Big Shoes To Fill: What Can Heath Tarbert Do For This Industry?
Jim Kharouf, JLN
As the new CFTC Chairman Heath Tarbert assembled his team last week with some new names and some staff he kept on from his predecessor Chris Giancarlo, it is clear that there is much work yet to be done in the derivatives space. The question is, what mark will he leave on this industry?
If you go back to the days of Gary Gensler, you would be hard pressed to find an industry that experienced a greater regulatory overhaul over the past 10 years than the derivatives markets. And for good reason. While the pendulum of regulation swung far to one side (some argue not far enough), Giancarlo brought a sensibility back to the agency. Gensler was often criticised for meeting with the industry but not listening. To him, the Global Financial Crisis and Congress gave him a mandate to fulfill quickly and sometimes harshly. Timothy Massad carried that hammer in his own understated way. Giancarlo ushered in some practical regulation and started looking forward in a way the agency never did before.
To read the rest of this commentary, go here.
Hits & Takes
Boris Johnson defeated Foreign Secretary Jeremy Hunt in the race to become the next British prime minister. This was the former Mayor of London’s second attempt at the premiership after running in 2016 when David Cameron resigned after losing the EU referendum on Brexit. ~SD
Ma-Ka-Ja-Wan, the Scout camp of the Northeast Council of Illinois, was hit Friday night with a huge storm that knocked down thousands of trees, wrecked destruction across the camp and stranded camper cars with downed trees. More than 1,600 acres were damaged and summer camp operations have closed for the remainder of the season, which caused the troops of Coinbase Markets executive and Troop 156 Scoutmaster Paul Bauerschmidt to move to Camp Freeland Leslie. Also, Keith Fishe and his son were hours away from heading to Camp Ma-Ka-Ja-Wan when the storm hit. They were also redirected to a new camp.~JJL
You can help Ma-Ka-Ja-Wan rebuild by making a donation HERE.~JJL
China’s new Nasdaq-like STAR market, which features 25 nascent Chinese tech companies, went nuts in the first two days of trading. On Monday, the companies saw an average increase of 140% over their IPO price. Circuit breakers were triggered multiple times. Today, 21 of the 25 companies fell, erasing 9% of the market cap- a big move that still pales in comparison to yesterday. There are no price limits during the first five days of trading in the STAR market. Come next Monday, there will be a 20% cap in either direction.~SD
Somewhere, Tom Ascher is saying, “I told you so.” Nasdaq’s sports betting deal announced today is based on an obscure business from the International Securities Exchange called Longitude, a pool betting technology that got tossed in with the 2016 Nasdaq acquisition of ISE.~JK
|Uncharted Territory: All Eyes on Europe!
by Marc Chandler, Trading Technologies and Eurex Exchange
Looking for FX rate forecasts into Brexit?
Join Eurex and Trading Technologies on July 25 in Chicago to learn how to capture new currency trading opportunities via Eurex Rolling Spot FX Futures.
Uncharted Territory: All Eyes on Europe! How Will the UK’s Exit from the EU Affect the Euro & British Pound. Register here for the event.
Feeding 10 Billion People Will Require Genetically Modified Food
The climate is changing, the population is growing, and unless food production practices evolve dramatically, it’s a hungry future ahead.
****** And soylent green.~JJL
R.J. O’Brien Futures Introduces Echo Trading, Enhances Website
Coinciding with this year’s TradersEXPO in Chicago, R.J. O’Brien & Associates (RJO), the oldest and largest independent futures brokerage and clearing firm in the United States, announced today a new offering from its private client division, RJO Futures. RJO Echo Trading is a new program enabling individual futures traders to follow an experienced, leading trader by “echoing” their transactions through an automated RJO trading platform.
******Alexa, trade me some beans.~JJL
Bob Dylan, Adele Music Rights to Back Planned $560 Million Bond
Claire Boston – Bloomberg
Blackstone-backed SESAC plans inaugural whole-business ABS; Organization collects royalties for artists like Neil Diamond
Your favorite Green Day or Guns N’ Roses hit just might help buyers of a new asset-backed bond get paid.
