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JPMorgan Chase & Co. (JPM)

Document and Entity Information

Document and Entity Information6 Months Ended
Jun. 30, 2019shares
Entity Information [Line Items]
Document Type10-Q
Document Quarterly Reporttrue
Document Transition Reportfalse
Document Period End DateJun. 30,
2019
Entity File Number1-5805
Entity Registrant NameJPMorgan Chase & Co
Entity Incorporation, State or Country CodeDE
Entity Tax Identification Number13-2624428
Entity Address, Address Line One383 Madison Avenue
Entity Address, City or TownNew York
Entity Address, State or ProvinceNY
Entity Address, Postal Zip Code10179
City Area Code212
Local Phone Number270-6000
Entity Current Reporting StatusYes
Entity Interactive Data CurrentYes
Entity Filer CategoryLarge Accelerated Filer
Entity Small Businessfalse
Entity Emerging Growth Companyfalse
Entity Shell Companyfalse
Entity Common Stock, Shares Outstanding3,197,484,989
Entity Central Index Key0000019617
Amendment Flagfalse
Document Fiscal Year Focus2019
Document Fiscal Period FocusQ2
Current Fiscal Year End Date--12-31
Common stock
Entity Information [Line Items]
Title of 12(b) SecurityCommon stock
Trading SymbolJPM
Security Exchange NameNYSE
Depositary Shares, each representing a one-four hundredth interest in a share of 5.45% Non-Cumulative Preferred Stock, Series P
Entity Information [Line Items]
Title of 12(b) SecurityDepositary Shares representing interests in shares of 5.45% Non-Cumulative Preferred Stock Series P
Trading SymbolJPM PR A
Security Exchange NameNYSE
Depositary Shares, each representing a one-four hundredth interest in a share of 6.30% Non-Cumulative Preferred Stock, Series W
Entity Information [Line Items]
Title of 12(b) SecurityDepositary Shares representing interests in shares of 6.30% Non-Cumulative Preferred Stock Series W
Trading SymbolJPM PR E
Security Exchange NameNYSE
Depositary Shares, each representing a one-four hundredth interest in a share of 6.125% Non-Cumulative Preferred Stock, Series Y
Entity Information [Line Items]
Title of 12(b) SecurityDepositary Shares representing interests in shares of 6.125% Non-Cumulative Preferred Stock Series Y
Trading SymbolJPM PR F
Security Exchange NameNYSE
Depositary Shares, each representing a one-four hundredth interest in a share of 6.10% Non-Cumulative Preferred Stock, Series AA
Entity Information [Line Items]
Title of 12(b) SecurityDepositary Shares representing interests in shares of 6.10% Non-Cumulative Preferred Stock Series AA
Trading SymbolJPM PR G
Security Exchange NameNYSE
Depositary Shares, each representing a one-four hundredth interest in a share of 6.15% Non-Cumulative Preferred Stock, Series BB
Entity Information [Line Items]
Title of 12(b) SecurityDepositary Shares representing interests in shares of 6.15% Non-Cumulative Preferred Stock Series BB
Trading SymbolJPM PR H
Security Exchange NameNYSE
Depositary Shares, each representing a one-four hundredth interest in a share of 5.75% Non-Cumulative Preferred Stock, Series DD
Entity Information [Line Items]
Title of 12(b) SecurityDepositary Shares representing interests in shares of 5.75% Non-Cumulative Preferred Stock Series DD
Trading SymbolJPM PR D
Security Exchange NameNYSE
Depositary Shares, each representing a one-four hundredth interest in a share of 6.00% Non-Cumulative Preferred Stock, Series EE
Entity Information [Line Items]
Title of 12(b) SecurityDepositary Shares representing interests in shares of 6.00% Non-Cumulative Preferred Stock Series EE
Trading SymbolJPM PR C
Security Exchange NameNYSE
Alerian MLP Index ETNs due May 24, 2024
Entity Information [Line Items]
Title of 12(b) SecurityAlerian MLP Index ETNs due May 24, 2024
Trading SymbolAMJ
Security Exchange NameNYSEArca
Guarantee of Callable Step-Up Fixed Rate Notes due April 26, 2028 of JPMorgan Chase Financial Company LLC
Entity Information [Line Items]
Title of 12(b) SecurityGuarantee of Callable Step-Up FRNs due April 26, 2028 of JPMorgan Chase Financial Company LLC
Trading SymbolJPM/28
Security Exchange NameNYSE
Guarantee of Cushing 30 MLP Index ETNs due June 15, 2037 of JPMorgan Chase Financial Company LLC
Entity Information [Line Items]
Title of 12(b) SecurityGuarantee of Cushing 30 MLP Index ETNs due June 15, 2037 of JPMorgan Chase Financial Company LLC
Trading SymbolPPLN
Security Exchange NameNYSEArca

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($) shares in Millions, $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Revenue
Investment banking fees $ 1,851 $ 2,168 $ 3,691 $ 3,904
Principal transactions3,714 3,782 7,790 7,734
Lending- and deposit-related fees1,535 1,495 3,017 2,972
Asset management, administration and commissions4,353 4,304 8,467 8,613
Investment securities gains/(losses)44 (80)57 (325)
Mortgage fees and related income279 324 675 789
Card income1,366 1,020 2,640 2,295
Other income1,292 1,255 2,767 2,881
Noninterest revenue14,434 14,268 29,104 28,863
Interest income[1]21,603 18,566 42,992 36,060
Interest expense[1]7,205 5,081 14,141 9,263
Net interest income14,398 13,485 28,851 26,797
Total net revenue28,832 27,753 57,955 55,660
Provision for credit losses1,149 1,210 2,644 2,375
Noninterest expense
Compensation expense8,547 8,338 17,484 17,200
Occupancy expense1,060 981 2,128 1,869
Technology, communications and equipment expense2,378 2,168 4,742 4,222
Professional and outside services2,212 2,126 4,251 4,247
Marketing862 798 1,741 1,598
Other expense1,282 1,560 2,390 2,915
Total noninterest expense16,341 15,971 32,736 32,051
Income before income tax expense11,342 10,572 22,575 21,234
Income tax expense1,690 2,256 3,744 4,206
Net income9,652 8,316 18,831 17,028
Net income applicable to common stockholders $ 9,192 $ 7,880 $ 17,945 $ 16,119
Net income per common share data
Basic earnings per share (in dollars per share) $ 2.83 $ 2.31 $ 5.48 $ 4.69
Diluted earnings per share (in dollars per share) $ 2.82 $ 2.29 $ 5.46 $ 4.66
Weighted-average basic shares (in shares)3,250.6 3,415.2 3,274.3 3,436.7
Weighted-average diluted shares (in shares)3,259.7 3,434.7 3,283.9 3,457.1
[1]In the second quarter of 2019, the Firm implemented certain presentation changes that impacted interest income and interest expense, but had no effect on net interest income. These changes were applied retrospectively and, accordingly, prior period amounts were revised to conform with the current presentation. For additional information, refer to Note 6.

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
Net income $ 9,652 $ 8,316 $ 18,831 $ 17,028
Other comprehensive income/(loss), after–tax
Unrealized gains/(losses) on investment securities1,093 (227)2,507 (1,461)
Translation adjustments, net of hedges99 88 75 115
Fair value hedges86 (68)88 (108)
Cash flow hedges97 (166)235 (239)
Defined benefit pension and OPEB plans41 38 77 59
DVA on fair value option elected liabilities256 260 (361)527
Total other comprehensive income/(loss), after–tax1,672 (75)2,621 (1,107)
Comprehensive income $ 11,324 $ 8,241 $ 21,452 $ 15,921

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Assets
Cash and due from banks $ 23,164 $ 22,324
Deposits with banks244,874 256,469
Federal funds sold and securities purchased under resale agreements (included $13,982 and $13,235 at fair value)267,864 321,588
Securities borrowed (included $5,685 and $5,105 at fair value)130,661 111,995
Trading assets (included assets pledged of $141,563 and $89,073)523,373 413,714
Investment securities (included $276,357 and $230,394 at fair value and assets pledged of $10,654 and $11,432)307,264 261,828
Loans (included $4,309 and $3,151 at fair value)956,889 984,554
Allowance for loan losses(13,166)(13,445)
Loans, net of allowance for loan losses943,723 971,109
Accrued interest and accounts receivable88,399 73,200
Premises and equipment24,665 14,934
Goodwill, MSRs and other intangible assets53,302 54,349
Other assets (included $9,544 and $9,630 at fair value and assets pledged of $2,753 and $3,457)120,090 121,022
Total assets[1]2,727,379 2,622,532
Liabilities
Deposits (included $32,924 and $23,217 at fair value)1,524,361 1,470,666
Federal funds purchased and securities loaned or sold under repurchase agreements (included $981 and $935 at fair value)201,683 182,320
Short-term borrowings (included $7,736 and $7,130 at fair value)59,890 69,276
Trading liabilities147,639 144,773
Accounts payable and other liabilities (included $2,873 and $3,269 at fair value)216,137 196,710
Beneficial interests issued by consolidated VIEs (included $0 and $28 at fair value)25,585 20,241
Long-term debt (included $67,828 and $54,886 at fair value)288,869 282,031
Total liabilities[1]2,464,164 2,366,017
Commitments and contingencies (refer to Notes 22, 23 and 24)
Stockholders’ equity
Preferred stock ($1 par value; authorized 200,000,000 shares; issued 2,699,250 and 2,606,750 shares)26,993 26,068
Common stock ($1 par value; authorized 9,000,000,000 shares; issued 4,104,933,895 shares)4,105 4,105
Additional paid-in capital88,359 89,162
Retained earnings212,093 199,202
Accumulated other comprehensive income/(loss)1,114 (1,507)
Shares held in restricted stock units (“RSU”) Trust, at cost (472,953 shares)(21)(21)
Treasury stock, at cost (907,448,906 and 829,167,674 shares)(69,428)(60,494)
Total stockholders’ equity263,215 256,515
Total liabilities and stockholders’ equity2,727,379 2,622,532
VIEs consolidated by the Firm
Assets
Trading assets (included assets pledged of $141,563 and $89,073)1,422 1,966
Loans (included $4,309 and $3,151 at fair value)53,883 59,456
Other assets (included $9,544 and $9,630 at fair value and assets pledged of $2,753 and $3,457)987 1,013
Total assets56,292 62,435
Liabilities
Beneficial interests issued by consolidated VIEs (included $0 and $28 at fair value)25,585 20,241
All other liabilities291 312
Total liabilities $ 25,876 $ 20,553
[1]The following table presents information on assets and liabilities related to VIEs that are consolidated by the Firm at June 30, 2019 , and December 31, 2018 . The assets of the consolidated VIEs are used to settle the liabilities of those entities. The holders of the beneficial interests generally do not have recourse to the general credit of JPMorgan Chase . The assets and liabilities in the table below include third-party assets and liabilities of consolidated VIEs and exclude intercompany balances that eliminate in consolidation. For a further discussion, refer to Note 13 . (in millions) June 30, 2019 December 31, 2018 Assets Trading assets $ 1,422 $ 1,966 Loans 53,883 59,456 All other assets 987 1,013 Total assets $ 56,292 $ 62,435 Liabilities Beneficial interests issued by consolidated VIEs $ 25,585 $ 20,241 All other liabilities 291 312 Total liabilities $ 25,876 $ 20,553

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Assets
Assets pledged $ 155,000 $ 104,000
Fair value276,357 230,394
Loans $ 4,309 $ 3,151
Stockholders' equity
Preferred stock, par value (in dollars per share) $ 1 $ 1
Preferred stock, shares authorized (in shares)200,000,000 200,000,000
Preferred stock, shares issued (in shares)2,699,250 2,606,750
Common stock, par value (in dollars per share) $ 1 $ 1
Common stock, shares authorized (in shares)9,000,000,000 9,000,000,000
Common stock, shares issued (in shares)4,104,933,895 4,104,933,895
Shares held in Trust, at cost (in shares)472,953 472,953
Treasury stock, at cost (in shares)907,448,906 829,167,674
Trading assets
Assets
Assets pledged $ 141,563 $ 89,073
Securities
Assets
Assets pledged10,654 11,432
Other assets
Assets
Assets pledged2,753 3,457
Recurring
Assets
Federal funds sold and securities purchased under resale agreements13,982 13,235
Securities borrowed5,685 5,105
Fair value276,357 230,394
Loans4,309 3,151
Liabilities
Deposits32,924 23,217
Federal funds purchased and securities loaned or sold under repurchase agreements981 935
Short-term borrowings7,736 7,130
Accounts payable and other liabilities2,873 3,269
Beneficial interests issued by consolidated VIEs0 28
Long-term debt67,828 54,886
Recurring | Other assets
Assets
Other assets $ 9,544 $ 9,630

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in MillionsTotalPreferred stockCommon stockAdditional paid-in capitalRetained earningsAccumulated other comprehensive income/(loss)Shares held in RSU Trust, at costTreasury stock, at cost
Beginning balance at Dec. 31, 2017 $ 26,068 $ 4,105 $ 90,579 $ 177,676 $ (119) $ (21) $ (42,595)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance0
Redemption0
Shares issued and commitments to issue common stock for employee shared-based compensation awards, and related tax effects(1,076)
Other(111)
Net income $ 17,028 17,028
Dividends declared:
Preferred stock(788)
Common stock(3,852)
Other comprehensive income/(loss), after-tax(1,107)(1,107)
Repurchase(9,639)
Reissuance1,405
Ending balance at Jun. 30, 2018257,458 26,068 4,105 89,392 189,881 (1,138)(21)(50,829)
Beginning balance at Mar. 31, 201826,068 4,105 89,211 183,855 (1,063)(21)(45,954)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance0
Redemption0
Shares issued and commitments to issue common stock for employee shared-based compensation awards, and related tax effects231
Other(50)
Net income8,316 8,316
Dividends declared:
Preferred stock(379)
Common stock(1,911)
Other comprehensive income/(loss), after-tax(75)(75)
Repurchase(4,968)
Reissuance93
Ending balance at Jun. 30, 2018257,458 26,068 4,105 89,392 189,881 (1,138)(21)(50,829)
Beginning balance at Dec. 31, 2018256,515 26,068 4,105 89,162 199,202 (1,507)(21)(60,494)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance1,850
Redemption(925)
Shares issued and commitments to issue common stock for employee shared-based compensation awards, and related tax effects(760)
Other(43)
Net income18,831 18,831
Dividends declared:
Preferred stock(778)
Common stock(5,224)
Other comprehensive income/(loss), after-tax2,621 2,621
Repurchase(10,301)
Reissuance1,367
Ending balance at Jun. 30, 2019263,215 26,993 4,105 88,359 212,093 1,114 (21)(69,428)
Beginning balance at Mar. 31, 201926,993 4,105 88,170 205,437 (558)(21)(64,289)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance0
Redemption0
Shares issued and commitments to issue common stock for employee shared-based compensation awards, and related tax effects189
Other0
Net income9,652 9,652
Dividends declared:
Preferred stock(404)
Common stock(2,592)
Other comprehensive income/(loss), after-tax1,672 1,672
Repurchase(5,210)
Reissuance71
Ending balance at Jun. 30, 2019 $ 263,215 $ 26,993 $ 4,105 $ 88,359 $ 212,093 $ 1,114 $ (21) $ (69,428)

Consolidated Statements of Ch_2

Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares3 Months Ended
Jun. 30, 2019Mar. 31, 2019Jun. 30, 2018Mar. 31, 2018
Dividends declared:
Dividends declared, Common stock (in dollars per share) $ 1.60 $ 0.80 $ 1.12 $ 0.56

