The only thing it seems that stays the same on Wall Street is change. Investment banks become bank holding companies. Banking conglomerates shed units to invest capital into other growing areas. It looks like J.P. Morgan Chase & Co. (NYSE:JPM) is reportedly going in that direction, disbanding its principal investment management's team unit that invests in hedge funds, leveraged buyouts and real estate, according to Bloomberg.
The report says that a small group of Bob Case's PE unit will remain in Asia, where most of the world's growth is happening, particularly in China. Overall, 150 will be reassigned and assimilated into other parts of the Jamie Dimon-led banking conglomerate. Case had joined J.P. Morgan from Citigroup Inc. (NYSE:C) in 2007.
Meanwhile, Bloomberg reports that Case's real estate team is also being folded into Brian Baker's securitized-products unit within the firm. The real estate team had been in charge of investments in land and hotels. - Gerald Magpily
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