

risk

exposure

to

pretax

NII

of

the

Firm's

non-market-based

business

activities

(see

3Q11

form

10-Q

disclosure

for

further

discussion

on

interest

rate

exposure).

Implied

curve

represents

the

market

expectation

of

rates

over

the

next

12

months

Core net interest margin

1

JPMorgan Chase overview

1

See note 6 on slide 43

2

IB’s market-based activities are defined as total IB net interest income less net interest income earned on IB loans

3

Net interest income presented as an average 2009 quarter (i.e. total year divided by 4); all others are yearly rates

Core NIM is a measure that is more comparable to the

NIM of financial institutions focused primarily on loan and

deposit-related activities

Given mark-to-market and P&L geography of hedging in

the IB, NIM is not a good indicator of IB profitability

Core net interest income walk –

4Q11 ($B)

Core net interest income

Net interest income trend

Avg. earning

assets

NII

Yield

Firm reported

$1,808

$12

2.7%

IB reported

1.5

Less IB loans

1.8

IB market-based activities

$502

$2

1.4%

Core

$1,306

$11

3.2%

14

567

65

2

0.3

1

Excludes

Investment

Bank

compensation

expense,

Corporate

litigation

expense,

and

foreclosure-related

matters.

Investment

Bank

compensation

expense

totaled

$9.7B

in

FY2010

and

$8.9B

in

FY2011.

Corporate

litigation

expense

totaled

$5.7B

in

FY2010

and

$3.2B

in

FY2011.

Foreclosure-related

matters

totaled

$350mm

in

FY2010

and

$1.7B

in

FY2011

2

Specific transaction related noninterest expense, which is directly related to generating the associated revenue (e.g., storage and transportation costs)

3

Presented on a managed basis. See note 1 on page 43

Note: Totals may not sum due to rounding

Firmwide expense has been trending higher

JPMorgan Chase overview

$45.4B

$49.2B

$960mm

Mortgage

servicing

$640mm

FDIC

$600mm

Card

marketing

$450mm

Commodities

2

Significant Drivers

Expect total adjusted

firmwide noninterest

expense to remain

relatively flat in 2012

Moderating expense in

growth initiatives

Targeted branch build

GCB build-out almost

complete

More efficiency in

marketing expense

Default-related expense

likely to decline in 2H12

LOBs continue to focus on

efficiencies

$1.2B

Other

Headcount

OH ratio

3

239,831

58%

260,157

63%

2010

2011

Primarily headcount

growth

CPC

Branch build

Business Banking –

WaMu expansion

CB expansion

GCB

International

expansion

AM banker build-out

MB production

15

Adjusted firmwide noninterest expense

1

2011 expense and NI impact of cumulative spend from select investments ($mm, except where noted)

Overview of select investments

JPMorgan Chase overview

Build out branches and product capabilities

Uplift primarily from Markets, Credit and TS products

~525 new branches built since 2009

Avg. branch achieves payback & 30% ROE by year 8+/-

1,200 new RMs & business bankers hired since 2009

Significant growth opportunities in h-WaMu markets

Build

out

int’l

platform

to

facilitate

clients’

regional

strategies

Successful launch of int’l platform in 2011; steady state 2014/15

Expand CB coverage into new markets

Broke even in 2011; continue to add 200+ clients a year

262 CPC locations as of 2011; plan to add 750 in 2012

22K clients as of 2011; plan to reach 75K clients by 2012

¹

Reflects NI contribution from 2002-2011 branch builds

²

Excl. expense related to existing portfolios and litigation

³

Excl. the impact of deferred loan origination cost (FAS 91)

1

3

16

LOB/Investment

2011

Expense

Comments

~$60

Middle Market expansion

~70

~200

600

~300

400

~400

600

~150

600

~50

~175

~500

350

~$1,900

NI impact of

cumulative

spend

IB

International Prime

Brokerage

$175 +/-

IB/TSS

International expansion/

Global Corporate Bank

+/-

CB

450

+/-

CBB

Branch builds

2011 expense associated with

2009-2011 branch builds

+/-

Business Banking

2011 expense associated with

2009-2011 new hires

+/-

Chase Private Client

600

+/-

AM

PB banker/

IM expansion

+/-

MB

Mortgage capacity &

productivity

2

450

+/-

Card

Incremental customer

acquisition marketing

+/-

317 PB bankers hired since 2010; 729 IM sales, investors & support

hires since 2009 (expense incl tech & other support)

Expect to reach target net income by 2015

Added 700 loan officers in 2011; plan to add 1,000 in 2012 to grow

retail capacity

Improve productivity through origination & servicing investments

Total

spend

in

2011

expected

to

generate

9mm+/-

accounts

and

$45B+/-

in sales volume in 2012

Run-rate NI by year 3

Agenda

Page

17

Specific risk questions from investors

17

Firmwide capital

21

Key firmwide themes

29

Appendix

31

Lending exposure includes both funded loans and undrawn commitments

Lending exposure ~72% to corporates

AFS securities exposure –

73% government guaranteed

Trading exposure ~ 42% to sovereigns

Includes $2.4B of debt and equity securities

Predominantly client-driven net derivative receivables of $15.3B, offset by collateral of $6.8B (98%+ held in cash)

Credit derivatives counterparties primarily outside Euro 5 and are investment-grade or well-supported by collateral arrangements

Mark-to-market of large counterparty gross long and short positions largely offset and are all collateralized daily

~ 79% of portfolio hedges are against sovereign exposure

Substantially all hedges are with investment grade counterparties outside the Euro 5 and are collateralized

Non-sovereign

net

exposure

–

82%

to

corporate

clients

and

remaining

18%

to

the

banking

sector

European exposure

Specific risk questions from investors

As of February 16, 2012 ($B)

18

Exposure

1

Securities & Trading

Lending

AFS

Trading

Derivative

collateral

Portfolio

hedging

Net

exposure

Spain

$3.4

$0.

8

$5.

3

($3.3)

($0.5)

$5.7

Sovereign

-

0.5

(0.3)

-

(0.1

)

0.1

Non

-sovereign

3.4

0.3

5.6

(3.3

)

(0.4)

5.6

Italy

3.4

0.1

10.3

(2.2

)

(

4.3)

7.3

Sovereign

-

-

7.7

(1.1

)

(3.6)

3.0

Non

-sovereign

3.4

0.1

2.

6

(1.1

)

(0.7

)

4.3

Other (Ireland, Portugal  & Greece)

1.4

0.

6

2.3

(1.3)

(1.0

)

2.0

Sovereign

-

0.6

0.1

-

(

0.8)

(0.1)

Non-sovereign

1.4

-

2.2

(1.3)

(0.2

)

2.1

Total firmwide exposure

$8.2

$1.5

$17.9

($6

.8)

($5.8

)

$15.0

1

Exposure is a risk management view. Lending is net of liquid collateral. Trading includes net inventory, derivative netting under legally enforceable trading agreements, net CDS underlying exposure

from market-making flows, unsecured net derivative receivables and under collateralized securities financing counterparty exposure

Department of Justice and Attorneys General mortgage settlement

summary

Specific risk questions from investors

$25B global settlement announced between the five major servicers and the Federal Government

including the Department of Justice, Department of Housing and Urban Development, and the State

Attorneys General

For Chase the settlement amount will be ~$5.3B and will consist of

~$1.1B in cash payments

~$0.5B toward a refinance program

–

Will offer interest rate reductions for certain homeowners with Chase-owned mortgages

Up to ~$3.7B of additional relief for homeowners

–

Menu of options from which the bank can choose to assist homeowners, including modifications with

first and second lien principal reductions

New servicing standards, which establish a new level of transparency and clarity for servicer activities

Limits the Firm’s liability related to MERS-related conduct, such as recording of assignments and standing

in foreclosures

Only

New

York,

Delaware

and

Massachusetts

may

maintain

suits

for

MERS-related

conduct.

The

settlement limits monetary remedies those states can seek against Chase, and precludes them from

seeking to vacate past foreclosures for MERS-related conduct

Given our current reserve position, the settlement is not expected to have a material impact on earnings

19

Private label securitization

Specific risk questions from investors

1

The Firm believes that WaMu bank-related repurchase liabilities are the responsibility of the FDIC (the FDIC disagrees) and any securities liabilities reside with the WaMu subsidiaries

2

Excludes class action deals with standing defects, deals where the Firm was sued solely as an underwriter (and was not an issuer), monoline claims and trustee claims

3

Certain

analysts

include

estimates

for

private

label

litigation

in

their

private

label

repurchase

exposure

estimates.

Certain

analysts

exclude

WaMu

related

liabilities

from

JPM

repurchase

estimates

Original

balances

in

litigation

for

Chase

(excl.

WaMu)

1

of

~$50B

2

A group

of

investors

claiming

to

have

a

quorum

in

trusts

with

an

original

principal

balance

(excl.

WaMu) of ~$175B asked various trustees to, among other things, investigate servicing and

repurchase claims

Both securities and repurchase claims are likely to be litigated

Substantial impediments to repurchase and servicing claims

Trustees generally do not act unless instructed by a quorum and indemnified

Many loans were originated or are serviced by others

WaMu repurchase liabilities reside with the FDIC

1

We intend to honor our obligations, but claims are fact intensive, generally requiring loan-by-loan

analysis

–

There

is

no

repurchase

absent

proof

that

a

breach

“materially

and

adversely”

affected

value

of

loan

Securities litigation claimants also face significant hurdles

There is significant overlap between repurchase and securities exposure: we do not intend to pay twice

for the same exposure

Median analyst estimate of exposure across the entire private label securitization portfolio, including

balances

not

in

litigation,

is

$6.5B

3

Litigation could take years, but we have built significant litigation reserves

20

Agenda

Page

21

Firmwide capital

21

Specific risk questions from investors

17

Key firmwide themes

29

Appendix

31

1

TSS

and

AM

pretax

margin

targets

remain

unchanged

at

35%

+/-

through

the

cycle

2

IRR of 20% +/-

3

1/1/12 for illustrative purposes only

4

Reflects capital held against Corporate goodwill

Common equity and target ROEs ($B)

Common equity and performance targets

Firmwide capital

$0.5-$1B +/-

of net income

22

$0.5-$1B +/-

of net income

2011 

1/1/2012

Investment Bank

$40.0

$40.0

17%

17%

+/-

9.5%

+/-

Consumer & Business Banking

9.5

9.0

40

30

+/-

8.5

+/-

Mortgage Banking

15.5

17.5

(14) 

15

+/-

8.5

+/-

Card Services & Auto

16.0

16.5

28

20

+/-

8.5

+/-

Commercial Banking

8.0

9.5

30

20

+

8.5

+/-

Treasury & Securities Svcs.

1

7.0

7.5

17

25

+/-

9.0

+/-

Asset Management

1

6.5

7.0

25

35

+/-

8.5

+/-

Private Equity

3.6

4.8

11

20

+/-

2

9.5

+/-

Corporate (CIO/Treasury/Corp)

13.1

18.3

3

Subtotal

$119.2

$130.1

Unallocated Capital

3

$14.5

$3.6

Corporate Goodwill

4

42.1

42.1

Total Firm ROE

$175.8

$175.8

Total Firm ROTCE

Common equity

2011

ROE

Targets

Through-the-

cycle ROE

Basel III

Tier 1 common

11%

15%

9.5%

+/-

16%

+/-

$6.8

$3.8

($2.1)

$4.5

$2.4

$1.2

$1.6

$0.8

LOB performance at targets

Firmwide capital

$24+/-

1

Net income projections based on performance target and steady state assumptions

$19.0

2011 Net income

Net income at performance targets

1

IB

CBB

MB

Card

CB

TSS

AM

Corporate/PE

RFS

JPM

23

Net income by LOB ($B)

1

Includes servicing and default related costs, foreclosed asset expense, repurchase losses, MSR valuation adjustments offset by normalized production revenue, and normalized

repurchases; excludes elevated credit costs

2

Corporate litigation expense for 2011 (after-tax)

3

Based on disclosed through-the-cycle net charge-off rates for IB, Card (excl. WaMu and Commercial Card), CB, Home Equity and Prime excl. Option ARM; applied to 2011 average

retained loan balances. Card through-the-cycle charge-off rate applied to Card average balances, excl. WaMu and Commercial Card . Also excludes MB WaMu PCI portfolio and

discontinued products

4

Loan loss reserve release for FY 2011

5

Durbin

Amendment

annualized

2012

net

income

impact

of

$600mm+/-

less

the

impact

of

Durbin

included

in

FY11

results.

Excludes

the

potential

incremental

impact

from

Dodd

Frank

on

the IB

Note: Assumes tax rate of 38%

Earnings walk

Firmwide capital

24

Net income build ($B)

FY11 NI excl.

DVA

Mortgage

-

related

Matters

1

Corporate  

Litigation

2

Normalization    

of NCOs

3

Reserve  

Release

4

Durbin

5

Growth

NI at performance

targets

$18.1

$24+/-

$3.5

$2.0

($2.9)

($0.5)

$0.8+/-

$3.0

Growth initiatives

CPC

Branch build

Business Banking -

WaMu expansion

CB expansion

Commodities

GCB

International

expansion

AM banker build-out

MB production

Capital planning

Firmwide capital

Submitted Capital Plan on January 9, 2012

Follow-up meetings with Fed currently under way

Expect response by March 15, 2012

Severe Fed stress scenario, evaluated under Basel I

GDP decline of 8%

Peak unemployment of 13%

HPI decline of 20% from current level

Equity markets decline of 52% from 3Q11

Severe global market shock, including specific European stresses

Baseline evaluated under Basel III

Capital Plan expected to show steady progress toward the fully phased in

requirement of Basel III Tier 1 common ratio of 9.5% by 2019

Hierarchy of capital deployment, after dividends

Organic growth

Acquisitions

Share repurchases

Increase dividend to 30% payout ratio of normalized earnings over time

25

Dividends

Capital hierarchy

CCAR

Fed CCAR requires share repurchases to be consistent with baseline distributions

Assuming analyst estimated dividends, and share repurchases generally consistent with 2011, Basel I Tier 1

common remains at ~8% in 2012 and 2013

Results in over $35B of excess capital above the 5% minimum

Indicative stress analysis –

Based on analyst estimates

Firmwide capital

Key assumptions

Analyst estimates for net income and dividends

Actual year end 2011 Basel I RWA held constant

Repurchases to neutralize employee issuance

($B)

2011

2012

2013

Base net income

$19.0

$18.2

$20.3

Stressed net income

1.5

12.8

Actual Basel I RWA ($T)

$1.22

1.22

1.22

10.1%

11.1%

8.8%

9.3%

2011

2012

2013

12.2%

Basel I Tier 1 common

Stressed Basel I Tier 1 common

5%

2012-2013

net

income

reflects

the

average

of

8

analyst

estimates.

Stressed

net

income

reflects

analyst

Baseline

NI

multiplied

by

(JPM

Fed

Stress

NI/JPM

Baseline

NI).

2012

and

2013

RWA

levels held constant from year end 2011

Analyses assume analyst average dividend/share of $1.22 in 2012 and $1.51 in 2013

Stressed Basel I Tier 1 common remains well above 5% threshold

26

Key assumptions

1

Indicative stressed capital

2

Comments on stress results

1

2

Note:

Fed stress case assumes backward looking market stress, which changes pro-forma Tier 1 common at the end of 2011. 2011 stressed Tier 1 common is used as a starting point for the

stressed case in this analysis

See note 3 on slide 43 for discussion of Basel estimates

Basel III RWA and Tier 1 common

Firmwide capital

1

Basel III market risk RWA reflects the new capital requirements related to trading assets and securitizations, which include incremental capital requirements for stress VaR, correlation

trading, and re-securitization positions

2

Primarily

reflects

securitization-related

exposures

required

to

be

risk

weighted

at

1250%

based

on

Basel

III

rules

3

Capital charge for potential mark-to-market losses associated with a deterioration in the credit worthiness of a counterparty

4

Applied to MSR, DTA, and investments in unconsolidated financial institutions

5

Other includes Basel I to II transition, reclassification of trading book positions, and counterparty credit

Note: Analysis reflects current interpretation of Basel III guidelines and balance sheet assumptions

See note 3 on slide 43 for discussion of Basel estimates

2011

Basel I Tier 1 common

$123

AOCI for AFS securities; pension and other postretirement plans

0.9

Deduction for net defined benefit pension asset

(1.4)

Other

(0.5)

Basel I to Basel III incremental Tier 1 common

(1.0)

Estimated Basel III Tier 1 common

$122

2011

RWA Basel I

$1.22

Market risk impact

1

80

Risk weight 50/50 deductions at 1250%

2

80

CVA

3

65

250% risk weight

4

35

Other

5

65

Basel I to Basel III incremental RWA ($B)

$325

Estimated RWA Basel III

$1.55

2012

2013

Estimated beginning balance

$1.55

$1.48

Data / Model enhancement

(30)

(30)

Portfolio runoff

(45)

(35)

BAU portfolio changes

10

20

Reduction in RWA ($B)

(65)

(45)

Estimated ending balance

$1.48

$1.44

27

Basel I to Basel III incremental RWA ($T)

Potential Basel III RWA reductions ($T)

Basel I to Basel III capital reconciliation ($B)

Baseline scenarios –

Alternative Basel III trajectories

Firmwide capital

1

2012-2013 net income reflects the average of 8 analyst estimates

2

Net of preferred dividends of $629mm, and includes estimated impact of employee issuance. The Firm expects to utilize its repurchase capacity to, at a minimum, essentially

repurchase

the

same

amount

of

shares

that

it

issues

for

employee

stock-based

incentive

awards

3

Reported estimates

4

Achieve a Tier 1 common ratio of 9.5% by the end of 2018

5

Achieve a Tier 1 common ratio of 9.5% by the end of 2013

Note: See note 3 on slide 43 for discussion of Basel estimates

3

3

2011

2012E

2013E

Net income¹

$19.0

$18.2

$20.3

Potential RWA ($T)

$1.55

$1.48

$1.44

Tier 1 common - pre-capital distribution

2

$122

$141

$163

Tier 1 common ratio - pre-capital distribution

2

7.9%

9.5%

11.3%

28

Capital adequacy –

Based on analyst estimates ($B)

Straight line

4

Accelerated

5

2012E

2013E

Tier 1 common ratio target

2

8.1%

8.3%

Annual capital distribution capacity

2

$21

$22

2012E

2013E

Tier 1 common ratio target

2

8.7%

9.5%

Annual capital distribution capacity

2

$13

$14

Agenda

Page

29

Key firmwide themes

29

Specific risk questions from investors

17

Firmwide capital

21

Appendix

31

Key firmwide themes

Consistent focus on customer experience and innovation

Continued focus on cross-LOB opportunities

GCB at the core of IB/TSS/CB collaboration

Organizing Consumer businesses

Positioning LOBs for continued growth in market share

Significant opportunity for net income growth

Enhancing our ongoing focus on expense discipline

Adapting to the new regulatory environment and capital rules

Fortress balance sheet affords us the opportunity to

Serve as a source of strength for our clients

Continue to invest in organic growth

Return excess capital to our shareholders

30

Agenda

Page

31

Appendix

31

Specific risk questions from investors

17

Firmwide capital

21

Key firmwide themes

29

Managed financial results

2009

2010

2011

Investment Bank

$6,899 

$6,639

$6,789

Retail Financial Services

(335)

1,728

1,678

Card Services

(1,793)

2,872

4,544

Commercial Banking

1,271

2,084

2,367

Treasury & Securities Services

1,226

1,079

1,204

Asset Management

1,430

1,710

1,592

Corporate/Private Equity

3,030

1,258

802

Total firm net income

$11,728 

$17,370

$18,976

Firmwide results ($mm)

Net income by lines of business ($mm)

1

See note 1 on slide 43

2

Net income used to calculate the ratios for 2009 excludes the one-time, non-cash negative adjustment of $1.1B

resulting

from

the

repayment

of

TARP

preferred

capital,

which

is

a

non-GAAP

financial

measure.