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions6 Months Ended
Jun. 30, 2019Jun. 30, 2018
Operating activities
Net income $ 18,831 $ 17,028
Adjustments to reconcile net income to net cash used in operating activities:
Provision for credit losses2,644 2,375
Depreciation and amortization4,084 3,724
Deferred tax (benefit)/expense(42)(216)
Other1,164 1,611
Originations and purchases of loans held-for-sale(35,908)(43,141)
Proceeds from sales, securitizations and paydowns of loans held-for-sale44,995 41,657
Net change in:
Trading assets(111,562)(42,859)
Securities borrowed(18,586)(3,132)
Accrued interest and accounts receivable(15,416)(8,083)
Other assets(10,146)(716)
Trading liabilities12,765 21,997
Accounts payable and other liabilities8,790 12,574
Other operating adjustments3,653 (2,243)
Net cash provided by/(used in) operating activities(94,734)576
Net change in:
Federal funds sold and securities purchased under resale agreements53,757 (28,109)
Held-to-maturity securities:
Proceeds from paydowns and maturities1,315 1,458
Purchases(818)(7,426)
Available-for-sale securities:
Proceeds from paydowns and maturities30,547 19,718
Proceeds from sales35,983 25,228
Purchases(106,085)(27,453)
Proceeds from sales and securitizations of loans held-for-investment31,291 12,963
Other changes in loans, net(16,903)(33,441)
All other investing activities, net(1,663)(1,912)
Net cash provided by/(used in) investing activities27,424 (38,974)
Net change in:
Deposits62,795 10,100
Federal funds purchased and securities loaned or sold under repurchase agreements19,343 16,396
Short-term borrowings(9,907)
Short-term borrowings12,151
Beneficial interests issued by consolidated VIEs9,346 (165)
Proceeds from long-term borrowings29,159 41,166
Payments of long-term borrowings(38,384)(50,171)
Proceeds from issuance of preferred stock1,850 0
Redemption of preferred stock(925)0
Treasury stock repurchased(10,301)(9,639)
Dividends paid(6,081)(4,716)
All other financing activities, net(426)(1,356)
Net cash provided by financing activities56,469 13,766
Effect of exchange rate changes on cash and due from banks and deposits with banks86 (1,492)
Net decrease in cash and due from banks and deposits with banks(10,755)(26,124)
Cash and due from banks and deposits with banks at the beginning of the period278,793 431,304
Cash and due from banks and deposits with banks at the end of the period268,038 405,180
Cash interest paid13,794 9,151
Cash income taxes paid, net $ 2,892 $ 3,906

Basis of Presentation

Basis of Presentation6 Months Ended
Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of PresentationBasis of presentation JPMorgan Chase & Co. (“JPMorgan Chase” or “the Firm”), a financial holding company incorporated under Delaware law in 1968, is a leading global financial services firm and one of the largest banking institutions in the U.S., with operations worldwide. The Firm is a leader in investment banking, financial services for consumers and small businesses, commercial banking, financial transaction processing and asset management. For a further discussion of the Firm’s business segments, refer to Note 25 . The accounting and financial reporting policies of JPMorgan Chase and its subsidiaries conform to U.S. GAAP. Additionally, where applicable, the policies conform to the accounting and reporting guidelines prescribed by regulatory authorities. The unaudited Consolidated Financial Statements prepared in conformity with U.S. GAAP require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expense, and the disclosures of contingent assets and liabilities. Actual results could be different from these estimates. In the opinion of management, all normal, recurring adjustments have been included such that this interim financial information is fairly presented. These unaudited Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements, and related notes thereto, included in JPMorgan Chase ’s 2018 Form 10-K. Certain amounts reported in prior periods have been reclassified to conform with the current presentation. Consolidation The Consolidated Financial Statements include the accounts of JPMorgan Chase and other entities in which the Firm has a controlling financial interest. All material intercompany balances and transactions have been eliminated. Assets held for clients in an agency or fiduciary capacity by the Firm are not assets of JPMorgan Chase and are not included on the Consolidated balance sheets. The Firm determines whether it has a controlling financial interest in an entity by first evaluating whether the entity is a voting interest entity or a variable interest entity. For a further description of JPMorgan Chase’s accounting policies regarding consolidation, refer to Notes 1 and 14 of JPMorgan Chase’s 2018 Form 10-K. Offsetting assets and liabilities U.S. GAAP permits entities to present derivative receivables and derivative payables with the same counterparty and the related cash collateral receivables and payables on a net basis on the Consolidated balance sheets when a legally enforceable master netting agreement exists. U.S. GAAP also permits securities financing activities to be presented on a net basis when specified conditions are met, including the existence of a legally enforceable master netting agreement. The Firm has elected to net such balances when the specified conditions are met. For further information on offsetting assets and liabilities, refer to Note 1 of JPMorgan Chase ’s 2018 Form 10-K. Income tax expense The Firm’s effective tax rate was 14.9% and 16.6% in the three and six months ended June 30, 2019, respectively, and 21.3% and 19.8% in the respective 2018 periods. The effective tax rate reflects the recognition of tax benefits related to the resolution of certain tax audits of $768 million and $874 million , in the three and six months ended June 30, 2019, respectively, which reduced the Firm’s effective tax rate by 6.8% and 3.9% respectively. For further information, refer to Note 24 of JPMorgan Chase ’s 2018 Form 10-K.

