JP MORGAN

JP Morgan



JP Morgan

Actions for Prevention of High-Risk Gambles in Banking/ Securities

In 2012, trading losses amounting $5.8 billion to JP Morgan Chase took place which are caused by the investment decisions made by Chief Investment Officer. The Securities and Exchange Commission was given adulterated first quarter reports that covered these enormous losses. The mission of the SEC of United States is to secure gurus, administer reasonable, precise, and effective markets, and expedite capital shaping. Needing open associations to uncover considerable money related informative data to people in general is a successful methodology the SEC takes to guarantee the securities of this country. This aids invertors in preventing high-risks decision and permits them to settle on quality choices when choosing which associations to put resources into. The Commodity Futures Trading Commission manages the ware fates and choices markets. Its objectives incorporate the announcement of aggressive and proficient prospects markets and the security of moguls against control, fraud and abusive trade practices (U.S. Commodity Futures Trading Commission, 2013). Both the SEC and the Commodities Futures Trading Commission assumed a part in researching the enormous exchanging misfortunes on account of JP Morgan Chase. The SEC's examination could just concentrate on the fittingness and fulfillment of JP Morgan Chase money related reporting and other open revelations. Notwithstanding; SEC Chairman expressed that the channel's examination is restricted, on the grounds that the exchanges happened in divisions of the banking titan that are not liable to SEC regulation (U.S. Securities and Exchange Commission, 2013). The director of Commodities Futures Trading Commission prompted that losses of JP Morgan are worth investigating, on the grounds that as a U.S. bank, it is a substance with immediate access to the rebate window of federal deposit insurance and Federal Reserve.

Elements of a Valid Contract

The essential elements of valid contract are those without which the contract has no value, or degenerates into a different one. These are capacity, consent, object and the cause. In some legal and some contracts may also be required as valid contract.

Capacity: capacity is subdivided into enjoyment (legal fitness for individual rights holder) and exercise capacity (legal ability to exercise rights and incur obligations for third parties).

Consent: consent is manifested by the concurrence of the offer and the acceptance upon the thing and the cause which are to constitute the contract; void consent is given by mistake, violence, intimidation or fraud.

Object: can be hired all the things that are not beyond human trade, even the future. They may also be subject to contract all services which are not contrary to law or morality.

Cause: in onerous contracts (such as sales) means because, for each contracting party, delivery or promise of a thing or service by the other party, in pure charity (eg. the donation) the mere liberality of the benefactor.

Form: in some contracts may be required by a specific form of celebration. For example, it may be necessary in writing, signing notary or witnesses, ...