****An alt asset to provide some shelter in the storm? ~SD
Monday’s Top Three
Simply put, Citadel draws attention – always. Our top story of the day yesterday was Bloomberg’s Citadel Puts Clout Behind Effort to Safeguard U.S. Treasuries. Second was Bloomberg’s Wall Street Trading Costs to Surge as New Rules Hit Derivatives. Third was the announcement TradeStation Expands its Suite of Advanced Trading Offerings with FuturesPlus, a new partnership with Trading Technologies
159,836,455 pages viewed; 23,849 pages; 220,641 edits
Global regulators delay ‘big bang’ derivatives rules by a year; Rules would require thousands of asset managers to set aside more cash to cover swaps deals
Philip Stafford – FT
Global regulators have delayed the introduction in 2020 of a “big bang” set of rules for derivatives markets that will require thousands of asset managers to set aside more cash to cover their swaps deals.
**Also see: FX Week’s Regulators plan to delay IM ‘big bang’ from last week. And The Trade has the story as well here.
TD Ameritrade Begins Search for New CEO
Lisa Beilfuss – WSJ
Discount brokerage TD Ameritrade Holding Corp. said Monday that Chief Executive Tim Hockey will leave the company in February 2020. On a call with analysts and investors, Mr. Hockey said he and the board agreed it was the right time for a transition. He will stay in his role while the company’s board of directors conducts its search for his replacement. If his successor is named before February, he will move into an advisory role to help with the transition, he said.
Nasdaq Makes Bet on Sports Gambling; Exchange operator Nasdaq is selling technology to a British soccer betting website that lets users wager on the performance of individual players
Anna Isaac – WSJ
Nasdaq Inc. is lending its technology and brand to a U.K. soccer-betting platform that lets users wager on players by buying and selling stakes tied to their on-field performance.
A Decade of Low Interest Rates Is Changing Everything
Cheap money has transformed the world of borrowers, savers, bankers, money managers, and retirees.
Liz McCormick – Bloomberg
It’s hard to wrap your head around just how low U.S. interest and bond yields areóstill areóa decade after the Great Recession ended. Year after year, prognosticators said that rates were bound to go back up soon: Just be ready. That exercise has proved to be like waiting for Godot.
The Stock Frenzy in China’s New Trading Venue Is Already Fading
The frenzy that greeted China’s new Nasdaq-style stock board is already fading. All but four of the 25 new listings dropped Tuesday, with the market closing down an average 7.9% in Shanghai. China Railway Signal & Communication Corp. and Western Superconducting Technologies Co. were among the biggest decliners, while Espressif Systems Shanghai Co. bucked the trend with a 14% advance. The stocks are still higher than their listing prices, after they surged an average 140% on the first day.
****Reuters – Top investors lose $1 billion as China’s Nasdaq-style board reverses on day two.
China’s futures market posts robust growth in H1
China’s futures market reported robust growth in the first half of this year, industrial data showed. The total transaction of the futures markets across the country reached 128.6 trillion yuan (about 18.69 trillion U.S. dollars) during the Jan.-June period, up 33.79 percent year on year, data from the China Futures Association showed.
CFTC provides guidance and no-action relief for FCM margin practices
Lene Powell, J.D. – Wolters Kluwer
The CFTC has issued time-limited no-action relief regarding margin for separate accounts by futures commission merchants (FCMs). The relief allows derivatives clearing organizations (DCOs) to allow FCMs to treat separate accounts for the same beneficial owner separately for margin purposes, including the withdrawal of excess margin, provided that specified risk management conditions are met. The relief was accompanied by an advisory confirming that FCMs must not limit recourse to recover shortfalls (CFTC Letter No. 19-17, July 10, 2019).
Globalization Isn’t Dying, It’s Just Evolving
Shawn Donnan and Lauren Leatherby – Bloomberg
U.S. President Donald Trump’s populist assault on globalization has provoked fears of the deathóor the slowingóof the economic force that has arguably done more than any other to shape how we live today. Yet those fears ignore what globalization really is, and how it is evolving.
The dangers of oil companies that are ‘too big to fail’; Raising accountability today is a must for governments hoping to avoid bailouts tomorrow
Patrick Heller – FT
Like US banks a decade ago, many national oil companies wield such economic influence that they have become “too big to fail”. When things go wrong, governments face a dire choice: rescue the company or tank the economy.