Fair Value Measurement

Fair Value Measurement6 Months Ended
Jun. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value MeasurementFair value measurement For a discussion of the Firm’s valuation methodologies for assets, liabilities and lending-related commitments measured at fair value and the fair value hierarchy, refer to Note 2 of JPMorgan Chase’s 2018 Form 10-K. The following table presents the assets and liabilities reported at fair value as of June 30, 2019 , and December 31, 2018 , by major product category and fair value hierarchy . Assets and liabilities measured at fair value on a recurring basis Fair value hierarchy Derivative (f) June 30, 2019 (in millions) Level 1 Level 2 Level 3 Total fair value Federal funds sold and securities purchased under resale agreements $ — $ 13,982 $ — $ — $ 13,982 Securities borrowed — 5,685 — — 5,685 Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies (a) — 104,186 617 — 104,803 Residential – nonagency — 2,102 42 — 2,144 Commercial – nonagency — 1,708 9 — 1,717 Total mortgage-backed securities — 107,996 668 — 108,664 U.S. Treasury and government agencies (a) 88,502 9,712 — — 98,214 Obligations of U.S. states and municipalities — 6,628 680 — 7,308 Certificates of deposit, bankers’ acceptances and commercial paper — 1,492 — — 1,492 Non-U.S. government debt securities 34,840 31,353 190 — 66,383 Corporate debt securities — 22,140 562 — 22,702 Loans (b) — 42,180 1,778 — 43,958 Asset-backed securities — 2,643 33 — 2,676 Total debt instruments 123,342 224,144 3,911 — 351,397 Equity securities 98,234 456 147 — 98,837 Physical commodities (c) 3,692 3,339 — — 7,031 Other — 12,874 311 — 13,185 Total debt and equity instruments (d) 225,268 240,813 4,369 — 470,450 Derivative receivables: Interest rate 1,529 331,329 1,698 (308,068 ) 26,488 Credit — 14,971 694 (15,032 ) 633 Foreign exchange 2,170 141,248 682 (133,437 ) 10,663 Equity — 41,997 2,933 (35,725 ) 9,205 Commodity — 16,663 208 (10,982 ) 5,889 Total derivative receivables 3,699 546,208 6,215 (503,244 ) 52,878 Total trading assets (e) 228,967 787,021 10,584 (503,244 ) 523,328 Available-for-sale securities: Mortgage-backed securities: U.S. government agencies (a) — 96,616 — — 96,616 Residential – nonagency — 12,740 — — 12,740 Commercial – nonagency — 5,989 — — 5,989 Total mortgage-backed securities — 115,345 — — 115,345 U.S. Treasury and government agencies 73,990 — — — 73,990 Obligations of U.S. states and municipalities — 31,901 — — 31,901 Certificates of deposit — 74 — — 74 Non-U.S. government debt securities 14,869 7,623 — — 22,492 Corporate debt securities — 1,778 — — 1,778 Asset-backed securities: Collateralized loan obligations — 24,781 — — 24,781 Other — 5,996 — — 5,996 Total available-for-sale securities 88,859 187,498 — — 276,357 Loans — 4,304 5 — 4,309 Mortgage servicing rights — — 5,093 — 5,093 Other assets (e) 7,784 198 861 — 8,843 Total assets measured at fair value on a recurring basis $ 325,610 $ 998,688 $ 16,543 $ (503,244 ) $ 837,597 Deposits $ — $ 28,858 $ 4,066 $ — $ 32,924 Federal funds purchased and securities loaned or sold under repurchase agreements — 981 — — 981 Short-term borrowings — 5,684 2,052 — 7,736 Trading liabilities: Debt and equity instruments (d) 84,236 21,879 45 — 106,160 Derivative payables: Interest rate 2,090 296,717 2,242 (292,166 ) 8,883 Credit — 16,305 926 (14,975 ) 2,256 Foreign exchange 2,438 144,304 875 (136,491 ) 11,126 Equity — 42,205 5,493 (36,521 ) 11,177 Commodity — 18,238 1,116 (11,317 ) 8,037 Total derivative payables 4,528 517,769 10,652 (491,470 ) 41,479 Total trading liabilities 88,764 539,648 10,697 (491,470 ) 147,639 Accounts payable and other liabilities 2,583 198 92 — 2,873 Beneficial interests issued by consolidated VIEs — — — — — Long-term debt — 45,965 21,863 — 67,828 Total liabilities measured at fair value on a recurring basis $ 91,347 $ 621,334 $ 38,770 $ (491,470 ) $ 259,981 Fair value hierarchy Derivative (f) December 31, 2018 (in millions) Level 1 Level 2 Level 3 Total fair value Federal funds sold and securities purchased under resale agreements $ — $ 13,235 $ — $ — $ 13,235 Securities borrowed — 5,105 — — 5,105 Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies (a) — 76,249 549 — 76,798 Residential – nonagency — 1,798 64 — 1,862 Commercial – nonagency — 1,501 11 — 1,512 Total mortgage-backed securities — 79,548 624 — 80,172 U.S. Treasury and government agencies (a) 51,477 7,702 — — 59,179 Obligations of U.S. states and municipalities — 7,121 689 — 7,810 Certificates of deposit, bankers’ acceptances and commercial paper — 1,214 — — 1,214 Non-U.S. government debt securities 27,878 27,056 155 — 55,089 Corporate debt securities — 18,655 334 — 18,989 Loans (b) — 40,047 1,706 — 41,753 Asset-backed securities — 2,756 127 — 2,883 Total debt instruments 79,355 184,099 3,635 — 267,089 Equity securities 71,119 482 232 — 71,833 Physical commodities (c) 5,182 1,855 — — 7,037 Other — 13,192 301 — 13,493 Total debt and equity instruments (d) 155,656 199,628 4,168 — 359,452 Derivative receivables: Interest rate 682 266,380 1,642 (245,490 ) 23,214 Credit — 19,235 860 (19,483 ) 612 Foreign exchange 771 166,238 676 (154,235 ) 13,450 Equity — 46,777 2,508 (39,339 ) 9,946 Commodity — 20,339 131 (13,479 ) 6,991 Total derivative receivables 1,453 518,969 5,817 (472,026 ) 54,213 Total trading assets (e) 157,109 718,597 9,985 (472,026 ) 413,665 Available-for-sale securities: Mortgage-backed securities: U.S. government agencies (a) — 68,646 — — 68,646 Residential – nonagency — 8,519 1 — 8,520 Commercial – nonagency — 6,654 — — 6,654 Total mortgage-backed securities — 83,819 1 — 83,820 U.S. Treasury and government agencies 56,059 — — — 56,059 Obligations of U.S. states and municipalities — 37,723 — — 37,723 Certificates of deposit — 75 — — 75 Non-U.S. government debt securities 15,313 8,789 — — 24,102 Corporate debt securities — 1,918 — — 1,918 Asset-backed securities: Collateralized loan obligations — 19,437 — — 19,437 Other — 7,260 — — 7,260 Total available-for-sale securities 71,372 159,021 1 — 230,394 Loans — 3,029 122 — 3,151 Mortgage servicing rights — — 6,130 — 6,130 Other assets (e) 7,810 195 927 — 8,932 Total assets measured at fair value on a recurring basis $ 236,291 $ 899,182 $ 17,165 $ (472,026 ) $ 680,612 Deposits $ — $ 19,048 $ 4,169 $ — $ 23,217 Federal funds purchased and securities loaned or sold under repurchase agreements — 935 — — 935 Short-term borrowings — 5,607 1,523 — 7,130 Trading liabilities: Debt and equity instruments (d) 80,199 22,755 50 — 103,004 Derivative payables: Interest rate 1,526 239,576 1,680 (234,998 ) 7,784 Credit — 19,309 967 (18,609 ) 1,667 Foreign exchange 695 163,549 973 (152,432 ) 12,785 Equity — 46,462 4,733 (41,034 ) 10,161 Commodity — 21,158 1,260 (13,046 ) 9,372 Total derivative payables 2,221 490,054 9,613 (460,119 ) 41,769 Total trading liabilities 82,420 512,809 9,663 (460,119 ) 144,773 Accounts payable and other liabilities 3,063 196 10 — 3,269 Beneficial interests issued by consolidated VIEs — 27 1 — 28 Long-term debt — 35,468 19,418 — 54,886 Total liabilities measured at fair value on a recurring basis $ 85,483 $ 574,090 $ 34,784 $ (460,119 ) $ 234,238 (a) At June 30, 2019 , and December 31, 2018 , included total U.S. government-sponsored enterprise obligations of $153.6 billion and $92.3 billion , respectively, which were predominantly mortgage-related. (b) At June 30, 2019 , and December 31, 2018 , included within trading loans were $16.6 billion and $13.2 billion , respectively, of residential first-lien mortgages, and $2.8 billion and $2.3 billion , respectively, of commercial first-lien mortgages. Residential mortgage loans include conforming mortgage loans originated with the intent to sell to U.S. government agencies of $9.9 billion and $7.6 billion , respectively. (c) Physical commodities inventories are generally accounted for at the lower of cost or net realizable value. “Net realizable value” is a term defined in U.S. GAAP as not exceeding fair value less costs to sell (“transaction costs”). Transaction costs for the Firm’s physical commodities inventories are either not applicable or immaterial to the value of the inventory. Therefore, net realizable value approximates fair value for the Firm’s physical commodities inventories. When fair value hedging has been applied (or when net realizable value is below cost), the carrying value of physical commodities approximates fair value, because under fair value hedge accounting, the cost basis is adjusted for changes in fair value. For a further discussion of the Firm’s hedge accounting relationships, refer to Note 4 . To provide consistent fair value disclosure information, all physical commodities inventories have been included in each period presented. (d) Balances reflect the reduction of securities owned (long positions) by the amount of identical securities sold but not yet purchased (short positions). (e) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) as a practical expedient are not required to be classified in the fair value hierarchy. At June 30, 2019 , and December 31, 2018 , the fair values of these investments, which include certain hedge funds, private equity funds, real estate and other funds, were $746 million and $747 million , respectively. Included in these balances at June 30, 2019 , and December 31, 2018 , were trading assets of $45 million and $49 million , respectively, and other assets of $701 million and $698 million , respectively. (f) As permitted under U.S. GAAP, the Firm has elected to net derivative receivables and derivative payables and the related cash collateral received and paid when a legally enforceable master netting agreement exists. The level 3 balances would be reduced if netting were applied, including the netting benefit associated with cash collateral. Level 3 valuations For further information on the Firm’s valuation process and a detailed discussion of the determination of fair value for individual financial instruments, refer to Note 2 of JPMorgan Chase’s 2018 Form 10-K. The following table presents the Firm’s primary level 3 financial instruments, the valuation techniques used to measure the fair value of those financial instruments, the significant unobservable inputs, the range of values for those inputs and, for certain instruments, the weighted averages of such inputs. While the determination to classify an instrument within level 3 is based on the significance of the unobservable inputs to the overall fair value measurement, level 3 financial instruments typically include observable components (that is, components that are actively quoted and can be validated to external sources) in addition to the unobservable components. The level 1 and/or level 2 inputs are not included in the table. In addition, the Firm manages the risk of the observable components of level 3 financial instruments using securities and derivative positions that are classified within levels 1 or 2 of the fair value hierarchy. The range of values presented in the table is representative of the highest and lowest level input used to value the significant groups of instruments within a product/instrument classification. Where provided, the weighted averages of the input values presented in the table are calculated based on the fair value of the instruments that the input is being used to value. In the Firm’s view, the input range and the weighted average value do not reflect the degree of input uncertainty or an assessment of the reasonableness of the Firm’s estimates and assumptions. Rather, they reflect the characteristics of the various instruments held by the Firm and the relative distribution of instruments within the range of characteristics. For example, two option contracts may have similar levels of market risk exposure and valuation uncertainty, but may have significantly different implied volatility levels because the option contracts have different underlyings, tenors, or strike prices. The input range and weighted average values will therefore vary from period-to-period and parameter-to-parameter based on the characteristics of the instruments held by the Firm at each balance sheet date. For the Firm’s derivatives and structured notes positions classified within level 3 at June 30, 2019, interest rate correlation inputs used in estimating fair value were concentrated towards the upper end of the range; equity correlation, equity-FX, and equity-IR correlation inputs were concentrated in the middle of the range; commodity correlation inputs were concentrated in the middle of the range; credit correlation inputs were concentrated towards the lower end of the range; and the interest rate-foreign exchange (“IR-FX”) correlation inputs were distributed across the range. In addition, the interest rate spread volatility inputs used in estimating fair value were distributed across the range; equity volatilities and commodity volatilities were concentrated towards the lower end of the range; and forward commodity prices used in estimating the fair value of commodity derivatives were concentrated in the middle of the range. Prepayment speed inputs used in estimating the fair value of interest rate derivatives were concentrated towards the lower end of the range. Recovery rate inputs used in estimating the fair value of credit derivatives were distributed across the range; credit spreads and conditional default rates were concentrated towards the lower end of the range; loss severity inputs were concentrated towards the upper end of the range and price inputs were concentrated towards the lower end of the range. Level 3 inputs (a) June 30, 2019 Product/Instrument Fair value (in millions) Principal valuation technique Unobservable inputs (g) Range of input values Weighted average Residential mortgage-backed securities and loans (b) $ 942 Discounted cash flows Yield 0 % – 15 % 6 % Prepayment speed 0 % – 26 % 13 % Conditional default rate 0 % – 5 % 1 % Loss severity 0 % – 70 % 1 % Commercial mortgage-backed securities and loans (c) 218 Market comparables Price $ 0 – $ 110 $ 85 Obligations of U.S. states and municipalities 680 Market comparables Price $ 66 – $ 100 $ 97 Corporate debt securities 562 Market comparables Price $ 0 – $ 109 $ 83 Loans (d) 212 Discounted cash flows Yield 5 % – 18 % 7 % 1,079 Market comparables Price $ 2 – $ 102 $ 80 Asset-backed securities 33 Market comparables Price $ 1 – $ 100 $ 38 Net interest rate derivatives (616 ) Option pricing Interest rate spread volatility 20 bps – 30 bps Interest rate correlation (28 )% – 96 % IR-FX correlation 45 % – 60 % 72 Discounted cash flows Prepayment speed 4 % – 30 % Net credit derivatives (265 ) Discounted cash flows Credit correlation 35 % – 60 % Credit spread 6 bps – 1,402 bps Recovery rate 20 % – 70 % Conditional default rate 2 % – 91 % Loss severity 100% 33 Market comparables Price $ 1 – $ 115 Net foreign exchange derivatives (23 ) Option pricing IR-FX correlation (45 )% – 60 % (170 ) Discounted cash flows Prepayment speed 9% Net equity derivatives (2,560 ) Option pricing Equity volatility 14 % – 60 % Equity correlation 25 % – 98 % Equity-FX correlation (75 )% – 59 % Equity-IR correlation 20 % – 60 % Net commodity derivatives (908 ) Option pricing Forward commodity price $ 49 – $ 70 per barrel Commodity volatility 5 % – 65 % Commodity correlation (48 )% – 95 % MSRs 5,093 Discounted cash flows Refer to Note 14 Other assets 358 Discounted cash flows Credit spread 45 bps 45 bps Yield 8 % – 12 % 12 % 814 Market comparables Price $ 19 – $ 113 $ 34 Long-term debt, short-term borrowings, and deposits (e) 27,981 Option pricing Interest rate spread volatility 20 bps – 30 bps Interest rate correlation (28 )% – 96 % IR-FX correlation (45 )% – 60 % Equity correlation 25 % – 98 % Equity-FX correlation (75 )% – 59 % Equity-IR correlation 20 % – 60 % Other level 3 assets and liabilities, net (f) 200 (a) The categories presented in the table have been aggregated based upon the product type, which may differ from their classification on the Consolidated balance sheets. Furthermore, the inputs presented for each valuation technique in the table are, in some cases, not applicable to every instrument valued using the technique as the characteristics of the instruments can differ. (b) Comprises U.S. government agency securities of $617 million , nonagency securities of $42 million and trading loans of $283 million . (c) Comprises nonagency securities of $9 million , trading loans of $204 million and non-trading loans of $5 million . (d) Comprises trading loans. (e) Long-term debt, short-term borrowings and deposits include structured notes issued by the Firm that are financial instruments that typically contain embedded derivatives. The estimation of the fair value of structured notes includes the derivative features embedded within the instrument. The significant unobservable inputs are broadly consistent with those presented for derivative receivables. (f) Includes level 3 assets and liabilities that are insignificant both individually and in aggregate. (g) Price is a significant unobservable input for certain instruments. When quoted market prices are not readily available, reliance is generally placed on price-based internal valuation techniques. The price input is expressed assuming a par value of $100 . Changes in and ranges of unobservable inputs For a discussion of the impact on fair value of changes in unobservable inputs and the relationships between unobservable inputs as well as a description of attributes of the underlying instruments and external market factors that affect the range of inputs used in the valuation of the Firm’s positions refer to Note 2 of JPMorgan Chase’s 2018 Form 10-K. Changes in level 3 recurring fair value measurements The following tables include a rollforward of the Consolidated balance sheets amounts (including changes in fair value) for financial instruments classified by the Firm within level 3 of the fair value hierarchy for the three and six months ended June 30, 2019 and 2018. When a determination is made to classify a financial instrument within level 3, the determination is based on the significance of the unobservable inputs to the overall fair value measurement. However, level 3 financial instruments typically include, in addition to the unobservable or level 3 components, observable components (that is, components that are actively quoted and can be validated to external sources); accordingly, the gains and losses in the table below include changes in fair value due in part to observable factors that are part of the valuation methodology. Also, the Firm risk-manages the observable components of level 3 financial instruments using securities and derivative positions that are classified within level 1 or 2 of the fair value hierarchy; as these level 1 and level 2 risk management instruments are not included below, the gains or losses in the following tables do not reflect the effect of the Firm’s risk management activities related to such level 3 instruments. Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 412 $ (25 ) $ 318 $ (68 ) $ (20 ) $ — $ — $ 617 $ (24 ) Residential – nonagency 85 1 11 (14 ) (19 ) — (22 ) 42 — Commercial – nonagency 17 — 4 — (12 ) — — 9 (1 ) Total mortgage-backed securities 514 (24 ) 333 (82 ) (51 ) — (22 ) 668 (25 ) U.S. Treasury and government agencies — — — — — — — — — Obligations of U.S. states and municipalities 623 1 57 (1 ) — — — 680 — Non-U.S. government debt securities 170 — 117 (103 ) — 9 (3 ) 190 — Corporate debt securities 568 7 61 (62 ) (53 ) 51 (10 ) 562 22 Loans 1,741 56 385 (216 ) (156 ) 139 (171 ) 1,778 68 Asset-backed securities 119 2 2 (58 ) (30 ) — (2 ) 33 2 Total debt instruments 3,735 42 955 (522 ) (290 ) 199 (208 ) 3,911 67 Equity securities 202 (12 ) 8 (3 ) — 21 (69 ) 147 (12 ) Other 304 20 3 — (15 ) — (1 ) 311 35 Total trading assets – debt and equity instruments 4,241 50 (c) 966 (525 ) (305 ) 220 (278 ) 4,369 90 (c) Net derivative receivables: (b) Interest rate (147 ) (341 ) 28 (60 ) (57 ) (6 ) 39 (544 ) (459 ) Credit (115 ) (127 ) 13 (1 ) 4 1 (7 ) (232 ) (139 ) Foreign exchange (356 ) 58 10 (8 ) 114 (17 ) 6 (193 ) 82 Equity (2,066 ) (21 ) 34 (158 ) (284 ) (148 ) 83 (2,560 ) (91 ) Commodity (665 ) (171 ) 7 (83 ) 21 (17 ) — (908 ) (151 ) Total net derivative receivables (3,349 ) (602 ) (c) 92 (310 ) (202 ) (187 ) 121 (4,437 ) (758 ) (c) Available-for-sale securities: Mortgage-backed securities — — — — — — — — — Asset-backed securities — — — — — — — — — Total available-for-sale securities — — — — — — — — — Loans 123 1 (c) — — (119 ) — — 5 — (c) Mortgage servicing rights 5,957 (826 ) (d) 426 (217 ) (247 ) — — 5,093 (826 ) (d) Other assets 841 (89 ) (c) 142 (8 ) (26 ) 1 — 861 (92 ) (c) Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/ Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,528 $ 89 (c)(e) $ — $ — $ 92 $ (292 ) $ — $ (351 ) $ 4,066 $ 104 (c)(e) Short-term borrowings 1,502 72 (c)(e) — — 1,037 (624 ) 67 (2 ) 2,052 28 (c)(e) Trading liabilities – debt and equity instruments 52 — (5 ) 5 — — 4 (11 ) 45 — Accounts payable and other liabilities 15 (1 ) (c) (3 ) 80 — — 1 — 92 (1 ) (c) Beneficial interests issued by consolidated VIEs — — — — — — — — — — Long-term debt 21,655 455 (c)(e) — — 2,648 (2,729 ) 200 (366 ) 21,863 621 (c)(e) Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 508 $ — $ 5 $ (11 ) $ (19 ) $ 5 $ (10 ) $ 478 $ — Residential – nonagency 55 2 45 (11 ) (1 ) 11 (14 ) 87 1 Commercial – nonagency 14 2 1 (1 ) (12 ) 17 (3 ) 18 1 Total mortgage-backed securities 577 4 51 (23 ) (32 ) 33 (27 ) 583 2 U.S. Treasury and — — — — — — — — — Obligations of U.S. states and municipalities 704 (9 ) 42 — (1 ) — — 736 (9 ) Non-U.S. government debt securities 197 (12 ) 126 (92 ) — — (36 ) 183 (12 ) Corporate debt securities 306 (3 ) 60 (40 ) (10 ) 36 (75 ) 274 4 Loans 2,368 (21 ) 565 (806 ) (192 ) 251 (179 ) 1,986 (30 ) Asset-backed securities 63 4 45 (9 ) (6 ) 2 (12 ) 87 4 Total debt instruments 4,215 (37 ) 889 (970 ) (241 ) 322 (329 ) 3,849 (41 ) Equity securities 300 (13 ) 65 (50 ) (1 ) — (13 ) 288 (8 ) Other 698 (254 ) 16 (34 ) (18 ) — (2 ) 406 (259 ) Total trading assets – debt and equity instruments 5,213 (304 ) (c) 970 (1,054 ) (260 ) 322 (344 ) 4,543 (308 ) (c) Net derivative receivables: (b) Interest rate 472 287 38 (51 ) (179 ) (54 ) (24 ) 489 254 Credit 5 21 1 (5 ) (29 ) (4 ) (13 ) (24 ) 9 Foreign exchange (288 ) 94 13 (3 ) (8 ) (74 ) 21 (245 ) 95 Equity (2,512 ) 143 606 (1,042 ) (13 ) 38 202 (2,578 ) (24 ) Commodity (519 ) (35 ) — — (186 ) (9 ) (3 ) (752 ) (65 ) Total net derivative receivables (2,842 ) 510 (c) 658 (1,101 ) (415 ) (103 ) 183 (3,110 ) 269 (c) Available-for-sale securities: Mortgage-backed securities 1 — — — — — — 1 — Asset-backed securities 204 — — — (57 ) — — 147 — Total available-for-sale securities 205 — — — (57 ) — — 148 — Loans 396 (9 ) (c) — — (154 ) — (74 ) 159 (9 ) (c) Mortgage servicing rights 6,202 94 (d) 236 (104 ) (187 ) — — 6,241 94 (d) Other assets 1,220 (13 ) (c) 24 (2 ) (5 ) 1 — 1,225 (17 ) (c) Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/losses related Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,017 $ 49 (c)(e) $ — $ — $ 434 $ (57 ) $ 1 $ (139 ) $ 4,305 $ 50 (c)(e) Short-term borrowings 2,125 (197 ) (c)(e) — — 862 (614 ) 43 (10 ) 2,209 (27 ) (c)(e) Trading liabilities – debt and equity instruments 50 (11 ) (c) (25 ) 33 — — — (4 ) 43 (4 ) (c) Accounts payable and other liabilities 7 (1 ) (c) — 1 — — 1 — 8 (1 ) (c) Beneficial interests issued by consolidated VIEs 1 — — — — — — — 1 — Long-term debt 16,950 (344 ) (c)(e) — — 3,150 (i) (2,123 ) (i) 219 (220 ) 17,632 (i) (427 ) (c)(e) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 549 $ (40 ) $ 323 $ (168 ) $ (38 ) $ 1 $ (10 ) $ 617 $ (37 ) Residential – nonagency 64 25 81 (83 ) (20 ) 15 (40 ) 42 — Commercial – nonagency 11 2 16 (19 ) (14 ) 15 (2 ) 9 — Total mortgage-backed securities 624 (13 ) 420 (270 ) (72 ) 31 (52 ) 668 (37 ) U.S. Treasury and government agencies — — — — — — — — — Obligations of U.S. states and municipalities 689 14 58 (75 ) (6 ) — — 680 15 Non-U.S. government debt securities 155 (1 ) 188 (157 ) — 11 (6 ) 190 2 Corporate debt securities 334 29 284 (69 ) (53 ) 79 (42 ) 562 35 Loans 1,706 139 457 (334 ) (276 ) 298 (212 ) 1,778 128 Asset-backed securities 127 — 19 (79 ) (37 ) 20 (17 ) 33 — Total debt instruments 3,635 168 1,426 (984 ) (444 ) 439 (329 ) 3,911 143 Equity securities 232 (14 ) 23 (82 ) (22 ) 96 (86 ) 147 (11 ) Other 301 24 15 (1 ) (26 ) 1 (3 ) 311 45 Total trading assets – debt and equity instruments 4,168 178 (c) 1,464 (1,067 ) (492 ) 536 (418 ) 4,369 177 (c) Net derivative receivables: (b) Interest rate (38 ) (663 ) 47 (207 ) 241 12 64 (544 ) (725 ) Credit (107 ) (144 ) 13 (2 ) 10 4 (6 ) (232 ) (155 ) Foreign exchange (297 ) (187 ) 11 (17 ) 295 (25 ) 27 (193 ) (144 ) Equity (2,225 ) 710 161 (455 ) (685 ) (215 ) 149 (2,560 ) (134 ) Commodity (1,129 ) 362 10 (171 ) 45 (16 ) (9 ) (908 ) 485 Total net derivative receivables (3,796 ) 78 (c) 242 (852 ) (94 ) (240 ) 225 (4,437 ) (673 ) (c) Available-for-sale securities: Mortgage-backed securities 1 — — — (1 ) — — — — Asset-backed securities — — — — — — — — — Total available-for-sale securities 1 — — — (1 ) — — — — Loans 122 4 (c) — — (121 ) — — 5 5 (c) Mortgage servicing rights 6,130 (1,125 ) (d) 862 (328 ) (446 ) — — 5,093 (1,125 ) (d) Other assets 927 (96 ) (c) 151 (88 ) (27 ) 1 (7 ) 861 (98 ) (c) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/ Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,169 $ 241 (c)(e) $ — $ — $ 427 $ (316 ) $ — $ (455 ) $ 4,066 $ 246 (c)(e) Short-term borrowings 1,523 118 (c)(e) — — 1,688 (1,225 ) 68 (120 ) 2,052 115 (c)(e) Trading liabilities – debt and equity instruments 50 — (7 ) 16 — — 7 (21 ) 45 1 (c) Accounts payable and other liabilities 10 (1 ) (c) (8 ) 90 — — 1 — 92 (1 ) (c) Beneficial interests issued by consolidated VIEs 1 (1 ) (c) — — — — — — — — Long-term debt 19,418 1,728 (c)(e) — — 4,699 (3,917 ) 473 (538 ) 21,863 2,039 (c)(e) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 307 $ 3 $ 334 $ (98 ) $ (39 ) $ 9 $ (38 ) $ 478 $ 1 Residential – nonagency 60 — 45 (13 ) (3 ) 40 (42 ) 87 1 Commercial – nonagency 11 3 7 (8 ) (13 ) 21 (3 ) 18 (2 ) Total mortgage-backed securities 378 6 386 (119 ) (55 ) 70 (83 ) 583 — U.S. Treasury and 1 — — — — — (1 ) — — Obligations of U.S. states and municipalities 744 (11 ) 81 — (78 ) — — 736 (11 ) Non-U.S. government debt securities 78 (10 ) 351 (184 ) — 17 (69 ) 183 (9 ) Corporate debt securities 312 (4 ) 141 (140 ) (11 ) 167 (191 ) 274 3 Loans 2,719 41 1,035 (1,534 ) (329 ) 374 (320 ) 1,986 (24 ) Asset-backed securities 153 9 59 (22 ) (40 ) 13 (85 ) 87 5 Total debt instruments 4,385 31 2,053 (1,999 ) (513 ) 641 (749 ) 3,849 (36 ) Equity securities 295 (21 ) 93 (60 ) (1 ) 4 (22 ) 288 (8 ) Other 690 (239 ) 34 (40 ) (38 ) 1 (2 ) 406 (251 ) Total trading assets – debt and equity instruments 5,370 (229 ) (c) 2,180 (2,099 ) (552 ) 646 (773 ) 4,543 (295 ) (c) Net derivative receivables: (b) Interest rate 264 340 55 (55 ) (133 ) (28 ) 46 489 314 Credit (35 ) 38 2 (7 ) (25 ) (1 ) 4 (24 ) 11 Foreign exchange (396 ) 240 13 (8 ) 3 (112 ) 15 (245 ) 190 Equity (3,409 ) 782 824 (1,284 ) 421 (73 ) 161 (2,578 ) 514 Commodity (674 ) 150 — — (174 ) (8 ) (46 ) (752 ) 154 Total net derivative receivables (4,250 ) 1,550 (c) 894 (1,354 ) 92 (222 ) 180 (3,110 ) 1,183 (c) Available-for-sale securities: Mortgage-backed securities 1 — — — — — — 1 — Asset-backed securities 276 1 — — (130 ) — — 147 1 Total available-for-sale securities 277 1 (j) — — (130 ) — — 148 1 (d) Loans 276 (4 ) (c) 122 — (161 ) — (74 ) 159 (5 ) (c) Mortgage servicing rights 6,030 478 (d) 479 (399 ) (347 ) — — 6,241 478 (d) Other assets 1,265 (50 ) (c) 47 (16 ) (21 ) 1 (1 ) 1,225 (52 ) (c) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/losses related Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,142 $ (41 ) (c)(e) $ — $ — $ 755 $ (255 ) $ 1 $ (297 ) $ 4,305 $ (86 ) (c)(e) Short-term borrowings 1,665 (182 ) (c)(e) — — 2,070 (1,360 ) 55 (39 ) 2,209 (31 ) (c)(e) Trading liabilities – debt and equity instruments 39 (8 ) (c) (62 ) 76 — 1 2 (5 ) 43 (1 ) (c) Accounts payable and other liabilities 13 (1 ) (c) (6 ) 1 — — 1 — 8 (1 ) (c) Beneficial interests issued by consolidated VIEs 39 — — — — (38 ) — — 1 — Long-term debt 16,125 (590 ) (c)(e) — — 6,241 (i) (4,386 ) (i) 594 (352 ) 17,632 (i) (706 ) (c)(e) (a) Level 3 assets as a percentage of total Firm assets accounted for at fair value (including assets measured at fair value on a nonrecurring basis) were 2% and 3% at June 30, 2019 and December 31, 2018, respectively. Level 3 liabilities as a percentage of total Firm liabilities accounted for at fair value (including liabilities measured at fair value on a nonrecurring basis) was 15% at June 30, 2019 and December 31, 2018 . (b) All level 3 derivatives are presented on a net basis, irrespective of the underlying counterparty. (c) Predominantly reported in principal transactions revenue, except for changes in fair value for CCB mortgage loans and lending-related commitments originated with the intent to sell, and mortgage loan purchase commitments, which are reported in mortgage fees and related income. (d) Changes in fair value for MSRs are reported in mortgage fees and related income. (e) Realized (gains)/losses due to DVA for fair value option elected liabilities are reported in principal transactions revenue, and they were not material for the three and six months ended June 30, 2019 and 2018, respectively. Unrealized (gains)/losses are reported in OCI, and they were $(5) million and $(71) million for the three months ended June 30, 2019 and 2018, respectively and $170 million and $(123) million for the six months ended June 30, 2019 and 2018 , respectively. (f) Loan originations are included in purchases. (g) Includes financial assets and liabilities that have matured, been partially or fully repaid, impacts of modifications, deconsolidations associated with beneficial interests in VIEs and other items. (h) All transfers into and/or out of level 3 are based on changes in the observability and/or significance of the valuation inputs and are assumed to occur at the beginning of the quarterly reporting period in which they occur. (i) The prior period amounts have been revised to conform with the current period presentation. (j) Realized gains/(losses) on AFS securities, as well as other-than-temporary impairment (“OTTI”) losses that are recorded in earnings, are reported in investment securities gains/(losses). Unrealized gains/(losses) are reported in OCI. There w

