June 13th, 2012
11:07 AM ET

Who is JPMorgan CEO Jamie Dimon?

The CEO of JP Morgan Chase & Co., James Dimon, is testifying before the Senate Banking, Housing and Urban Affairs Committee on Wednesday after a $2 billion trading loss in early May.

He told Congress that the massive loss can be blamed on traders misunderstanding the bets they placed and insufficient risk controls, according to CNN Money.

Dimon, who is also chairman of the nation's largest bank, was invited to speak before the committee in May. The hearings are investigating the loss from a regulatory angle. JP Morgan made its multibillion-dollar blunder due to "negative carry trades," according to CNN Money.

The hefty trading loss led to the departure of JP Morgan's chief investment officer and forced Dimon to apologize for the "terrible mistake." Days later, he spoke to shareholders at the company's annual meeting and had his $23 million pay package approved - the same shareholders who have seen the company's stock decline by more than 14% over the previous five trading sessions.

Ironically, the shareholders used this kind of meeting regularly after the 2008 financial crisis to push reform agendas because of increased scrutiny directed at the nation's largest banks. Yet, after the loss, shareholders still approved Dimon's $23 million in compensation as chairman.

The FBI said May 16 that it was opening a preliminary investigation into the loss.

In 2010, Dimon was referred to as "America's least-hated banker" in a New York Times article. So what happened?

Here's a look at Jamie Dimon and the timeline leading up to his testimony in Congress.

Who is Jamie Dimon?

-Born: March 13, 1956; New York

-Parents: Theodore, a stockbroker, and Themis Dimon

-Sibling: A twin brother, Theodore "Teddy"

-Spouse: Judith "Judy" Kent Dimon (May 1983-present)

-Children: Julia, Laura and Kara Leigh

-Education: Tufts University, B.A. 1978

Harvard University, M.B.A. 1982

Timeline:

-1982-85: Assistant to President Sandy Weill at American Express.

-1996-97: Chairman and CEO of Smith Barney.

-1997-98: Co-chairman and co-CEO of Salomon Smith Barney Holdings.

-1998: President of Citigroup. Dimon is forced out of the company after a falling-out with longtime mentor Weill.

-2000-04: Chairman and CEO of Bank One Corporation.

-2004: Becomes president and chief operating officer of JPMorgan Chase & Co. when it merges with Bank One Corporation.

-December 31, 2005: Assumes title of chief executive officer and president at JPMorgan Chase & Co., effective January 1, 2006.

-December 31, 2006: Named chairman of the board at JPMorgan Chase & Co, effective January 1, 2007.

-May 10, 2012: On a conference call, reveals that a trading portfolio that was designed to help JPMorgan Chase hedge its credit risk lost $2 billion and could lose $1 billion more.

-May 15, 2012: Apologizes to JPMorgan & Chase shareholders at the annual meeting. Shareholders approve Dimon's $23 million pay package, and preliminary results show that only 40% support a proposal that calls for the appointment of an independent chairman.

-May 17, 2012: Senate Banking Committee announces that Dimon has been invited to appear before the committee at hearings looking into the JP Morgan trading losses from a regulatory angle.

Follow the story as it unfolds:

Dimon: 'I can't publicly defend the trade'

Live blog: Dimon in the hot seat

soundoff (45 Responses)
  1. Frank the tank

    Well its kind of unfortunate. He probably should have given up his $23million.

    June 13, 2012 at 2:04 pm | Report abuse |
  2. Just Me

    For the record, his bonuses don't come from the taxpayers, they come from the profit this huge organization boasts. Let's not forget the thousands upon thousands of people that it employs. Jamie Dimon worked hard and earned his position and in this industry, does a pretty good job. Shame on CNN for skipping over a good 6 years in which he turned JPMC around, saved Bear Sterns and WaMu, and has been hailed as the best banker since James Pierpont himself. Don't even mention TARP funds because they were accepted at the insistence of the goverment and paid back early, with interest. You come across as extremely naive, if not ignorant, when speaking with such a sharp tongue about a business you know nothing about.