Trade Local, Manage Global
Scott O’Malia – ISDA
ISDA is a big supporter of a globally consistent, risk-based regulatory framework. Unfortunately, it hasn’t always worked out like that. Initial margin (IM) requirements for inter-affiliate derivatives transactions are a case in point. The obligation only exists in the US at present, and even then not by all regulators in that jurisdiction. This matters because inter-affiliate trades are used by firms to centralize their risk management activities. These internal risk management transactions do not create new counterparty exposures outside the corporate group – in fact, centralizing all the risk in a single risk function creates efficiencies and ultimately limits credit exposure to third parties.
Exchanges, OTC and Clearing
Standard Chartered goes live with FX options platform as liquidity provider; FX options multi-dealer electronic trading platform expands depth of its liquidity with Standard Chartered.
Hayley McDowell – The Trade
FX options electronic trading firm Digital Vega has onboarded Standard Chartered as a liquidity provider, in a move to add broader liquidity to its trading platform.
Metal minis first step of HKEX, LME trading alignment
James Thursfield – Global Investor Group
HKEX’s London Metal minis are the first of a three part collaboration to expand LME trading in the Asian time zone
Aerkomm lists on Euronext Paris
Euronext today welcomes Aerkomm, Inc., a development stage service provider of in-flight connectivity and entertainment, to Euronext Paris.
Eurex Exchange’s Quarterly Equity Derivatives Highlights – Q2/2019
Considering the overall low volatility environment at a broader index level, we could observe several company specific events and news offering trading opportunities in the single equity segment. Those specific events are reflected in stable or increased volumes in Q2 in options such as Daimler and Bayer. The overall lower trading activities where mainly driven by specific drops in traded volumes such as Deutsche Bank and Deutsche Telekom.
Nasdaq to Deliver Matching Engine Technology to the Football Index
Cloud deployed matching engine offers fixed-odds betting operator platform rich functionality via the Nasdaq Financial Framework ; Nasdaq’s Market Technology business continues to gain momentum with New Markets initiative
Nasdaq Inc. (Nasdaq:NDAQ) announced today it has signed a new agreement with Football Index, where clients can buy and sell shares in professional footballers, and will provide the company with a flexible, cloud-optimized trading engine that offers rich functionality. As part of the Nasdaq Financial Framework offering, Football Index will join a growing list of new markets outside of financial services that are relying on Nasdaq’s marketplace technology to accelerate their business growth and enhance the client experience.
Robinhood Is Worth $7.6 Billion After New Funding Round
Julie Verhage – Bloomberg
Robinhood Markets Inc. has closed a new round of funding valuing the company at $7.6 billion. That’s up from its latest $5.6 billion valuation in 2018. The company raised $323 million in the most recent deal. Bloomberg reported in May that Robinhood was seeking to raise money.
Equinix Opens Eleventh Data Center in Tokyo – Its Largest to Date in Japan
PRNewswire via Yahoo
Equinix, Inc. (EQIX), the global interconnection and data center company, today announced the opening of its eleventh International Business Exchange (IBX) data center in Tokyo, Japan, named TY11, as part of the company’s ongoing commitment to expanding its global footprint. The $70 million first phase of TY11 provides a capacity of 950 cabinets and colocation space of approximately 39,800 square feet (approximately 3,700 square meters). Upon completion of the planned future phases, the facility is expected to provide a total capacity of more than 3,500 cabinets and colocation space of more than 153,800 square feet (approximately 14,300 square meters), becoming the largest IBX data center to date in Japan.
SIX Launches Marijuana-Related Data Service
SIX press release via MarketsMedia
Switzerland-based financial data expert SIX is launching a service this month already covering over 30,000 Financial Instruments (Securities) in connection with Marijuana Related Businesses (“MRB”) following the success of their SIX Sanctioned Securities Monitoring Service.
Formulating values for AI is hard when humans do not agree; China and the west prioritise different things in algorithms
John Thornhill – FT
Computer algorithms encoded with human values will increasingly determine the jobs we land, the romantic matches we make, the bank loans we receive and the people we kill, intentionally with military drones or accidentally with self-driving cars.
NIBC Bank automates post-trade operations with Torstone Technology; NIBC Bank has replaced its post-trade legacy systems and implemented Torstone Technology’s Inferno platform.
Hayley McDowell – The Trade
Netherlands-based NIBC Bank has competed a migration to Torstone Technology’s post-trade processing cloud platform as the institution automates its back-office functions.