Fair Value Option

Fair Value Option6 Months Ended
Jun. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value OptionFair value option For a discussion of the primary financial instruments for which the fair value option was elected, including the basis for those elections and the determination of instrument-specific credit risk, where relevant, refer to Note 3 of JPMorgan Chase’s 2018 Form 10-K. Changes in fair value under the fair value option election The following table presents the changes in fair value included in the Consolidated statements of income for the three months ended June 30, 2019 and 2018 , for items for which the fair value option was elected. The profit and loss information presented below only includes the financial instruments that were elected to be measured at fair value; related risk management instruments, which are required to be measured at fair value, are not included in the table. Three months ended June 30, 2019 2018 (in millions) Principal transactions All other income Total changes in fair (e) Principal transactions All other income Total changes in fair value recorded (e) Federal funds sold and securities purchased under resale agreements $ 22 $ — $ 22 $ (33 ) $ — $ (33 ) Securities borrowed 43 — 43 29 — 29 Trading assets: Debt and equity instruments, excluding loans 204 — 204 (259 ) 1 (c) (258 ) Loans reported as trading assets: Changes in instrument-specific credit risk 199 2 (c) 201 214 (1 ) (c) 213 Other changes in fair value 120 328 (c) 448 29 65 (c) 94 Loans: Changes in instrument-specific credit risk (13 ) — (13 ) (1 ) — (1 ) Other changes in fair value 1 — 1 (1 ) — (1 ) Other assets 2 3 (d) 5 — (3 ) (d) (3 ) Deposits (a) (696 ) — (696 ) 129 — 129 Federal funds purchased and securities loaned or sold under repurchase agreements (15 ) — (15 ) 9 — 9 Short-term borrowings (a) (70 ) — (70 ) (162 ) — (162 ) Trading liabilities 2 — 2 6 — 6 Other liabilities (4 ) — (4 ) — — — Long-term debt (a)(b) (1,770 ) — (1,770 ) 196 — 196 Six months ended June 30, 2019 2018 (in millions) Principal transactions All other income Total changes in fair value recorded (e) Principal transactions All other income Total changes in fair value recorded (e) Federal funds sold and securities purchased under resale agreements $ 33 $ — $ 33 $ (26 ) $ — $ (26 ) Securities borrowed 80 — 80 2 — 2 Trading assets: Debt and equity instruments, excluding loans 1,558 — 1,558 (445 ) 1 (c) (444 ) Loans reported as trading assets: Changes in instrument-specific credit risk 447 5 (c) 452 336 4 (c) 340 Other changes in fair value 200 565 (c) 765 70 (25 ) (c) 45 Loans: Changes in instrument-specific credit risk (8 ) — (8 ) (1 ) — (1 ) Other changes in fair value 1 — 1 (2 ) — (2 ) Other assets 3 3 (d) 6 2 (10 ) (d) (8 ) Deposits (a) (1,192 ) — (1,192 ) 339 — 339 Federal funds purchased and securities loaned or sold under repurchase agreements (20 ) — (20 ) 19 — 19 Short-term borrowings (a) (774 ) — (774 ) 111 — 111 Trading liabilities 5 — 5 (1 ) — (1 ) Other liabilities (8 ) — (8 ) — — — Long-term debt (a)(b) (4,606 ) — (4,606 ) 1,227 — 1,227 (a) Unrealized gains/(losses) due to instrument-specific credit risk (DVA) for liabilities for which the fair value option has been elected is recorded in OCI, while realized gains/(losses) are recorded in principal transactions revenue. Realized gains/(losses) due to instrument-specific credit risk recorded in principal transactions revenue were not material for the three and six months ended June 30, 2019 and 2018 , respectively. (b) Long-term debt measured at fair value predominantly relates to structured notes. Although the risk associated with the structured notes is actively managed, the gains/(losses) reported in this table do not include the income statement impact of the risk management instruments used to manage such risk. (c) Reported in mortgage fees and related income. (d) Reported in other income. (e) Changes in fair value exclude contractual interest, which is included in interest income and interest expense for all instruments other than hybrid financial instruments. For further information regarding interest income and interest expense, refer to Note 6 . Difference between aggregate fair value and aggregate remaining contractual principal balance outstanding The following table reflects the difference between the aggregate fair value and the aggregate remaining contractual principal balance outstanding as of June 30, 2019 , and December 31, 2018 , for loans, long-term debt and long-term beneficial interests for which the fair value option has been elected. June 30, 2019 December 31, 2018 (in millions) Contractual principal outstanding Fair value Fair value over/(under) contractual principal outstanding Contractual principal outstanding Fair value Fair value over/(under) contractual principal outstanding Loans (a) Nonaccrual loans Loans reported as trading assets $ 4,038 $ 1,231 $ (2,807 ) $ 4,240 $ 1,350 $ (2,890 ) Loans 124 72 (52 ) 39 — (39 ) Subtotal 4,162 1,303 (2,859 ) 4,279 1,350 (2,929 ) All other performing loans Loans reported as trading assets 43,722 42,727 (995 ) 42,215 40,403 (1,812 ) Loans 4,284 4,237 (47 ) 3,186 3,151 (35 ) Total loans $ 52,168 $ 48,267 $ (3,901 ) $ 49,680 $ 44,904 $ (4,776 ) Long-term debt Principal-protected debt $ 39,559 (c) $ 36,681 $ (2,878 ) $ 32,674 (c) $ 28,718 $ (3,956 ) Nonprincipal-protected debt (b) NA 31,147 NA NA 26,168 NA Total long-term debt NA $ 67,828 NA NA $ 54,886 NA Long-term beneficial interests Nonprincipal-protected debt (b) NA $ — NA NA $ 28 NA Total long-term beneficial interests NA $ — NA NA $ 28 NA (a) There were no performing loans that were ninety days or more past due as of June 30, 2019 , and December 31, 2018 , respectively. (b) Remaining contractual principal is not applicable to nonprincipal-protected structured notes and long-term beneficial interests. Unlike principal-protected structured notes and long-term beneficial interests, for which the Firm is obligated to return a stated amount of principal at maturity, nonprincipal-protected structured notes and long-term beneficial interests do not obligate the Firm to return a stated amount of principal at maturity, but for structured notes to return an amount based on the performance of an underlying variable or derivative feature embedded in the note. However, investors are exposed to the credit risk of the Firm as issuer for both nonprincipal-protected and principal-protected notes. (c) Where the Firm issues principal-protected zero-coupon or discount notes, the balance reflects the contractual principal payment at maturity or, if applicable, the contractual principal payment at the Firm’s next call date. At June 30, 2019 , and December 31, 2018 , the contractual amount of lending-related commitments for which the fair value option was elected was $9.7 billion and $6.9 billion , respectively, with a corresponding fair value of $(95) million and $(82) million , respectively. For further information regarding off-balance sheet lending-related financial instruments, refer to Note 27 of JPMorgan Chase’s 2018 Form 10-K, and Note 22 of this Form 10-Q. Structured note products by balance sheet classification and risk component The following table presents the fair value of structured notes, by balance sheet classification and the primary risk type. June 30, 2019 December 31, 2018 (in millions) Long-term debt Short-term borrowings Deposits Total Long-term debt Short-term borrowings Deposits Total Risk exposure Interest rate $ 31,670 $ 66 $ 21,048 $ 52,784 $ 24,137 $ 62 $ 12,372 $ 36,571 Credit 4,848 639 — 5,487 4,009 995 — 5,004 Foreign exchange 3,580 85 37 3,702 3,169 157 38 3,364 Equity 25,338 6,536 8,278 40,152 21,382 5,422 7,368 34,172 Commodity 467 6 1,320 1,793 372 34 1,207 1,613 Total structured notes $ 65,903 $ 7,332 $ 30,683 $ 103,918 $ 53,069 $ 6,670 $ 20,985 $ 80,724

