JPMorgan Chase & Co. Forms Strategic Partnership with Postal Savings Bank of China
JPMorgan Chase & Co. (NYSE: JPM) has announced its Strategic Cooperation Agreement with Postal Savings Bank of China (PSBC), the largest unlisted bank and the sixth largest commercial bank in China in terms of assets. The two banks also signed a Securities Purchase Agreement and an Investors Rights Agreement.
JPMorgan Chase & Co. is one of the largest universal banks globally and its core businesses hold industry leading positions. Its Global Corporate and Investment Bank serves over 80% of the Fortune 500 and ranks #1 in global debt, equity and equity-linked business. It is also the #1 USD clearinghouse with a 19.2% share in 2014. Operating under the Chase brand, the Consumer and Community Banking has business relationships with ~50% of U.S. households and in 2014 was voted #1, for the third consecutive year, in the America Consumer Satisfaction Index among large banks. It is also the largest US credit card issuer based on loans outstanding. J.P. Morgan Asset Management is one of the largest asset managers in the world, with US$1.7 trillion of assets under management as of 3Q2015. JPMorgan Chase & Co. will provide support and expertise to PSBC as it invests in and introduces new distribution capabilities while further strengthening its risk management processes.
Nicolas Aguzin, CEO for J.P. Morgan, Asia Pacific, said: “We are delighted to partner with PSBC and look forward to making a contribution to China’s financial reforms by drawing on our global expertise and experience.”
“Our strategic partnership with PSBC is a strong endorsement of the firm’s long term commitment to China, a market where we see tremendous growth potential. We believe the country’s financial market reforms will underpin future economic development locally while also contributing to greater economic stability globally,” he added.
PSBC operates more than 40,000 branches nationwide, covering 98% of Chinese counties and serving a customer base of 500 million people.