Bakkt Is Scheduled to Start Testing Its Bitcoin Futures Contracts Today
Nikhilesh De – Coindesk
Bitcoin futures platform Bakkt is scheduled to begin testing its new contracts Monday. Nearly a year since revealing its ambitious vision, Intercontinental Exchange (ICE) is still waiting on regulatory approvals to take the platform live. Still, despite having to delay its new market multiple times, the parent of the New York Stock Exchange is moving forward with plans to offer potentially the first physically-settled bitcoin futures in the U.S. Bakkt announced in May that it would begin testing its bitcoin futures contracts in July, later firming up a July 22 test date.
****Finance Magnates here.
The crypto Buffett lunch has been postponed. Lucky Warren Buffett.
Jemima Kelly – FT
On Thursday, the famously crypto-sceptical Warren Buffett was due to lunch with a bunch of crypto bros. That’s because, as you may remember, 29-year-old Justin Sun, founder of the TRON crypto-token (which raised $70m in an ICO in 2017) and CEO of BitTorrent, won the annual charity auction to have a lunch with the Oracle of Omaha. His winning bid was over $4.5m.
Indian panel recommends cryptocurrency ban
Manoj Kumar, Aftab Ahmed – Reuters
Government panel recommends ban on private cryptocurrencies; Recommends jail of up to 10 years, 250 mln rupees fine; Favours official digital currency through central bank; Government to make decision after consulting regulators
Circle Paves The Way For International Crypto Offerings, Becoming First Major Exchange To Receive Bermuda Business License
Rachel Wolfson – Forbes
Global financial services company, Circle, announced today the expansion of their international digital asset offerings with the launch of a new subsidiary in Bermuda. The Bermuda government has provided the company with a “Class F” license under their Digital Assets Business Act of 2018 (DABA), making Circle the first major cryptocurrency exchange and wallet service ever to receive such a permit.
FINRA wants to continue knowing member firms’ crypto activities
Yogita Khatri – The Block
A U.S. financial watchdog has extended a program that will monitor cryptocurrency-related activities among brokers in the country. The Financial Industry Regulatory Authority (FINRA), a self-regulatory organization (SRO) for broker-dealers in the U.S., said in a regulatory notice on Thursday, that it will continue an initiative it took on last year, in which it requested member firms to share information such as whether they trade or intend to trade cryptocurrencies, among other activities. Now the authority has extended the timeframe for another one year i.e. July 31, 2020, per the notice.
Defining ‘money’ in the digital age
Jonathan Laird – The Block
Economists generally describe money as a medium of exchange, a unit of account, and a store of value In order to perform those functions, money needs to be fungible (interchangeable, like how two five-dollar bills equal one ten) and inimitable (unable to be counterfeited). Cryptocurrencies have the key properties of fungibility and inimitability but struggle to perform the functions of money. As adoption increases, cryptocurrencies will likely stabilize in value and function more regularly as money.
Why blockchain miners shouldn’t be considered broker-dealers: the legal view
The Block Contributor Network
In early April, Templum Markets filed a letter with the Securities and Exchange Commission requesting guidance on whether blockchain miners could be deemed unregistered broker-dealers under federal securities laws. The filing has added a layer of confusion to the digital securities ecosystem and has caused some to jump to conclusions about the legality of issuing and trading digital securities on public blockchains.
Facebook Moves Closer to WhatsApp Payment Service Debut in India
Saritha Rai – Bloomberg
Facebook Inc. is moving a step closer to launching its long-delayed WhatsApp payments service in India after wrapping up an audit of related data practices, according to people familiar with the matter.
Iran’s bitcoin interest should have the world concerned
John Crudele – NY Post
The Associated Press reported last week that there is a boom in bitcoin use ó in Iran.”Some observers have warned that cryptocurrencies could be used to bypass the Trump administration’s sanctions targeting Iran over its unraveling nuclear deal with world powers,” explained AP.
Turkey’s central bank governor was sacked after resisting 300 point rate cut: sources
Orhan Coskun – Reuters
President Tayyip Erdogan’s abrupt decision to sack Turkey’s central bank governor Murat Cetinkaya came after months in which they had not met and was precipitated when Cetinkaya rebuffed requests in June for a 300 point rate cut, three sources said.
