Brexit: JP Morgan inaugurates European HQ in Paris

JP Morgan CEO Jamie Dimon (L) and French President Emmanuel Macron at the inauguration of the new French headquarters of JP Morgan. Photo: Reuters
JP Morgan CEO Jamie Dimon (L) and French President Emmanuel Macron at the inauguration of the new French headquarters of JP Morgan. Photo: Reuters

Investment bank JP Morgan (JPM) has opened up its European headquarters in Paris as Brexit has meant the UK is losing its importance as the financial centre of the region.

JP Morgan has moved 140 employees to Paris, as part of its European-wide Brexit strategy. The bank aims to have 800 staff in the office by the end of 2022.

Those who have moved to the new premises come from 32 nationalities and work mainly in sales and trading roles.

The building was inaugurated by France’s president Emmanuel Macron.

The bank’s CEO Jamie Dimon said Paris has become JP Morgan’s main trading centre in the European Union, Bloomberg reported.

He added that the new premises houses six trading floors and will see between $300bn (£216bn) and $400bn in trading volume every day.

“All European trading, which is stocks, bonds, and derivatives will be going through here,” Dimon said.

Dimon was one of some 120 global CEOs in France for Macron's "Choose France" summit in which he talks up France as an investment destination.

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“Dimon is handing Macron a triumph now as EU nations vie to take chunks of the financial centre forced to shift post-Brexit from the UK,” according to a Bloomberg report.

Macron hopes the move will attract more bankers leaving post-Brexit Britain.

A report in Reuters said: "JPMorgan's new trading floor is the latest concrete example of how Brexit is changing Europe's financial landscape since January."

"Global banks like JP Morgan have long used London as their EU gateway, but with Brexit largely severing Britain from the bloc's financial market, banks have spent millions of dollars on hubs in Paris, Frankfurt and elsewhere in the bloc to avoid disruption," it added.

Earlier in the year Goldman Sachs (GS) had signed a lease for a new Paris headquarters building, and Bank of America (BAC), which opened new offices near the Champs Elysees in 2019, also relocated some of its senior executives to Paris.

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