JPMorgan Chase estimates over the next few years tens of thousands of their employees will work on regulatory changes, of whom 3,000 will be devoted full time to the effort at a cost of close to $3 billion. The bank also recognizes the cost of credit and the cost of banking services will modestly increase as the new regulations are implemented.
In the letter, Dimon states:
As a result of the Dodd-Frank, we now have multiple regulatory agencies with overlapping rules and oversight responsibilities. A robust financial system needs coordinated and consistent regulation that is strong, simple and transparent. The regulators should have clear authority and responsibility.Dimon also discussing the importance of policy makers to ensure the “final outcome is fair to American banks and that they are fully free to compete in the face of increasingly tough global competition,” pointing to regulations that are unique to American banks such as the Volcker Rule.
Read Dimon’s full letter to shareholders by visiting the JPMorgan Chase homepage, select the Investor Relations tab across the top of the page, then select the Annual Report & Proxy header on the left of the page.