JPMorgan To Charge Hedge Funds On Deposits

Dec 9 2014 | 12:51pm ET

With new regulations making deposits both less profitable and more onerous, JPMorgan Chase has reportedly told some hedge-fund clients to take their business elsewhere.

The bank has informed customers that it will begin charging fees to keep some short-term deposit accounts open, Bloomberg News reports. JPMorgan’s move comes as it and other banks struggle with the implications of new liquidity and capital requirements—rules that classify large, uninsured, short-term deposits as risky and requiring larger reserves.

Deutsche Bank has also discussed possible changes to its deposit accounts, according to Bloomberg. In addition, Bank of Ameria, Citigroup and HSBC have each told clients that the new regulatory environment has made deposit-taking less profitable, The Wall Street Journal reports.


In Depth

Q&A: Portfolio Advisors' Brian Murphy On The Advantages of A Private Markets Platform

Jan 2 2018 | 11:05am ET

Most private markets firms reference their platforms as a source of competitive...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: The Top Hedge Fund Industry Trends for 2018

Jan 2 2018 | 12:22pm ET

Each year, Don Steinbrugge’s Agecroft Partners compiles the insights gained...

 

FINalternatives Trending

From the current issue of