Morgan Case

Morgan Case

Introduction

The purpose of this paper is to provide brief answers of the given question, which are related with the case of JPMorgan Chase and Co. It is considered as one of the well known banks of the United States which provides financial services to its users. Moreover, this study also provides the brief over view of the bank. This may greatly help in understanding the operations and financial conditions of the bank.

Discussion

Brief Over View of JPMorgan Chase & Co.

JPMorgan Chase and Co. is one of the leading and famous American multinational financial and banking services holding organization. If it is considered on the basis of its assets, then it is one of the largest banks of the U.S. According to the reports of 2012, JPMorgan Chase is categorized as the 2nd largest bank in the entire world by assets and other resources, along with total resources of approximately $2.509 trillion. In addition to this, this bank is considered as the largest bank of the world which offers financial services to the companies. The reviews of Forbes magazine demonstrates that, JPMorgan Chase if the second leading public organization of the world, whose operations are based on the composite ranking. Recent reports of this bank demonstrate that, in the summer of 2012, the bank declared its trading losses which were caused by the investment decisions, taken by the CIO (chief investment office) of the bank. The report demonstrates that, the bank had a loss of approximately $5.8 billion. Afterwards, this massive loss was canceled by the report of the first quarter, which was provided to the SEC (Securities and Exchange Commission) (Max, 2008).

Answer: 1

Above mentioned over view of the JPMorgan Chase demonstrates that, the bank faced trading losses from their decisions of investment. They had a loss of approximately $5.8 billion. It is also clear from the over view that, the SEC (Securities and Exchange Commission) was given the reports of first quarter. Those reports concealed this huge and disastrous loss that was faced by the organization. In this scenario, the main objective of the United State's SEC (Securities and Exchange Commission) is to support the investors, manage orderly, fair and effective markets and help them in the formation of the capital. Involving public companies, in order to reveal beneficial financial information to the public is considered as an appropriate approach which was used by the SEC. They do it, in order to ensure and guarantee the integrity of the entire nation. In addition to this, it may also allow the investors of the state to avoid various risks and vulnerabilities by allowing them to take appropriate and effective decisions while investing in any company (Byrne, 2007).

The CFTC, (Commodity Futures Trading Commission) manages and controls the features of the products and services and options markets. The main objective of the CFTC is the endorsement of efficient and competitive features of the market. Furthermore, the CFTC also aims to protect and secure the investors from fraud, abusive practices ...