Derivative Instruments

Derivative Instruments6 Months Ended
Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative InstrumentsDerivative instruments JPMorgan Chase makes markets in derivatives for clients and also uses derivatives to hedge or manage its own risk exposures. For a further discussion of the Firm’s use of and accounting policies regarding derivative instruments, refer to Note 5 of JPMorgan Chase’s 2018 Form 10-K. The Firm’s disclosures are based on the accounting treatment and purpose of these derivatives. A limited number of the Firm’s derivatives are designated in hedge accounting relationships and are disclosed according to the type of hedge (fair value hedge, cash flow hedge, or net investment hedge). Derivatives not designated in hedge accounting relationships include certain derivatives that are used to manage certain risks associated with specified assets or liabilities (“specified risk management” positions) as well as derivatives used in the Firm’s market-making businesses or for other purposes. The following table outlines the Firm’s primary uses of derivatives and the related hedge accounting designation or disclosure category. Type of Derivative Use of Derivative Designation and disclosure Affected segment or unit 10-Q page reference Manage specifically identified risk exposures in qualifying hedge accounting relationships: • Interest rate Hedge fixed rate assets and liabilities Fair value hedge Corporate 108-109 • Interest rate Hedge floating-rate assets and liabilities Cash flow hedge Corporate 110 • Foreign exchange Hedge foreign currency-denominated assets and liabilities Fair value hedge Corporate 108-109 • Foreign exchange Hedge foreign currency-denominated forecasted revenue and expense Cash flow hedge Corporate 110 • Foreign exchange Hedge the value of the Firm’s investments in non-U.S. dollar functional currency entities Net investment hedge Corporate 111 • Commodity Hedge commodity inventory Fair value hedge CIB 108-109 Manage specifically identified risk exposures not designated in qualifying hedge accounting relationships: • Interest rate Manage the risk of the mortgage pipeline, warehouse loans and MSRs Specified risk management CCB 111 • Credit Manage the credit risk of wholesale lending exposures Specified risk management CIB 111 • Interest rate and foreign exchange Manage the risk of certain other specified assets and liabilities Specified risk management Corporate 111 Market-making derivatives and other activities: • Various Market-making and related risk management Market-making and other CIB 111 • Various Other derivatives Market-making and other CIB, AWM, Corporate 111 Notional amount of derivative contracts The following table summarizes the notional amount of derivative contracts outstanding as of June 30, 2019 , and December 31, 2018 . Notional amounts (b) (in billions) June 30, 2019 December 31, 2018 Interest rate contracts Swaps $ 25,583 $ 21,763 Futures and forwards 4,600 3,562 Written options 4,572 3,997 Purchased options 5,054 4,322 Total interest rate contracts 39,809 33,644 Credit derivatives (a) 1,294 1,501 Foreign exchange contracts Cross-currency swaps 3,824 3,548 Spot, futures and forwards 6,951 5,871 Written options 922 835 Purchased options 939 830 Total foreign exchange contracts 12,636 11,084 Equity contracts Swaps 365 346 Futures and forwards 122 101 Written options 640 528 Purchased options 573 490 Total equity contracts 1,700 1,465 Commodity contracts Swaps 148 134 Spot, futures and forwards 161 156 Written options 143 135 Purchased options 126 120 Total commodity contracts 578 545 Total derivative notional amounts $ 56,017 $ 48,239 (a) For more information on volumes and types of credit derivative contracts, refer to the Credit derivatives discussion on page 112 . (b) Represents the sum of gross long and gross short third-party notional derivative contracts. While the notional amounts disclosed above give an indication of the volume of the Firm’s derivatives activity, the notional amounts significantly exceed, in the Firm’s view, the possible losses that could arise from such transactions. For most derivative contracts, the notional amount is not exchanged; it is used simply as a reference to calculate payments. Impact of derivatives on the Consolidated balance sheets The following table summarizes information on derivative receivables and payables (before and after netting adjustments) that are reflected on the Firm’s Consolidated balance sheets as of June 30, 2019 , and December 31, 2018 , by accounting designation (e.g., whether the derivatives were designated in qualifying hedge accounting relationships or not) and contract type. Free-standing derivative receivables and payables (a) Gross derivative receivables Gross derivative payables June 30, 2019 Not designated as hedges Designated as hedges Total derivative receivables Net derivative receivables (b) Not designated as hedges Designated as hedges Total derivative payables Net derivative payables (b) Trading assets and liabilities Interest rate $ 333,694 $ 862 $ 334,556 $ 26,488 $ 301,047 $ 2 $ 301,049 $ 8,883 Credit 15,665 — 15,665 633 17,231 — 17,231 2,256 Foreign exchange 143,659 441 144,100 10,663 146,920 697 147,617 11,126 Equity 44,930 — 44,930 9,205 47,698 — 47,698 11,177 Commodity 16,739 132 16,871 5,889 19,280 74 19,354 8,037 Total fair value of trading assets and liabilities $ 554,687 $ 1,435 $ 556,122 $ 52,878 $ 532,176 $ 773 $ 532,949 $ 41,479 Gross derivative receivables Gross derivative payables December 31, 2018 Not designated as hedges Designated as hedges Total derivative receivables Net derivative receivables (b) Not designated as hedges Designated Total derivative payables Net derivative payables (b) Trading assets and liabilities Interest rate $ 267,871 $ 833 $ 268,704 $ 23,214 $ 242,782 $ — $ 242,782 $ 7,784 Credit 20,095 — 20,095 612 20,276 — 20,276 1,667 Foreign exchange 167,057 628 167,685 13,450 164,392 825 165,217 12,785 Equity 49,285 — 49,285 9,946 51,195 — 51,195 10,161 Commodity 20,223 247 20,470 6,991 22,297 121 22,418 9,372 Total fair value of trading assets and liabilities $ 524,531 $ 1,708 $ 526,239 $ 54,213 $ 500,942 $ 946 $ 501,888 $ 41,769 (a) Balances exclude structured notes for which the fair value option has been elected. Refer to Note 3 for further information. (b) As permitted under U.S. GAAP, the Firm has elected to net derivative receivables and derivative payables and the related cash collateral receivables and payables when a legally enforceable master netting agreement exists. Derivatives netting The following tables present, as of June 30, 2019 , and December 31, 2018 , gross and net derivative receivables and payables by contract and settlement type. Derivative receivables and payables, as well as the related cash collateral from the same counterparty have been netted on the Consolidated balance sheets where the Firm has obtained an appropriate legal opinion with respect to the master netting agreement. Where such a legal opinion has not been either sought or obtained, amounts are not eligible for netting on the Consolidated balance sheets, and those derivative receivables and payables are shown separately in the tables below. In addition to the cash collateral received and transferred that is presented on a net basis with derivative receivables and payables, the Firm receives and transfers additional collateral (financial instruments and cash). These amounts mitigate counterparty credit risk associated with the Firm’s derivative instruments, but are not eligible for net presentation: • collateral that consists of non-cash financial instruments (generally U.S. government and agency securities and other G7 government securities) and cash collateral held at third-party custodians, which are shown separately as “Collateral not nettable on the Consolidated balance sheets” in the tables below, up to the fair value exposure amount. • the amount of collateral held or transferred that exceeds the fair value exposure at the individual counterparty level, as of the date presented, which is excluded from the tables below; and • collateral held or transferred that relates to derivative receivables or payables where an appropriate legal opinion has not been either sought or obtained with respect to the master netting agreement, which is excluded from the tables below. June 30, 2019 December 31, 2018 (in millions) Gross derivative receivables Amounts netted on the Consolidated balance sheets Net derivative receivables Gross derivative receivables Amounts netted on the Consolidated balance sheets Net derivative receivables U.S. GAAP nettable derivative receivables Interest rate contracts: Over-the-counter (“OTC”) $ 317,682 $ (295,900 ) $ 21,782 $ 258,227 $ (239,498 ) $ 18,729 OTC–cleared 11,535 (11,488 ) 47 6,404 (5,856 ) 548 Exchange-traded (a) 747 (680 ) 67 322 (136 ) 186 Total interest rate contracts 329,964 (308,068 ) 21,896 264,953 (245,490 ) 19,463 Credit contracts: OTC 11,358 (10,938 ) 420 12,648 (12,261 ) 387 OTC–cleared 4,142 (4,094 ) 48 7,267 (7,222 ) 45 Total credit contracts 15,500 (15,032 ) 468 19,915 (19,483 ) 432 Foreign exchange contracts: OTC 141,257 (133,171 ) 8,086 163,862 (153,988 ) 9,874 OTC–cleared 276 (260 ) 16 235 (226 ) 9 Exchange-traded (a) 18 (6 ) 12 32 (21 ) 11 Total foreign exchange contracts 141,551 (133,437 ) 8,114 164,129 (154,235 ) 9,894 Equity contracts: OTC 22,627 (20,219 ) 2,408 26,178 (23,879 ) 2,299 Exchange-traded (a) 18,885 (15,506 ) 3,379 18,876 (15,460 ) 3,416 Total equity contracts 41,512 (35,725 ) 5,787 45,054 (39,339 ) 5,715 Commodity contracts: OTC 6,917 (5,082 ) 1,835 7,448 (5,261 ) 2,187 OTC–cleared 13 (13 ) — — — — Exchange-traded (a) 6,007 (5,887 ) 120 8,815 (8,218 ) 597 Total commodity contracts 12,937 (10,982 ) 1,955 16,263 (13,479 ) 2,784 Derivative receivables with appropriate legal opinion 541,464 (503,244 ) 38,220 (d) 510,314 (472,026 ) 38,288 (d) Derivative receivables where an appropriate legal opinion has not been either sought or obtained 14,658 14,658 15,925 15,925 Total derivative receivables recognized on the Consolidated balance sheets $ 556,122 $ 52,878 $ 526,239 $ 54,213 Collateral not nettable on the Consolidated balance sheets (b)(c) (12,168 ) (13,046 ) Net amounts $ 40,710 $ 41,167 June 30, 2019 December 31, 2018 (in millions) Gross derivative payables Amounts netted on the Consolidated balance sheets Net derivative payables Gross derivative payables Amounts netted on the Consolidated balance sheets Net derivative payables U.S. GAAP nettable derivative payables Interest rate contracts: OTC $ 286,199 $ (279,425 ) $ 6,774 $ 233,404 $ (228,369 ) $ 5,035 OTC–cleared 12,460 (12,044 ) 416 7,163 (6,494 ) 669 Exchange-traded (a) 783 (697 ) 86 210 (135 ) 75 Total interest rate contracts 299,442 (292,166 ) 7,276 240,777 (234,998 ) 5,779 Credit contracts: OTC 13,371 (11,347 ) 2,024 13,412 (11,895 ) 1,517 OTC–cleared 3,678 (3,628 ) 50 6,716 (6,714 ) 2 Total credit contracts 17,049 (14,975 ) 2,074 20,128 (18,609 ) 1,519 Foreign exchange contracts: OTC 144,667 (136,225 ) 8,442 160,930 (152,161 ) 8,769 OTC–cleared 260 (260 ) — 274 (268 ) 6 Exchange-traded (a) 15 (6 ) 9 16 (3 ) 13 Total foreign exchange contracts 144,942 (136,491 ) 8,451 161,220 (152,432 ) 8,788 Equity contracts: OTC 26,349 (21,015 ) 5,334 29,437 (25,544 ) 3,893 Exchange-traded (a) 16,818 (15,506 ) 1,312 16,285 (15,490 ) 795 Total equity contracts 43,167 (36,521 ) 6,646 45,722 (41,034 ) 4,688 Commodity contracts: OTC 8,153 (5,434 ) 2,719 8,930 (4,838 ) 4,092 OTC–cleared 13 (13 ) — — — — Exchange-traded (a) 6,193 (5,870 ) 323 8,259 (8,208 ) 51 Total commodity contracts 14,359 (11,317 ) 3,042 17,189 (13,046 ) 4,143 Derivative payables with appropriate legal opinion 518,959 (491,470 ) 27,489 (d) 485,036 (460,119 ) 24,917 (d) Derivative payables where an appropriate legal opinion has not been either sought or obtained 13,990 13,990 16,852 16,852 Total derivative payables recognized on the Consolidated balance sheets $ 532,949 $ 41,479 $ 501,888 $ 41,769 Collateral not nettable on the Consolidated balance sheets (b)(c) (6,959 ) (4,449 ) Net amounts $ 34,520 $ 37,320 (a) Exchange-traded derivative balances that relate to futures contracts are settled daily. (b) Represents liquid security collateral as well as cash collateral held at third-party custodians related to derivative instruments where an appropriate legal opinion has been obtained. For some counterparties, the collateral amounts of financial instruments may exceed the derivative receivables and derivative payables balances. Where this is the case, the total amount reported is limited to the net derivative receivables and net derivative payables balances with that counterparty. (c) Derivative collateral relates only to OTC and OTC-cleared derivative instruments. (d) Net derivatives receivable included cash collateral netted of $65.0 billion and $55.2 billion at June 30, 2019 , and December 31, 2018 , respectively. Net derivatives payable included cash collateral netted of $53.3 billion and $43.3 billion at June 30, 2019 , and December 31, 2018 , respectively. Derivative cash collateral relates to OTC and OTC-cleared derivative instruments. Liquidity risk and credit-related contingent features For a more detailed discussion of liquidity risk and credit-related contingent features related to the Firm’s derivative contracts, refer to Note 5 of JPMorgan Chase’s 2018 Form 10-K. The following table shows the aggregate fair value of net derivative payables related to OTC and OTC-cleared derivatives that contain contingent collateral or termination features that may be triggered upon a ratings downgrade, and the associated collateral the Firm has posted in the normal course of business, at June 30, 2019 , and December 31, 2018 . OTC and OTC-cleared derivative payables containing downgrade triggers (in millions) June 30, 2019 December 31, 2018 Aggregate fair value of net derivative payables $ 15,294 $ 9,396 Collateral posted 14,023 8,907 The following table shows the impact of a single-notch and two-notch downgrade of the long-term issuer ratings of JPMorgan Chase & Co. and its subsidiaries , predominantly JPMorgan Chase Bank, N.A., at June 30, 2019 , and December 31, 2018 , related to OTC and OTC-cleared derivative contracts with contingent collateral or termination features that may be triggered upon a ratings downgrade. Derivatives contracts generally require additional collateral to be posted or terminations to be triggered when the predefined threshold rating is breached. A downgrade by a single rating agency that does not result in a rating lower than a preexisting corresponding rating provided by another major rating agency will generally not result in additional collateral, (except in certain instances in which additional initial margin may be required upon a ratings downgrade), nor in termination payments requirements. The liquidity impact in the table is calculated based upon a downgrade below the lowest current rating of the rating agencies referred to in the derivative contract. Liquidity impact of downgrade triggers on OTC and OTC-cleared derivatives June 30, 2019 December 31, 2018 (in millions) Single-notch downgrade Two-notch downgrade Single-notch downgrade Two-notch downgrade Amount of additional collateral to be posted upon downgrade (a) $ 180 $ 1,228 $ 76 $ 947 Amount required to settle contracts with termination triggers upon downgrade (b) 302 1,613 172 764 (a) Includes the additional collateral to be posted for initial margin. (b) Amounts represent fair values of derivative payables, and do not reflect collateral posted. Derivatives executed in contemplation of a sale of the underlying financial asset In certain instances the Firm enters into transactions in which it transfers financial assets but maintains the economic exposure to the transferred assets by entering into a derivative with the same counterparty in contemplation of the initial transfer. The Firm generally accounts for such transfers as collateralized financing transactions as described in Note 10 , but in limited circumstances they may qualify to be accounted for as a sale and a derivative under U.S. GAAP. The amount of such transfers accounted for as a sale where the associated derivative was outstanding was not material at both June 30, 2019 and December 31, 2018 . Impact of derivatives on the Consolidated statements of income The following tables provide information related to gains and losses recorded on derivatives based on their hedge accounting designation or purpose. Fair value hedge gains and losses The following tables present derivative instruments, by contract type, used in fair value hedge accounting relationships, as well as pre-tax gains/(losses) recorded on such derivatives and the related hedged items for the three and six months ended June 30, 2019 and 2018 , respectively. The Firm includes gains/(losses) on the hedging derivative in the same line item in the Consolidated statements of income as the related hedged item. Gains/(losses) recorded in income Income statement impact of (e) OCI impact Three months ended June 30, 2019 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ 1,762 $ (1,556 ) $ 206 $ — $ 196 $ — Foreign exchange (c) 426 (301 ) 125 (229 ) 125 112 Commodity (d) (154 ) 175 21 — 17 — Total $ 2,034 $ (1,682 ) $ 352 $ (229 ) $ 338 $ 112 Gains/(losses) recorded in income Income statement impact of excluded components (e) OCI impact Three months ended June 30, 2018 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ (400 ) $ 553 $ 153 $ — $ 152 $ — Foreign exchange (c) 376 (254 ) 122 (145 ) 122 (89 ) Commodity (d) 11 (18 ) (7 ) — 16 — Total $ (13 ) $ 281 $ 268 $ (145 ) $ 290 $ (89 ) Gains/(losses) recorded in income Income statement impact of (e) OCI impact Six months ended June 30, 2019 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ 3,226 $ (2,849 ) $ 377 $ — $ 368 $ — Foreign exchange (c) 136 108 244 (451 ) 244 115 Commodity (d) (442 ) 469 27 — 18 — Total $ 2,920 $ (2,272 ) $ 648 $ (451 ) $ 630 $ 115 Gains/(losses) recorded in income Income statement impact of (e) OCI impact Six months ended June 30, 2018 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ (1,877 ) $ 2,182 $ 305 $ — $ 299 $ — Foreign exchange (c) 520 (287 ) 233 (267 ) 233 (141 ) Commodity (d) 195 (165 ) 30 — 34 — Total $ (1,162 ) $ 1,730 $ 568 $ (267 ) $ 566 $ (141 ) (a) Primarily consists of hedges of the benchmark (e.g., London Interbank Offered Rate (“LIBOR”)) interest rate risk of fixed-rate long-term debt and AFS securities. Gains and losses were recorded in net interest income. (b) Excludes the amortization expense associated with the inception hedge accounting adjustment applied to the hedged item. This expense is recorded in net interest income and substantially offsets the income statement impact of the excluded components. Also excludes the accrual of interest on interest rate swaps and the related hedged items. (c) Primarily consists of hedges of the foreign currency risk of long-term debt and AFS securities for changes in spot foreign currency rates. Gains and losses related to the derivatives and the hedged items due to changes in foreign currency rates and the income statement impact of excluded components were recorded primarily in principal transactions revenue and net interest income. (d) Consists of overall fair value hedges of physical commodities inventories that are generally carried at the lower of cost or net realizable value (net realizable value approximates fair value). Gains and losses were recorded in principal transactions revenue. (e) The assessment of hedge effectiveness excludes certain components of the changes in fair values of the derivatives and hedged items such as forward points on foreign exchange forward contracts, time values and cross-currency basis spreads. The initial amount of the excluded components may be amortized into income over the life of the derivative, or changes in fair value may be recognized in current period earnings. (f) Represents the change in value of amounts excluded from the assessment of effectiveness under the amortization approach, predominantly cross-currency basis spreads. The amount excluded at inception of the hedge is recognized in earnings over the life of the derivative. As of June 30, 2019 and December 31, 2018, the following amounts were recorded on the Consolidated balance sheets related to certain cumulative fair value hedge basis adjustments that are expected to reverse through the income statement in future periods as an adjustment to yield. Carrying amount of the hedged items (a)(b) Cumulative amount of fair value hedging adjustments included in the carrying amount of hedged items: June 30, 2019 Active hedging relationships Discontinued hedging relationships (d) Total Assets Investment securities - AFS $ 91,668 (c) $ 2,084 $ 292 $ 2,376 Liabilities Long-term debt $ 151,184 $ 6,534 $ 55 $ 6,589 Beneficial interests issued by consolidated VIEs 5,208 — (15 ) (15 ) Carrying amount of the hedged items (a)(b) Cumulative amount of fair value hedging adjustments included in the carrying amount of hedged items: December 31, 2018 Active hedging relationships Discontinued hedging relationships (d) Total Assets Investment securities - AFS $ 55,313 (c) $ (1,105 ) $ 381 $ (724 ) Liabilities Long-term debt $ 139,915 $ 141 $ 8 $ 149 Beneficial interests issued by consolidated VIEs 6,987 — (33 ) (33 ) (a) Excludes physical commodities with a carrying value of $6.6 billion and $6.8 billion at June 30, 2019 and December 31, 2018, respectively, to which the Firm applies fair value hedge accounting. As a result of the application of hedge accounting, these inventories are carried at fair value, thus recognizing unrealized gains and losses in current periods. Given the Firm exits these positions at fair value, there is no incremental impact to net income in future periods. (b) Excludes hedged items where only foreign currency risk is the designated hedged risk, as basis adjustments related to foreign currency hedges will not reverse through the income statement in future periods. At June 30, 2019 and December 31, 2018, the carrying amount excluded for available-for-sale securities is $14.4 billion and $14.6 billion , respectively, and for long-term debt is $6.0 billion and $7.3 billion , respectively. (c) Carrying amount represents the amortized cost. (d) Represents hedged items no longer designated in qualifying fair value hedging relationships for which an associated basis adjustment exists at the balance sheet date. Cash flow hedge gains and losses The following tables present derivative instruments, by contract type, used in cash flow hedge accounting relationships, and the pre-tax gains/(losses) recorded on such derivatives, for the three and six months ended June 30, 2019 and 2018 , respectively. The Firm includes the gain/(loss) on the hedging derivative in the same line item in the Consolidated statements of income as the change in cash flows on the related hedged item . Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Three months ended June 30, 2019 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change Contract type Interest rate (a) $ 2 $ 155 $ 153 Foreign exchange (b) (28 ) (54 ) (26 ) Total $ (26 ) $ 101 $ 127 Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Three months ended June 30, 2018 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change Contract type Interest rate (a) $ 13 $ (33 ) $ (46 ) Foreign exchange (b) 6 (166 ) (172 ) Total $ 19 $ (199 ) $ (218 ) Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Six months ended June 30, 2019 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change in OCI for period Contract type Interest rate (a) $ 4 $ 211 $ 207 Foreign exchange (b) (69 ) 31 100 Total $ (65 ) $ 242 $ 307 Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Six months ended June 30, 2018 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change in OCI for period Contract type Interest rate (a) $ 26 $ (111 ) $ (137 ) Foreign exchange (b) 45 (132 ) (177 ) Total $ 71 $ (243 ) $ (314 ) (a) Primarily consists of hedges of LIBOR-indexed floating-rate assets and floating-rate liabilities. Gains and losses were recorded in net interest income. (b) Primarily consists of hedges of the foreign currency risk of non-U.S. dollar-denominated revenue and expense. The income statement classification of gains and losses follows the hedged item – primarily noninterest revenue and compensation expense. The Firm did not experience any forecasted transactions that failed to occur for the three and six months ended June 30, 2019 and 2018 . Over the next 12 months, the Firm expects that approximately $(53) million (after-tax) of net losses recorded in AOCI at June 30, 2019 , related to cash flow hedges will be recognized in income. For cash flow hedges that have been terminated, the maximum length of time over which the derivative results recorded in AOCI will be recognized in earnings is approximately six years , corresponding to the timing of the originally hedged forecasted cash flows. For open cash flow hedges, the maximum length of time over which forecasted transactions are hedged is approximately seven years . The Firm’s longer-dated forecasted transactions relate to core lending and borrowing activities. Net investment hedge gains and losses The following table presents hedging instruments, by contract type, that were used in net investment hedge accounting relationships, and the pre-tax gains/(losses) recorded on such instruments for the three and six months ended June 30, 2019 and 2018 . Gains/(losses) recorded in income and other comprehensive income/(loss) 2019 2018 Three months ended June 30, Amounts recorded in income (a)(b) Amounts recorded in OCI Amounts recorded in income (a)(b)(c) Amounts recorded in OCI Foreign exchange derivatives $ 27 $ (123 ) $ — $ 1,204 Gains/(losses) recorded in income and other comprehensive income/(loss) 2019 2018 Six months ended June 30, Amounts recorded in income (a)(b) Amounts recorded in OCI Amounts recorded in income (a)(b)(c) Amounts recorded in OCI Foreign exchange derivatives $ 48 $ (161 ) $ (10 ) $ 815 (a) Certain components of hedging derivatives are permitted to be excluded from the assessment of hedge effectiveness, such as forward points on foreign exchange forward contracts. The Firm elects to record changes in fair value of these amounts directly in other income. (b) Excludes amounts reclassified from AOCI to income on the sale or liquidation of hedged entities. For additional information, refer to Note 19. (c) The prior period amount has been revised to conform with the current period presentation. Gains and losses on derivatives used for specified risk management purposes The following table presents pre-tax gains/(losses) recorded on a limited number of derivatives, not designated in hedge accounting relationships, that are used to manage risks associated with certain specified assets and liabilities, including certain risks arising from the mortgage pipeline, warehouse loans, MSRs, wholesale lending exposures, and foreign currency-denominated assets and liabilities. Derivatives gains/(losses) recorded in income Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Contract type Interest rate (a) $ 657 $ (25 ) $ 949 $ (235 ) Credit (b) (2 ) (3 ) (12 ) (10 ) Foreign exchange (c)(d) (75 ) 133 (25 ) 103 Total (d) $ 580 $ 105 $ 912 $ (142 ) (a) Primarily represents interest rate derivatives used to hedge the interest rate risk inherent in the mortgage pipeline, warehouse loans and MSRs, as well as written commitments to originate warehouse loans. Gains and losses were recorded predominantly in mortgage fees and related income. (b) Relates to credit derivatives used to mitigate credit risk associated with lending exposures in the Firm’s wholesale businesses. These derivatives do not include credit derivatives used to mitigate counterparty credit risk arising from derivative receivables, which is included in gains and losses on derivatives related to market-making activities and other derivatives. Gains and losses were recorded in principal transactions revenue. (c) Primarily relates to derivatives used to mitigate foreign exchange risk of specified foreign currency-denominated assets and liabilities. Gains and losses were recorded in principal transactions revenue. (d) The prior period amounts have been revised to conform with the current period presentation. Gains and losses on derivatives related to market-making activities and other derivatives The Firm makes markets in derivatives in order to meet the needs of customers and uses derivatives to manage certain risks associated with net open risk positions from its market-making activities, including the counterparty credit risk arising from derivative receivables. All derivatives not included in the hedge accounting or specified risk management categories above are included in this category. Gains and losses on these derivatives are primarily recorded in principal transactions revenue. Refer to Note 5 for information on principal transactions revenue. Credit derivatives For a more detailed discussion of credit derivatives, refer to Note 5 of JPMorgan Chase’s 2018 Form 10-K. The Firm does not use notional amounts of credit derivatives as the primary measure of risk management for such derivatives, because the notional amount does not take into account the probability of the occurrence of a credit event, the recovery value of the reference obligation, or related cash instruments and economic hedges, each of which reduces, in the Firm’s view, the risks associated with such derivatives. Total credit derivatives and credit-related notes Maximum payout/Notional amount June 30, 2019 (in millions) Protection sold Protection purchased with identical underlyings (b) Net protection (sold)/purchased (c) Other protection purchased (d) Credit derivatives Credit default swaps $ (579,081 ) $ 590,894 $ 11,813 $ 4,323 Other credit derivatives (a) (50,031 ) 60,725 10,694 9,111 Total credit derivatives (629,112 ) 651,619 22,507 13,434 Credit-related notes — — — 8,812 Total $ (629,112 ) $ 651,619 $ 22,507 $ 22,246 Maximum payout/Notional amount December 31, 2018 (in millions) Protection sold Protection purchased with identical underlyings (b) Net protection (sold)/purchased (c) Other protection purchased (d) Credit derivatives Credit default swaps $ (697,220 ) $ 707,282 $ 10,062 $ 4,053 Other credit derivatives (a) (41,244 ) 42,484 1,240 8,488 Total credit derivatives (738,464 ) 749,766 11,302 12,541 Credit-related notes — — — 8,425 Total $ (738,464 ) $ 749,766 $ 11,302 $ 20,966 (a) Other credit derivatives predominantly consist of credit swap options and total return swaps. (b) Represents the total notional amount of protection purchased where the underlying reference instrument is identical to the reference instrument on protection sold; the notional amount of protection purchased for each individual identical underlying reference instrument may be greater or lower than the notional amount of protection sold. (c) Does not take into account the fair value of the reference obligation at the time of settlement, which would generally reduce the amount the seller of protection pays to the buyer of protection in determining settlement value. (d) Represents protection purchased by the Firm on referenced instruments (single-name, portfolio or index) where the Firm has not sold any protection on the identical reference instrument. The following tables summarize the notional amounts by the ratings, maturity profile, and total fair value, of credit derivatives and credit-related notes as of June 30, 2019 , and December 31, 2018 , where JPMorgan Chase is the seller of protection. The maturity profile is based on the remaining contractual maturity of the credit derivative contracts. The ratings profile is based on the rating of the reference entity on which the credit derivative contract is based. The ratings and maturity profile of credit derivatives and cred