Including

this,

ROE

was 6%

3

See note 4 on slide 43

32

2009

2010

2011

Revenue (FTE)

1

$108,647

$104,842

$

99,767

Credit Costs

1

38,458

16,639

7,574

Expense

52,352

61,196

62,911

Reported net income

$11,728

$17,370

$

18,976

Reported EPS

$2.2

6

$3.96

$4.48

ROE

2

7%

10%

11%

ROTCE

2,3

11

15

15

Investment Bank

Leadership positions

Global IB Fee market leader, #1 ranking for the past

three years

5

Ranked #1 in disclosed 2011 Markets revenue among

the top 10 competitors, both including and excluding

DVA, up from #2 in 2010

Selected by Greenwich Associates as a Quality and

Share Leader for 48 distinctions across 15 programs,

including Global Fixed Income, U.S. Large Corporate

Finance and U.S. Equities, 2011

Named U.S. Municipal Bond House of the Year by IFR,

2011

Ranked #1 2011 Overall, Risk’s Institutional Investor

rankings

$mm

2009

2010

2011

Revenue

$28,109

$26,217

$26,274

IB Fees

7,169

6,186

5,859

Fixed Income Markets

17,564

15,025

15,337

Equity Markets

4,393

4,763

4,832

Credit Portfolio

(1,017)

243

246

Expense

15,401

17,265

16,116

Credit Costs

2,279

(1,200)

(286)

Net Income

$6,899

$6,639

$6,789

Key Statistics ($B)

Overhead Ratio

55%

66%

61%

Comp/Revenue

1

33

37

34

EOP Loans

$49.1

$56.9

$71.1

Allow. for Loan Losses

3.8

1.9

1.4

Net Charge-off Rate

3.04%

1.35%

0.28%

ALL / EOP Loans

2

8.25

3.51

2.11

ROE

3

21

17

17

VAR ($mm)

4

$164

$87

$76

EOP Equity

33.0

40.0

40.0

33

The compensation expense as a percentage of total net revenue ratio includes the

impact of the U.K. Bank Payroll Tax on certain compensation awarded from 

December 9, 2009 to April 5, 2010 to relevant banking employees. For comparability to

prior periods, IB excludes the impact of the U.K. Bank Payroll Tax expense, which

results in a compensation expense as a percentage of total net revenue for 2010 of

35%, which is a non-GAAP financial measure

Loans held-for-sale and loans at fair value were excluded when calculating the loan loss

coverage ratio and net charge-off rate

Calculated based on average equity

Average Trading and Credit portfolio VAR at 95% confidence level

Dealogic based on revenue

1

2

3

4

5

Retail Financial Services

$mm

34

%

%

%

%

%

%

1

Calculated based on average equity; average equity for 2011, 2010 and 2009 was $25.0B

$24.6B, and $22.5B, respectively 

2

Calculated based on average equity; average equity for 2011, 2010 and 2009 was $14.5B,

$14.9B, and $12.7B, respectively

2009

2010

2011

Net Interest Income

$18,383

$17,220

$16,133

Noninterest Income

11,414

11,227

10,405

Revenue

29,797

28,447

26,538

Expense

15,512

16,483

19,458

Pre-Provision Pretax

$14,285

$11,964

$7,080

Credit Costs

14,754

8,919

3,999

Net Income

($335)

$1,728

$1,678

EOP Equity ($B)

$22

$25

$25

ROE

1

(1)

7

7

Memo:

RFS Net income excl. Real Estate Portfolios

$5,114

$4,221

$1,984

ROE excl. Real Estate Portfolios

40

28

14

Retail Financial Services

Consumer & Business Banking

$mm

Leadership positions

Attractive footprint

Tri-state

Midwest

California

Top deposit shares in

#1 New York

#1 Chicago

#1 Phoenix

#1 Dallas/Ft. Worth

#1 Houston

Northwest

Florida

Southwest

# 1 Columbus, OH

#2 Seattle

#3 Los Angeles

#3 San Francisco

#3 Miami

2009

2010

2011

Net Interest Income

$10,864

$10,884

$10,809

Noninterest Income

7,204

6,844

7,201

Revenue

$18,068

$17,728

$18,010

Expense

10,421

10,717

11,202

Pre-Provision Pretax

$7,647

$7,011

$6,808

Credit Costs

1,176

630

419

Net Income

$3,915

$3,652

$3,816

Key Drivers ($B)

Average Total Deposits

$345.0

$340.8

$360.7

Deposit Margin

2.92%

3.00%

2.82%

Checking Accounts (mm)

25.7

27.3

26.6

# of Branches

5,154

5,268

5,508

Business Banking Originations

$2.3

$4.7

$5.8

Client Investment Assets

$120.5

$133.1

$137.9

# of Active Mobile Customers (mm)

1.2

5.3

8.4

35

Retail Financial Services

Mortgage Production and Servicing

Leadership positions

#3 in Mortgage Originations with

11.5% market share²

#3 in Mortgage Servicing with 11.4%

market share²

$mm

1

Headcount for total Mortgage Banking

2

Source: Inside Mortgage Finance, 4Q11

2009

2010

2011

Production

Production-related Revenue excl. Repurchase Losses

$3,194

$4,309

$4,235

Production Expense

1,575

1,613

1,895

Income excl. repurchase losses

$1,619

$2,696

$2,340

Repurchase Losses

(1,612)

(2,912)

(1,347)

Income/(loss) before income tax expense/(benefit)

$7

($216)

$993

Servicing

Servicing-related Revenue

$5,182

$5,008

$4,524

MSR Asset Amoritization

(3,279)

(2,384)

(1,904)

Servicing Expense

1,684

2,584

4,845

Income/(loss), excl. MSR risk management

219

40

(2,225)

MSR Risk Management

1,724

1,151

(1,572)

Income/(loss) before income tax expense/(benefit)

$1,943

$1,191

($3,797)

Net income/(loss)

$1,199

$569

($1,832)

Key Drivers ($B)

Mortgage Loan Originations

$150.7

$155.6

$145.6

Retail Channel Originations

53.9

68.8

87.2

Mortgage Application Volume

206.6

214.8

204.7

3rd Party Mtg Loans Svc'd (EOP)

1,082.1

967.5

902.2

Headcount

1

32,393

39,440

49,189

36

2009

2010

2011

Revenue

$6,520

$5,547

$4,592

Expense

1,847

1,627

1,521

Pre-Provision Pretax

4,673

3,920

3,071

Net Charge-Offs

8,343

6,450

3,805

Change in Allowance

5,220

1,781

(230)

Credit Costs

13,563

8,231

3,575

Net Income

($5,449)

($2,493)

($306)

Memo: ALL/ EOP Loans

1

6.55%

6.47%

6.58%

Key Drivers

1

($B)

Average Home Equity Loans Owned

2

$136.0

$120.3

$106.4

Average Mortgage Loans Owned

2

133.7

117.6

102.8

Retail Financial Services

Real Estate Portfolios

Excludes the impact of purchased credit-impaired loans acquired as part of the WaMu transaction. An allowance for loan losses of $5.7B,

$4.9B and $1.6B was recorded for these loans at year end 2011, 2010 and 2009, respectively

Includes purchased credit-impaired loans acquired as part of the WaMu transaction

37

$mm

1

2

Card Services & Auto

Leadership positions

Chase is #1 Visa credit card issuer

20.8% market share of General Purpose Credit

Card outstandings

4

19.3% market share of General Purpose Credit

Card sales volume

4

#1 co-brand card issuer in the U.S.

5

#1 merchant acquirer in e-commerce payment

processing

5

1

2009 on a managed basis. See note 1 on slide 43

2

Calculated

based

on

average

equity;

2011,

2010

and

2009

average

equity

was

$16.0B,

$18.4B

and

$17.5B, respectively

3

Statistics include loans held for sale

4

Excludes WaMu and Commercial Card

5

Based on internal JPM estimates

2009

1

2010

2011

Card Services & Auto

Revenue

$23,199

$20,472

$19,141

Credit Costs

19,648

8,570

3,621

Expense

6,617

7,178

8,045

Net Income

($1,793)

$2,872

$4,544

ROE

2

(10)%

16%

28%

EOP Equity ($B)

$17.5

$18.4

$16.0

Card Services —

Key Drivers excl. Commercial Card

3

($B)

Avg Outstandings

$172.4

$144.4

$126.8

Sales volume

$294.1

$313.0

$343.7

New Accts Opened (mm)

10.2

11.3

8.8

Net Revenue Rate

11.78%

11.89%

12.31%

Net Charge-off Rate

9.33

9.72

5.46

30+ Day Delinquency Rate

6.28

4.07

2.82

Merchant Services —

Key Drivers

(B)

Bank card volume

$409.7

$469.3

$553.7

# of total transactions

18.0

20.5

24.4

Auto —

Key Drivers

($B)

Avg Outstandings -

Auto

$43.6

$47.6

$47.0

Avg Outstandings -

Student

16.1

15.9

$14.0

Auto Originations

23.7

23.0

$21.0

38

$mm

Includes deposits and deposits swept to on-balance sheet liabilities

Loans held-for-sale and loans at fair value were excluded when calculating the loan loss coverage  

ratio and net charge-off rate

Calculated based on average equity

Reflect CB-equivalent segments at BAC, KEY, PNC and USB

Based on CB-equivalent segments or wholesale portfolios at BAC, CMA, FITB, KEY, PNC, USB   

and WFC

Thomson Reuters FY11

FDIC 9/30/11

Commercial Banking

Leadership positions

Highest

ROE

in

peer

group

4

Lowest

overhead

ratio

in

peer

group

5

Continued to outperform peers in credit quality with the lowest

net

charge-off

ratio

and

nonperforming

loan

ratio

in

peer

group

5

Top

3

Middle

Market

syndicated

lender

in

the

U.S.

6

#1 multi-family lender in the U.S.

7

2009

2010

2011

Revenue

$5,720

$6,040

$6,418

Middle Market

3,055

3,060

3,145

Corp. Client Banking

1,102

1,154

1,261

Comm. Term Lending

875

1,023

1,168

Real Estate

461

460

416

Other

227

343

428

Expense

2,176

2,199

2,278

Credit Costs

1,454

297

208

Net Income

$1,271

$2,084

$2,367

Key Statistics ($B)

Avg Loans

$106.7

$97.0

$104.2

EOP Loans

97.4

98.9

112.0

Avg Liability Balances

1

113.2

138.9

174.7

Gross IB Fees ($mm)

1,163

1,335

1,421

Allow. for Loan Losses

3.0

2.6

2.6

NPLs

2.8

2.0

1.1

Net Charge-Off Rate

2

1.02%

0.94%

0.18%

ALL/Loans

2

3.12

2.61

2.34

ROE

3

16

26

30

Overhead Ratio

38

36

35

EOP Equity

$8.0

$8.0

$8.0

39

$mm

1

2

3

4

5

6

7

Treasury & Securities Services

2009

2010

2011

Revenue

$7,344

$7,381

$7,702

Treasury Services

3,702

3,698

3,841

Worldwide Securities Svcs.

3,642

3,683

3,861

Expense

5,278

5,604

5,863

Credit Costs

55

(47)

1

Net Income

$1,226

$1,079

$1,204

Key Statistics

Avg Liability Balances ($B)

1

$248.1

$248.5

$318.8

Assets Under Custody ($T)

14.9

16.1

16.9

Pretax Margin

26%

23%

24%

ROE

2

25

17

17

TSS Firmwide Revenue

$10,231

$10,260

$10,237

TS Firmwide Revenue

6,589

6,577

6,376

TSS Firmwide Avg Liab Bal ($B)

1

361.2

387.3

493.5

EOP Equity ($B)

5.0

6.5

7.0

Includes deposits and deposits swept to on-balance sheet liabilities

Calculated based on average equity

Source: Federal Reserve, Clearing House for Interbank Payments (CHIPS), and Ernst & Young

Source: Greenwich Associates, 2011

Source: JPM and peer 4Q11 company filings

Source: Various global exchanges, as of November 2011

Source: Nilson

Leadership positions

#1 global clearer of U.S. dollars and #1 Automated

Clearing

House

for

originations

3

#1 (tied) share leader in U.S. Large Corporate Treasury

Management

Market

Penetration

providers

4

#2 provider of custody services leveraging significant scale

and

global

footprint

with

$16.9T

in

AUC

5

#2 in number of sponsored American Depository Receipt

(ADR) shares

6

#1 Visa / MasterCard Commercial, Purchasing and Prepaid

card issuer in the U.S.

7

40

1

2

3

4

5

6

7

$mm

Asset Management

Leadership positions

#1 Institutional Money Market Fund Manager

Worldwide

2

#1

Ultra-High-Net-Worth

Private

Bank

Globally

3

#2

in

U.S.

Total

Net

Mutual

Fund

flows

4

2011 Asset Manager of the Year for Asia and Hong

Kong

5

Leading

Pan-European

Fund

Management

Firm

6

Best

brand

in

Private

Banking

7

Best

Private

Bank

for

Customer

Service

7

1

Calculated based on average equity

2

Source: iMoney, 2011

3

Source: EuroMoney, 2012

4

Source: Strategic Insight, 2011

5

Source: The Asset Magazine, 2011

6

Source: Thomson Reuters, 2011

7

Source: Financial Times, 2011

2009

2010

2011

Revenue

$7,965

$8,984

$9,543

Private Banking

4,320

4,860

$5,116

Institutional

2,065

2,180

2,273

Retail

1,580

1,944

2,154

Expense

5,473

6,112

7,002

Credit Costs

188

86

67

Net Income

$1,430

$1,710

$1,592

Key Statistics ($B)

Assets Under Management

$1,249

$1,298

$1,336

Assets Under Supervision

1,701

1,840

1,921

Average Loans

35.0

38.9

50.3

EOP Loans

37.8

44.1

57.6

Average Deposits

77.0

86.1

106.4

Pretax Margin

29%

31%

26%

ROE

1

20

26

25

EOP Equity

$7.0

$6.5

$6.5

41

$mm

Corporate/Private Equity

$8.7

$7.7

$7.3

5.7%

6.9%

6.3%

$5.0

$6.0

$7.0

$8.0

$9.0

2009

2010

2011

0.0%

2.0%

4.0%

6.0%

8.0%

Portfolio as % of equity ex. goodwill

EOP carrying value

1

Includes merger-related items

2009

2010

2011

Private Equity

($78)

$588

$391

Corporate

1

3,108

670

411

Net Income

$3,030

$1,258

$802

42

Net income ($mm)

Private Equity portfolio ($B)

Notes on non-GAAP & other financial measures

43

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 and the results of the lines of business on a “managed” basis, which is a non-GAAP

financial measure. 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 FTE basis. Accordingly, revenue from tax-exempt securities and investments that receive tax credits is presented in the managed results on a basis

comparable to taxable securities and investments. This non-GAAP financial measure allows 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.

Prior to January 1, 2010, the Firm’s managed basis presentation also included certain reclassification adjustments that assumed credit card loans securitized by Card Services & Auto

remained on the balance sheet. Effective January 1, 2010 the Firm adopted accounting guidance that required the Firm to consolidate its Firm-sponsored credit card securitization trusts. The

income, expense and credit costs associated with these securitization activities are recorded in the 2011 Consolidated Statements of Income in the same classifications that were previously

used to report such items on a managed basis. As a result of the consolidation of the credit card securitization trusts, reported and managed basis relating to credit card securitizations are

equivalent for periods beginning January 1, 2010.

The presentation of Card Services & Auto’s results prior to January 1, 2010 on a managed basis assumed that credit card loans that had been securitized and sold in accordance with U.S.

GAAP remained on the Consolidated Balance Sheets, and that the earnings on the securitized loans were classified in the same manner as the earnings on retained loans recorded on the

Consolidated Balance Sheets.  JPMorgan Chase used the concept of managed basis to evaluate the credit performance and overall financial performance of the entire managed credit card

portfolio. Operations were funded and decisions were made about allocating resources, such as employees and capital, based on managed financial information. In addition, the same

underwriting standards and ongoing risk monitoring are used for both loans on the Consolidated Balance Sheets and securitized loans. Although securitizations result in the sale of credit card

receivables to a trust, JPMorgan Chase retains the ongoing customer relationships, as the customers may continue to use their credit cards; accordingly, the customer’s credit performance

affects both the securitized loans and the loans retained on the Consolidated Balance Sheets. JPMorgan Chase believed that this managed-basis information was useful to investors, as it

enabled them to understand  both the credit risks associated with the loans reported on the Consolidated Balance Sheets and the Firm’s retained interests in securitized loans.

2.

The ratio of the allowance for loan losses to end-of-period loans excludes 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, Real Estate Portfolios net charge-offs exclude the impact of PCI loans. The allowance for loan losses related to the purchased

credit-impaired portfolio totaled $5.7 billion, $4.9 billion and $1.6 billion at December 31, 2011, 2010 and 2009, respectively

3.

The Basel I Tier 1 common ratio is Tier 1 common divided by risk-weighted assets. Tier 1 common is defined as Tier 1 capital less elements of Tier 1 capital not in the form of common equity,

such as perpetual preferred stock, noncontrolling interests in subsidiaries and trust preferred capital debt securities. Tier 1 common, a non-GAAP financial measure, is used by banking

regulators, investors and analysts to assess and compare the quality and composition of the Firm’s capital with the capital of other financial services companies. The Firm uses Tier 1 common

along with other capital measures to assess and monitor its capital position. On December 16, 2010, the Basel Committee issued the final version of the Basel Capital Accord, commonly

referred to as “Basel III.” The Firm’s estimate of its Tier 1 common ratio under Basel III is a non-GAAP financial measure and reflects the Firm’s current understanding of the Basel III rules and

the application of such rules to its businesses as currently conducted, and therefore excludes the impact of any changes the Firm may make in the future to its businesses as a result of

implementing the Basel III rules. The Firm’s understanding of the Basel III rules is based on information currently published by the Basel Committee and U.S. federal banking agencies.

Management considers this estimate as a key measure to assess the Firm’s capital position in conjunction with its capital ratios under Basel I requirements, in order to enable management,

investors and analysts to compare the Firm’s capital under the Basel III capital standards with similar estimates provided by other financial services companies.

4.

Tangible common equity (“TCE”), a non-GAAP financial measure, represents 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. ROTCE, a non-GAAP financial ratio, measures the Firm’s earnings as a percentage of TCE. In management’s view,

these measures are meaningful to the Firm, as well as analysts and investors in assessing the Firm’s use of equity, and in facilitating comparisons with competitors.

5.

In Card Services, supplemental information is provided for Chase, excluding Washington Mutual and Commercial Card portfolios, to provide more meaningful measures that enable

comparability with prior periods. The net charge-off rate and 30+ delinquency rate presented include loans held-for-sale.

6

In addition to reviewing JPMorgan Chase's net interest yield on a managed basis, management also reviews core net interest income to assess the performance of its core lending, investing 

(including asset /liability management), and deposit-raising activities, excluding the impact of IB's market-based activities. IB’s market-based activities is defined as total IB net interest income

less net interest income earned on IB loans. The chart presents an analysis of managed core net interest income and core net interest margin. These are non-GAAP financial measures due to

the exclusion of IB's market-based net interest income and the related assets. Management believes the exclusion of IB's market-based activities, provides investors and analysts a more

meaningful measure to analyze non-market related business trends of the Firm and can be used as a comparable measure to other financial institutions primarily focused on core lending,

investing and deposit-raising activities.

Additional notes on financial measures

7.

Pretax margin represents income before income tax expense divided by total net revenue, which is, in management’s view, a comprehensive measure of pretax performance derived by

measuring earnings after all costs are taken into consideration. It is, therefore, another basis that management uses to evaluate the performance of TSS and AM against the performance of

their respective competitors.