Britain’s anti-Brexit Liberal Democrats name Jo Swinson as new leader
Britain’s anti-Brexit Liberal Democrat party named lawmaker Jo Swinson as its new leader on Monday, as the party looks to translate a surge in voter support for its pro-European Union agenda into influence in a deadlocked parliament.
Swinson, 39, won just under 48,000 votes, beating her rival Ed Davey who was backed by 28,000 in a ballot of party members, taking the reins of the centrist party which has 12 seats in the 650-seat parliament at a critical juncture in British politics.
Donald Trump, Boris Johnson and lessons from the 1930s; When is it right to sound the alarm about political turmoil?
Gideon Rachman – FT
A few weeks ago, I was sitting in the London office of a Conservative MP who was in despair at the prospect that Boris Johnson is poised to become leader of his party, and then prime minister. We chatted about politics and about what books we had been reading.
On the Cotton Farm: Stockpiling and Fearing Big Losses From Trade Fight; In Arkansas, exports have tanked and prices dropped: ‘It’s going to be a struggle’
Cotton farmers gathered at Aubrey Country Store & Grill.
Kris Maher – WSJ
When cotton farmers meet at the Aubrey Country Store & Grill, a lunch spot surrounded by farmland in the Mississippi Delta, the talk inevitably turns to global trade these days.
Australian regulator proposes tougher rules on bankers’ pay; Apra unveils measures designed to curb misconduct at financial institutions
Jamie Smyth – FT
Banking executives would have to wait up to seven years to receive bonus payments and have more of their pay linked to non-financial criteria under draft rules published by Australia’s prudential regulator, as part of a proposed shake-up following an inquiry into misconduct in the financial sector.
ESMA updates register of derivatives to be traded on-venue under MiFIR
The European Securities and Markets Authority (ESMA) has updated today the public register of those derivative contracts that are subject to the trading obligation under the Markets in Financial Instruments Regulation (MiFIR).
ATS Transparency Data Quarterly Stats File Format Conversion
By end of business on Monday, August 19, 2019, FINRA will convert the 2014 (Q2) through 2018 (Q1) ATS Transparency Data quarterly tables to the .xlsx format in Excel. Quarterly files from Q2 2018 onward are already posted in the .xlsx format.
Reminder – Second CTCI Migration Production Test for TRACE and ORF
FINRA currently supports three methods for the reporting of transactions to its TRACE and Over-The -Counter Reporting (ORF) products – FIX, Computer-to-Computer Interface (CTCI) and TRAQS. As announced in August 2018 beginning in early first quarter 2020, FINRA will no longer support the CTCI protocol (CTCI/TCP; CTCI/MQ) for both TRACE and ORF transaction reporting. Any client, including Service Bureaus, that currently utilizes CTCI and wishes to continue to deliver electronic transactions (i.e., not via TRAQS) needs to migrate to the FIX protocol by Monday, February 3, 2020.
CFTC Staff, in Conjunction with the Financial Crimes Enforcement Network, Clarifies the Customer Identification Program and Beneficial Ownership Obligations of Certain Introducing Brokers
The Commodity Futures Trading Commission’s Division of Swap Dealer and Intermediary Oversight (DSIO), in conjunction with the Financial Crimes Enforcement Network (FinCEN), today issued interpretive guidance to introducing brokers in commodities (IBs) that do not “introduce” customers to a futures commission merchant (FCM) that carries their customers’ accounts. The guidance clarifies the customer identification program (CIP) and beneficial ownership (BO) requirements applicable to such IBs under the Bank Secrecy Act.
CFTC Extends Public Comment Period for Proposal to Improve Data Quality and Streamline Regulations for Swap Data Repositories
The U.S. Commodity Futures Trading Commission announced today that it is extending until October 28, 2019 the comment period for the proposed rulemaking to amend certain CFTC regulations related to swap data reporting.
Investing and Trading
Goldman Says Yen Offers a More Attractive Hedge Than Gold
Cormac Mullen – Bloomberg
Investors looking at haven assets to protect against a risk-off shock should find the yen a cheaper option than gold, according to Goldman Sachs Group Inc.
Market braces for Mexico’s annual oil hedge, trading surges
Devika Krishna Kumar and Stefanie Eschenbacher – Reuters
Trading in crude oil options and futures surged last week as market participants prepared for Mexico’s annual oil hedging program, in which the country buys as much as $1 billion in contracts to protect its oil revenues.