Noninterest Revenue and Noninte

Noninterest Revenue and Noninterest Expense6 Months Ended
Jun. 30, 2019
Noninterest Income (Expense) [Abstract]
Noninterest Revenue and Noninterest ExpenseNoninterest revenue and noninterest expense Noninterest revenue For a discussion of the components of and accounting policies for the Firm’s noninterest revenue, refer to Note 6 of JPMorgan Chase ’s 2018 Form 10-K . Investment banking fees The following table presents the components of investment banking fees. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Underwriting Equity $ 515 $ 573 $ 776 $ 925 Debt 820 964 1,765 1,760 Total underwriting 1,335 1,537 2,541 2,685 Advisory 516 631 1,150 1,219 Total investment banking fees $ 1,851 $ 2,168 $ 3,691 $ 3,904 Principal transactions The following table presents all realized and unrealized gains and losses recorded in principal transactions revenue. This table excludes interest income and interest expense on trading assets and liabilities, which are an integral part of the overall performance of the Firm’s client-driven market-making activities in CIB and cash deployment activities in Treasury and CIO. Refer to Note 6 for further information on interest income and interest expense. Trading revenue is presented primarily by instrument type. The Firm’s client-driven market-making businesses generally utilize a variety of instrument types in connection with their market-making and related risk-management activities; accordingly, the trading revenue presented in the table below is not representative of the total revenue of any individual line of business. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Trading revenue by instrument type Interest rate $ 461 $ 672 $ 1,066 $ 1,446 Credit 488 648 1,047 1,028 Foreign exchange 729 745 1,617 1,769 Equity 1,912 1,386 3,527 3,013 Commodity 227 246 610 523 Total trading revenue 3,817 3,697 7,867 7,779 Private equity gains/(losses) (103 ) 85 (77 ) (45 ) Principal transactions $ 3,714 $ 3,782 $ 7,790 $ 7,734 Lending- and deposit-related fees The following table presents the components of lending- and deposit-related fees. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Lending-related fees $ 285 $ 280 $ 575 $ 554 Deposit-related fees 1,250 1,215 2,442 2,418 Total lending- and deposit-related fees $ 1,535 $ 1,495 $ 3,017 $ 2,972 Asset management, administration and commissions The following table presents the components of Firmwide asset management, administration and commissions. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Asset management fees Investment management fees (a) $ 2,698 $ 2,671 $ 5,275 $ 5,365 All other asset management fees (b) 78 66 147 132 Total asset management fees 2,776 2,737 5,422 5,497 Total administration fees (c) 544 557 1,079 1,118 Commissions and other fees Brokerage commissions 641 631 1,227 1,283 All other commissions and fees 392 379 739 715 Total commissions and fees 1,033 1,010 1,966 1,998 Total asset management, administration and commissions $ 4,353 $ 4,304 $ 8,467 $ 8,613 (a) Represents fees earned from managing assets on behalf of the Firm’s clients, including investors in Firm-sponsored funds and owners of separately managed investment accounts. (b) Represents fees for services that are ancillary to investment management services, such as commissions earned on the sales or distribution of mutual funds to clients. (c) Predominantly includes fees for custody, securities lending, funds services and securities clearance. Card income The following table presents the components of card income: Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Interchange and merchant processing income $ 5,184 $ 4,723 $ 9,905 $ 9,082 Rewards costs and partner payments (a) (3,610 ) (3,527 ) (6,846 ) (6,411 ) Other card income (b) (208 ) (176 ) (419 ) (376 ) Total card income $ 1,366 $ 1,020 $ 2,640 $ 2,295 (a) The three and six months ended June 30, 2018, included an adjustment to the credit card rewards liability of approximately $330 million . (b) Predominantly represents annual fees and new account origination costs, which are deferred and recognized on a straight-line basis over a 12 -month period. For information on operating lease income included within other income, refer to Note 16 . Noninterest expense Other expense Other expense on the Firm’s Consolidated statements of income included the following: Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Legal expense/(benefit) $ 69 $ — $ (12 ) $ 70 FDIC-related expense 121 368 264 751

Interest Income and Interest Ex

Interest Income and Interest Expense6 Months Ended
Jun. 30, 2019
Interest Income (Expense), Net [Abstract]
Interest Income and Interest ExpenseInterest income and Interest expense For a description of JPMorgan Chase’s accounting policies regarding interest income and interest expense, refer to Note 7 of JPMorgan Chase ’s 2018 Form 10-K . The following table presents the components of interest income and interest expense. Three months ended Six months ended (in millions) 2019 2018 2019 2018 Interest income Loans (a) $ 12,726 $ 11,634 $ 25,606 $ 22,708 Taxable securities 1,875 1,383 3,580 2,696 Non-taxable securities (b) 340 395 703 805 Total investment securities (a) 2,215 1,778 4,283 3,501 Trading assets - debt instruments 2,915 2,111 5,684 4,214 Federal funds sold and securities purchased under resale agreements 1,676 807 3,323 1,538 Securities borrowed (c) 467 190 864 301 Deposits with banks 1,132 1,543 2,302 2,864 All other interest-earning assets (c)(d) 472 503 930 934 Total interest income (c) 21,603 18,566 42,992 36,060 Interest expense Interest-bearing deposits 2,413 1,340 4,601 2,400 Federal funds purchased and securities loaned or sold under repurchase agreements 1,226 759 2,336 1,337 Short-term borrowings (e) 363 260 790 469 Trading liabilities – debt and all other interest-bearing liabilities (c)(f) 762 598 1,481 1,057 Long-term debt 2,266 2,003 4,608 3,756 Beneficial interest issued by consolidated VIEs 175 121 325 244 Total interest expense (c) 7,205 5,081 14,141 9,263 Net interest income 14,398 13,485 28,851 26,797 Provision for credit losses 1,149 1,210 2,644 2,375 Net interest income after provision for credit losses $ 13,249 $ 12,275 $ 26,207 $ 24,422 (a) Includes the amortization/accretion of unearned income (e.g., purchase premiums/discounts, net deferred fees/costs, etc.). (b) Represents securities which are tax-exempt for U.S. federal income tax purposes. (c) In the second quarter of 2019, the Firm implemented certain presentation changes that impacted interest income and interest expense, but had no effect on net interest income. These changes were made to align the accounting treatment between the balance sheet and the related interest income or expense, primarily by offsetting interest income and expense for certain prime brokerage-related held-for-investment customer receivables and payables that are currently presented as a single margin account on the balance sheet. These changes were applied retrospectively and, accordingly, prior period amounts were revised to conform with the current presentation. (d) Includes prime brokerage-related held-for-investment customer receivables, which are classified in accrued interest and accounts receivable, and all other interest-earning assets which are classified in other assets on the Consolidated balance sheets. (e) Includes commercial paper. (f) Other interest-bearing liabilities include prime brokerage-related customer payables.