February 28, 2012

M

O

R

T

G

A

G

E

B

A

N

K

I

N

G

Frank Bisignano, Mortgage Banking CEO and Chief Administrative Officer

Agenda

Page

1

Performance and outlook

1

Mortgage Production

10

Mortgage Servicing

19

Real Estate Portfolios

27

Appendix

32

Uncertainty continues

Private label litigation; GSE/FHA/VA/PLS repurchases and other

Volume of unsold homes; shadow inventory

Role of private capital in mortgage market liquidity

The OCC and the Fed issued Consent Orders in April 2011 to large

mortgage servicers

Servicer plans were approved by the OCC and the Fed

Communication with borrowers began in October

Modification and refinance programs continue to be expanded

Significant proprietary modification and short sale programs exist with each

servicer

Servicing practices largely remediated

2011 –

A year of repositioning

$25B settlement covers 5 servicers

~$5B –

Cash

~$3B

–

Refi

Program

for

“underwater”

homeowners

~$17B –

Additional consumer relief

Required to adhere to certain enhanced mortgage servicing standards

1

Ever 30 days delinquent measured 6 months from origination for the JPMC serviced portfolio; excludes HARP

Recent underwriting practices have demonstrated strong performance

Early

delinquency

rates

1

peaked

in

2005-2008

vintages

at

1.5%

for

Prime/Home Equity loans; over 4% for government insured

2009+ vintages averaging less than 0.5% across product types

2

2011 –

Positioning for success at Chase

Chase

now

#2

in

originations

–

3Q/4Q11

Increased the number of loans originated from the branches

by over 40%

Enhanced customer experience

JD

Power

Customer

Satisfaction

rank

up

to

5

th

,

from

12

th

Community relationships improved

Reconstituted management team and

organizational structure

Recruited key leadership by leveraging talent inside

the firm and from strategic external hires

Formed Borrower Assistance

Increased loan officers 23% in 2011

Leveraged firmwide expertise and best practices

across LOBs –

Investment Bank, CIO, and other

Consumer businesses

Consolidated three servicing platforms into one

Re-engineered servicing processes to improve

efficiency

Increased number of modifications per month by

38% and short sales by 43%

Charge-offs decreased

Repurchase losses lower

Strong retail channel volumes and margins

Control governance structure revamped; risk

management oversight enhanced

Consent Orders servicing improvements

Brought full power of the firm to fix our mortgage

business

Delivered on technology and process improvements

Improved volumes, market share, and customer satisfaction

Improved risk and control environment

Improving financial performance

3

2011 –

Focused on more profitable Retail channel

Overall

market

share

increase

driven

by

Retail

originations

–

Now

represent

~2/3

of

our

volume

While

growth

has

been

driven

by

the

Retail

channel,

we

continue

to

believe

the

Correspondent

channel is attractive with the appropriate risk/return profile

Note:  Retail channel includes branch and direct to consumer originations

Source:

Inside

Mortgage

Finance

–

Originations

are

firmwide

4

2011 –

Positioning for success at Chase

5

BB&T

2011 Results

Total origination market size

$1,840.0

$1,630.0

$1,350.0

Chase mortgage loan originations

150.7

155.6

145.6

Chase Retail channel originations

$53.9

$68.8

$87.2

Chase Correspondent channel originations

93.2

85.5

57.9

3rd Party mtg loans svc'd (EOP)

1,082.1

967.5

902.2

MSR net carrying value (EOP)

15.5

13.6

7.2

MSR revenue multiple

3.3x

3.2x

1.8x

Headcount

32,393

39,440

49,189

2009

2010

2011

Production pre-tax

$7

($216)

$993

Servicing pre-tax

1,943

1,191

(3,797)

Real Estate Portfolio pre-tax

(8,890)

(4,311)

(504)

Total net income

($4,250)

($1,924)

($2,138)

6

P&L ($mm)

Key drivers ($B, unless otherwise noted)

Ongoing

Legacy

Total

Normalized

Production

Pre-tax income

$2,270

($1,277)

$993

$1,500 +/-

Servicing

Servicing operating pre-tax

203

(2,428)

(2,225)

MSR risk management

154

(1,726)

(1,572)

Total pre-tax income

$357

($4,154)

($3,797)

$1,000 +/-

Real Estate Portfolios

1

Pre-tax pre-provision

549

2,522

3,071

Credit costs

109

3,466

3,575

Total pre-tax income

$440

($944)

($504)

$500-1,000

Total Mortgage Banking pre-tax income

$3,067

($6,375)

($3,308)

$3,000-3,500

Mortgage Banking net income

$1,982

($4,120)

($2,138)

$1,800-2,100

Normalized ROE

15%

2011

2011 Ongoing vs. legacy view –

Ongoing business profitable

Production:

legacy

repurchase

losses

will

normalize

over

time

Servicing:

MSR

yield

will

improve

in

2012

based

on

refinement

of

MSR

valuation

model

in

4Q11

Weighted

average

option

adjusted

spread

of

7.8%

at

year

end

2011

vs.

3.9%

at

year

end

2010

Real

Estate

Portfolios:

legacy

portfolio

will

improve

with

credit

and

ultimately

turn

positive

Normalized earnings should produce 15% ROE through the cycle

1

Legacy Real Estate Portfolio is defined as WaMu purchased credit-impaired, discontinued products, broker originated loans, limited documentation loans, and certain loans with ECLTVs

greater than 80%. Ongoing portfolio end-of-period loan balance is $36B and legacy portfolio end-of-period loan balance is $162B

7

Mortgage Banking ($mm)

Key drivers

2011 included significant negatives

1

RFS only. Excludes EMC

2

Excludes non-recurring foreclosure-related matters

3

Includes

refinements

to

the

valuation

model

and

related

inputs

comprising

updates

to

the

prepayment

model,

revised

fee

and

cost

to

service

assumptions and

an increase in the option adjusted spread (“OAS”) to reflect higher return and capital requirements

2011 servicing and default expense of $3.2B will normalize to $1.25B over time

2011 results include $3.4B of non-recurring costs

Significant items -

pretax

2010

2011

Normalized

Production

Repurchase losses

1

(2,912)

(1,347)

(150)

Servicing

Servicing and default expense

2

($2,234)

($3,195)

($1,250)

Core servicing expense

(837)

(1,031)

Default servicing expense

(1,397)

(2,164)

Non-recurring

($350)

($3,377)

Foreclosure related matters

(350)

(1,650)

MSR valuation updates

3

NM

(1,727)

Real Estate Portfolios

Foreclosed asset expense

(896)

(649)

(200)

Subtotal

($6,392)

($8,568)

($1,600)

($mm)

8

Capitalize

on

‘One

Chase’

brand

Continue to improve customer experience

Continue root cause analysis to eliminate customer complaints

Strengthen controls, minimize breakages and defects

Enhance compliance, risk and control infrastructure

Deliver against Consent Orders and DOJ/AG requirements

Attract and retain talent to focus on most critical areas

Develop and motivate high performers

Improve loan officer retention

Build a culture of quality and control

2012: business growth and winning

Expand and strengthen the production franchise

Accelerate growth, particularly in retail channel and purchase lending

Re-engineer origination and servicing processes and enhance

operating efficiency

Price for appropriate returns given increasing capital requirements

Leverage technology to enhance customer experience and improve operating

efficiencies and controls

9

Agenda

Page

10

Mortgage Production

10

Performance and outlook

1

Mortgage Servicing

19

Real Estate Portfolios

27

Appendix

32

Blank slide

Best-in-class customer experience –

Mortgage Manager video

This page is intentionally left blank

11

Blank slide

Strengthen the production franchise

Retail origination model leverages Chase

brand and customer delivery platform

Branches, online, and mobile

Core product for branch cross-sell

opportunities

Fee based counter-cyclical earnings

stream complements traditional spread

businesses

Attractive returns over the cycle

Why we like the business

Improve purchase market share to 10%-12%

An increase of ~50% from 2011

Retail sales force growth ~25% in 2012

Best-in-class customer experience

Roll out Mortgage Manager

New retail origination platform

Improve productivity

Enhance underwriting and process quality

Areas of focus

12

Core product for branch cross-sell opportunities

Relationship impact after acquiring a

Chase mortgage

Excludes any additional value attributed to cross-sell (e.g. credit

card, investments)

Households with a mortgage are generally

more affluent and offer more cross-sell value

than those without a mortgage

Mortgage increases the value of the overall customer relationship

2 

Mass Affluent has a deposit and investment wallet of $100k-$500k, affluent has

$500k-$5mm, and high net worth has greater than $5mm

1

Higher share of wallet and lower attrition of balances

13

Incremental value

1

of adding mortgage to a banking

relationship

% of HH that are high net worth, mass affluent

or affluent

2

Blank slide

Mortgage production –

Purchase market share opportunity

Source: Inside Mortgage Finance

Lowest rates in history and HARP led to

recent robust refinance market

We expect market mix to be weighted to

purchase in a more normal rate

environment

Focus on growing share in purchase to

capitalize on market growth

Well positioned to take share in

purchase market

5.7mm existing Chase mortgage

households

6.1mm existing eligible Chase

banking relationships with no

mortgage relationship

75k real estate agent relationships in

business banking

Strong recruiting of purchase-focused

loan officers

Increasing lead in customer

satisfaction versus top competitors

Purchase

Refi

$2.5T

$1.6T

Average mortgage market size and purchase/refinance mix

Comments

Chase mortgage originations market share

14

Blank slide

Mortgage production –

Retail model differentiation

Opportunity to increase sales force to match

competitors

Added +/-

700 loan officers in 2011

Additional +/-

1,000 loan officers in 2012 is additional

run rate annual pretax earnings of $100mm+

Sources:  Company filings and investor presentations

Chase loan officer productivity exceeds major

competitors

Loan officers substantially located at branches

Marketing investment drives leads to branches and

call center

15

2011 Retail fundings / loan officer / month

Number of loan officers (EOP)

Commentary

Commentary

Blank slide

Mortgage origination economics

Business drivers

Sales force size/productivity

Marketing effectiveness

Customer experience

Operational efficiency and capacity flexibility

Underwriting and process quality

Repurchase expense

Market risk exposure to MBS rates

Competitor capacity/margin positioning

Purchase market does not recover

Regulatory and GSE changes

Risks

Market volume

$1.5T +/-

Market share

15% +/-

Chase volume

$225B +/-

Chase pretax margin / $ volume

65bps +/-

Chase pretax income

$1.5B +/-

Execution of business drivers creates

attractive returns over the cycle

High returns in peak refinance years

Lower

returns

in

“normal”

years

Normalized target income

16

Repurchase update

FY11 realized losses of $1.1B with reserves of $3.2B

Realized losses trended higher in 2H11 as GSE demands accelerated

GSEs have improved cycle times (reduced time between file request and demand)

~90% of demands continue to come from 2005-2008 vintages

While 2012 realized losses are expected to remain elevated, reserves will come down at some

point

Newly delinquent loans have longer payment history, reducing likelihood of origination defect

Outlook of +/-

$350mm realized losses per quarter

Realized losses and reserve

Commentary

4Q10

1Q11

2Q11

3Q11

4Q11

FY10

FY11

Realized losses ($mm)

$349

$215

$215

$314

$390

$1,360

$1,134

Reserve ($B, EOP)

$3.0

$3.2

$3.2

$3.2

$3.2

$3.0

$3.2

17

Repurchase update

Loans going delinquent after 24 months of payment history are typically at a lower risk of repurchase due to rep

and warrant defect

~50%

of

demands

received

in

2H11

have

made

more

than

24

months

of

payments

–

Up

from

~15%

in

2009

Cure rates (ability to remedy purported defect) have been 10-15 points higher on loans with greater than 24 months

pay history

New delinquencies have decreased significantly from 2009 peak; majority of newly delinquent loans in 2011 had

more than 36 months of pay history

4,968

4,611

4,786

4,742

3,719

2,909

2,457

2,053

1,694

1,426

1,527

1,520

-

1,000

2,000

3,000

4,000

5,000

6,000

1Q09

2Q09

3Q09

4Q09

1Q10

2Q10

3Q10

4Q10

1Q11

2Q11

3Q11

4Q11

<= 12 months

13

-

24 months

25

-

36 months

>36 months

18

GSE new demands by pay history

(2005-2008 Vintages, hChase UPB, $mm)

GSE new loans to 90 days past due by burnout

(2005-2011 vintages, hChase, UPB $mm)

Commentary

Agenda

Page

19

Mortgage Servicing

19

Performance and outlook

1

Mortgage Production

10

Real Estate Portfolios

27

Appendix

32

Blank slide

Improving servicing profitability

Achieve short term run-rate savings

Delinquent accounts decrease

Modification inventory reduced through

borrower assistance initiatives

Normalize servicing expense over time

Regulatory environment, including Consent

Orders and DOJ/AG related items

Improve customer satisfaction

Deployment of NICE analytics for early

escalation of customer issues

Why we like the business

Areas of focus

Mortgage increases the value of the overall

customer relationship

Chase,

as

the

3

rd

largest

servicer

has

the

advantage of scale

Macroeconomic fundamentals are

improving, resulting in reduced default

rates, and improving cost structure

With appropriate operations and risk

management, the MSR asset will deliver

consistent attractive returns (15% ROE)

20

Prevented twice as many foreclosures as have been acted upon

Offered over 1.2 million modifications and completed 452,000 since 2009

Foreclosure alternatives (short sales, Deed in Lieu) increased 22% over the prior year

82 Chase Home Ownership Centers (CHOCs)

15,000 borrower assistance and default servicing support staff

Refinanced more than 1 million mortgages since 2010

Met with over 273,000 struggling customers

Doing more to prevent foreclosures

Foreclosure process update

Average delinquency at foreclosure is over 17 months

Recent foreclosure sales showed the following customer/loan characteristics:

54% non-owner occupied or vacant

–

Of which 80% were vacant at time of sale

46% were owner-occupied

Key facts about foreclosures

21

22

Short term run-rate savings in 2012 –

Driven by both volume declines and

efficiency

Achieve short term run-rate savings –

More than $1B by 4Q12

Consolidated site strategy

Improved productivity through employee retention

Non-compensation

expense

improvement

primarily

due

to non-recurring costs and lower operational losses

Loan portfolio declines by 5-10%

30+

delinquencies

decline

approximately

25%

Modification pipeline reduced

Volume

Efficiencies

23

4Q11 Annualized

Core servicing volume

Default volume

Core servicing -

efficiencies

Default -

efficiencies

4Q12 Annualized

Servicing and default expense ($mm)

Normalizing servicing expenses over time

Volume

Efficiencies

Process improvements and technology enhancements in

core servicing and default

Consolidated site strategy

Improved productivity through employee retention

Lower legal costs and operational losses

Core servicing

Loan portfolio declines by 10-15% to steady

state of ~7.5mm units

Default

30+ delinquencies decline by 70-75% to steady

state of ~200k units

Modification pipeline materially reduced

Servicing and default expense ($mm)

24

DOJ and State AG settlement

Impact to Chase

~$5.3B: ~$1.1B cash payment, ~$0.5B refinance program and up to ~$3.7B of additional consumer relief (primarily

through modification programs)

Limits the firm’s liability related to

Servicing activities, including past foreclosure, loss mitigation and bankruptcy practices

Origination activities, including federal False Claims Act violations and federal consumer statute claims

MERS-related conduct, such as recording of assignments and standing in foreclosures

Only

New

York,

Delaware,

and

Massachusetts

may

maintain

suits

for

MERS-related

conduct.

The

settlement

limits

monetary remedies those states can seek against Chase, and precludes them from seeking to vacate past

foreclosures for MERS-related conduct

Does not

release the firm from liability related to securitizations and whole loan sales, GSE/FHA/VA/PLS 

repurchase demands, pension fund claims, fair lending claims, and criminal actions. It also does not preclude suits

against MERS as an entity or suits against Chase by county recorders for lost fees

Financial impact overview

Estimated impact was covered in prior periods

Modification programs

Modest

impact

on

charge-off

timing

as

a

result

of

principal

forgiveness

–

No

change

to

loss

guidance

Refinance program

Impact

of

reducing

borrower

rates

is

expected

to

drive

an

immaterial

decrease

in

net

interest

margin

–

Offset

in

reserves

25

Mortgage servicing economics

Average UPB

$1.0T +/-

Servicing & Other Revenue

45bps +/-

Amortization

22bps +/-

Servicing & Default Costs

13bps +/-

Pretax

$1.0B +/-

Business drivers

Macroeconomics (unemployment, HPI, interest

rates)

Size and average life of servicing book

Management of operational risk and efficiency of

platforms

Market

risk

management

–

MSR

hedging

Default costs expected to remain high for the medium

term to handle modification and foreclosure volumes

Market risk management

Regulatory and GSE changes

Risks

Normalized target income

With appropriate operations and risk management and market recovery, the size and mix of

our serviced portfolio will deliver solid profitability

26

Agenda

Page

27

Real Estate Portfolios

27

Performance and outlook

1

Mortgage Production

10

Mortgage Servicing

19

Appendix

32

Real Estate Portfolios simulation

Future reserve actions not simulated

Although NII will decline as portfolio runs down, expense and credit losses will also decline

As a result, the net losses today will become a modest positive contribution to earnings over time

As

portfolio

runs

off,

~$1B

of

capital

per

year

could

be

freed

up

and

re-deployed –

Timing

is

impacted

by

pro-

cyclicality of capital rules

Real Estate Portfolios —

simulated ending loan balance run-off and net income ($mm)

Commentary

2009

2010

2011

2012

2013

2014

Ending Balances ($B)

$252

$223

$198

$178

$158

$144

Ongoing ($B)

37

36

37

$39

42

Legacy ($B)

186

162

141

$119

102

Revenue

$6,520

$5,547

$4,592

$4,100

$3,400

$2,900

Net charge-offs

8,343

6,450

3,805

3,000-4,000

2,000-3,500

1,000-1,500

Change in reserves

5,220

1,781

(230)

Expense

1,847

1,627

1,521

1,300

1,200

1,000

Pre-tax net income / (loss)

($8,890)

($4,311)

($504)

($1,200)-($200)

($1,300)-$200

$400-$900

28

Non

credit-impaired

Purchased

credit-impaired

Total loans

Home Equity

$78

$25

$103

Prime Mortgage

$37

16

53

Option ARM

$7

26

33

Subprime Mortgage

$10

7

17

Total

REP

Loans

1

$132

$74

$206

Fair

Value

Mark

2

NA

9

9

Total Mortgage Banking Portfolio

$132

$65

$197

Loan loss reserve (LLR)

$8.7

$5.7

$14.4

LLR as % of loans / LLR + FVM as % of UPB PCI

6.6%

19.7%

NA

Real Estate Portfolios EOP loans as of 12/31/11 ($B)

Real Estate Portfolios

6.6% reserve ratio on non credit-impaired portfolio

Purchased credit-impaired portfolio is appropriately reserved for best estimate of remaining lifetime losses

1

Credit-impaired represents Unpaid Principal Balance (UPB), not book value

2

Fair

Value

Mark

(FVM)

remaining

is

the

original

mark

reduced

by

liquidation losses realized

Note: Table above excludes prime mortgage loans and student loans classified as held-for-sale

Commentary

29

Non-credit-impaired

Credit

Total Mortgage Banking reserves of $8.7B (excluding

WaMu purchased credit-impaired)

4Q11 net charge-offs annualized of $3.5B

Loss guidance: Mortgage Banking quarterly net

charge-offs expected to be $900mm+/-

1

4Q10 net charge-offs exclude the one-time impact of the $632mm adjustment related to

the timing of when the Firm recognizes charge-offs on delinquent loans

Current reserve and mark reflect ~$35B of lifetime losses, of which $21B has been realized to-date

Further 8% HPI decline from current levels would result in a $1.5B impairment

Net

charge-offs

1

vs. Loan loss reserve ($mm),  excl PCI

30

Purchase credit-impaired

Key themes addressed throughout the day

Production business positioned for success

Continuing to improve the customer experience

Servicing –

Building efficiencies for the future

Real

Estate

Portfolios

–

Returning

to

profitability

and

returning

capital

Significant legacy issues behind us: Consent Orders and DOJ/AG Settlement

Attractive earnings potential with 15% ROE through the cycle

Our goal is to be the most efficient, profitable, and customer-centric mortgage business

31

Agenda

Page

32

Appendix

32

Performance and outlook

1

Mortgage Production

10

Mortgage Servicing

19

Real Estate Portfolios

27

Foreclosure and REO trends –

Total serviced

Foreclosure inventory will

continue to decline as inflows of

new delinquencies decline and

outflows of foreclosure and short

sales increase

REO inventory forecast to

increase as volume of foreclosure

sales increase

33

Units in REO

Units in process of foreclosure

Home Equity –

Performance of 2

nd

lien relative to 1

st

lien

UPB as of 12/31/11 ($B), non-credit-impaired portfolio

2nd Lien status

Note:   Current Mortgage defined as Current (excludes 1-29), while Current Home Equity is Current or 1-29 bucket to align with OCC

definition

1st liens

$21.8

2nd liens

56.0

Total 

$77.8

Delinquent 1st and 2nd

1.1

Current 2nd / delinquent or modified 1st

3.7

Total 

$56.0

Current 1st / current 2nd

$50.8

Current 1st / delinquent 2nd

0.3

34

High Risk 2nd liens

1st Lien status

UPB

Estimated lifetime

loss rates

>100+%

CLTV

Modified   

$1.8

~40%

65%

<150+ DPD

1.4

~50%

40%

150+ DPD

0.5

~95%

53%

Total   

$3.7

55% +/-

53%

High risk 2nds –

Performing 2nds behind troubled borrowers

Excluding purchased credit-impaired loans

Performing 1st and 2nd liens

CLTV

UPB

Estimated lifetime

loss rates

<=80%

$24.5

             ~ 1%

80-100%

   12.2

4-5 

%

100+%

   14.1

                    12-15

Total   

$50.8

           6% +/

Performing

1

st

and

2

nd

Liens

Delinquent  2nds

High Risk 2nds

High

Risk

2nds

–

1

st

<

150+

DPD

High

Risk

2nds

–

1

st

150+

DPD

High

Risk

2nds

–

Modified/Trial

1

st

Note: grossed up based on 35% match rate

2

nd

Lien Home Equity UPB ($B) -

Dec11

High Risk 2

nd

Liens ($B) -

Dec11

We

have

considered

the

status

of

1st

lien

and

equity position of borrowers in our reserves

Note:

ECLTV

for

Home

Equity

2

nd

Liens

and

ELTV

for

1

st

Lien

Home

Equity

(Change

made

in

3Q11).

