Ina Drew, JPMorgan Chase Investment Boss, To Step Down After Bank's $2bn Losses

PA/The Huffington Post UK  |  Posted: 14/05/2012 16:49 Updated: 14/05/2012 16:50

Jpmorgan
JPMorgan Chase suffered an historic $2bn loss last week

The chief investment officer at America's biggest bank is to step down after it unveiled shock $2 billion (£1.2 billion) losses last week.

Chief executive at JP Morgan Chase, Ina Drew, will retire after spending more than 30 years at the firm and will be replaced by Matt Zames, currently co-head of Global Fixed Income in the Investment Bank.

An investigation into the losses has placed a team of high-risk, high-stakes traders, possibly including one known mysteriously as the London Whale, at the heart of the huge loss.

The so-called London Whale, who gained the nickname because of the size of the positions he took, has been widely reported to be French-born Bruno Iksil and is also expected to announce his departure.

He is understood to be one of the best-paid traders in the City and commutes to London from Paris on a weekly basis.

The trading loss is an embarrassment for the bank that came through the 2008 financial crisis in much better health than its peers, steering clear of risky investments that hurt many other banks.

It was reported in April that a single trader, known as the London Whale, was making such large trades that he was moving prices in the 10 trillion-dollar market.

Jamie Dimon, chairman and chief executive, said: "Ina Drew has been a great partner over her many years with our firm. Despite our recent losses in the chief investment office, Ina's vast contributions to our company should not be overshadowed by these events."

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