Pension and Other Postretiremen

Pension and Other Postretirement Employee Benefit Plans6 Months Ended
Jun. 30, 2019
Retirement Benefits [Abstract]
Pension and Other Postretirement Employee Benefit PlansPension and other postretirement employee benefit plans For a discussion of JPMorgan Chase ’s pension and OPEB plans, refer to Note 8 of JPMorgan Chase ’s 2018 Form 10-K. The following table presents the components of net periodic benefit costs reported in the Consolidated statements of income for the Firm’s U.S. and non-U.S. defined benefit pension, defined contribution and OPEB plans. (in millions) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 2019 2018 2019 2018 Pension plans OPEB plans Pension plans OPEB plans Components of net periodic benefit cost Benefits earned during the period $ 89 $ 89 $ — $ — $ 178 $ 179 $ — $ — Interest cost on benefit obligations 149 139 6 6 299 278 12 12 Expected return on plan assets (229 ) (247 ) (28 ) (26 ) (459 ) (495 ) (56 ) (52 ) Amortization: Net (gain)/loss 41 26 — — 83 52 — — Prior service (credit)/cost 1 (6 ) — — 2 (12 ) — — Net periodic defined benefit cost 51 1 (22 ) (20 ) 103 2 (44 ) (40 ) Other defined benefit pension plans (a) 7 9 NA NA 13 15 NA NA Total defined benefit plans 58 10 (22 ) (20 ) 116 17 (44 ) (40 ) Total defined contribution plans 243 222 NA NA 463 432 NA NA Total pension and OPEB cost included in noninterest expense $ 301 $ 232 $ (22 ) $ (20 ) $ 579 $ 449 $ (44 ) $ (40 ) (a) Includes various defined benefit pension plans which are individually immaterial. The following table presents the fair values of plan assets for the U.S. defined benefit pension and OPEB plans and for the material non-U.S. defined benefit pension plans. (in billions) June 30, December 31, 2018 Fair value of plan assets Defined benefit pension plans $ 19.7 $ 18.1 OPEB plans 2.9 2.6 There are no

Employee Share-based Incentives

Employee Share-based Incentives6 Months Ended
Jun. 30, 2019
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Employee Share-based IncentivesEmployee share-based incentives For a discussion of the accounting policies and other information relating to employee share-based incentives, refer to Note 9 of JPMorgan Chase ’s 2018 Form 10-K . The Firm recognized the following noncash compensation expense related to its various employee share-based incentive plans in its Consolidated statements of income. Three months ended Six months ended (in millions) 2019 2018 2019 2018 Cost of prior grants of RSUs, performance share units (“PSUs”) and stock appreciation rights (“SARs”) that are amortized over their applicable vesting periods $ 278 $ 276 $ 617 $ 674 Accrual of estimated costs of share-based awards to be granted in future periods including those to full-career eligible employees 292 304 606 612 Total noncash compensation expense related to employee share-based incentive plans $ 570 $ 580 $ 1,223 $ 1,286 In the first quarter of 2019, in connection with its annual incentive grant for the 2018 performance year, the Firm granted 21 million RSUs and 630 thousand PSUs with weighted-average grant date fair values of $98.98 per RSU and $98.96 per PSU.

Investment Securities

Investment Securities6 Months Ended
Jun. 30, 2019
Investments, Debt and Equity Securities [Abstract]
Investment SecuritiesInvestment securities Investment securities consist of debt securities that are classified as AFS or HTM. Debt securities classified as trading assets are discussed in Note 2 . Predominantly all of the Firm’s AFS and HTM securities are held by Treasury and CIO in connection with its asset-liability management activities. At June 30, 2019 , the investment securities portfolio consisted of debt securities with an average credit rating of AA+ (based upon external ratings where available, and where not available, based primarily upon internal ratings which correspond to ratings as defined by S&P and Moody’s). For additional information regarding the investment securities portfolio, refer to Note 10 of JPMorgan Chase’s 2018 Form 10-K. The amortized costs and estimated fair values of the investment securities portfolio were as follows for the dates indicated. June 30, 2019 December 31, 2018 (in millions) Amortized cost Gross unrealized gains Gross unrealized losses Fair value Amortized cost Gross unrealized gains Gross unrealized losses Fair value Available-for-sale securities Mortgage-backed securities: U.S. government agencies (a) $ 94,723 $ 1,979 $ 86 $ 96,616 $ 69,026 $ 594 $ 974 $ 68,646 Residential: U.S. 9,872 272 5 10,139 5,877 79 31 5,925 Non-U.S. 2,534 69 2 2,601 2,529 72 6 2,595 Commercial 5,910 90 11 5,989 6,758 43 147 6,654 Total mortgage-backed securities 113,039 2,410 104 115,345 84,190 788 1,158 83,820 U.S. Treasury and government agencies 73,919 240 169 73,990 55,771 366 78 56,059 Obligations of U.S. states and municipalities 29,869 2,033 1 31,901 36,221 1,582 80 37,723 Certificates of deposit 74 — — 74 75 — — 75 Non-U.S. government debt securities 22,017 483 8 22,492 23,771 351 20 24,102 Corporate debt securities 1,736 44 2 1,778 1,904 23 9 1,918 Asset-backed securities: Collateralized loan obligations 24,827 16 62 24,781 19,612 1 176 19,437 Other 5,945 61 10 5,996 7,225 57 22 7,260 Total available-for-sale securities 271,426 5,287 356 276,357 228,769 3,168 1,543 230,394 Held-to-maturity securities Mortgage-backed securities: U.S. government agencies (a) 26,097 915 12 27,000 26,610 134 200 26,544 Total mortgage-backed securities 26,097 915 12 27,000 26,610 134 200 26,544 Obligations of U.S. states and municipalities 4,810 262 — 5,072 4,824 105 15 4,914 Total held-to-maturity securities 30,907 1,177 12 32,072 31,434 239 215 31,458 Total investment securities $ 302,333 $ 6,464 $ 368 $ 308,429 $ 260,203 $ 3,407 $ 1,758 $ 261,852 (a) Includes AFS U.S. government-sponsored enterprise obligations with fair values of $69.8 billion and $50.7 billion , and HTM U.S. government-sponsored enterprise obligations with amortized cost of $20.7 billion and $20.9 billion , at June 30, 2019 , and December 31, 2018 , respectively. As of June 30, 2019 , mortgage-backed securities issued by Fannie Mae and Freddie Mac each exceeded 10% of JPMorgan Chase’s total stockholders’ equity; the amortized cost and fair value of such securities was $59.7 billion and $61.4 billion , and $29.2 billion and $30.0 billion , respectively. Investment securities impairment The following tables present the fair value and gross unrealized losses for investment securities by aging category at June 30, 2019 , and December 31, 2018 . Investment securities with gross unrealized losses Less than 12 months 12 months or more June 30, 2019 (in millions) Fair value Gross unrealized losses Fair value Gross unrealized losses Total fair value Total gross unrealized losses Available-for-sale securities Mortgage-backed securities: U.S. government agencies $ 5,701 $ 48 $ 5,704 $ 38 $ 11,405 $ 86 Residential: U.S. 3 — 681 5 684 5 Non-U.S. 122 — 559 2 681 2 Commercial 420 1 843 10 1,263 11 Total mortgage-backed securities 6,246 49 7,787 55 14,033 104 U.S. Treasury and government agencies 38,553 169 — — 38,553 169 Obligations of U.S. states and municipalities — — 205 1 205 1 Certificates of deposit 74 — — — 74 — Non-U.S. government debt securities 3,923 5 897 3 4,820 8 Corporate debt securities 47 — 115 2 162 2 Asset-backed securities: Collateralized loan obligations 7,766 16 6,034 46 13,800 62 Other 604 3 2,055 7 2,659 10 Total available-for-sale securities 57,213 242 17,093 114 74,306 356 Held-to-maturity securities Mortgage-backed securities U.S. government agencies 1 — 2,747 12 2,748 12 Total mortgage-backed securities 1 — 2,747 12 2,748 12 Obligations of U.S. states and municipalities — — — — — — Total held-to-maturity securities 1 — 2,747 12 2,748 12 Total investment securities with gross unrealized losses $ 57,214 $ 242 $ 19,840 $ 126 $ 77,054 $ 368 Investment securities with gross unrealized losses Less than 12 months 12 months or more December 31, 2018 (in millions) Fair value Gross unrealized losses Fair value Gross unrealized losses Total fair value Total gross unrealized losses Available-for-sale securities Mortgage-backed securities: U.S. government agencies $ 17,656 $ 318 $ 22,728 $ 656 $ 40,384 $ 974 Residential: U.S. 623 4 1,445 27 2,068 31 Non-U.S. 907 5 165 1 1,072 6 Commercial 974 6 3,172 141 4,146 147 Total mortgage-backed securities 20,160 333 27,510 825 47,670 1,158 U.S. Treasury and government agencies 4,792 7 2,391 71 7,183 78 Obligations of U.S. states and municipalities 1,808 15 2,477 65 4,285 80 Certificates of deposit 75 — — — 75 — Non-U.S. government debt securities 3,123 5 1,937 15 5,060 20 Corporate debt securities 478 8 37 1 515 9 Asset-backed securities: Collateralized loan obligations 18,681 176 — — 18,681 176 Other 1,208 6 2,354 16 3,562 22 Total available-for-sale securities 50,325 550 36,706 993 87,031 1,543 Held-to-maturity securities Mortgage-backed securities U.S. government agencies 4,385 23 7,082 177 11,467 200 Total mortgage-backed securities 4,385 23 7,082 177 11,467 200 Obligations of U.S. states and municipalities 12 — 1,114 15 1,126 15 Total held-to-maturity securities 4,397 23 8,196 192 12,593 215 Total investment securities with gross unrealized losses $ 54,722 $ 573 $ 44,902 $ 1,185 $ 99,624 $ 1,758 Other-than-temporary impairment The Firm does not intend to sell any investment securities with an unrealized loss in AOCI as of June 30, 2019 , and it is not likely that the Firm will be required to sell these securities before recovery of their amortized cost basis. Further, the Firm did not recognize any credit-related OTTI losses during the six months ended June 30, 2019 and 2018 . Accordingly, the Firm believes that the investment securities with an unrealized loss in AOCI as of June 30, 2019 , are not other-than-temporarily impaired. For additional information on other-than-temporary impairment, refer to Note 10 of JPMorgan Chase’s 2018 Form 10-K. Investment securities gains and losses The following table presents realized gains and losses and OTTI from AFS securities that were recognized in income. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Realized gains $ 115 $ 9 $ 376 $ 79 Realized losses (71 ) (88 ) (319 ) (403 ) OTTI losses (a) — (1 ) — (1 ) Net investment securities gains/(losses) $ 44 $ (80 ) $ 57 $ (325 ) (a) Represents OTTI losses recognized in income on investment securities the Firm intends to sell. Excludes realized losses on securities sold of $20 million for the six months ended June 30, 2018 that had been previously reported as an OTTI loss due to the intention to sell the securities. Changes in the credit loss component of credit-impaired debt securities The cumulative credit loss component, including any changes therein, of OTTI losses that have been recognized in income related to AFS securities was not material as of and during the six month periods ended June 30, 2019 and 2018 . Contractual maturities and yields The following table presents the amortized cost and estimated fair value at June 30, 2019 , of JPMorgan Chase ’s investment securities portfolio by contractual maturity. By remaining maturity June 30, 2019 (in millions) Due in one year or less Due after one year through five years Due after five years through 10 years Due after 10 years (b) Total Available-for-sale securities Mortgage-backed securities Amortized cost $ 287 $ 89 $ 9,642 $ 103,021 $ 113,039 Fair value 287 90 9,827 105,141 115,345 Average yield (a) 2.27 % 2.55 % 3.18 % 3.50 % 3.47 % U.S. Treasury and government agencies Amortized cost $ 4,550 $ 42,673 $ 18,309 $ 8,387 $ 73,919 Fair value 4,551 42,760 18,385 8,294 73,990 Average yield (a) 2.55 % 2.53 % 2.34 % 2.55 % 2.49 % Obligations of U.S. states and municipalities Amortized cost $ 158 $ 410 $ 1,317 $ 27,984 $ 29,869 Fair value 159 417 1,365 29,960 31,901 Average yield (a) 2.83 % 4.27 % 5.69 % 4.99 % 5.00 % Certificates of deposit Amortized cost $ 74 $ — $ — $ — $ 74 Fair value 74 — — — 74 Average yield (a) 0.49 % — % — % — % 0.49 % Non-U.S. government debt securities Amortized cost $ 6,497 $ 11,961 $ 3,559 $ — $ 22,017 Fair value 6,504 12,246 3,742 — 22,492 Average yield (a) 2.38 % 1.94 % 1.20 % — % 1.95 % Corporate debt securities Amortized cost $ 120 $ 910 $ 561 $ 145 $ 1,736 Fair value 121 932 572 153 1,778 Average yield (a) 4.89 % 4.34 % 4.12 % 4.58 % 4.33 % Asset-backed securities Amortized cost $ — $ 2,345 $ 8,197 $ 20,230 $ 30,772 Fair value — 2,348 8,195 20,234 30,777 Average yield (a) — % 2.91 % 3.32 % 3.27 % 3.25 % Total available-for-sale securities Amortized cost $ 11,686 $ 58,388 $ 41,585 $ 159,767 $ 271,426 Fair value 11,696 58,793 42,086 163,782 276,357 Average yield (a) 2.46 % 2.46 % 2.76 % 3.68 % 3.23 % Held-to-maturity securities Mortgage-backed securities Amortized cost $ — $ — $ 4,293 $ 21,804 $ 26,097 Fair value — — 4,576 22,424 27,000 Average yield (a) — % — % 3.37 % 3.33 % 3.34 % Obligations of U.S. states and municipalities Amortized cost $ — $ — $ 32 $ 4,778 $ 4,810 Fair value — — 34 5,038 5,072 Average yield (a) — % — % 3.82 % 4.02 % 4.01 % Total held-to-maturity securities Amortized cost $ — $ — $ 4,325 $ 26,582 $ 30,907 Fair value — — 4,610 27,462 32,072 Average yield (a) — % — % 3.38 % 3.45 % 3.44 % (a) Average yield is computed using the effective yield of each security owned at the end of the period, weighted based on the amortized cost of each security. The effective yield considers the contractual coupon, amortization of premiums and accretion of discounts, and the effect of related hedging derivatives. Taxable-equivalent amounts are used where applicable. The effective yield excludes unscheduled principal prepayments; and accordingly, actual maturities of securities may differ from their contractual or expected maturities as certain securities may be prepaid. (b) Substantially all of the Firm’s U.S. residential MBS and collateralized mortgage obligations are due in 10 years or more, based on contractual maturity. The estimated weighted-average life, which reflects anticipated future prepayments, is approximately 6 years for agency residential MBS, 3 years for agency residential collateralized mortgage obligations and 3 years for nonagency residential collateralized mortgage obligations.

