Well now that we know he will not get a high political appointment, Jamie Dimon CEO of JP Morgan (NYSE:JPM) has taken a 50% pay cut. Most other high-powered CEO`s would have been hung by the neck. Jamie Dimon pays a $10 million dollar speeding ticket. The Board has the option to revisit and spot compensate if he does something really good and redeems himself. With his ego you know he is looking for another ace.
The board has covered itself retroactively. Several key players have resigned. Some probably as they were being lead to the door. The CEO has been disciplined ever so nicely. No one is sure what the governance changes are to make sure this problem does not occur again. But its all be looked into and after.
I do not wish JP Morgan any harm but it all seems to have been papered over. Record profits are soothing as investors return to a sense of complacency.
The Black Swan wearing an invisibility suit is another governance failure. Be it around a complex trading strategy or something else. JP Morgan cannot take another hit for sometime. Quite frankly they have a glass jaw.
- Jamie Dimon Twists in the Wind $JPM $GS #Bank of England (financialskeptic.wordpress.com)