JP Morgan suffers trading loss of atleast $ 2 Billion

JPMorgan Chase & Co has said that it suffered a trading loss of at least $2 billion from a failed hedging strategy, a surprise disclosure that hit financial stocks and the reputation of the bank and its prominent CEO, Jamie Dimon. JPMorgan said in a filing with the Securities and Exchange Commission that since the end of March, its Chief Investment Office has had significant mark-to-market losses in its synthetic credit portfolio. Synthetic portfolios typically include derivatives in a way intended to mimic the performance of securities. JPMorgan had $2.32 trillion of assets supported
by $190 billion of shareholder equity at the end of March and has been earning more than $4 billion each quarter, on average, for the past two years.