ECLTV

=

estimated

combined

loan

to

value

considering

all

available

lien

positions

related to the property which we own or service

Current ECLTVs are calculated using original appraised value adjusted using the latest HPI published by Moody's Economy.com

Missing ECLTV & Missing FICO allocated based on Non Missing

Current Mortgage defined as Current (excludes 1-29), while current Home Equity is Current or 1-29 bucket  to align with OCC definition

Note: grossed up based on 35% match rate             

35

February 28, 2012

Todd Maclin, Chief Executive Officer Consumer & Business Banking

C

O

N

S

U

M

E

R

&

B

U

S

I

N

E

S

S

B

A

N

K

I

N

G

Consumer & Business Banking is a strong franchise today

Great business with a focus on growth

1

Strong

profitability,

despite

the

environment

–

2011

net

income

of

$3.8B

and

ROE

of

40%

Low volatility in earnings

Significant

opportunities

to

lower

cost

to

serve

and

increase

revenues

–

3-5

year

horizon

Brand strength, driven by excellent products, services and convenient channels

#3 in U.S

1

: over 5,500 branches and over 17,200 ATMs across 23 states serving 23mm households

Over 17mm active online customers

Over 8mm active online mobile customers, over 50% YoY growth

Significant presence and leadership in key deposit markets

Competitive position of strength: our customers, our people and our financial capacity

Investment consistency: we are growing and deepening relationships

Over 27,000 personal and business bankers and 3,200 financial advisors

Branch and ATM build-out to capture growth at low risk ROIs

Significant mobile and internet investment

Technology to lower cost-to-serve and delight customers

Across “One Chase,”

~51mm households and ~63mm customers to target more aggressively

–

Chase.com

#1

most

visited

banking

portal

in

the

US

2

Note: all data as of December 31, 2011

1

Based

on

FDIC

data

for

retail

deposits

as

of

June

2011;

deposits

adjusted

to

exclude

large

branches

(+$1B)

assumed

to

contain

non-retail

deposits

2

January 2012 compete.com rankings

Near-term headwinds will slow –

Our focus on strong underlying growth will

pay off

Near-term headwinds

Medium-term uplift

Longer-term growth

$0.5:

’02-’11

New builds

($0.3):

’12+

New builds

$0.3:

Business

Banking

$0.4:

Chase

Private Client

$0.5:

’02-’11

New builds

$1.0:

’12+  

New builds

$0.7:

Business

Banking

$0.6:

Chase

Private Client

1

Consistent with 2012 outlook provided in 4Q11 earnings materials

4% underlying annual growth (net of investment) assumed

2

Simulated pretax income ($B)

h-Chase

Chase incl. WaMu

Revenue     

'05-'09 CAGR

'09-'11 CAGR

        YoY '11-12       

Net interest income

8%

0%

Noninterest revenue

11

0

Debit

23

11

NSF-OD

15

(20)

Investment revenue

5

9

Service fees and other

3

14

Total revenue

9%

0%

# of checking accounts

12%

2%

# of debit transactions

20%

17%

Regulatory

reform

cost

the

industry

~$20B

1

In

addition,

low

rates

cost

the

industry

~$4B

2

These revenues will not be replaced in the short term

Regulatory reform forces industry to significantly change business models

Regulatory reform has permanently altered the economics in CBB

3

1

Source: Boston Consulting Group

2

Source: Bernstein and Morgan Stanley research

Historical growth

Post-regulation, ~70% of the customers in segments 1-3 are unprofitable on a fully loaded basis and ~10-15% are

unprofitable on a variable basis

There

is

limited

opportunity

to

deepen

relationships

with

these

customers

Further regulation will have additional impact

Regulatory reform has disproportionately impacted “transaction-only”

banking

Note: JPM Chase internal data

D&I = Deposits & investments

1

Post-implementation of Durbin Amendment and Regulation E

4

Revenue

composition

by

wealth

segment

post-regulation

Percent reduction in per household variable contribution by segment

1

Customer predisposition and the current competitive landscape does not allow banks to be

compensated via monthly fee-based accounts

Chase

has

multiple

paths

to

a

checking

account

with

no

monthly

service

fee

–

Over

85%

of

customers qualify

Note: non-banking fees captured represent the low-end product/service per category (e.g., NY Times online subscription, etc.)

Monthly service charges for banks are lower than most consumer service charges

But in this environment, do not expect them to bridge the revenue gap

5

Average monthly expense for common services

Chase delivers significant value to customers at minimal or no cost

Over 5,500 branches, many with extended and Saturday hours, staffed by over 57,000

employees

24/7 phone support staffed with almost 6,000 telephone banking employees willing to

help with any query

Access to over 17,200 ATMs across the United States

Innovative transaction options

QuickPay

SM

and QuickDeposit

SM

Online bill payment

E-mail and text alerts

Over 10,700 deposit-friendly ATMs

Fraud protection

FDIC protection on deposits

Note: all data as of December 31, 2011

6

Services not explicitly charged for

Source:

MacroMonitor

2010

Survey

of

U.S.

Households,

U.S.

Census

Bureau

Chase data post-implementation of Durbin Amendment and Regulation E

1

Primary business households and primary business card-only households excluded

Segment 1

(<$5k D&I)

Segment 2

($5k-$25k D&I)

Segment 3

($25-$100k D&I)

Segment 4

($100-$500k D&I)

Segment 5

($500k+ D&I)

>30% of

Chase

households

have >$100k

in D&I and

make up

~55% of

revenue

Share of D&I

wallet at Chase

% of U.S.

households with a

Chase banking

relationship¹

4%

23%

15%

18%

20%

19%

26%

21%

41%

13%

Greatest opportunity is to grow with our highest value customers

And we have a larger share of them

7

Distribution of households by wealth segment

United States

Chase

Customer

segments

require

a

needs-based

approach

More affluent customers have a broader set of financial services

needs

Source: MacroMonitor 2010 Survey of U.S. Households

8

Products per household by wealth segment (industry)

Source: JPM Chase internal data

Seg.1 (<$5k D&I)

Seg.2 ($5k-$25k D&I)

Seg.3 ($25-$100k D&I)

Seg.4 ($100-$500k D&I)

Seg.5 ($500k+ D&I)

Historically, we have spent the same amount of time with all our

customers

1

Based on data observed during 2011

2

Post-implementation of Durbin Amendment and Regulation E

There is an opportunity to align our service models toward highest potential customers

Seg.5

($500k+ D&I)

Seg.1

(<$5k D&I)

Seg.2

($5k-$25k D&I)

Seg.3

($25-$100k D&I)

Seg.4

($100-$500k D&I)

Seg.5

($500k+ D&I)

Seg.1

(<$5k D&I)

Seg.2

($5k-$25k D&I)

Seg.3

($25-$100k D&I)

Seg.4

($100-$500k D&I)

9

Households visiting branch quarterly by wealth

% of personal banker time by customer wealth segment

Variable contribution

²

by wealth segment (indexed to segment 1)

¹

¹

Requirements for succeeding in the new environment

10

Strong reputation and customer experience

Complete and best-in-class financial services offerings

Convenience

–

Branches

and

ATMs

Capacity to invest and innovate

Cost effective service model

Ability to adapt

Successful banks will be those which can leverage these characteristics into

a strong growth proposition

A strong reputation and customer experience are keys to growth

Chase scores well relative to competitors

Source: 4Q11 Brand Tracker in the retail footprint

Source: Monthly Consumer Bank Relationship Survey (data from December 2011)

1

Strongly agree equals a 9 or 10 on a 10-point scale

Attribute definitions:

Momentum:

Is

becoming

more

popular

Innovative:

Offers

innovative

products

and

services

Trust:

Is

a

bank

I

trust

Products/Services:

Offers

products

and

services

that

meet

my

needs

Convenience:

Offers

more

convenient

branch

and

ATM

locations

11

Likely to recommend Chase to family, friends, co-workers

(%

of

households

who

strongly

agree

¹)

Likely to use Chase to fulfill new financial need

(%

of

households

who

strongly

agree

¹)

Industry leader in key consumer attributes –

4Q11

Overall

Satisfaction

with

Chase

(on

a

10-pt

scale)

Overall

Satisfaction

with

Chase

(on

a

10-pt

scale)

Source: Chase Relationship Survey

1

From a scale of 1-10, customers who select a rating of 9 or 10

Satisfaction with branch visits

Satisfaction with products

We have made measurable customer experience improvements in the last

year and continue to have momentum

12

Overall

satisfaction

with

Chase

(top

2-box

scores

¹)

Key

areas

of

overall

satisfaction

(top

2-box

scores

¹)

Source:

internal

customer

profitability

analysis,

September

2010

–

August

2011

(as

of

August)

1

Checking only

2

HH with Chase’s current penetration and size of deposit and lending relationship

3

60% of D&I; an average credit card relationship (~$15k annual spend) with every HH.

Source: 2008-2009 Phoenix Survey

Note:

question

asked

–

What

is

the

primary

reason

you

chose

to

begin

your

relationship

Customer experience is critical to our affluent customers

13

Convenient

locations

5%

Strong

investment

performance

7%

Range of

Products

and services

9%

Competitive

fees

9%

Reputation

13%

Service quality/

relationship 27%

57% is driven by

reputation and customer

experience

“Average”

relationship 

“Primary”

relationship

“Average”

relationship

“Primary”

relationship

Affluent share of D&I wallet

Reasons why affluent households want to consolidate

Variable contribution of affluent households

1%

4%

60%

1x

0.5x

8x

Other

13%

with your primary investment provider?

and with a mortgage in one out of two HH

3

2

3

2

“Transactional”

relationship

1

“Transactional”

relationship

1

Referral

from a

trusted

source

17%

Requirements for succeeding in the new environment

14

Strong reputation and customer experience

Complete and best-in-class financial services offerings

Capacity to invest and innovate

Cost effective service model

Ability to adapt

Successful banks will be those which can leverage these characteristics into

a strong growth proposition

Convenience

–

Branches

and

ATMs

Chase lent $17B to small businesses up 52% YoY

#1 SBA lender second year in a row

Over 5,300 SBA loans

#1 SBA lender to women and minority owned

businesses in 2011

Hired over 1,200 business bankers since start of 2009

to serve small business clients

Business Banking average deposits of $65B up 11%

YoY

Ink

from

Chase

–

Best

Business

Rewards

Credit

Card²

183k cards issued, up 58% YoY

52k

mobile

online

users

of

Jot

–

Product

unveiled

in

2Q11

Paymentech named #1 payment systems provider of

the

Top

500

internet

retailers

for

6

th

consecutive

year

by

Internet Retailer

New sign-ups from branches increased ~34% YoY

Chase has best-in-class financial services and proven ability in AM and

CB

Note: all data as of 2011

1

“Best

General

Travel

Credit

Card”

by

Nerd

Wallet

(Winter

2012),

“Best

Airline

Miles

Credit

Card”

by

Credit.com

(December

2011)

2

Nerd Wallet (Winter 2012)

Leading investment sales force

Over 3,200 financial advisors

~$140B client investment assets

World class investment products brought to Chase

Industry leading managed account platform

Full suite of brokerage and insurance products

Access to J.P. Morgan Private Bank products for

Chase Private Clients

Fully integrated banking product offering

Online and mobile banking

Award winning Chase Sapphire card¹

Chase mortgage platform

Branches are invaluable to affluent customers

Affluent households average ~4.5 branch visits

per quarter

Incremental D&I balances of $100B (3%

wallet) at 1% = $1B+/-

pretax opportunity

WaMu branch productivity at Chase levels

is a $1B+/-

pretax opportunity

15

Chase Wealth Management

Business Banking

Added locations and bankers

Opened 246 CPC locations in 2011; total of 262

New York, Chicago, South Florida, Los Angeles

and San Francisco

500+ CPC Bankers and Advisors

Growing relationships

~22,000 clients with $70k+ avg. in incremental D&I

balance per CPC client

$16B in D&I with $1.6B new money (most of the

growth where CPC has been open <6 months)

Advice/managed money platform

750 additional CPC locations

California, Texas, Florida, Arizona and Washington

Extending in Tri-state, Midwest, Los Angeles and

San Francisco

Adding 900 Private Client Bankers and 350 Private

Client Advisors

Chase Private Client continues to expand at a rapid pace

By the end of 2012, CPC will have a presence in markets that cover ~55% of the

2.2mm affluent Chase banking households

16

2011 Expansion

# of CPC locations

2012 Plans

# of Chase Private Clients

Source: JPM Chase internal data

CPC –

Household balance growth showing early signs of success

17

D&I

growth/Affluent

HH

($k

change

July

’11

–

Jan

’12)

D&I

growth/CPC

HH

($k

change

July

’11

–

Jan

’12)

D&I growth/CPC household ($k change)

D&I growth/CPC new investor households ($k change)

Average of all relationships

Average of top decile

1

(based on deposit

balances)

Sales revenue

$250k-$3mm

$3mm+

$250k-$3mm

$3mm+

Deposit ADB per relationship ($k)

$65

$200

$500

$1,500

Commercial checking ownership

2

9%

19%

26%

65%

Payroll Services ownership

4

4

8

12

Treasury Services ownership

3

3

10

13

50

Merchant Services ownership

6

6

8

17

Revenue per relationship

4

1x

3x

Business Banking –

Growing with larger business customers

Source: JPM Chase internal data

1

Average deposit balance, product ownership, and revenue of top 10% of relationships by deposit balance

2

Commercial checking products include all analyzed checking accounts

3

Treasury Services includes lockbox, account transfer service, ACH initiation and block, cash vault, check payable services, payroll cards, etc.

4

Revenue is post-Durbin (at 22 cents per transaction) and Reg. Q

Our objective is to provide the primary operating account relationship for Business Banking customers

Commercial Banking and Treasury & Securities Services platforms allow us to deliver best-in-class

products, services and technology to small businesses

18

Comparison by sales revenue tier

5x

15x

Business Banking is dramatically improving productivity in expansion

markets

Source: JPM Chase internal data

1

3Q11 vs. 3Q10

CAGR = 13%

CAGR = 47%

CAGR = 5%

CAGR = 22%

CAGR = 42%

CAGR = 225%

2009

2010

2011

2009

2010

2011

2009

2010

2011

2009

2010

2011

2009

2010

2011

2009

2010

2011

Non-expansion

Expansion markets

Non-expansion

Expansion markets

Non-expansion

Expansion markets

Managed to increase risk-adjusted spreads while

gaining market share

Industry loan balances contracted 5%, while

Chase Business Banking grew 4%

19

Number of Business Bankers

Loan originations per branch ($mm)

Average deposit ADB per branch ($mm)

Comments

¹

Requirements for succeeding in the new environment

Strong reputation and customer experience

Convenience –

Branches and ATMs

Capacity to invest and innovate

Complete and best-in-class financial services offerings

Cost effective service model

Ability to adapt

Successful banks will be those which can leverage these characteristics into

a strong growth proposition

20

Our branch and ATM network provides opportunity to grow

209 branches

410 ATMs

113 branches

217 ATMs

22 branches

27 ATMs

933 branches

3,595 ATMs

47 branches

157 ATMs

298 branches

929 ATMs

69 branches

139 ATMs

123 branches

378 ATMs

676 branches

2,029 ATMs

32 branches

46 ATMs

156 branches

376 ATMs

74 branches

250 ATMs

292 branches

1,234 ATMs

233 branches

454 ATMs

50 branches

79 ATMs

785 branches

2,691 ATMs

196 branches

593 ATMs

307 branches

544 ATMs

292 branches

893 ATMs

82 branches

150 ATMs

419 branches

1,735 ATMs

68 branches

213 ATMs

31 branches

88 ATMs

Greater than 10%

Between 5% and 10%

Less than 5%

Deposit market share

1

Branches and ATMs as of December 31, 2011

21

Filling out branch footprint in attractive growth markets

Plenty of opportunity to build profitable branches

We decision branches one at a time

We continue to build the majority of our branches in CA and FL

Once optimal network is reached, we will stop building branches

We

will

continue

to

consolidate

branches

where

it

makes

sense

to

do

so

Once build-out is complete, footprint will be hard to replicate

1

Branches as of December 31, 2011

22

Expansion markets

New builds reach $1mm in pre-tax opportunity by year 10+/-

Number of years until…

% medium and

high opportunity

Cost to build

Seasoned pre-tax

opportunity

…break-even

1

…payback

2012 new

build

pipeline

~90%

$2.5mm+/-

$1.5mm

3 +/-

6 +/-

Average

branch

built in

2002-2011

~60

2.0+/-

1.0

4 +/-

8 +/-

New build economics still support growth strategy

We have shifted new build strategy toward higher opportunity branches

We will also continue to build branches to meet our responsibilities under the Community Reinvestment

Act (“CRA”)

1

Contribution

basis

which

includes

all

of

the

direct

branch

costs

(costs

within

the

walls

–

e.g.,

occupancy,

salaries

and

benefits,

technology/equip),

as

well

as

variable

product

costs

23

Individual branch example using through-the-cycle rates

Cumulative

new

build

pretax

earnings

($mm)

¹

~1,250

new

builds

between

2002

and

2011

contribute

$1B+/-

in

2018

Future new builds provide a significant long-term opportunity

New builds remain a $1B+ pre-tax opportunity

1

Assumes low rates through 2014, normalizing thereafter

2

Including 900 potential new builds

24

Treasury

&

Securities

Services

~30% commercial

dollars deposited

through the branch

channel

~20% of JPM IM US

Retail AUM comes

from the branches

Business unlikely to

exist without retail

presence (>16mm

branch transactions

annually by CB clients)

$0.4-$0.5B of projected

long-term CB target net

income opportunity

from Middle Market

expansion in the WaMu

footprint

Consumer & Business Banking

Mortgage Banking

#1 SBA lender

#2 ATM network

#3 in deposit market

share

1

#3 in branches

1

FDIC data as of June 2011

Retail branches are critical to fully integrated client solutions

25

Asset

Management

~45% of Chase

branded cards sold

through branches

~40% of Card

Services revenue from

new merchants

sourced through the

branches

~50% of retail

mortgages originated

through branches

Leveraging the retail branch platform

Requirements for succeeding in the new environment

Strong reputation and customer experience

Convenience –

Branches and ATMs

Capacity to invest and innovate

Complete and best-in-class financial services offerings

Cost effective service model

Ability to adapt

Successful banks will be those which can leverage these characteristics into

a strong growth proposition

26

Capacity to invest –

Building the foundation for future earnings

Continue to invest even in difficult times

Even with investment spending, we have strong

quality of earnings

Peers who have limited capacity or chose not to

invest will pay for it in future earnings

PTPP as disclosed

Incremental PTPP adj. for

investment spend

2009

2010

2011

Overhead reported/adjusted

58% / 53%

60% / 53%

62% / 53%

ROE reported/adjusted

1

42% / 47%

36% / 41%

40% / 47%

27

Note: investment spend includes new builds, business banking expansion, new CPC locations, advertising and marketing, sales force adds, technology, branch signage /

interior upgrades, and ATMs

1

Excludes investment spend

Pre-tax pre-provision ($B)

$8.5

$8.0

$8.0

$2.8

$1.9

$1.5

Comments

Performance metrics

Investment cash spend ($B)

Requirements for succeeding in the new environment

28

Strong reputation and customer experience

Complete and best-in-class financial services offerings

Convenience

–

Branches

and

ATMs

Capacity to invest and innovate

Cost effective service model

Ability to adapt

Successful banks will be those which can leverage these characteristics into

a strong growth proposition

Investments in automation have led to an increase in customer self-

service…

CAGR = 54%

CAGR = (5)%

11%

CAGR

140%

29%

28.5

24.3

17.2

Source: JPM Chase Internal Data

1

All interaction (i.e., logins, visits, deposits) per household figures include total Consumer households for the quarter (both channel active and inactive households)

2

Analysis includes only ATM and Teller deposits (excludes Mobile Quick Deposits)

Approximately 90% of transactions are now self-service

CAGR = (9)%

29

Digital –

Avg. quarterly logins per Consumer household

Branch –

Avg. quarterly visits per Consumer household

ATM –

Avg. quarterly deposits per Consumer household

Teller share of deposit volume

1

1

2

1

…and we are positioned to continue innovating and reducing the cost to

serve

Pilots in multiple branches

Positive customer reaction (similar to

airline industry)

Self-Serve Teller machine at the teller line

Will be able to support check cashing, multi-

denomination deposits and withdrawals

“The denomination choice

for customer withdrawals

is a great feature”

“The large screen

is very engaging

and easy to use”

