Today, JPMorgan Chase & Co. (NYSE:JPM) CEO James Dimon faced what may have been one of the toughest challenges of his reign. The executive had to face a vote that would have seen his dual Chairman/CEO role split, and half of it taken away from him. The vote is in, and Dimon won by a landslide.
According to the New York Times live blog of the annual JPMorgan Chase & Co. (NYSE:JPM) shareholders meeting, just 32.2 percent of the votes were in favor of splitting the role. That’s less than the 40 percent that voted to split the roles at last year’s meeting. Mr. Dimon and the company’s other directors, a total of eleven at JPMorgan Chase & Co. (NYSE:JPM), were all re-elected at the investment bank.
James Dimon was, of course, against the proposal that would have seen his power at JPMorgan Chase & Co. (NYSE:JPM) curtailed, and there were rumors that he might decide to leave the bank if the vote went against his wishes. Today’s vote means he doesn’t have to make that decision, and it shows that the bank’s shareholders still believe in Dimon, even if pressures are mounting.
Dimon, and the rest of the executives at the head of JPMorgan Chase & Co. (NYSE:JPM) appear to be encroaching further and further on the patience of regulators in the United States, and there has been some indications in recent weeks that governmental bodies might decide to act against the bank.
The firm’s oversight record came under scrutiny last year after the London Whale trades were posed as exemplary of the kind of excesses the investment banks dabbled in. Regulators are thought to be considering action based on that scandal, and other matters that come under the purview of the Securities and Exchange Commission.
Whether or not regulators decide to act, JPMorgan Chase & Co. (NYSE:JPM) will likely be led by James Dimon. The market appears to be satisfied with the conclusion of the campaign to have one of his positions taken, shares have increase by just over 2 percent on today’s market to stand at $53.36 at time of writing.
So far this year, despite the brewing scandal perceived to surround the firm, shares in JPMorgan Chase & Co. (NYSE:JPM) have increased by more than 21 percent. Investors appear confident in the company’s ability to deal with the challenges ahead, regulatory or not, and they want James Dimon in charge.