    June 13, 2012 at 2:29 pm | Report abuse |
    • Mr Dalloway

      And now that he has screwed up royally he should get the hell out!

      June 13, 2012 at 2:36 pm | Report abuse |
    • GRAZZIA

      I agree with you...Show me a CEO who is not afraid to say, "WE MADE A MISTAKE"....and it doesn't stop there. We need to CORRECT and LEARN from our MISTAKES-and this what DOING THE RIGHT THING IS ALL ABOUT:)

      June 14, 2012 at 1:13 am | Report abuse |
    • mike s

      Dude, I could maybe....maybe see a multimilion dollar mistake, but 2 Billion? ?? OK lets see, that's $2,000,000,000.....that's the deficit of some small states.... and if I'm correct, wamu kinda collapsed because of corruption after the crash of 2008. And he helped them? If that's so since he had to see the books, he was either in on it or he helped to cover it up. Either way odd the bum out and lets get glass-steigel online

      June 14, 2012 at 9:11 am | Report abuse |
  3. Mr Dalloway

    FYI some major banks are charging it's customers a $50.00 if they want to close an account.

    June 13, 2012 at 2:40 pm | Report abuse |
    • dazzle ©

      @Mr Dalloway, I know that first hand. When I ditched my commercial bank, I was charge 40.00 for each account I closed. They are thieves.

      June 13, 2012 at 11:16 pm | Report abuse |
  4. Boo

    Who cares? He's a money grubbing freak with no conscience.

    June 13, 2012 at 3:19 pm | Report abuse |
  5. cremecraques

    Did they call the man to ask him questions or to offend him? Whoever is right, I think it was totally absurd to let that person shout out offenses. That is a Senate Hearing not the middle of the street. So inelegant.

    June 13, 2012 at 3:30 pm | Report abuse |
  6. phunk

    Dimon for president 2016.

    June 13, 2012 at 7:22 pm | Report abuse |
  7. gingersrule1

    I would not put a high rolling banker in office as president before I'd put a real working man in office. Its not freedom in America if you have to be rich to become the president. So many people automatically assume every mans riches are earned. What about the bottom of the barrel? What opportunities do they have to move up? You don't go from Mcdonalds to CEO like the GOP would have you believe. You used to be able to work your way up at companies and seniority was respected instead of forced into early retirement by a company that lost their 401-k in the last recession. Giving these big businesses tax breaks hasn't encouraged hiring. Look at the unemployment rate. The way things are is unsustainable. Everything will come to a head before winter. Just watch.

    June 13, 2012 at 7:46 pm | Report abuse |
  8. Mary

    JpMorgan has been monkeying around with investors monies for years... whats new here?

    June 13, 2012 at 8:44 pm | Report abuse |
  9. Jo Gordon

    The only thing that is gonna change – the rich getting richer and the middle class becoming poorer. Did we see any changes after ENRON? Nope and the country and Wall Street can end up in the toilet before one man would stand up for his country. Money means more than honor!

    June 13, 2012 at 9:41 pm | Report abuse |
  10. Kim

    Jamie Dimon and Sen. Chuck Hagel look like twins!

    June 14, 2012 at 12:27 am | Report abuse |
  11. Reason Abel

    Why is the fortune writer so bad? It's almost incomprehensible.

    June 14, 2012 at 1:12 am | Report abuse |
  12. old3putt

    His compensation package was approved by shareholders well in advance of the hedge loss. It's misrepresented in this piece.

    June 14, 2012 at 8:43 am | Report abuse |
  13. riamb60

    I wonder can we still believe in justice ??

    June 14, 2012 at 9:02 am | Report abuse |
  14. SO

    Credit Unions sound like a great alternative for my disablity money, I've not seen so many goons in the US Senate willing to break GrandMothers piggy bank and legs, then of course I can't vote DeMin t out of office as I would love to see that Sash kissing kneeling wallet stealing Senator out of office.

    June 14, 2012 at 9:20 am | Report abuse |
  15. 212gr

    Invited to speak? Really? They did not "grill" him because he's their boss!

    June 14, 2012 at 9:22 am | Report abuse |
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