Chase customer reactions

Note: data reflects 4Q11

30

Testing new Self-Serve Teller (SST) technology in branches

Instant issue debit and credit

% of Deposit transactions automated

Sales tablet interface

Telepresence

Requirements for succeeding in the new environment

31

Successful banks will be those which can leverage these characteristics into

a strong growth proposition

Ability to adapt

Cost effective service model

Capacity to invest and innovate

Convenience

–

Branches

and

ATMs

Complete and best-in-class financial services offerings

Strong reputation and customer experience

Winners will need to adapt to regulatory change

32

We have made a commitment to “One Chase”

and customer experience –

Not all

banks have capacity to invest in people, systems and processes needed

Banking

Mortgage

Credit Card

The customer

Banking and

Investments

Mortgage

360 degree view of customer relationship

Differentiated view of customer needs

Consistent customer experience by segment

Full range of best-in-class products and services

One

33

Customers

Customers

Customers

Products

Products

Products

Services

Services

Services

Product-based delivery model

“One Chase”

customer experience

Customers

see

us

as

“One

Chase”

–

We

should

too

Credit Card

There is significant opportunity to deepen affluent relationships across LOBs

Credit card

2.7mm HHs (54%)

Banking and Credit card

1.4mm HHs (28%)

Consumer Banking

0.8mm HHs (18%)

Note: data as of May 2011

Unmet opportunity ($B)

D&I at competitors

$1,100

$4,100

Credit card spend

at competitors

40

65

34

4%

of

Chase

in-footprint

households

have

a

Banking,

Credit

card,

and

Mortgage

relationship

Significant opportunity to deepen affluent relationships (in-footprint segment 5 households)

$1,650

35

Near-term headwinds will slow –

Our focus on strong underlying growth will

pay off

Near-term headwinds

Medium-term uplift

Longer-term growth

$0.5:

’02-’11

New Builds

($0.3):

’12+

New Builds

$0.3:

Business

Banking

$0.4:

Chase

Private Client

$0.5:

’02-’11

New Builds

$1.0:

’12+

New Builds

$0.7:

Business

Banking

$0.6:

Chase

Private Client

1

Consistent with 2012 outlook provided in 4Q11 earnings materials

4% underlying annual growth (net of investment) assumed

35

Simulated pretax income ($B)

B

R

A

N

C

H

I

N

N

O

V

A

T

I

O

N

S

February 28, 2012

Ryan McInerney, Consumer Banking Chief Executive Officer

Branch innovations –

Overview

Consumers

are

increasingly

adopting

new

technologies

at

a

rapid

pace

–

evident

by

ATM

deposits and mobile banking adoption rates

We are testing a number of new technology innovations in our branches to improve the

customer experience and reduce costs

Redesigning

the

teller

line

experience

via

Self-Serve

Teller

and

Paperless

Teller

Improving

card

convenience

and

activation

rates

via

Instant

Issue

Card

Offering specialized service and face-to-face sales through ExpertLink (Telepresence)

Testing several other innovations to improve sales and transaction capabilities in branches

and ATMs

While it is still early, we believe these innovations could meaningfully change how we serve our

customers and staff our branches

More

self-serve

options

to

improve

convenience

and

hours

of

operation

while

lowering

costs per transaction

Paperless

branches

–

Leveraging

technology

to

reduce

costs,

eliminate

errors,

and

improve sales and service 

More

capabilities

in

more

places

–

Greater

access

to

service

and

sales

specialists

across

all branches via Telepresence, combined with ATMs that offer increased functionality

1

To integrate self-service, we are redesigning our overall teller line

Experimenting with best mix of Self-Service Teller machines and full-service teller stations 

Designing flexible architecture to increase Self-Service Teller lines over time

Testing whether customers prefer assistance from behind the line, side by side, or both

Designing new Self-Service technologies for drive-up lanes

Beginning to integrate Teller and ATM user interface and systems

2

Teller line redesign

Self-Service Teller

Performs all typical ATM functions, plus additional

functions such as check cashing

Customer can choose multiple denominations (not

just $20 bills)

Some lessons learned

Customers find the large touch screens very

attractive and user friendly

Supporting tellers easily handle two lines at once,

even during peak periods

Enables employees to focus on higher impact

interactions

Check cashing at

traditional teller

line dropped 40%

after Self-Serve

Teller capability

was introduced

Automated platform allows customers to perform

90%+ of current teller transactions via self-service

Can support extended hours access (24-hour access

in many locations)

Make it easier for customers to get in and out quickly

Allows more efficient staffing, lowering average costs

per transaction

3

Self-Service Teller

Purpose

Functions

Piloting in 6 locations

Paperless Teller

Brings customer into session more quickly

Customer does not have to complete a paper

slip

Provides enhanced authentication; customer

uses card swipe and PIN to authenticate

Some lessons learned

Some learning curve for customers to use

electronic teller versus paper slips

Ensure angle and screen protection provide

maximum privacy

Positive customer reactions in branch tests

“I liked how simple it was.”

“Makes my transactions easier.”

“I’m satisfied, especially with the savings on trees.”

Significantly reduce teller transaction slips and

receipts (currently almost one billion per year)

Increase accuracy and reduce disputes

4

Paperless Teller

Purpose

Functions

Piloting in 5 locations

20mm+ Chase credit and debit cards are issued

annually for new customers and replacements

Improves experience and reduces costs via same

day pickup at a branch instead of mailing a card

More convenient account opening process and

higher activation rates

Opportunity to improve credit card cross-sell at the

branch in the future

Instant Issue Cards

New and existing customers can have debit card

issued instantly at the branch

Debit card immediately active for PIN and signature

based transactions

Future functionality will include credit cards

Nearly 85,000 cards

issued during pilots

since 2008

Some lessons learned

Customers

love

“on

the

spot”

solution

instead

of

waiting for the mail

Instant issue increases sales and customer

engagement

Servicing model is being refined, as we scale

5

Instant Issue Cards

Purpose

Functions

Piloting in 58 locations

ExpertLink (Telepresence)

ExpertLink provides a face to face interaction

with specialists via telepresence

Functions tested in different locations

Sales: Mortgage, Investments, and Business

Banking

Service: Spanish language banking, debit

claims, fraud, and banker support

Some lessons learned

Experience is superior to phone

Customers very willing to open accounts via

ExpertLink

Increase sales in branches by connecting

customers with sales and service specialists

Improve customer experience by offering multi-

lingual support and specialized services

6

ExpertLink (Telepresence)

Purpose

Functions

Piloting in 13 locations

Other innovations we are developing and testing

Customers fill out their own profile information

prior to banker meeting. Customers prefer to

share more information via this experience

Increase functionality and customer experience

Help customers set up their mobile banking in

the branch immediately after account opening

Touchscreen sales process with paperless

account opening and eSignature. Documents

are sent to email or online document vault

7

Self-Profiler on an iPad

Next Gen ATM

Paperless sales

Mobile Demonstration Zone

C

A

R

D

S

E

R

V

I

C

E

S

&

A

U

T

O

February 28, 2012

Gordon Smith, Chief Executive Officer Card Services & Auto

***********

***********

***********

***********

***********

***********

***********

***

Executive Summary

Consumer and Small Business Card performance is consistent with last year’s guidance

Outstandings

stabilized

reaching

the

target

of

$120B

at

year

end

1

Net

charge-off

rate

in

4Q11

of

4.33%

in

line

with

4.50%

+/-

target

Revenue margin

at 12.3% for FY2011 in line with 12.0%-12.5% target

Our focused investments are yielding attractive returns and driving continued market

share growth

4Q11

sales

growth

of

13.6%

remains

robust

2

Engagement

levels

continue

to

increase

–

501

bps

lift

in

sales

active

rate

and

38%

lift

in

sales

per sales active since 2009

Market

share

of

general

purpose

credit

card

sales

has

now

grown

by

322

bps

since

2007

Paymentech sales volume is up 18% fueled by 34% growth in new merchant accounts through

retail branches

We are seeing rapid adoption of our digital capabilities

Chase.com

is

the

#1

most

visited

banking

portal

3

and

our

customers

spent

over

$85B

online

during 2011

We have 15 million registered mobile users and our customers moved $33B in 2011 using

mobile channels

We have made significant investments in mobile (QuickPay, QuickDeposit, Jot)

Note: Consumer and Small Business Card represents Card Services excluding Commercial Card

1

Excludes WaMu

2

Excludes Kohl’s

3

Based on Jan’12 compete.com rankings

1

Agenda

Page

2

Financial performance

2

Our investments are yielding attractive returns

11

Digital and mobile growth

18

We have shown consistent progress against our targets

Source: internal Chase data

Note: Component numbers may not equal total Card Services & Auto

due to rounding

1

Mass Affluent includes WaMu (except for sub-prime portion)

2

Paymentech ROE represents return on tangible equity

3

Includes Student and sub-prime portion of WaMu

4

Excludes Commercial Card

3

($B)

Affluent and

High Net Worth

$40

$169

Revenue m

argin

10.8%

10.6%

11.1

%

11%

-

13%

ROE

23

4

16

> 20

Mass Affluent

1

79

144

Revenue m

argin

11.4%

11.3%

11.7

%

10%

-

12%

ROE

(2)

(18

)

12

15

-

18

Small Business

6

27

Revenue m

argin

11.8%

12.6%

14.2

%

13%

-

15%

ROE

(32

)

(25

)

12

> 20

Chase

Paymentech

2

N/A

N/A

ROE

36%

41%

47%

> 20%

Auto

47

N/A

ROE

21%

32%

34%

18% +/-

Corporate

3

2

0

4

Card Services

4

Revenue m

argin

11.8%

11.9%

12.3

%

12

.0% -

12.5%

Card Services

4

&

Auto

$19

2

$344

ROE

(10%)

16%

29%

20% +/

-

2011

EOP

outstandings

Sales

volume

2009

2010

2011

Through

-the-cycle

targets

Pretax pre-LLR profit has been steadily increasing since 1Q10

Consumer and Small Business Card

1

trends in sales, outstandings, and pretax pre-LLR income

Source: internal Chase data

1

Excludes Kohl’s

4

Revenue margin¹

15.7%

15.5%

12.4%

10.1%

15.9%

17.0%

12.8%

12.3%

AXP (US Card)

COF (US Card)

DFS

Revenue margin continues positive trend

1

Revenue margin defined as revenue over average outstandings

2

AXP revenue have been adjusted to exclude estimated rewards costs

3

DFS

revenue

represents

Direct

Banking

segment

fiscal

year

ending

November;

2008

data

has

been

adjusted

to

exclude

$863mm

in

VISA/MasterCard

litigation

payments

in

4Q08

2

3

Chase Consumer and

Small Business Card

Steady state

12.0% -

12.5%

2008

2011

5

16

155

38

220

0.4%

3.1%

1.1%

6.8%

2008 –

2011

Growth (in bps)

CAGR

$131

Source: internal Chase data

1

Run-off balances include certain legacy WaMu loans, legacy balance transfer programs and terminated partner portfolios (e.g. Kohl’s )

Consumer and Small Business Card end-of-period outstandings ($B)

Outstandings have stabilized

$138

$163

1

6

Loan losses show continued improvement

Consumer and Small Business Card net charge-off and delinquency rate trends

7

Trends in Consumer and Small Business Card expense

(indexed to 2009)

Source: internal Chase data

1

Excludes new business initiatives and investments

Core

operating

expense

is

tightly

controlled

as

we

invest

in

new

capabilities

and

growth

Consumer and Small Business Card core operating

expense¹

($B, indexed to 2009)

8

3Q11

3Q09

3Q10

Evaluate over 2,000 acquisition marketing

investments per quarter

Very granular level

Forecast P&L with all metrics

Projections based on past experience

Adjusted for expected changes

Determine how much to invest based on the

attractiveness of choices

Select investments to maximize the overall

return on our marketing spend

Ensure each investment meets NPV,

undiscounted payback and ROE hurdles

Process of selecting marketing investments

Vintage

Lifetime

ROE

1,2

Average payback

period (years)2

> 30%

> 35%

> 40%

Return on new account investment will sustain portfolio steady state ROE of 20%+/-

< 5

< 5

< 3

1

Based on actuals through 4Q11 and forecasts

2

Excludes fixed operating expense and advertising media expense on existing accounts

9

Through-the-cycle targets

4Q11

Revenue margin

12.0% - 12.5%

12.2%

Expense

4.5%+/-

4.8%

Net charge-off rate

4.5%+/-

4.3%

Equity

$13B

$13B

ROE¹

20%+/-

18%

Through-the-cycle targets for Consumer and Small Business Card

1

Excludes

impact

of

loan

loss

reserve

actions

and

assumes

39%

tax

rate

10

Consumer and Small Business Card key metrics

Agenda

Page

11

Our investments are yielding attractive returns

11

Financial performance

2

Digital and mobile growth

18

Trend in Consumer and Small Business Card customer acquisitions metrics

We are acquiring high quality engaged customers

Source: internal Chase data

1

Excludes terminated partners

12%

12%

41%

41%

98% Increase

New accounts (‘000s)

Sales volume from new accounts ($mm)

25% Increase

CAGR

12%

41%

CAGR

1

1

12

We continue to see improvements in sales activation rates and sales per sales active

Source: internal Chase data

Note: sales active population excludes accounts with only balance transfers or cash advance activity

38% Increase

501 bps Increase

Sales activation rate

Sales per sales active

Trend in Consumer and Small Business Card portfolio metrics

13

Oil

Discretionary

Source: internal Chase data; excludes WaMu, International, and Private Label

1

Everyday retail includes supermarket/grocery stores, department stores, discount stores, and wholesale clubs

We are continuing to experience growth within all merchant categories

Trends in YoY sales growth by merchant category

Total

Non

discretionary

excluding oil

Everyday

Retail¹

Bills

Healthcare

Gov.

Travel

Dining

B2B

Discretionary

Retail

Non Discretionary excluding oil

Discretionary

14

Source: earnings releases; internal Chase data; internal Chase estimates

Note: GPCC includes consumer, small business, charge card but excludes commercial

1

AXP includes cash advances, excludes Global Network Services (GNS) volumes

2

Chase

sales

data

excludes

WaMu,

cash

advances,

balance

transfers

and

Private

Label

3

BAC

includes

U.S.

consumer

and

small

business;

2007

is

estimated

to

exclude

international

4

C includes C branded and excludes non-core retail partner portfolios

5

DFS sales data excludes cash advances

Chase has gained sales market share vs. competitors over the past 4 years

2011 General Purpose Credit Card (GPCC) sales volume

market share

2

5

3

4

Change in GPCC sales volume market share (bps) —

2007

vs. 2011

1

15

We continue to leverage the JPMC franchise

Global

Corporate

Bank

Investment

Bank

Retail

Financial

Services

Leveraging the JPMorgan Chase franchise

$193B in outstandings

~$132B OS in Consumer, Small Business,

and Commercial Card

~$61B loan balances in Auto & Student

Lending

~65mm credit card

open accounts

~$400B in sales

~$379B net sales in Card Services

~$21B loan originations (sales) in Auto

Card Services & Auto

Card Services is #1 among key issuers in General Purpose Credit Card receivables

Sourced Subaru,

Mazda, Jaguar, Land

Rover and Chrysler

Auto financing deals

though IB relationship

M&A advisory on Card

portfolio acquisitions

and divestitures

Issued 1.3mm new

consumer and small

business card accounts

through branches

Increased signings of new

Paymentech accounts

through branch referrals by

34%

Provided in person servicing

Sourced most new 

middle market

commercial card

customers through

Commercial bank

Generated >40% of

commercial card

revenue from JPMC

wholesale customers

Leveraged existing wholesale relationships and customers

Sourced new Paymentech accounts represents a considerable

part of Paymentech’s revenue from new customers

Sourced most new commercial card customers through referrals

These customers generate >50% of commercial card revenue

16

Paymentech continues its strong growth driven by new accounts from retail branches

New accounts from retail branches (‘000s)

34% Increase

Source: internal Chase data

1

Based on Visa and Mastercard publicly reported credit and debit sales volumes

Debit and credit volume 2011 YoY growth

810 bps Higher

1

17

Agenda

Page

18

Digital and mobile growth

18

Financial performance

2

Our investments are yielding attractive returns

11

Chase.com and partner websites

Branches

Mobile applications

Email

Telephone

Text messaging

Social media sites

ATM

Direct mail

Customers

One Chase

Digital strategy

Mortgage Banking

Consumer &

Business Banking

Card Services & Auto

Consumers

Small Businesses

Channels

19

Digital and mobile growth

Digital is key to our business

Chase.com

#1

most

visited

banking

portal

in

the

U.S.

1

With $85B + in e-commerce sales volume, we are among the largest players in the U.S.

Online channel is used 6x as frequently as the phone and 5x the branch

Digital channels drive increased engagement and efficiency

Mobile payments investments are gaining traction

15mm registered mobile users growing by 600k per month

$33B

payments

and

transfers

last

year,

momentum

suggests

this

will

be

double

in

2012

2

Chase Mobile generates more payments volume than eBay/PayPal, Amazon, and Apple

combined

Chase

Paymentech

is

among

the

largest

merchant

processor

of

mobile

payments

3

1

January 2012 compete.com rankings

2

Includes same customer funds transfers, QuickDeposit, QuickPay, credit card bill pay (Epay), bill pay, and wire

3

Based on analysis of Mobile Commerce Top 300 report

20

Chase.com is the most visited banking portal in the United States

Unique visitors

1

to online banking portal (mm)

Unique visitors

1

to chase.com (mm)

Source: January 2012 compete.com rankings

1

Based on actual distinct internet users

21

We are already among the largest e-commerce players in the U.S.

25% Increase

20% Increase

Chase e-commerce

1

total debit and credit sales volume ($B)

Paymentech e-commerce

1

gross dollar volume ($B)

Source: internal Chase data

1

Based on network reported transaction code

$85 +

$185 +

22

Digital channels are the most frequently utilized method of interaction for our customers

Average quarterly service interactions per core Retail consumer household by channel type

1

Source: internal Chase data

1

Quarterly

figures

based

on

all

core

Retail

consumer

households

(both

channel

active

and

channel

inactive);

“interactions”

include

branch

visits,

agent

and

IVR

calls,

and

online

and

mobile

logins

2

Does not account for multiple branch visits in one day

3

Excludes dropped calls

4

Excludes opt-out calls transferred to a banker

23

Everyday banking through digital channels has improved efficiency in the retail bank

Avg. quarterly # of deposits

per consumer household¹

Avg. quarterly inquiries per consumer household¹

Source: internal Chase data

1

Based on total Consumer households (both channel active and channel inactive)

2

Based

on

online/mobile

visits

where

customer

only

logged

in

and

did

not

do

other

transactions

(e.g.,

same

customer

funds

transfer,

QuickDeposit,

etc.)

24

Chase mobile adoption is growing quickly

57% Increase

Active Chase mobile users (mm)

Source: internal Chase data

1

QuickPay for mobile devices launched in early 2011

88%

138%

140%

200%

Mobile payment transactions (mm)

Growth

124%

Same customer funds transfer

QuickPay¹

QuickDeposit

Credit card bill pay (Epay)

Bill pay

25

Our 2011 mobile payment volume totaled more than 4 top players combined

1

Based on 2011 eBay SEC 10-K filing; includes U.S. and International

2

Based on Internet Retailer 2012 m-commerce report

3

Based on December 2011 Starbucks press release

4

Includes QuickPay, QuickDeposit, credit card bill pay (Epay), bill pay, and wire from mobile and excludes same customer funds transfers

2011 mobile payment volume ($B)

1

2

2

3

4

26

We are investing in three major opportunity areas in mobile

Mobile wallets

Mobile merchant

solutions

Mobile Person to

Person and check

How it works for customers

Use mobile device to

shop

Use existing payments

instruments and prepaid

Isis wallet available on

new phones

Use mobile device to

accept debit and credit

card payments anytime

anywhere in the U.S.

