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JPMorgan's Dimon channels Jeff Bezon in credit-card push

Published 10/13/2017, 11:30 AM
© Reuters.  JPMorgan's Dimon channels Jeff Bezon in credit-card push
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  • "Your margin is my opportunity," JPMorgan (NYSE:JPM) CEO Jamie Dimon told the troops earlier this year. "JPMorgan is trying to bring some of [Bezos] to the financial space," says Barclays (LON:BARC)' Jason Goldberg.
  • Just over one year old, Sapphire Reserve has upended the high-end credit-card industry (AXP a particular target, but also luring customers from C's Prestige Card, and BAC), with more than 1M willing to pay the $450 annual fee, but picking up in the area of $1K in rewards and other benefits.
  • "This is another example of Dimon's scorched earth strategy," says another unnamed analyst.
  • JPMorgan hasn't detailed an exact cost of the push, but figure on about $800M per year vs. bank earnings expected to be around $25B in 2017.
  • Now read: Citigroup: Buybacks Are No Longer Enough


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