JP Morgan Chase has increased its spending on technology in order to improve compliance controls as it seeks to re-focus its business to meet new regulatory demands. It has also taken on a number of new staff in IT-related roles.
In a memo published on Tuesday, JP Morgan chief executive Jamie Dimon said that the US investment bank had upped its total spend on technology by 27 percent since 2011 in order to help meet regulatory requirements.
In addition JP Morgan has constructed a ”state-of-the art control room” at its corporate headquarters, which will provide data analysis and reporting relating to control and operational risk data across the organisation.
Overall JP Morgan has increased its spend on controls by approximately $1 billion (£630 million) this year alone, Dimon said, with improvements to procedures in areas such as anti-money laundering.
The bank has also increased the number of employees dedicated to improving controls, taking on around 4,000 staff since the beginning of 2012 in a variety of roles including IT, compliance and risk.
The statement comes as the bank prepares to agree to a settlement that will see it pay $800 million to the Federal Reserve and Securities and Exchange Commission (SEC) following the London Whale trading incident in 2012 which saw the firm lose over $6.2 billion (£3.9 billion).
Dimon said that the measures taken in the past two years to improve compliance controls represent an “unprecedented effort” for the firm.
“Never before have we focused so much time, effort, brainpower, technological power and money on a single, enterprise-wide objective,” he said. “Make no mistake—we are going to get this right.”