Use email or mobile

device to send

payments to others

What it involves

We support open wallets, multiple

technologies

For Isis, mobile network operators

will distribute Isis wallet through

retail outlets

Access to secure Near Field

Communication element on the

phone

Provide a solution for merchants in

every size category

Offer unique features

Market to new and existing clients

Expand to enable payments

between Chase and other banks

Further simplify and streamline

user experience

Explore new technologies

Mobile Network Operator 

backed open wallet

Mobile ordering startup

Current partnerships

Mobile opportunity areas

27

We

are

pursuing

investments

to

address

both

near

and

medium

term

digital

opportunities

Chase Digital Strategy: achievements to-date and 2012 roadmap

Near Field

Communication

wallet

partnership

m-commerce

platform

partnership

Storefront and wallet pilot

Chase terminal

with Near Field

Communication

capabilities

Pilot launch in 2 cities

Person to Person 

payments with other

banks

Ultimate Rewards

“Pay with Points”

Chase “My Offers”

Top 5% of all mobile

financial applications

Amazon cobrand

“Pay with Points”

tripled redemptions

Chase Community Giving

3.4mm Facebook fans

QuickDeposit

$2.6B in 2011

QuickPay mobile

$340mm in less than a year

To-date achievements

2012 -

2013

Mobile POS app and

smart phone card

acceptance

28

Key themes

Performance was consistent with metrics we described this time last year

We expect expense to be flat in 2012, as we self-fund innovation

Our tried and true investments are yielding attractive returns and driving growth in the business

We are deeply engaged in digital channels and we are seeing rapid adoption of our capabilities

Digital

channels

are

an

important

accelerant

of

our

business

model

–

Engagement,

efficiency,

and customer acquisition

Market share gains continue to accelerate

Loans outstanding have stabilized

Credit losses continue to perform well

29

February 28, 2012

C

O

M

M

E

R

C

I

A

L

B

A

N

K

I

N

G

Doug Petno, Chief Executive Officer Commercial Banking

**********

**********

**********

**********

**********

**********

*********

Opening thoughts

Introduction

Results are strong, but we are seeking continuous improvement and investing in

business

Record

2011

performance

–

Revenue,

net

income,

deposits,

and

investment

banking

Continued to invest in franchise –

Hired bankers, grew loans, and added clients

Market environment, while challenging, favors the Chase franchise

Not all commercial banks are created equal; we have a very strong hand

Clients –

Carefully selected

Platform –

Local knowledge and delivery, global reach

Products –

Best in class, competitive advantage

Scale –

Flight-to-quality by both clients and talent

People –

Seasoned and focused

Opportunity –

Tremendous opportunity in high potential markets

Our business model is proven and we remain focused on execution excellence

1

Agenda

Page

2

Business performance

2

Growth opportunities

14

Outlook

20

2011: a record year –

We continue to focus on executing our strategy

Business performance

3

Diversified business model –

Strength across all business segments in 2011

Business performance

Select highlights

Record ABL originations; zero net charge-offs

26% growth in equipment finance portfolio

41% increase in international revenue

Record gross IB revenue of $1.4B

57% YoY growth in M&A fees

Rates, FX and Commodities revenue increased by 16% YoY 

2011 revenue contribution by client segment –

Total revenue of $6.4B

1

Source: FDIC industry data as of 9/30/11

2

Full business results of Chase Business Credit and Chase Equipment Finance are included in client segment results

`

Corporate Client Banking

9% operating margin growth

43% increase in loans

Over 110 uptiers and new bookrunner roles on

syndicated lending transactions

Middle Market Banking

Seven consecutive quarters

of loan growth

1,200+ new clients added

Geographic expansion

on track and profitable in key

markets

Enhanced industry

specialized coverage

Commercial Term Lending

#1

multifamily

lender

1

Four-fold increase in originations

Continued improvement in overall

credit quality

Citi portfolio successfully integrated

and exceeding expectations

Real Estate Banking

Six-fold increase in originations

Strong pipeline for 2012

56% improvement in NPLs

49%

20%

18%

6%

7%

Other

Community Development Banking

Chase Capital Corporation

Chase

Business

Credit

2

Chase

Equipment

Finance

2

4

Our local delivery model fully leverages the firm’s global platform and financial solutions

Business performance

~23,000 clients

Middle Market Banking: ~21,000

Corporate Client Banking: ~1,700

Bankers, underwriters and service teams in 125 locations across 28 states, D.C. and 13 major international cities

1

75% of CB clients

use Treasury

Services products

Leveraging cash

management and 

trade finance

platform in CB

international

expansion

$2.3B in revenue

in 2011

Joint coverage

of foreign

multinational

clients

Presence in

40+ countries

CB leveraging

GCB footprint

and resources

Joint coverage of

nearly 1,800

CB clients

$1.4B gross

revenue in 2011,

including

$415mm in

Rates, FX and

Commodities

CB clients

accounted for

25% of North

America IB fees

in 2011²

Referral source

for Private Bank

and Private

Wealth

Management

CB clients

leveraging

Investment

Management

services

Opportunity to

bring in AUM

from CB client

M&A/IPO

transactions

Over 16mm

branch

transactions

annually by CB

clients

WaMu branch

footprint is

foundation for

Middle Market

expansion

Referral source

for Chase Private

Client

Referrals from

Business Banking

to CB

200+ affordable

housing and

community

facilities

transactions led

by Community

Development

Banking

Key referral

source for

private equity

investments by 

One Equity

Partners

Nearly $170mm in

Global Commercial

Card revenue

in 2011

CB clients

accounting for 66%

of total GCC clients,

driving nearly $15B

in Card spend in

2011

Opportunity to further

leverage Card as

wedge product in

growth regions

Treasury

&

Securities

Services

Global

Corporate

Bank

Investment

Bank

Consumer &

Business

Banking

Corporate/

Private Equity

Card Services

& Auto

Commercial Banking

1

Includes offices in Canada dedicated to Chase Business Credit and Corporate Client Banking only

2

Calculated based on gross domestic IB revenue for SLF, M&A, Equity Underwriting, Bond Underwriting

~36,000 real estate clients, owners & investors

Clients: ~1,400

Owners & investors: ~35,000

~36,000 prospects

5

Total revenue and non-interest expense ($B)

Maintaining expense discipline while steadily investing in business

Business performance

2005

2006

2007

2008

2009

2010

2011

10.7%

Total revenue

CAGR

3.5%

Total

non-interest

expense

CAGR

Overhead ratio

35%

36%

38%

53%

52%

48%

41%

$3.5

$1.9

$3.8

$2.0

$4.1

$2.0

$4.8

$1.9

$5.7

$2.2

$6.0

$2.2

$6.4

$2.3

Note: Numbers may not sum due to rounding

Total revenue

2005:

First full year post

Bank One merger

2009:

First full year post

WaMu transaction

$0.7

$0.7

$0.7

$0.7

$0.8

$0.8

$0.9

$1.2

$1.2

$1.3

$1.3

$1.4

$1.4

$1.4

Compensation expense

Other non-interest expense

2.5%

Other

non-interest

expense

CAGR

6

Loan balances (EOP, $B)

Steady growth in revenue and profitability driven by increase in

loans and deposits

Business performance

Liability balances (average, $B)

Clients continue to generate cash with few

alternative investment options and maintain more

cash liquidity

Spreads under continued pressure from low rate

environment

Six consecutive quarters of loan growth

Maintaining underwriting standards

Spread on new loans consistent with spread on

overall loan portfolio

34%

Savings

27%

Sweeps/other

$108.8

$135.6

$16.4

$24.1

$2.2

$11.5

$12.2

$2.8

$174.7

$138.9

Middle Market Banking

Corporate Client Banking

Other

Growth

25%

47%

6%

26%

+$35.9

2010

2011

Real Estate Banking

28%

39%

DDA

$37.9

$44.4

$16.7

$8.2

$3.8

$11.7

$7.6

$37.9

$38.6

$4.0

$98.9

$112.0

Middle Market Banking

Corporate Client Banking

Real Estate Banking

Commercial Term Lending

Other

Growth

17%

43%

2%

8%

6%

13%

+$13.1

2010

2011

32%

25%

43%

Deposits by type

100%

Total

100%

Utilization

30.3%

31.4%

Note: Numbers may not sum due to rounding

7

De-mystifying loan growth –

Increase driven by multiple sources

Business performance

Loan growth drivers

Taking share among larger

corporate clients

New client acquisition

across WaMu footprint

Increased activity across

select industries (energy,

utilities, machinery and

equipment manufacturing)

Shift by select clients to

direct bank loans in place of

issuing bonds

Differentiating capabilities

(i.e. multicurrency revolvers)

Minimal increase in

utilization

Lease portfolio grew by

more than $1B

Loan demand drivers

Capex (equipment,

infrastructure)

M&A transactions, fund

distributions (dividend

recap)

Opportunistically acquire

real estate/office space

$0.6

$0.7

$1.8

$4.7

$5.1

$0.2

CCB

GNPH

Leg Core MM

Exp Core MM

CTL

REB

2011

Corporate Client

Banking

Legacy

Middle Market

WaMu expansion

Middle Market

Commercial

Term Lending

Other

Total YoY

loan growth

$13.1

By client segment

Real Estate

Banking

39%

36%

13%

5%

5%

2%

100%

2011 Commercial Banking YoY loan growth ($B)

Highlights

Note: Numbers may not sum due to rounding

$0.7

$2.6

$2.2

$1.5

$1.3

$1.2

$0.7

Healthcare

Oil &

gas

State &

muni gov’ts

Machinery

& equipment

manufacturing

Other

(24 industries)

$13.1

Consumer

products

Metals &

mining

$3.0

Total YoY

loan growth

By industry

20%

10%

5%

9%

23%

17%

Real

estate

12%

5%

100%

8

C&I –

Business optimism is up but caution remains; strong competition

for good clients

Business performance

With certain regional and industry exceptions, clients are in good shape

Profitable, liquid, and less leveraged

Accessed long-term markets

Well-positioned to withstand potential slide in recovery

Client confidence and optimism expected to improve gradually as macro-risks subside

State of client

base

Weakened or distracted competitors in many markets

Certain European banks retrenching

Intense competition for high-quality clients; larger competitors aggressively defending key clients

Customers seeking stability and one-stop shopping

Likely to see more large portfolios come to market as banks recapitalize

Competitive

landscape

Loan demand drivers in 2012 will be similar to 2011

Expect utilization to stay flat absent material economic uptick

Outlook

6.3%

5.3%

3.2%

7.5%

(2.0)%

1.3%

1.7%

3.7%

3.3%

2.4%

(4.3)%

(2.0)%

0.3%

1.5%

0.9%

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

QoQ C&I loan growth

Total C&I industry loan growth

1

Chase Commercial Banking

1

Source: FRB H.8 Assets and Liabilities of Commercial Banks in the United States for February 10, 2012 (not seasonally adjusted)

4.3%

2010

2011

9

CRE –

Multifamily in robust recovery while other asset classes have stabilized

Business performance

State of client

base

Spreads holding steady as number of active CRE lenders remain limited

Underwriting standards holding steady

Select lenders willing to take large hold positions

Competitive

landscape

Outlook

3.7%

(1.6)%

(1.5)%

1.8%

0.5%

(0.7)%

1.4%

(3.6)%

(0.8)%

(2.3)%

(2.4)%

(2.3)%

(2.2)%

(1.8)%

(1.5)%

(1.1)%

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

QoQ CRE loan growth

Chase Commercial Banking

Total CRE industry loan growth

1

2

2

First fiscal quarter end after acquisition of Citi’s $3.5B Commercial Term Lending portfolio

1

Source: FRB H.8 Assets and Liabilities of Commercial Banks in the United States for February 10, 2012 (not seasonally adjusted)

2010

2011

Real estate fundamentals continue to improve and net operating income is rising across many

markets and property types

Vacancy

rates

declining

but

broader

economic

uncertainty

weighed

on

Office,

Retail

and

Industrial

properties in 2011

Core

markets

such

as

New

York,

Washington

D.C.

and

San

Francisco

are

showing

stronger

signs

of

recovery

Secondary and tertiary markets will likely not recover until we see material improvement in

unemployment

Increasing rents and declining vacancies expected to continue driven by

Increasing demand

Lack of supply

Continued weakness in the single-family housing market

Lack of momentum in CMBS market reinforces need for alternative capital sources

10

Our granular, diversified portfolio reflects our focus on client

selection and risk discipline

Business performance

Average C&I loan size of $2.3mm

Average Middle Market relationship tenor of 15+ years

72% of C&I portfolio is secured

No industry accounts for more than 6% of total loan portfolio

Granular, high-quality state and municipal loan portfolio

94% of outstanding loans to clients rated equivalent of

investment grade

Middle

Market

Banking

40%

Real 

Estate

Banking

7%

Other

4%

Corporate

Client

Banking

15%

Commercial

Term Lending

34%

Total loans: $112B

Loan portfolio by business

Midwest

20%

Total loans: $112B

West

37%

South

22%

Northeast

19%

International/other

2%

Loan portfolio by geography

1

Healthcare

6%

Multifamily

CRE

31%

Retail

4%

State & muni

governments –

6%

Other

CRE

14%

Oil & gas

4%

Other

(24 industries)

26%

Total loans: $112B

Loan portfolio by industry

Consumer

products

5%

Machinery

4%

Commercial & Industrial

~23,000 clients

51% of Real Estate Banking portfolio was originated in

2009 or later

Limited construction risk

Focused on top-tier real estate companies

Commercial Term Lending portfolio has stabilized

properties and no construction risk

Average loan size of $1.1mm

Multifamily accounts for 66% of total CRE portfolio

Note: Numbers may not sum due to rounding

1

Based on client domicile

11

Commercial Real Estate

~36,000 real estate clients, owners & investors

Continued strong credit performance

Business performance

Net charge-offs

3

2006-2007 CRE NPLs and NCOs reflect Real Estate Banking only; 2008-2011 CRE NPLs and NCOs also include Community Development Banking; 2009-2011 NPLs and NCOs also include Commercial  

Term Lending

2

Peer averages include CB-equivalent segments or wholesale portfolios at BAC, CMA, FITB, KEY, PNC, USB, WFC

12

1

2006 Commercial Banking NPL ratios are based on average loans; 2007-2011 Commercial Banking NPL ratios are based on end-of-period loans

Non-performing loans

1

0.94%

0.89%

0.22%

0.23%

0.41%

0.89%

2.07%

2.02%

3.07%

Peer average

2

Total Commercial Banking

Legacy WaMu portfolio only

Legacy Chase portfolio only

$0.1

$0.1

$1.0

$2.8

$2.0

$1.1

Total CB NPLs ($B)

0.26

0.16

0.6

1.01

0.75

0.36

C&I NPLs (%)

0.03

0.70

2.75

4.67

3.37

1.67

CRE NPLs (%)

3

1,255%

1,161%

275%

109%

130%

251%

Total CB LLR/NPLs (%)

2006

2007

2008

2010

2011

2009

4.43%

3.35%

4.21%

1.67%

1.02%

2.02%

2.87%

2.23%

0.07%

0.35%

0.05%

0.18%

0.16%

0.28%

1.35%

0.75%

2.00%

$0.0

$0.0

$0.3

$1.1

$0.9

$0.2

0.05%

0.05%

0.17%

0.71%

0.61%

0.09%

C&I NCOs (%)

0.06

0.23

1.62

1.36

1.26

0.28

CRE NCOs (%)3

Total CB NCOs ($B)

2006

2007

2008

2009

2010

2011

50 bps through-the-cycle NCO target

Peer average

2

Total Commercial Banking

Legacy WaMu portfolio only

Legacy Chase portfolio only

0.93%

1.16%

1.02%

1.20%

0.74%

0.94%

We are well-positioned relative to peers against major market drivers and key trends

Business performance

Current business model generates high returns (20+% ROE target; ~30% in 2011)

Multiple revenue sources to supplement lending returns

Loan pricing decisions, and businesses presently modeling and adapting to higher capital

requirements

Risk appetite will not change

Increased

capital

requirements

Client

selection

-

Client

base

is

much

better

prepared

Loan portfolio in excellent shape across all businesses

Substantial loan loss reserves

Strong base annuity business creates earnings resiliency

Fortress

balance

sheet

gives

us

capacity

to

bid

for

select

asset

opportunities

from

deleveraging

by certain competitors

Strong acquisition track record; successfully integrated $3.5B Citi multifamily lending portfolio into

CTL

Overall CRE is growing; key peers face more significant run-off

Sizable greenfield C&I loan growth opportunity in expansion markets

Focus on expanding share among larger corporate names

Eurozone

concerns

Threat of

double-dip

Loan

demand

Record results in 2011 despite low rates

Flight to quality

Multiple NIR opportunities through broad product capability

Sustained

low rates

Record deposits; potential earnings benefit from normalized yield curve is substantial

Utilization levels will eventually improve

Recovery

will

present

IB

opportunities

across

broad

and

expanded

client

footprint

Investments and focus through the downturn will pay off

Eventual

economic

recovery

13

Agenda

Page

14

Growth opportunities

14

Business performance

2

Outlook

20

Expanding into new markets

Opportunity

Expand into new high-potential markets

Create scale in 19 new top-50 MSAs, including 6 of top-10

MSAs

Continue to add over 200 new clients a year

Long-term net income opportunity of $400-500mm

WaMu expansion markets

Out of footprint markets

Legacy markets

Legacy markets

Expansion markets

Expansion markets

Out of footprint markets

Out of footprint markets

Office location in expansion market

Office location in expansion market

Incremental prospects: ~15,000

or equivalent to ~70% of total existing Middle Market clients

Middle Market expansion

Growth opportunities

WaMu expansion markets

300+ dedicated resources firm-wide

850+ prospect calls per month

1

200+ new clients in 2011

As of year-end 2011

–

$2.9B in loan balances (up 155% YoY)

–

$1.7B in liability balances (up 280% YoY)

Breakeven in 2Q11; expecting full pay-back of start-up

investment in 2012

Out-of-footprint markets

40+ new bankers; actively building out coverage teams

Export our culture and risk discipline

Hire the right people with local expertise

Prudent client selection

Aggressive patience

Track individual market performance

Strategy

Progress

1

Based on average per month for 4Q11

MSA

Los Angeles

Miami

Atlanta

San Francisco

Seattle

San Diego

Tampa

Portland

Orlando

MSA

Los Angeles

Miami

Atlanta

San Francisco

Seattle

San Diego

Tampa

Portland

Orlando

MSA

Philadelphia

Washington D.C.

Boston

Minneapolis

St. Louis

Pittsburgh

Charlotte

Nashville

Richmond

Birmingham

MSA

Philadelphia

Washington D.C.

