JPMorgan is set to merge its chief investment office, which housed the London whale, into its New York-based bank’s Treasury unit as part of a restructuring plan.
The move is part of the bank’s efforts to strengthen and streamline its infrastructure, processes and controls, JPMorgan’s COO Matt Zames said in an internal memo.
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The memo added that Craig Delany will head the combined firm as global chief investment officer and treasurer and it reflects the asset and liability management functions of the bank.
As part of the restructuring, Sandie O’Connor, former JPMorgan’s treasurer, will become chief regulatory affairs officer, replacing Tim Ryan, who will assume the role of vice-chairman.
In his new role, O’Connor will be responsible to work more towards the bank’s implementation of the rules.
In May 2012, Bruno Iksil, nicknamed the "London Whale" for his preference for huge trades, and his colleagues at the London unit of chief investment office lost US$6.2 billion through bad bets in a portfolio that was specifically designed to hedge the bank’s risk exposure.
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By GlobalDataZames said: "Further integrating the firm’s global asset and liability management responsibilities will position us well to deliver on our strategic priorities for the firm."
