JPMorgan (JMP) Requests Smaller Buyback as Moves to Strengthen Balance Sheet - InvestingChannel

JPMorgan (JMP) Requests Smaller Buyback as Moves to Strengthen Balance Sheet

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JPMorgan (NYSE: JPM) requested a buyback that was about half the $15 billion amount requested in 2012, according to reports in the Financial Times. The lower level of repurchases is part of an ongoing effort to boost the company’s “fortress” balance sheet.

The Fed revealed stress tests results on Thursday, with all but one bank passing. The test showed that JPMorgan would survive a financial crisis with a minimum capital level of 6.3 percent. Still, CEO Jamie Dimon has a target of 9.5 percent equity to risk-weighted assets, which would indeed bring it closer to its goal. Dimon suspended buybacks last year after the company suffered $6 billion in losses related to the so-called London Whale.

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