Boston

Minneapolis

St. Louis

Pittsburgh

Charlotte

Nashville

Richmond

Birmingham

Rank by size

2

nd

8

th

9

th

13

th

15

th

17

th

19

th

23

th

26

th

Rank by size

2

nd

8

th

9

th

13

th

15

th

17

th

19

th

23

th

26

th

Rank by size

5

th

7

th

10

th

16

th

18

th

22

nd

33

rd

38

th

43

rd

49

th

Rank by size

5

th

7

th

10

th

16

th

18

th

22

nd

33

rd

38

th

43

rd

49

th

15

Improve delivery of the full investment banking product capability to CB clients

Growth opportunities

CB

gross

IB

revenue

grew

6%

YoY

in

2011

despite

market

headwinds

($B)

50% of NA M&A deal fees are from transactions of <$1B

in size

Source: J.P. Morgan; S&P LCD

2012-2013

2014

2015

2016

2017

$144

$224

$201

$248

$311

16

2012–2017 total maturities: $1.1T

Continued focus on upcoming debt maturities will drive

SLF revenue (US leveraged debt maturities –

$B)

< $1B

49%

$1–5B

34%

>$10B

6%

$5–10B

11%

Total 2011 North America M&A fees: $10.8B

Source: Dealogic

Syndicated and Leveraged Finance

Selectively expand Lead roles in upcoming maturities and

new financings

Rates & FX

Increased Lead roles in credit facilities and international

expansion will drive additional revenue opportunities

Commodities

Deliver commodities risk management solutions to the

broader CB client base

$2.0

16%

17%

16%

20%

25%

25%

CB IB fees as percentage of North America IB fees

1

M&A and Corporate Finance Advisory

Dedicate resources to leverage full M&A and Corporate

Finance Coverage platforms

1

Calculated based on gross domestic IB revenue for SLF, M&A, Equity Underwriting, Bond Underwriting

$0.7

$0.9

$1.0

$1.2

$1.3

$1.4

Revenue target

2006

2007

2008

2009

2010

2011

Delivering international banking solutions locally and differentiating from the competition

Growth opportunities

(U.S. parent)

2,505

2,145

1,677

1,329

1,080

890

2005

2006

2007

2008

2009

2010

2011

744

Global capabilities delivered locally –

Wedge product with Middle

Market

Well-positioned with global platform and infrastructure

Leveraging GCB’s scale and global expansion

41% growth in international revenue in 2011

5-year overseas revenue target of $400-500mm

1

Excludes offices in Canada dedicated to Chase Business Credit and Corporate Client Banking only

Americas¹

Regional office locations:

US (New York,

Chicago, Dallas,

Irvine, Atlanta,

Grand Rapids)

Toronto

Mexico City

Sao Paulo

Regional office

locations:

Mumbai

Hong Kong

Shanghai

Tokyo

Singapore

Sydney

Regional office locations:

London

Frankfurt

EMEA

Asia Pacific

International clients

International

17

Real Estate Banking is well positioned to take advantage of the CRE recovery

Growth opportunities

Real Estate Banking

Upcoming CRE debt maturities ($B)

Grow portfolio opportunistically

Portfolio in excellent shape; appetite for high-

quality opportunities

Favorable competitive landscape

Undistracted team

Continued focus on risk discipline

Focus on top-tier real estate companies with broad

product needs

Source: Foresight Analytics, July 2010

$255

$285

$285

$305

$310

2012

2013

2014

2015

2016

Banks

CMBS

Life companies

Other

REB loan balances ($B)

REB production and pipeline ($B)

REB portfolio breakout

1

Non-

Construction

85%

Construction

15%

Total commitments: $12.4B

1 

Based on commitments as of 12/31/11

18

Commercial Term Lending is capitalizing on strong multifamily market fundamentals

Growth opportunities

Commercial Term Lending

Multi-family market drivers

Favorable market environment

Historical market participants no longer active

Attractive market pricing and terms

Strong market fundamentals

Opportunistically grow multifamily portfolio

Fully underwritten, “cash flow”

lending

Differentiate through best-in-class efficiency, local

presence, competitive pricing and certainty of

execution

Aggressively manage risk and credit costs

“Echo Boomers”

entering prime

age for renting

Decrease in homeownership

increasing rental demand

Limited new construction in the last

several years

Decreasing vacancy in existing

stock

Strong investor demand for

emerging multifamily market

Premium for newer quality

properties versus older assets in

non-core locations

CTL portfolio breakout

Multifamily

81%

Retail

8%

Office

6%

Industrial

4%

Other

1%

Stabilized properties

No construction risk

Average loan size of $1.1mm

$38.6

$38.5

$38.0

$37.7

$37.9

4Q10

1Q11

2Q11

3Q11

4Q11

CTL loan balances ($B)

CTL production and pipeline ($B)

Increasing

demand

Lack of supply

Strong investor

demand

19

$2.2

$2.2

$3.0

$3.0

$3.2

$0.7

$1.3

$1.9

$2.6

$2.4

Agenda

Page

20

Outlook

20

Business performance

2

Growth opportunities

14

Our financial targets remain the same

Outlook

Overhead &

credit costs

Maintain risk

and expense

discipline

1

Illustrative

2011

ROE

calculated

based

on

$9.5B

of

common

equity;

CB

common

equity

increased

from

$8.0B

to

$9.5B

on

1/1/2012

to

reach

8.5%

Basel

III

Tier

1

common

equity

target ratio

2

ROE

peer

average

reflects

CB

equivalent

segments

at

BAC,

KEY,

PNC,

USB

3

Peer

averages

for

overhead

ratio

and

NCO

ratio

include

CB-equivalent

segments

or

wholesale

portfolios

at

BAC,

CMA,

FITB,

KEY,

PNC,

USB,

WFC

Stand by ROE of

>20%, even with

more capital

Growth

Making progress

towards long-

term goals

21

Returns

Our core business principles remain the same

Outlook

Select strong companies in attractive industries with proven management

teams

Maintain long-term client relationships; average Middle Market relationship

tenor is over 15 years

Minimize concentrations in any industry or geography; maintain granularity

Capitalize on JPMorgan Chase’s extensive and differentiated product

suite to meet client needs

Actively refer our customers to other LOBs

Maintain expense discipline

Manage variable expenses in downturns

Only underwrite strong principals

Stop when the market is irrational; return when market has rationalized

Pre-determined market indicators in place

Invest in new markets and businesses to expand presence and market

share

Aggressively cover target markets

Client selection

Deliver the

entire firm

Continuous

investment in

growth

Expense

management

Manage real estate

and cyclical

exposures

through-the-cycle

22

Industry leading franchise with strong earnings and growth potential

Takeaways

Consistent strong financial performance

Strength across all business segments

High quality assets

Rigorous risk management

Expense

discipline

while

steadily

investing

in

the

business

with

long

term

view

Quality of our franchise positions us to grow

Organic growth –

Expanding footprint and deepening client relationships by differentiating

products, solutions and services

Synergies from the platform –

Strong internal partnerships, product capabilities

Quality and stability of people –

Continue to deliver locally with confidence and conviction

Well-positioned relative to peers against major market drivers and key trends

Proven business model

23

February 28, 2012

T

R

E

A

S

U

R

Y

&

S

E

C

U

R

I

T

I

E

S

S

E

R

V

I

C

E

S

Mike Cavanagh, Chief Executive Officer Treasury & Securities Services

******

******

******

******

******

******

*****

Treasury & Securities Services is a great business

State of the business

Strong

competitive

position

Deep and

stable client

relationships

Global

presence

Worldwide Securities Services (WSS)

~2,600 significant clients

84% of Fortune 500 companies

650 clients with >$1mm in revenue

Top 500 clients are ~80% of revenue

~1,500 significant clients

86%

of

top

50

global

asset

managers

3

400 clients with >$1mm in revenue

Administer over 20,000 funds

Treasury Services (TS)

#1 global clearer of U.S. dollars

#1

(tied)

share

leader

in

U.S.

Large

Corporate

Treasury

Management

Market

Penetration

providers

2

#2 global custodian by AUC

4

with $16.9T

Ranked

#1

of

the

5

largest

providers

5

#2

in

number

of

sponsored

ADR

shares

6

International revenue grew 22% in 2011

Conduct business in 66 countries; expanded

capabilities in more than 20 countries

Leveraging GCB expansion (75 bankers

hired in 32 countries)

Corporate clients with >$1mm in international

revenue up 19%

62% of 2011 revenue outside North America

Conduct business in 100 markets

#1 in Luxembourg and #3 in Dublin offshore

fund centers

7

Non-North America AUC up 14% in 2011

1

Federal Reserve, Clearing House for Interbank Payments (CHIPS), and Ernst & Young

2

Greenwich Associates, 2011

3

As ranked by Global AUM by Institutional Investor

4

JPM and competitor 4Q11 financial reports

5

Global Custodian, 2011

6

Various global exchanges, as of November 2011

7

Lipper’s

17th

Annual

Luxembourg

&

Ireland

Fund

Encyclopedias

Capital friendly businesses, with scale benefits and high barriers to entry;

steady revenue and earnings; strong long-term secular trends

1

1

($mm)

2010

2011

2011 YoY

Growth

Worldwide Securities Services

$3,683

$3,861

5%

Treasury Services

3,698

3,841

4

Revenue

$7,381

$7,702

4

Expense

5,604

5,863

5

Pre-Provision Pretax

$1,777

$1,839

4%

Credit Costs

(47)

1

NM

Net Income

$1,079

$1,204

12%

Key Statistics

Pretax Margin

23%

24%

ROE

17

17

Avg. Liability Balances ($B)

$248.5

$318.8

28%

Assets under Custody ($T)

$16.1

$16.9

5

International

Revenue

$3,624

$4,222

17%

Avg. Liability Balances ($B)

$146.4

$180.1

23

AUC ($T)

$6.3

$7.1

14

EOP Trade Finance Loans ($B)

$21.2

$36.7

73

Performance summary –

Stable earnings with upside

State of the business

Key business drivers trending higher

TSS average liability balances up 28%

Non-North America AUC up 14%; total AUC

at record level

Number of funds serviced up 13%

Global payment volumes up 4%

International clearing volumes up 8%

Trade loans (mostly international) up 73%

Revenue up 7% YoY, adjusted for Card transfer

TS revenue up 10% YoY, adjusted for Card

transfer

International revenue up 17%

–

APAC up ~$260mm, 26% YoY

–

EMEA up ~$270mm, 11% YoY

Pre-provision pretax up modestly, including

Continued investment, including the

international build-out

Exit costs taken to reshape business

Effective January 1, 2011, the commercial card loan business of approximately $1.2 billion that was previously in TSS was transferred to Card. The prior-year periods were not revised

Key financials

2

Comments

2011

Target

24%

35% +/-

Reaffirming performance targets for the business

Pretax margin

Margin improvement opportunities

International growth

Normalization of interest rate levels

2011

Target

17%

25% +/-

ROE

3

Margin impact /

timing

~5% / 2012-14

~6% / TBD

Leveraging firmwide capabilities will help deliver high top-line growth and higher margins

Margin

improvement

initiatives

can

add

3-5%

to

TSS’

pretax

margin

55% of revenue generated

outside North America

~28,000 employees

(~55% outside of U.S.)

~3,500 GCB significant clients

Clients

located

in

over

170

countries

and

territories

around

the

world

75% of CB clients

use Treasury

Services products

Leveraging cash

management and 

trade finance

platform in CB

international

expansion

$2.3B in revenue in

2011

Strong firmwide relationships: 78% of top clients

shared across the IB and TSS

Enhanced firmwide strategic planning for

largest clients

$200B+ of global exposure to GCB clients

Over

80%

of

2011

TS

firmwide

revenue

growth

from

GCB

covered

clients

1

Delivering differentiated solutions to clients

Prime Custody; Collateral Management;

Supply Chain Finance; Commodities Finance

Largest USD clearer worldwide

Value for Scale: leveraging platforms across

IB/TSS (collectively $1.6B in expense across

common areas)

$1B+ multi-year investment plan to support

expansion outside the U.S.

TSS largest

distribution channel

for AM money

market funds:        

~ $90B as of 2011

Client referrals to

WSS

Leverage common

DDA platform

Consumer Business

Banking clients use

TS services

($215mm in 2011,

up 10% YoY)

Treasury & Securities Services

4

Investment

Bank

1

Adjusted for Card transfer

Efficiency efforts will allow us to improve our margins while continuing to invest

Margin

improvement

initiatives

can

add

3-5%

to

TSS’

pretax

margin

Automation and platform renovation

Legacy consolidation/decommission

Distributed operating model

Virtualization/capacity on demand

Redeveloping

key platforms

Optimize location strategy

Less reliance on vendors

Agile development methodology

Increase

technology

efficiency

Increased business volumes with modest

application production support growth of 5%               

(CAGR ’07

to ’11)

Custody volume (+8%)

NAVs produced (+14%)

OTC derivatives (+30%)

Staff located in low cost sites (26% to 40%)

11% improvement in cost per head

Improvement in quality of application

functionality and time to market

International expansion of core capabilities

Improved collateral management capability

Global asset servicing platform

Global trade platform implementation

Next generation cash management platform

Invest in new

development

Development as a % of total spend

increased from 60% to 73%

Total development spend increased 20%

(CAGR ‘07 to ‘11)

Activities

Key metrics

Streamline fund accounting processes

Receivables workflow automation

Global payments process/self-servicing

Process         

re-engineering

9% improvement in cost per NAV

100% improvement in checks processed per

head

5

Disciplined management of client profitability and non-core activities

Margin

improvement

initiatives

can

add

3-5%

to

TSS’

pretax

margin

Exiting sub-scale businesses with no linkage to strategy and/or little

growth opportunity

Majority of financial impact already recognized

Reevaluating select markets and client segments to exit those with

unattractive risk/return profiles

New client management structure with P&L accountability (regional)

Historically product-led structure only

Greatly enhanced client-level planning for largest TSS clients –

Coordinated across the firm

Redirecting

resources,

focusing

on

clients

with

good

returns

and

growth

potential

Directing investment dollars aligned with client strategy and largest

revenue opportunities

Managing client

profitability

Focused on

our core

business

6

We

already

have

very

successful

global

franchises

in

both

TS

and

WSS

International opportunities will help generate revenue growth and attractive margins

WSS is our most global business

WSS international revenue 2010-2011 ($mm)

Over 13,000

employees, with

over 9,000 people in

72 locations outside

the US

42% of AUC from

clients domiciled

outside NA; 28% of

AUC serviced

outside NA

Total = $3.9B

TS international revenue 2010-2011 ($mm)

47% of TS revenue come outside North America

Total = $3.8B

Over 13,000

employees, with

nearly 6,000 people

in 90 locations

outside the US

57% of liability

balances outside NA;

virtually all (96%) of

trade assets are

international

7

Growth

22%

Growth

13%

Secular trends will help further accelerate international growth

International opportunities will help generate revenue growth and attractive margins

Transaction Services and Trade Finance –

positive long-term

outlook

Key drivers of TS growth

Financial market depth as % of GDP

4

–

Emerging markets are

a big long-term opportunity

TS will benefit from increasing cross-border

economic activity

WSS will benefit from deepening Capital Markets

and changes in client behavior and needs

Global investment flows are growing

Need for retirement savings is increasing (e.g., aging

population)

Complexity

is

driving

clients’

need

for

partner

(asset

servicing, margin pressures and regulatory changes)

Key drivers of WSS growth

Global payments are expected to grow 9% between

2010-2020E

1

Cross-border payments to grow 11%

1

Global trade growing at ~2x rate of GDP growth

2

Emerging markets account for 50+% of GDP growth and

are the fastest growing markets for Payments and Trade

3

1

Boston Consulting Group

2

World Trade Organization

3

International Monetary Fund

4

Based on 2010 data. Depth of a country’s financial markets is a function of the aggregate value of outstanding bonds, loans, and equity relative to the country’s GDP. CEE  

is Central and Eastern Europe. CIS is Commonwealth of Independent States

8

Source: Boston Consulting Group, IMF estimates. MENA is Middle East North Africa

Source: McKinsey Global Institute

2011 Highlights

On-going investments (largely

complete by the end of 2013)

Largely sufficient capabilities

based on client requirements

Legend

Opened our 6th branch in China (Harbin) and received

permission for another one in Suzhou

Opened expanded branches in Saudi Arabia and South Africa

and rep offices in Qatar and Panama City

Hired 75 Corporate Bankers in 32 countries

Built Trade Finance capabilities in 9 countries

Local capabilities to support GCB strategy will be largely established by 2013

Global Corporate Bank helping drive international growth across IB and TSS

Panama City

Ghana

Kenya

South Africa

Argentina

Chile

Suzhou, China

Russia

Saudi Arabia

Qatar

Harbin, China

Turkey

Nigeria

Colombia

Invested $200mm to expand local lending and

payment/deposit capabilities in 20+ countries

Holistic effort looking at target client needs against firmwide

product capabilities and infrastructure

Long-term plan for building Sub-Saharan Africa –

Starting

from South Africa and Nigeria

Branches (2011-2013)

9

International revenue growing significantly and banker hiring close to

completion

Global Corporate Bank helping drive international growth across IB and TSS

International revenue growth –

FY11 vs. FY10

Cash and

Liquidity

Trade

IB Markets with

Corporates¹

5 Year growth

vs. FY2010

>100%

>150%

>100%

1

Markets include Commodities, FX, and Rates for Corporate clients only

Bankers

98

177

252

~285

~300

Vast majority of revenue growth coming from deeper penetration of existing clients. More than

half from cross-selling new products and/or new geographies

On track to deliver $1B+ in incremental annual pretax across IB and TS by 2015

Investment spend largely complete by the end of 2013; positive contributor to profit growth and

margin (over time) for TSS

10

Client Need

Achieve bank account

rationalization across 15 countries

in Asia Pacific

JPM Solution

Employed consultative and solutions based approach to

propose optimized account structure

Provided dedicated regional and in-country technical and

implementation resources to manage deployment of the

proposed solution over a 7-year period, while minimizing

impact to existing operations

Client Need

Unlock value from its supply

chain, manage counterparty risk

and improve working capital

management

JPM Solution

Implemented a $350 million structured receivables

purchase solution across Europe, North America, Asia

Pacific and the Middle East

Reduced the client’s Days Sales Outstanding (DSO) from

30 days to between five and seven days

Purchased more than $1.3 billion

worth of receivables to

date 

Client Need

$3 billion financing, global

liquidity and cash management

JPM Solution

Acted as Joint Bookrunner on Vale´s 5-year, $3 billion

Revolving Credit Facility. The transaction set a record as

the tightest priced Brazilian corporate deal since 2008

and was the first jumbo transaction in the 2011 Latin

American syndicated loan market

J.P. Morgan was also selected as Vale's global bank for

USD liquidity and cash management

Significant international wins in 2011 generate good momentum

Global Corporate Bank helping drive international growth across IB and TSS

Client Need

Transition of $12.5bn

of custodied assets to

a captive asset

management entity

JPM Solution

One of the largest and most complex transitions of its

kind --

had to meet legal, regulatory and tax issues

across 30 emerging markets

Engaged the IB’s trading desk for execution

JPMorgan was also retained as global custodian for

the assets

11

Low rates: limited additional downside (and a lot of upside), partly mitigated

by balance growth

Annual NII impact of higher rates

Spread compression fully recaptured with ~200bp rise

NII if rates stay flat over the next 12 months is negative

~$50mm

Significant increase in deposit inflow since last year’s Investor Day

Flight to safety balances

Accommodating clients

Franchise balance growth

Largely international

$40B

franchise

$60B flight

to safety

Overall balance

growth of ~$100B

1-month rate

rise of 100 bps

+/-

$350mm

10-year rate

rise of 100 bps

< $50mm

Rate normalization alone would bring pretax margin to ~30%

12

Regulation: driving incremental cost, largely in current run-rate

Changes will require work

Expense up significantly since 2008

Regulatory and compliance costs up

~$100mm

FDIC expense up ~$170mm

Managing at Basel III capital rules now

Capitalized at 9%, with $7.5B in allocated

capital

New business evaluated using new

hurdles and returns remain strong

Basel III liquidity rules not final

TSS is a positive contributor to liquidity for

the firm

Product and pricing enhancements likely

(particularly for financial institutions)

130+ regulatory changes impacting the

business

In addition, heightened expectations

relative to existing regulation

It will increase the cost and affect the

service that clients receive from banks

Opportunity to distinguish ourselves

Impact is largely in run-rate

TSS is well positioned to adapt to higher regulatory burden and help clients as they face

increasing complexity

13

Closing thoughts: confident about the future

Great businesses with good momentum coming out of 2011

Realizing margin improvement

Leverage firmwide relationships, capabilities and coordination (client planning; Value for Scale)

Focus on business profitability, core activities, and target clients

Ongoing cost efficiencies within TSS

Capturing significant international growth opportunities

Strong global client relationships, but under-penetrated wallet

Secular growth of underlying TS and WSS markets

Navigating

headwinds

–

Largely

in

current

results,

with

upside

Low interest rates

Regulatory expense

Reaffirming performance targets for the business

14

February 28, 2012

A

S

S

E

T

M

A

N

A

G

E

M

E

N

T

Mary Erdoes, Chief Executive Officer Asset Management

*

*

*

*

*

*

*

*

*

Asset Management: a very strong business even through the crisis

1

Post Bear Stearns merger

($B, unless otherwise noted)

Record

1

Global Asset Management

Asset Management framework: designed for disciplined

management and client

focus in a complex and changing environment

Global Wealth Management

Operating Committee

Global Investment Management

Operating Committee

Highbridge Board

Global Private Bank

Private Wealth Management

JPMorgan Securities

Global Institutional

Global Retail

Investment Products

Hedge Funds

Principal Strategies

Gávea Investimentos

Finance

Human

Resources

Risk

Audit

Legal

Assets under

supervision  

$1.92T

Global

employees            

18,000+

Investment

professionals  

~1,300

Investment

strategies           

350+

Compliance

Technology 

&

Operations

Investment Committee

Risk Committee

4%

7%

4%

13%

2

Breakdown by product

Channels

Revenue

PB U.S.

PWM

PB International

JPMS

Products 

Revenue

Equity

Fixed Income

Global Cash

Global Real Assets

PE / HF

HB/Gávea

J.P. Morgan Asset Management overview

9 consecutive years of

Private Banking revenue

growth

8% front office growth (21%

internationally)

International revenue growth

in Private Bank (11%)

stronger than the U.S. (3%)

Euromoney –

#1 Global

Private Bank UHNW, #1 U.S.

