A recent filing with the Securities and Exchange Commission (SEC) revealed that Jamie Dimon, the CEO of the largest bank in the United States, JPMorgan Chase, has divested approximately $150 million worth of his bank shares.
This move marks a significant departure for Dimon, who has not sold any shares since he assumed leadership of the bank in 2005. The disclosure came to light on Thursday, providing insight into the financial actions of one of Wall Street’s most enduring chief executives.
In a statement made last October, it was announced that Dimon and his family were planning to reduce their stake in the bank by selling 1 million out of their 8.6 million shares. To date, Dimon has sold 821,778 shares.
This strategic divestment occurs against the backdrop of the bank’s substantial market presence, with a market capitalization exceeding $527 billion, as per the latest data from LSEG.
The bank clarified that this sale does not indicate any forthcoming changes in the bank’s leadership. A spokesperson for the bank stated in October, “The sale is not related to leadership succession and the bank chief had no current plans to sell more stock, but could consider doing so in the future.”
This statement underscores that Dimon’s decision to sell shares is not indicative of immediate plans to step down or alter the bank’s executive lineup.
In terms of compensation, Dimon’s pay saw an increase of about 4.3%, reaching $36 million for the year 2023. This adjustment in compensation coincides with a period of significant achievement for the bank, which reported its highest-ever annual profit in the previous year.
Additionally, the bank’s strategic acquisition of the struggling First Republic Bank in May further contributed to its profit growth, bolstering its financial standing and reinforcing its position in the banking sector.