JPMorgan Chase & Co’s JPM CEO Jamie Dimon is facing investor criticism over a multibillion-dollar plan to modernize the group’s technology and the decision to enter the U.K.’s highly competitive retail-banking market, reports Financial Times.
According to three people attending the Florida meeting in February, shareholders had concerns that the bank provided insufficient detail about its technology spending plans.
The bank plans to increase spending on new projects by 30% to almost $15 billion this year, with the most significant proportion dedicated to tech.
Dimon was also told that JPMorgan needed to explain better its move into the crowded U.K. retail market with a digital-only bank last year, the people said.
One person added there was particular concern over the expansion when rival Citigroup Inc C is scaling back its international network.
JPMorgan declined to comment, but people close to the bank say they intend to provide more detail on its plans at an investor day scheduled for later this year.
The boost to tech spending at the bank comes after Dimon expressed frustration that JPMorgan has lost ground to more tech-savvy rivals. “Jamie points to fintechs where they shouldn’t have lost share.
“It seems pretty clear that the market wants to hear more from us,” Jeremy Barnum, JPMorgan’s chief financial officer, said at an industry conference last month as the bank announced the investor day, scheduled for May 23.
Price Action: JPM shares are down 0.33% at $142.15 during the premarket session on the last check Wednesday.
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