Small Company Shares Fall Behind in Sign of Economic Worry
Avantika Chilkoti – WSJ
While the most-closely watched U.S. stock market gauges have hit records this year, shares in smaller U.S. companies have taken a beating. Investors are beginning to wonder if that is a taste of what is to come with the wider market.
Ray Dalio Exposes the Unpredictability of the Markets; Globalization and central bank activism lead market commentary.
Robert Burgess – Bloomberg
Ray Dalio built Bridgewater Associates into a $160 billion hedge-fund behemoth by making money for his investors for 18 consecutive years, including 2008. So the news that the firm’s flagship Pure Alpha fund, which bets on macroeconomic trends, lost 4.9% in the first half of 2019 was a shock ó though it shouldn’t have been. That’s not a knock on Dalio, but an acknowledgment of how unpredictable markets have become even for the best and brightest.
UBS CEO Warns of ‘Dangerous’ Bubbles Spurred by Central Banks
Ksenia Galouchko and Manus Cranny – Bloomberg
Ermotti says prices are uncorrelated with investor sentiment; Bright spot is that clients say they’re ready to buy the dips
UBS Group AG’s chief is sounding the alarm on fresh monetary easing just as European policy makers appear poised to deliver another helping to stimulus-hungry markets.
Martin Gilbert to step down from Standard Life Aberdeen’s board; One of asset management industry’s best-known executives expected to take on other roles
Peter Smith – FT
Martin Gilbert is to step down from the board of Standard Life Aberdeen in the coming days, marking the end of one of the longest and most colourful careers in the UK asset management industry.
BofA and UBS target private company deals in banker reshuffle; Banks chase fundraising work in private market as companies shun public markets for longer
Miles Kruppa and Eric Platt- FT
Bank of America and UBS have reshuffled their investment banking teams in a bid to muscle in on fundraising and advisory work for private companies, as businesses put off going public and fees from initial public offerings come under pressure.
The Mysterious Chinese-State Oil Trader Sanctioned by the U.S.
Zhuhai Zhenrong was set up in the 1990s with links to the army; Company has kept buying Iranian oil despite previous sanctions
The Chinese state-owned oil trading company sanctioned by the White House for violating restrictions on Iranian crude keeps a low profile.
Taiwan ETFs Buy Big Into U.S. Credit
Matt Wirz – WSJ
One of the fastest-growing sources of investors in U.S. bonds is Taiwan. Yield-hungry insurers plowed $3 billion into Taipei-based exchange-traded funds that buy U.S. fixed income in the last two weeks of June, according to research by Bank of America Corp. The surge boosted U.S. fixed-income assets under management in the ETFs by 16% to $22.5 billion.
Can British farmers achieve net zero carbon emissions by 2050?; Unlike other sectors, agriculture both emits and stores greenhouse gas
Leila Abboud – FT
Activist Gail Bradbrook had a stark message for farmers at recent conference on climate change and agriculture held in a converted barn in the Cotswolds: given their reliance on the land, farmers should ally with the Extinction Rebellion movement ahead of protests planned for autumn in London.
U.S. farmers look past trade fears to cash in on China’s hog crisis
Tom Polansek, Nigel Hunt – Reuters
It might seem an unlikely time for U.S. farmers to look to China for more business but the devastating impact of African swine fever on the Chinese pork industry is trumping concerns about trade wars and tariffs.
Boris Johnson Wins Race to Be Next British Prime Minister
Boris Johnson, the public face of the Brexit campaign, won the contest to succeed Theresa May as British prime minister, taking over a country in crisis and a government on the brink of breaking apart, Bloomberg News reports.
Brexit boom in currency hedges sparks fears of mis-selling; Analysts fear small businesses could be entering deals they may later regret
Eva Szalay- FT
The tumbling pound is encouraging nervous UK importers to enter into complex currency transactions as they scramble to avoid higher costs. But some consultants warn those deals could expose them to significant losses.
Jeffrey Epstein’s Deep Ties to Top Wall Street Figures
Kate Kelly, Matthew Goldstein, Jessica Silver-Greenberg and James B. Stewart – NY Times
When Jeffrey Epstein was serving time in Florida for soliciting prostitution from a minor, he got a surprising visitor: James E. Staley, a top JPMorgan Chase executive and one of the highest-ranking figures on Wall Street.