HNW Private Bank

Financial Times –

Best

Global Brand in Private

Banking

Growth agenda focused on

international expansion and

high net worth markets

globally

Global Wealth Management

Global Investment Management

15% U.S. active, long-term

fund AUM growth

Eleven consecutive quarters

of positive long-term flows

Positive flows into every

asset class

Alternatives revenue up 21%

Largest Brazil focused

private equity fund

European Pensions –

Institutional Hedge Fund

Manager of the Year

The Asset –

Asia and Hong

Kong –

Best Asset

Management Company of

the Year

Growth agenda focused on

channel expansion across

global retail, retirement, and

insurance

Breakdown by channel

GWM: revenue up 5%

Observations

GIM: revenue up 4%

Observations

Note: Growth rates are year-over-year

3

Power of the platform: our model fully leverages the firm’s global platform and financial

solutions

Treasury

&

Securities

Services

Investment

Bank

Commercial

Bank

Retail

Financial

Services

J.P. Morgan Asset Management

Corporate/

Private Equity

Card Services

& Auto

Synergies of over $1B across LOBs

Leveraging the JPMorgan Chase franchise

Synergies account for over 10% of JPM AM revenue

Securities offerings,

structured products

and trade execution

offered to Private

Banking clients

$590mm in 2011 firm

revenue

IB referrals to AM:

$80mm in 2011

revenue

AM manages $90B of

AUM for TSS clients

$140mm in 2011

firm revenue

TSS provides

custodial and transfer

agency services to

AM

Referrals in both

directions

$15mm in 2011

firm revenue

Investment

Management

products offered to

Commercial Banking

clients

AM manages

$120B of AUA for

CB clients

$370mm in 2011

firm revenue

CB referrals to AM:

$70mm in 2011

revenue

AM products offered

to RFS clients

through Chase

branches

$40B in AUM

$510mm in 2011

firm revenue

JPM is one of the

fastest growing

providers of unified

managed accounts

Banking to CB

Credit cards issued to

Private Banking

clients

Corporate provides

asset and liability

management to AM

4

Drivers of our business: investment performance is first, everything else

second

Absolute

Relative

Risk-adjusted

Investment performance

Market levels/rates

Banking/lending

Brokerage activities

Global markets

Actual average flows

growth of 5% over 7

years

Revenue CAGR of 9%

since 2005

Outperformance

Innovation

Global presence

Net flows

Portfolio managers

Research analysts

Traders

Investing

Risk management

T&O/efficiencies

Controls

Platform

Rigorous expense

management

Continuous

reinvestment

6-year CAGR of 10%

Metrics based sales

coverage

New markets/channels

Solutions/advice

Distribution

7-year average of 31%

Margin

Target of 35%

+

+

Expense

Managed to margin target

over cycle

Revenue

Target flows +5%

5

Overall AM: adjusting margin exceeds target in most years; margin is

at high end of peers

JPM AM pretax margin

3-year average margins

Pretax margin: investments in people and technology

Net new front

office talent

Net new

technology

initiatives

Non-client

litigation

Target: 35%

Based on J.P. Morgan estimates

6

Overall AM: solid margin business

Global Wealth Management –

FY 2011 pretax margin

Median: 16%

Median: 26%

Based on J.P. Morgan estimates

1

Adjusted JPM IM margin includes Highbridge, Gávea and one-time items

36%

1

Global Investment Management –

FY 2011 pretax margin

7

Overall AM: flows very strong, revenue growth in top half of competitors

Revenue trend ($B)

Long-term flows & flows as % AUM

Long-term flows: 3-yr average flows ($B) & growth rate

LT AUM flows

target: 5%

($B)

10%

4%

7%

(2%)

7%

8%+

5%

12%

(2%)

(17%)

(13%)

Flows

Growth

7%

7%

4%

5%

(7)%

10%

10%

Based on J.P. Morgan estimates

8

Diverse sources of alpha leads to consistent flows, globally (mutual funds

only)

Performance: 3-year

Top 2 quartiles        3rd quartile       4th quartile 

No track record

9

Alternatives

Liquidity

Over 70% of long-term AUM exceeds median, driving robust flows

Fixed Income

Equities and multi-asset

Equities and multi-asset

Fixed Income

AUM growth and mix ($B)

Total AUM in 1

st

/2

nd

quartiles

AUM growth

2008 –

2011: 18%

CAGR: 6%

(16)%

55%

13%

87%

Total AUM in 1

st

/2

nd

quartiles

10

Top quartile eVestment rankings for 1, 2

and 3 years, through risk-on and risk-off

environments

Growing recognition from global

consultant community; critical to

securing institutional sales

$8.4B in Long Duration AUM ($10.5B

counting unfunded commitments), up

from $4.9B in 2010, and $1.9B in 2008

Expanding advisory capabilities to

position liability driven investing (LDI) in

broader asset allocation discussions

Meaningful SEC changes since 2008

have reformed the industry

Continued debate on regulatory

changes unresolved

Floating NAV possible, and already part

of J.P. Morgan’s suite of products

Risk aversion ebbing but heightened

focus on credit risk remains

Continued demand globally for J.P.

Morgan cash products

Fixed Income & Liquidity: multiple engine platform

Observations

Observations

Observations

New York, London, Asia Fixed

Income –

Core (NY)

Columbus Fixed Income –

Long

Duration

Institutional money fund market

share

1.3%

4.9%

3.0%

2.6%

(0.5)%

(2.2)%

Last year

5.1%

(2.8)%

(2.3)%

Performance figures from eVestment

Note:

Annualized

performance

results

are

as

of

December

31,

2011

and

gross

of

fees

Source: iMoneyNet

11

Globally diverse active equity platform

Note:

Annualized

performance

results

are

as

of

December

31,

2011

and

gross

of

fees

1

Performance net of fees Select Share Class

J.P. Morgan Fund

Benchmark

12

Solution and product innovation

Pre 1970’s

1970’s

1980’s

1990’s

2000’s

2010’s

Alternatives

Sale-leasebacks

Direct real estate

Private equity

Commodities

Highbridge Capital

Management

Hedge fund of

funds

Security

Capital/REITs

Highbridge Principal

Strategies

Hedge fund

customization and

advisory

Asian/European real

estate

OECD/Asian

infrastructure

Gávea Investimentos

Digital growth

China JV

Opportunistic U.S.

real estate

Maritime

Infrastructure debt

Equities:

from core to

alternatives

Core equity

International equity

Japan equities

Emerging markets

equities

Jardine

Fleming/Asian

equities

Dividend discount

model

Enhanced index

Market neutral

Long/short equity

Behavioral finance

European style

Thematic portfolios

Equity China JV

Structured notes

Managed volatility

Unconstrained equity

Fixed

Income:

from core to

alternatives

Money market

Core fixed income

International fixed

income

Private mortgages

Distressed debt

High yield

Long duration

Stable value

Currency

Muni private

placements

Insurance

Emerging markets

LDI

Inflation strategies

Absolute return

Multi-sector

Bank loans

Unconstrained fixed

income

Alternative

benchmark strategies

Asian credit

Hedge funds

Multi-asset

solutions

Balanced portfolios

Tactical asset

allocation

Global multi-asset

capabilities

Target date

Glide path advisory

Global absolute/total

return

Global Access

Portfolios

Opportunistic/ 

Thematic Advisory

Solutions

Risk managed

portfolio

Merger arbitrage

Local

Investors

New York

London

Hong Kong

Tokyo

Moscow

Melbourne

Singapore

Seoul

Taipei

Paris

Frankfurt

Columbus

Los Angeles

Houston

Luxembourg

Rio de Janeiro

Sao Paolo

Mumbai

Boston

Cincinnati

Indianapolis

San Francisco

Chicago

Shanghai

Beijing

13

GWM revenue per client advisor

Examples of expense measurement and discipline

GIM revenue per client advisor

PBUS

PBI

PWMUS

Global

Retail

Without expansion

Without expansion

Global

Institutional

14

Investment return periods differ by market and channel

GIM cumulative expansion payback periods

GWM cumulative expansion payback periods

Year of investment

Year of investment

International

PB market

U.S. PB market

U.S. institutional 

market

International

institutional

market

15

Risk management of loan book

Constant monitoring of risk, retention and regulations

Risk management of the jumbo mortgage book

Regulations

Top talent retention rate

Dodd Frank

Volcker Rule

Derivatives

Money market funds

Floating NAV

Capital requirements

Form PF

Proposed reporting requirements for private funds

Target: 95%

16

Closing thoughts

J.P. Morgan Asset Management

“…at all times the idea

of doing only

first-class business,

and that in a

first-class way”

–

John Pierpont Morgan, Jr.,1933

Strong investment performance

Constant innovation

Continued investment in the business

Disciplined expense management

Continued revenue growth

High ROE/margin business

17

February 28, 2012

I

N

V

E

S

T

M

E

N

T

B

A

N

K

Jes Staley, Chief Executive Officer Investment Bank

*

*

*

*

*

*

*

Agenda

Page

1

Performance

1

Markets

4

Business highlights

13

2011: strength amidst volatility

Performance

Near record performance

Revenue: $26.3B

Earnings: $6.8B (second highest)

ROE of 17% on capital of $40B

Further strengthened fortress balance sheet (Tier 1 common ratios)

Basel II: 13.7%

Basel III:  8.4%

Sustained Investment Banking leadership

#1

in

Global

IB

Fees

(third

consecutive

year):

8%

market

share

1

Record loan syndication revenue, advisory fees up 22%

Fixed

Income:

historic

high

revenue

market

share,

17%

2

Equities: record results

Commodities: complete franchise

1

Dealogic

2

Estimated using public disclosure of top 10 competitors, excluding DVA

2

Strategic initiatives: 2011 progress and 2012 momentum

Performance

Clients

Disciplined, sustained focus

Capital/risk

management

Prudent capital management

Continued focus on regulation

Efficient capital usage

Control during volatility

Repositioning ahead of new regulations

Technology

Strategic Reengineering Program: over

50% complete, on target

Doubled electronic equity internalization

Further reduced errors and cost per trade

Execute Strategic Reengineering Program

Rationalize IB/TSS costs and execution

(Value for Scale)

Deliver cross-asset platforms for innovation

International

Formed International Steering Committee

Expanded Markets footprint in 20 countries

Launched EMEA Prime Brokerage

TS/IB Markets growth with corporates

Add local market capabilities

Build Asia Prime Brokerage

Commodities

Achieved targets, increased client activity

Completed Sempra integration

Maintain leadership

Grow developing markets franchise

2011

2012

3

Agenda

Page

4

Markets

4

Performance

1

Business highlights

13

Credit, rates and currencies drive the global financial markets

Markets

Source: Federal Flow of Funds, Bloomberg, IMF, Bank for International Settlements, CBRC, CSRC, Thomson Reuters, SIFMA, McKinsey Global Institute

Note: “Gross U.S. equity and long-term debt issuance”

and “Daily average U.S. trading volume”

graphs not shown to scale

1

Municipal, Treasury, MBS, Corporate Debt, and Federal Agency securities

2

Daily average value traded by the NASDAQ and NYSE

Non-bank financial assets outpacing growth of traditional sources of

capital…

…and Fixed Income markets continue to dominate Equities

Fixed Income¹

Equities²

Daily average U.S. trading volume ($B)

Banks/Govs.

(J.P. Morgan, Fannie Mae, etc.)

Non-bank financials

(MFs, Insurance, HFs,

etc.)

Financial assets (% of GDP)

Fixed Income¹

Equities

Gross U.S. equity and long-term debt issuance ($T)

Capital by source (% of GDP)

Public Financial Markets

Banks/Govs.

As countries develop,

banks/govs. are replaced by

public market growth

Global financial assets are

expected to nearly double over

the next 10 years

5

Our client franchise is large, diversified and global

Markets

Other

Financials

8%

Insurance

4%

Corporates

13%

Broker-dealers

7%

Hedge Funds

23%

Asset

Managers

29%

Banks

16%

~16,000

markets clients

1

1

Other Financials includes public sector, pension funds, private equity, and SPVs

Latam

2%

Asia

10%

North America

55%

EMEA

33%

Latam

4%

Asia

9%

North America

68%

EMEA

19%

~5,000

issuer clients

Public

Finance

3%

Tech, Media,

Telecom

18%

Real Estate

7%

Natural

Resources

23%

Healthcare

11%

FIG

14%

Diversified

Industrials

13%

Consumer & Retail

11%

6

We have unmatched scale, diversification and leadership

Markets

Source: Dealogic, Coalition

Note: Coalition competitor set: BAC, BARC, C, CS, DB, GS, MS, and UBS

1

Fixed Income and Equities ranking as of 3Q YTD 2011 (Coalition –

Revenue); Banking rankings are FY 2011 (Dealogic –

Volume)

7

Scale

Diversity

Leadership

Primary and secondary issuance

Loan syndication

Treasuries, agencies, swaps, futures, options

Mortgage and asset backed securities

Non G-10 rates, credit, FX

Corporate bonds, loans, credit swaps, index

products

Swaps, futures, options, physical transactions

Spot foreign exchange swaps, futures, options

Rates and credit

High touch execution

Swaps, options, convertibles

Financing, execution, clearing

Margin financing, structured notes

2,500 salespeople

2,000 traders

2,000 bankers

800 research analysts

4,000 control and risk

professionals

13,000 tech. & ops.

professionals

40 countries

110+ trading desks

20 trading centers

IB revenue (typical quarter)

How we operate

Industry rankings

Descriptions

100%

Rates

Securitized

Products

Emerging

Markets

Credit

Trading

Commodities

FX

Structured

Cash

Derivatives

Prime Services

Structured

Long-term Debt

Equity

Underwriting

Advisory

Syndicated Loans

Bond underwriting

Low touch execution (electronic)

Public Finance

Municipal debt trading and issuance

M&A, Corporate Finance advisory

3

#2

4

3

1

1

1

3

1

2

1

3

2

8

4

9

1

2

N/A

#

1

1

1

2

3

2

2

1

5

2

3

N/A

N/A

3

2

N/A

#

3

2

2

1

3

1

3

1

5

2

8

4

9

3

2

N/A

2009

2010

2011

1

Flow driven Markets business

Markets

Rates

Securitized

Products

Emerging

Markets

Credit Trading

Commodities

FX

Structured

Cash

Derivatives

Prime

Services

Structured

Structured

Flow

Structured

Fixed

Income

Equities

Flow

Structured

100%

100%

100%

Public Finance

8

High volume Markets business model with standardized products

Markets

Note: Quantity, average revenue and total revenue are estimates based on typical quarter; revenue per quarter rounded

Interest Rate Swaps

FX Spot/Forwards

Asset Backed Securities

Credit Trading

Energy Trading

F&O and OTC clearing

Cash Equities (N.A.)

Equity Swaps and Options

Examples of major trading

products

350

350

300

375

250

150

150

200

Revenue per

quarter ($mm)

x

=

Financing

150

Loan Trading

12,000

70

10,000

1,500

5,000

40 cents per lot

1.5 cents per share

30,000

Average revenue

($ per trade)

1,500

10,000

100

30,000

5,000,000

30,000

250,000

50,000

350mm lots

10B shares

6,000

Quantity per quarter

(# of trades)

100,000

10,000

FX Options

100

600

150,000

Governments

200

2,500

75,000

Cash Equities (EMEA/Asia)

175

8bps

$200B notional

Metals Trading

75

600

140,000

Agencies

75

7,000

11,000

9

98%

97%

95%

92%

92%

92%

91%

88%

Financial

Basic

materials

Tech.

Industrial

goods

Health

care

Utilities

Consumer

goods

Services

Over 90% of the Global Fortune 500 use swaps, futures, and options

Markets

Total usage across

all industries: 94%

Source: ISDA 2009 Survey

88%

83%

49%

29%

20%

FX

Interest rate

Commodity

Equity

Credit

Global Fortune 500

Usage by product

Usage by industry

10

Scale driven Markets business model

Markets

0.08%

0.06%

0.2%

0.6%

1.2%

98%

$0-$50K

$50K-$100K

$100K-$250K

$250K-$500K

$500K-$1mm

$1mm+

Estimated % of total client trades by average revenue per trade (FY 2011)

Note: Represents Fixed Income business

High volume (~100,000 daily trades)

Low spread

Low volume (~10 daily trades)

High spread

% of Total Revenue

75%

25%

11

High turnover Markets business model

Markets

Case study –

North America interest rate swaps daily turnover metrics

Average daily

turnover: 53

Note:

Turnover

defined

as

daily

DV01

risk

traded

divided

by

starting

DV01.

DV01

is

the

risk

position

for

a

desk

(amount

of

money

desk

makes

or

loses

on

a

one

basis

point

move

in

the

yield

curve);

actual

two-week

period

in

2011

Client businesses carry little risk inventory and turn their positions multiple times a day

12

Agenda

Page

13

Business highlights

13

Performance

1

Markets

4

Well positioned to adapt to regulation

Business highlights

Impact

Clearing and

Swap

Execution

Facilities

(SEFs)

Non-Bank

Subsidiary

(NBS) swap

“push out”

Pushing-out portions of below

investment grade CDS, equity

and commodities derivatives

No significant revenue or

capital changes expected

Volcker

Ban on Bright Line

proprietary trading

Immaterial revenue impact

Not a large business

Limits market

making/hedging ability

Mandated clearing

Meaningful volumes

Lesser revenue impact

Concerns

Complicates risk

management

Extraterritoriality:

potential impact to scope

Could limit liquidity

Clients

Markets

Compliance emphasis

may impact costs

Unresolved: end-user

margin/extraterritoriality

Concentration of

exposure to central

counterparties

Strengths

Operational excellence:

depth of experience

managing complex

migrations

Long-track record of client-

focused business model

Competitors may need to

re-orient their businesses

Competitive advantage by

being a scale player with

existing connectivity and

access to SEFs

Strong governance programs in place to address regulatory change: 500 people; 65+ projects

14

1

2010 compensation expense excludes $0.5B of U.K. payroll tax

2

Overhead and comp/revenue ratios exclude DVA impact

Expense discipline enables investment capacity

Business highlights

Disciplined expense management

Total expense down 4%

Focus on operating efficiency

Best-in-class overhead ratio

Lowest comp/revenue ratio

Continued investment capacity

Strategic Reengineering Project (SRP)

International expansion

Commodities execution

International Prime Brokerage

Value for Scale

Synergies across wholesale businesses

Highlights

J.P. Morgan IB expense ($B)

1

15

Global Corporate Bank: contributing to IB Markets and Treasury Services

Business highlights

1

Excludes non-recurring items

32%

28%

27%

Rates

FX

Commodities¹

19%

8%

35%

Trade

Liquidity

Core cash

Trade loan growth

47%

revenue

growth

~29% growth

YoY

~22% growth

YoY

2011 international revenue with corporates

IB Markets

Treasury Services

16

Leveraging the J.P. Morgan platform

Business highlights

Expanded client

coverage/footprint

with Global

Corporate Bank

Increased credit

extension and

product

penetration

IB recognized

fees for 147

debt and 77

equity deals for

CB clients in

2011

$1.4B gross

revenue in 2011

41 new Private

Bank clients from

IB referrals

71 Private Bank

referrals to the IB

Expanding

international

referrals and

syndication

access

Treasury

&

Securities

Services

Commercial

Banking

Investment Bank

CB

50%

AM

32%

TSS

18%

IB cross-LOB gross revenue share ($B)

J.P. Morgan

2011 total: $2.7B

Leveraging the wholesale platform

17

Proven risk management capability

Business highlights

J.P. Morgan Markets revenue and VaR

~30% higher revenue than peers with ~40% less volatility

Note: Revenue excludes DVA; peers: BAC, BARC, C, CS, DB, GS, MS and UBS

1

Estimated using public disclosure of top 10 competitors, including DVA

2

Volatility equals standard deviation as a percentage of the period average

19.3

19.3

23.5

4.2

10.2

12.2

0

5

10

15

20

25

2006

2007

2008

2009

2010

2011

0

20

40

60

80

100

120

140

160

180

JPM Markets revenue

JPM VaR

$B

$mm

Average revenue over past 12 quarters

40%

25%

Peers

J.P.Morgan

Markets revenue volatility2

of past 12 quarters

$3.9

$5.2

Peers

J.P.Morgan

JPM ~40% less than peers

JPM ~30% greater than peers

8%

9%

10%

13%

12%

14%

Market

share1

18

Fortress balance sheet and prudent capital management

Business highlights

Allocated equity ($B)

Basel III Tier 1

common ratio

40

8.4%

2012 walk forward ($B)

Risk Weighted Assets (based on Basel III)

4Q12 glidepath

$413

4Q11 actual

$467

4Q10 actual

$550

40

7.2%

Note: 2012 RWA reduction is a combination of legacy asset roll-off, risk adjustments, and continued RWA management discipline

($54)

40

9.5%

19

JPM Investment Bank ROE vs. peers

Markets revenue (Equities and FICC, $B)

Consistency of results

Business highlights

JPM IB

Peer average1

Source: Company filings

1

Peer average ROE excludes firms without sufficient IB segment-level disclosure

2

Adjusted for non-recurring items

Industry

Individual firms

YoY

(25%)

36%

(16%)

(15%)

(21%)

2%

1%

(30%)

(3%)

2

2

20

17%

17%

17%

21%

(5%)

15%

18%

18%

2005

2006

2007

2008

2009

2010

2011

Target

Performance and outlook

Business highlights

We are holding 17% target going forward

Headwinds to consider

Regulatory burden

Global market uncertainty

Tougher RWA calculations

Sustained low interest rate environment

Key drivers

Scale and diversity of franchise

Market leadership

Growth initiatives

Disciplined expense management

Strong capital position

Outlook

17% +/-

Allocated

capital

($B)

20

21

21

26

33

40

40

40

J.P. Morgan IB ROE

21