Jamie Dimon, the CEO of JPMorgan Chase, said in a recent interview with New York magazine that, following the bank’s recent $5.8 billion trading loss, he never thought about resigning from his position.
“People and companies make mistakes,” Dimon said, according to Financial News. “I guarantee we’ll make a mistake next quarter. So what? Businesses make mistakes. Hopefully smaller and fewer.”
JPMorgan announced in May its that London chief investment office lost money trading on 27 days since the beginning of the year.
“It was the dumbest thing I have ever seen,” Dimon said, Financial News reports. “It was so complex, so large, so illiquid, so stupid. It didn’t get the rigour that it should have entailed.”
The portfolio mismanaged by former JPMorgan CIO Ina Drew could incur further losses of between $800 million and $1.7 billion, according to a quarterly 10q SEC filing. Most of the portfolio, however, has been transferred to the investment bank.
“And, I want you to know the London Whale issue is dead,” Dimon said regarding former trader Bruno Iksil, according to Financial News. “The Whale has been harpooned. Dessicated. Cremated. I am going to bury its ashes all over.”
Dimon also admitted that the trading loss bolstered the case of those in favor of the Volcker Rule, which would prohibit banks from engaging in proprietary trading. Additionally, Dimon defended the role of big banks in the U.S. economy.
“We can do a $20 billion bridge loan overnight for a company that’s about to do a major acquisition,” Dimon said, Financial News reports. “These aren’t, like, little things. And they accrue to the customer. That’s what capitalism is.”