A slew of fines by regulators saw JP Morgan’s legal costs mount to $2.9 billion last year, with an unexpectedly high $1 billion bill for the fourth quarter of 2014.
Between 2009 and 2013, the company paid out $55 billion for legal-related costs, according to the Conduct Costs Project.
“Banks are under assault,” boss Jamie Dimon told the Guardian. “We have five or six regulators coming at us on every issue. Obviously companies make mistakes. We try to resolve it, we try to fix it, we admit it,” he said.
This month, the bank paid a $660m settlement to regulators for its part in the manipulation of foreign exchange markets. Five other banks have also incurred penalties.
Despite the additional costs, JP Morgan has enjoyed a highly profitable year, with income of over $22bn – a jump from just $18bn the previous year.
The central bank has tweaked its stimulus programme and is making a fresh effort to push Japan’s inflation rate above its 2% target.
A survey of corporate decision makers across Europe finds that chief executives in more than half of the businesses canvassed take responsibility for the issue of cybersecurity.
Regulatory technology - aka RegTech - should become a priority for bankers as regulators increasingly focus on risk data aggregation, argues a white paper from Wolters Kluwer.
Despite significant cost-cutting in recent years, management consultancy McKinsey says the world’s biggest banks need more radical business plans.