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Think in the cold we've been talking about the upcoming vote on whether Jamie Dimon the head of JPMorgan.
Gets to keep both to CEO and chairmanship roles of what Dimon is likely to do if the board decides.
He can't have it.
And they split the job -- Charlie Gasparino has been talking to hold -- people on Wall Street including its okay.
We're joined by the top banking analyst Dick bove a bank analyst of -- capital and Charlie Gasparino.
Dick first of all let's talk about what you think is going to happen in just about five and a half -- when when this goes up for shareholder vote.
-- I actually think you gonna survive I think due to vote might be something like.
55 to 45%.
In his favor but I don't think he's going to be.
Put in a position where he's going to have to decide to leave the company has states.
If he loses -- vote -- I really do think you leave.
Because it's now become a vote of confidence I'm Jamie diamonds rather than anything to do with corporate governance.
Hey Dick it's Charlie Gasparino I read -- note I believe was put up this morning about about the situation.
One of the things that you basically come to the conclusion is that this is a.
A lot of nonsense about whether to -- -- vote yes JPMorgan like any big bank is beset by you know alleged scandals -- -- it's a big banks stuff does happen.
But this is more -- politics -- basically said.
More about kind of silencing Jamie Dimon has been a critic of of regulation end of the Obama administration's regulation of banks can you unpack that a little bit.
Well I think you know -- -- all four points cited its its customary thing that this issue exists because you're you know there are only three companies.
In the United States that make more money -- JPMorgan.
And you know what Jamie Dimon -- that bank want to predecessor company took -- from.
Perhaps a billion dollar loss a year to over four billion dollars in profits per year and of course.
They JPMorgan and he took a company that was -- a great deal of difficulty.
When he took it over because that it got so enmeshed.
In dot com problems too you know the biggest bank in the United States.
The bank with the biggest profits in the world except for the big Chinese bank.
That you wonder why are they going after this guy well and I think the answer is going to be hit it big -- if you -- Right right you TV guys that should be the -- -- -- he got his big -- get in trouble but it -- -- let me just play devil's advocate a little -- with you.
The government would say people need -- Eric Schneider in the attorney general from New York the attorney general -- -- from California.
Would say you know there are a lot of regulatory issues with Jamie Dimon and JJP Morgan critically recently and -- London will.
Not even for you take the wheel and the -- out is a lot of all the stuff credit card problems money laundering you name it it's all there that's happening at JPMorgan.
Aren't there some real problems at this bank.
Thought I could absolutely having you know the bank has got 250000.
Employees did it as the -- Get well over two trillion go to that fit into his movement -- would.
Everything that we go if that banker who we would go that way I think is.
Is that pollyannish I think that however.
To assume you know is that all of -- sudden eighty agencies to the United States government at the same time put the budget state.
The departure of if you will that you -- period but -- this -- to think I would suggest.
I think can -- -- action by someone they go after the bank.
Right Kevin if you thought I did that this is where I think -- -- strong -- I've I've opine about this in the New York Post and on and on Fox Business that you put in context this -- that's what I JPMorgan.
Isn't that great considering all the regulatory scrutiny of and I'm one of the best things I think you put in your know today which I thought was fascinating.
It's a great point only 27 million.
Of the three point 78 billion shares that's outstanding of JPMorgan is owned by management the rest of the shares is owned by the public so in effect.
The Obama administration.
Erik -- -- Camilla Harris all these left wing groups these public pension funds.
You name it the unions they're going after average Americans are getting crushed as JPMorgan shares have gotten crushed amid all this attention isn't that that that to me.
It's a pretty amazing statistic -- Well I think you're right chart because everything basically if someone did something wrong -- JPMorgan put him in jail like I think the fact statistically I think you do.
But they don't do that they go after the -- shareholders and the shareholders by the American public and therefore if penalizing the American.
Should we -- get we're looking at a three year chart nobody looks penalized here at the stock has performed beautifully about a three year chart we know we'll look at look at -- the last couple really scared so but that's quite a look at a list around us.
When you start to see if if he loses the chairmanship job to they take fewer risks and therefore.
At a lot people don't want banks to take risks but then does that it perform.
Less well as you see it's done very well over the past year at -- he gets angry and -- stocks off who runs this bank.
But particularly two point there which really -- just -- I think fifth.
JPMorgan actually is less risky than the average bank over the last five -- -- -- in this country because it didn't go under.
If to have bought you know Washington Mutual with the government assistance -- -- -- turned.
Get paid back the TARP money with a big profits it did not go under it had no luck quarters.
Its earnings have been at record levels so.
The risk in this company has proven to be extraordinarily low get paid leave.
Other two people Matt Cavanaugh who I think most investors really like the guy who is is phenomenally good.
Vice my cabin all right -- -- -- that -- would be good to I think leading candidate to replace the.
A day one last question here we're running out of time the something's gonna come down I think at this board meeting even if you're retains we should point out that who has -- -- first report on fox does -- -- yesterday.
As -- first report that is they can step -- -- they think he's gonna win the vote.
But I get the feeling just my gut is telling me that even if he does when the vote something significant from a corporate.
Management's corporate governance standpoint this is gonna happen at this meeting on Tuesday do you do you sense any of that.
-- and I think you're right I think could do when you started technical advancement.
They start thinking a lot to have more closely about what's going on in the company and I think that you know.
What -- didn't quite get what you think it's going to be I think that's what the sixteenth without a lot of.
But my guess that you might lose this week the three board members OK being under attack care.
And my guess also is within six months you might be change -- the structure.
Of corporate governance reduced exports.
Dick will will call on you again and in a couple of days when this is really close thank you so much -- both saying you.
-- property closing bell ring.
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