JP Morgan Chase buys UK's Nutmeg for undisclosed amount

Nutmeg Savings and Investment Ltd, the London-based robo adviser, on Thursday, 17 June, announced that the New York-headquartered investment banking giant JP Morgan Chase & Co (NYSE: JPM) has bought the company for an undisclosed amount.

With a clientele of more than 140,000 people and an asset under management (AUM) of £3.5 billion, Nutmeg will become the part of JP Morgan’s expansion plans in the UK, effectively forming the bedrock for the bank’s digitally-equipped offerings in the space of wealth management.

Following the development, the stock of JP Morgan dropped a little more than 3% in the trade today. According to the latest data available with the New York Stock Exchange, the stock of JP Morgan fell as much as 3.21% to an intraday bottom of $151.25 in the early afternoon trading session from the previous closing of $156.27 apiece.

JP Morgan Chase & Co shares (17 June)

Image Source: REFINITIV

Extending the losses, the stock of JP Morgan has collapsed nearly 9% in the last 9 trading days, barring a single day of positive closing in the present week. JP Morgan shares ended at $166.44 on Friday, 4 June.

Over the course of its incorporation as a robo advisor, Nutmeg has attracted a number of venture capitalists, global leaders in the financial services sector, and several institutional investors with whom the former have shared the vision for the future of wealth management.

Also Read | Economy Set to Get a Big Boost with New Infrastructure Bank

The amalgamation of Nutmeg’s services and the clients, the acquisition is likely to complement the launch of Chase as a digital bank in the UK in the later part of the present calendar year.

The extant customers of Nutmeg will continue to enjoy the present set of products and services as all the existing arrangement will remain unaffected. Following the completion of the deal in the later half of the year after receiving the requisite approval from the regulators, both the corporations are likely to work closely to develop further offerings for the benefit of the collective clientele.

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Limited (Kalkine Media, we or us) and is available for personal and non-commercial use only. Kalkine Media is not authorised or regulated by the Financial Conduct Authority to provide regulated advice. The purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. The Content is guidance about the different types of investments that are available and sets out general principles to continue before making investment decisions. Kalkine Media is neither authorised nor qualified to provide regulated investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from an appropriately authorised and/or qualified financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.



Rated 4.3/5 based on 904 Reviews at Google My Business