Securities Financing Activities

Securities Financing Activities6 Months Ended
Jun. 30, 2019
Securities Financing Transactions Disclosures [Abstract]
Securities Financing ActivitiesSecurities financing activities For a discussion of accounting policies relating to securities financing activities, refer to Note 11 of JPMorgan Chase’s 2018 Form 10-K. For further information regarding securities borrowed and securities lending agreements for which the fair value option has been elected, refer to Note 3 . For further information regarding assets pledged and collateral received in securities financing agreements, refer to Note 23 . The table below summarizes the gross and net amounts of the Firm’s securities financing agreements as of June 30, 2019 and December 31, 2018 . When the Firm has obtained an appropriate legal opinion with respect to a master netting agreement with a counterparty and where other relevant netting criteria under U.S. GAAP are met, the Firm nets, on the Consolidated balance sheets, the balances outstanding under its securities financing agreements with the same counterparty. In addition, the Firm exchanges securities and/or cash collateral with its counterparty to reduce the economic exposure with the counterparty, but such collateral is not eligible for net Consolidated balance sheet presentation. Where the Firm has obtained an appropriate legal opinion with respect to the counterparty master netting agreement, such collateral, along with securities financing balances that do not meet all these relevant netting criteria under U.S. GAAP, is presented in the table below as “Amounts not nettable on the Consolidated balance sheets,” and reduces the “Net amounts” presented. Where a legal opinion has not been either sought or obtained, the securities financing balances are presented gross in the “Net amounts” below. June 30, 2019 (in millions) Gross amounts Amounts netted on the Consolidated balance sheets Amounts presented on the Consolidated balance sheets (b) Amounts not nettable on the Consolidated balance sheets (c) Net amounts (d) Assets Securities purchased under resale agreements $ 710,885 $ (443,021 ) $ 267,864 $ (256,036 ) $ 11,828 Securities borrowed 153,413 (22,752 ) 130,661 (96,512 ) 34,149 Liabilities Securities sold under repurchase agreements $ 635,858 $ (443,021 ) $ 192,837 $ (171,175 ) $ 21,662 Securities loaned and other (a) 33,408 (22,752 ) 10,656 (10,410 ) 246 December 31, 2018 (in millions) Gross amounts Amounts netted on the Consolidated balance sheets Amounts presented on the Consolidated balance sheets (b) Amounts not nettable on the Consolidated balance sheets (c) Net amounts (d) Assets Securities purchased under resale agreements $ 691,116 $ (369,612 ) $ 321,504 $ (308,854 ) $ 12,650 Securities borrowed 132,955 (20,960 ) 111,995 (79,747 ) 32,248 Liabilities Securities sold under repurchase agreements $ 541,587 $ (369,612 ) $ 171,975 $ (149,125 ) $ 22,850 Securities loaned and other (a) 33,700 (20,960 ) 12,740 (12,358 ) 382 (a) Includes securities-for-securities lending agreements of $2.9 billion and $3.3 billion at June 30, 2019 and December 31, 2018 , respectively, accounted for at fair value, where the Firm is acting as lender. These amounts are presented within accounts payable and other liabilities in the Consolidated balance sheets. (b) Includes securities financing agreements accounted for at fair value. At June 30, 2019 and December 31, 2018 , included securities purchased under resale agreements of $14.0 billion and $13.2 billion , respectively; securities sold under repurchase agreements of $981 million and $935 million , respectively; and securities borrowed of $5.7 billion and $5.1 billion , respectively. There were no securities loaned accounted for at fair value in either period. (c) In some cases, collateral exchanged with a counterparty exceeds the net asset or liability balance with that counterparty. In such cases, the amounts reported in this column are limited to the related net asset or liability with that counterparty. (d) Includes securities financing agreements that provide collateral rights, but where an appropriate legal opinion with respect to the master netting agreement has not been either sought or obtained. At June 30, 2019 and December 31, 2018 , included $9.6 billion and $7.9 billion , respectively, of securities purchased under resale agreements; $31.9 billion and $30.3 billion , respectively, of securities borrowed; $20.2 billion and $21.5 billion , respectively, of securities sold under repurchase agreements; and $18 million and $25 million , respectively, of securities loaned and other. The tables below present as of June 30, 2019 , and December 31, 2018 the types of financial assets pledged in securities financing agreements and the remaining contractual maturity of the securities financing agreements. Gross liability balance June 30, 2019 December 31, 2018 (in millions) Securities sold under repurchase agreements Securities loaned and other Securities sold under repurchase agreements Securities loaned and other Mortgage-backed securities U.S. government agencies $ 25,607 $ — $ 28,811 $ — Residential - nonagency 1,675 — 2,165 — Commercial - nonagency 1,654 — 1,390 — U.S. Treasury and government agencies 382,199 10 323,078 69 Obligations of U.S. states and municipalities 1,509 — 1,150 — Non-U.S. government debt 190,950 1,912 154,900 4,313 Corporate debt securities 13,151 1,301 13,898 428 Asset-backed securities 2,476 — 3,867 — Equity securities 16,637 30,185 12,328 28,890 Total $ 635,858 $ 33,408 $ 541,587 $ 33,700 Remaining contractual maturity of the agreements Overnight and continuous Greater than 90 days June 30, 2019 (in millions) Up to 30 days 30 – 90 days Total Total securities sold under repurchase agreements $ 342,097 $ 163,805 $ 64,822 $ 65,134 $ 635,858 Total securities loaned and other 29,654 1,228 514 2,012 33,408 Remaining contractual maturity of the agreements Overnight and continuous Greater than 90 days December 31, 2018 (in millions) Up to 30 days 30 – 90 days Total Total securities sold under repurchase agreements $ 247,579 $ 174,971 $ 71,637 $ 47,400 $ 541,587 Total securities loaned and other 28,402 997 2,132 2,169 33,700 Transfers not qualifying for sale accounting At June 30, 2019 , and December 31, 2018 , the Firm held $753 million and $2.1 billion , respectively, of financial assets for which the rights have been transferred to third parties; however, the transfers did not qualify as a sale in accordance with U.S. GAAP. These transfers have been recognized as collateralized financing transactions. The transferred assets are recorded in trading assets and loans, and the corresponding liabilities are recorded predominantly in short-term borrowings on the Consolidated balance sheets. The prior period amount has been revised to conform with the current period presentation.

Loans

Loans6 Months Ended
Jun. 30, 2019
Receivables [Abstract]
LoansLoans Loan accounting framework The accounting for a loan depends on management’s strategy for the loan, and on whether the loan was credit-impaired at the date of acquisition. The Firm accounts for loans based on the following categories: • Originated or purchased loans held-for-investment (i.e., “retained”), other than PCI loans • Loans held-for-sale • Loans at fair value • PCI loans held-for-investment For a detailed discussion of loans, including accounting policies, refer to Note 12 of JPMorgan Chase ’s 2018 Form 10-K . Refer to Note 3 of this Form 10-Q for further information on the Firm’s elections of fair value accounting under the fair value option. Refer to Note 2 of this Form 10-Q for information on loans carried at fair value and classified as trading assets. Loan portfolio The Firm’s loan portfolio is divided into three portfolio segments, which are the same segments used by the Firm to determine the allowance for loan losses: Consumer, excluding credit card; Credit card; and Wholesale. Within each portfolio segment the Firm monitors and assesses the credit risk in the following classes of loans, based on the risk characteristics of each loan class. Consumer, excluding credit card (a) Credit card Wholesale (f) Residential real estate – excluding PCI • Residential mortgage (b) • Home equity (c) Other consumer loans (d) • Auto • Consumer & Business Banking (e) Residential real estate – PCI • Home equity • Prime mortgage • Subprime mortgage • Option ARMs • Credit card loans • Commercial and industrial • Real estate • Financial institutions • Governments & Agencies • Other (g) (a) Includes loans held in CCB, prime mortgage and home equity loans held in AWM and prime mortgage loans held in Corporate . (b) Predominantly includes prime loans (including option ARMs). (c) Includes senior and junior lien home equity loans. (d) Includes certain business banking and auto dealer risk-rated loans that apply the wholesale methodology for determining the allowance for loan losses; these loans are managed by CCB, and therefore, for consistency in presentation, are included with the other consumer loan classes. (e) Predominantly includes Business Banking loans. (f) Includes loans held in CIB, CB, AWM and Corporate. Excludes prime mortgage and home equity loans held in AWM and prime mortgage loans held in Corporate. Classes are internally defined and may not align with regulatory definitions. (g) Includes loans to: individuals and individual entities (predominantly consists of Wealth Management clients within AWM and includes exposure to personal investment companies and personal and testamentary trusts), SPEs and Private education and civic organizations. For more information on SPEs, refer to Note 14 of JPMorgan Chase ’s 2018 Form 10-K . The following tables summarize the Firm’s loan balances by portfolio segment. June 30, 2019 Consumer, excluding credit card Credit card (a) Wholesale Total (in millions) Retained $ 351,692 $ 157,568 $ 438,468 $ 947,728 (b) Held-for-sale 1,030 8 3,814 4,852 At fair value — — 4,309 4,309 Total $ 352,722 $ 157,576 $ 446,591 $ 956,889 December 31, 2018 Consumer, excluding credit card Credit card (a) Wholesale Total (in millions) Retained $ 373,637 $ 156,616 $ 439,162 $ 969,415 (b) Held-for-sale 95 16 11,877 11,988 At fair value — — 3,151 3,151 Total $ 373,732 $ 156,632 $ 454,190 $ 984,554 (a) Includes accrued interest and fees net of an allowance for the uncollectible portion of accrued interest and fee income. (b) Loans (other than PCI loans and loans for which the fair value option has been elected) are presented net of unamortized discounts and premiums and net deferred loan fees or costs. These amounts were not material as of June 30, 2019 , and December 31, 2018 . The following tables provide information about the carrying value of retained loans purchased, sold and reclassified to held-for-sale during the periods indicated. Reclassifications of loans to held-for sale are non-cash transactions. The Firm manages its exposure to credit risk on an ongoing basis. Selling loans is one way that the Firm reduces its credit exposures. Loans that were reclassified to held-for-sale and sold in a subsequent period are excluded from the sales line of this table. 2019 2018 Three months ended June 30, Consumer, excluding credit card Credit card Wholesale Total Consumer, excluding credit card Credit card Wholesale Total Purchases $ 234 (a)(b) $ — $ 359 $ 593 $ 532 (a)(b) $ — $ 532 $ 1,064 Sales 6,856 — 5,400 12,256 2,391 — 4,943 7,334 Retained loans reclassified to held-for-sale 948 — 924 1,872 — — 392 392 2019 2018 Six months ended June 30, Consumer, excluding credit card Credit card Wholesale Total Consumer, excluding credit card Credit card Wholesale Total Purchases $ 785 (a)(b) $ — $ 588 $ 1,373 $ 1,603 (a)(b) $ — $ 1,630 $ 3,233 Sales 15,514 — 10,845 26,359 2,872 — 8,632 11,504 Retained loans reclassified to held-for-sale 5,061 — 1,425 6,486 36 — 1,260 1,296 (a) Purchases predominantly represent the Firm’s voluntary repurchase of certain delinquent loans from loan pools as permitted by Government National Mortgage Association (“Ginnie Mae”) guidelines. The Firm typically elects to repurchase these delinquent loans as it continues to service them and/or manage the foreclosure process in accordance with applicable requirements of Ginnie Mae, FHA, RHS, and/or VA. (b) Excludes purchases of retained loans sourced through the correspondent origination channel and underwritten in accordance with the Firm’s standards. Such purchases were $4.3 billion and $5.3 billion for the three months ended June 30, 2019 and 2018 , respectively, and $7.5 billion and $8.9 billion for the six months ended June 30, 2019 and 2018 , respectively. Gains and losses on sales of loans Gains and losses on sales of loans (including adjustments to record loans held-for-sale at the lower of cost or fair value) recognized in other income were not material to the Firm for the three and six months ended June 30, 2019 and 2018 . In addition, the sale of loans may also result in write downs, recoveries or changes in the allowance recognized in the provision for credit losses. Consumer, excluding credit card loan portfolio Consumer loans, excluding credit card loans, consist primarily of residential mortgages, home equity loans and lines of credit, auto loans and consumer and business banking loans, with a focus on serving the prime consumer credit market. The portfolio also includes home equity loans secured by junior liens, prime mortgage loans with an interest-only payment period, and certain payment-option loans that may result in negative amortization. The following table provides information about retained consumer loans, excluding credit card, by class. (in millions) June 30, December 31, Residential real estate – excluding PCI Residential mortgage $ 214,744 $ 231,078 Home equity 26,017 28,340 Other consumer loans Auto 62,073 63,573 Consumer & Business Banking 26,616 26,612 Residential real estate – PCI Home equity 8,149 8,963 Prime mortgage 4,343 4,690 Subprime mortgage 1,857 1,945 Option ARMs 7,893 8,436 Total retained loans $ 351,692 $ 373,637 For further information on consumer credit quality indicators, refer to Note 12 of JPMorgan Chase ’s 2018 Form 10-K . Residential real estate – excluding PCI loans The following table provides information by class for retained residential real estate – excluding PCI loans. Residential real estate – excluding PCI loans (in millions, except ratios) Residential mortgage Home equity Total residential real estate – excluding PCI Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Loan delinquency (a) Current $ 211,426 $ 225,899 $ 25,423 $ 27,611 $ 236,849 $ 253,510 30–149 days past due 1,788 2,763 365 453 2,153 3,216 150 or more days past due 1,530 2,416 229 276 1,759 2,692 Total retained loans $ 214,744 $ 231,078 $ 26,017 $ 28,340 $ 240,761 $ 259,418 % of 30+ days past due to total retained loans (b) 0.46 % 0.48 % 2.28 % 2.57 % 0.66 % 0.71 % 90 or more days past due and government guaranteed (c) $ 1,422 $ 2,541 $ — $ — $ 1,422 $ 2,541 Nonaccrual loans 1,691 1,765 1,209 1,323 2,900 3,088 Current estimated LTV ratios (d)(e) Greater than 125% and refreshed FICO scores: Equal to or greater than 660 $ 19 $ 25 $ 5 $ 6 $ 24 $ 31 Less than 660 10 13 2 1 12 14 101% to 125% and refreshed FICO scores: Equal to or greater than 660 35 37 73 111 108 148 Less than 660 36 53 23 38 59 91 80% to 100% and refreshed FICO scores: Equal to or greater than 660 4,528 3,977 764 986 5,292 4,963 Less than 660 227 281 236 326 463 607 Less than 80% and refreshed FICO scores: Equal to or greater than 660 198,687 212,505 21,178 22,632 219,865 235,137 Less than 660 6,110 6,457 2,969 3,355 9,079 9,812 No FICO/LTV available 866 813 767 885 1,633 1,698 U.S. government-guaranteed 4,226 6,917 — — 4,226 6,917 Total retained loans $ 214,744 $ 231,078 $ 26,017 $ 28,340 $ 240,761 $ 259,418 Geographic region (f) California $ 71,176 $ 74,759 $ 5,327 $ 5,695 $ 76,503 $ 80,454 New York 26,684 28,847 5,276 5,769 31,960 34,616 Illinois 14,236 15,249 1,937 2,131 16,173 17,380 Texas 12,678 13,769 1,694 1,819 14,372 15,588 Florida 10,450 10,704 1,429 1,575 11,879 12,279 Washington 7,937 8,304 802 869 8,739 9,173 Colorado 7,801 8,140 467 521 8,268 8,661 New Jersey 6,608 7,302 1,504 1,642 8,112 8,944 Massachusetts 6,195 6,574 219 236 6,414 6,810 Arizona 4,074 4,434 1,042 1,158 5,116 5,592 All other (g) 46,905 52,996 6,320 6,925 53,225 59,921 Total retained loans $ 214,744 $ 231,078 $ 26,017 $ 28,340 $ 240,761 $ 259,418 (a) Individual delinquency classifications include mortgage loans insured by U.S. government agencies as follows: current included $1.9 billion and $2.8 billion ; 30 – 149 days past due included $1.2 billion and $2.1 billion ; and 150 or more days past due included $1.1 billion and $2.0 billion at June 30, 2019 , and December 31, 2018 , respectively. (b) At June 30, 2019 , and December 31, 2018 , residential mortgage loans excluded mortgage loans insured by U.S. government agencies of $2.3 billion and $4.1 billion , respectively, that are 30 or more days past due. These amounts have been excluded based upon the government guarantee. (c) These balances, which are 90 days or more past due, were excluded from nonaccrual loans as the loans are guaranteed by U.S government agencies. Typically the principal balance of the loans is insured and interest is guaranteed at a specified reimbursement rate subject to meeting agreed-upon servicing guidelines. At June 30, 2019 , and December 31, 2018 , these balances included $623 million and $999 million , respectively, of loans that are no longer accruing interest based on the agreed-upon servicing guidelines. For the remaining balance, interest is being accrued at the guaranteed reimbursement rate. There were no loans that were not guaranteed by U.S. government agencies that are 90 or more days past due and still accruing interest at June 30, 2019 , and December 31, 2018 . (d) Represents the aggregate unpaid principal balance of loans divided by the estimated current property value. Current property values are estimated, at a minimum, quarterly, based on home valuation models using nationally recognized home price index valuation estimates incorporating actual data to the extent available and forecasted data where actual data is not available. These property values do not represent actual appraised loan level collateral values; as such, the resulting ratios are necessarily imprecise and should be viewed as estimates. Current estimated combined LTV for junior lien home equity loans considers all available lien positions, as well as unused lines, related to the property. (e) Refreshed FICO scores represent each borrower’s most recent credit score, which is obtained by the Firm on at least a quarterly basis. (f) The geographic regions presented in the table are ordered based on the magnitude of the corresponding loan balances at June 30, 2019 . (g) At June 30, 2019 , and December 31, 2018 , included mortgage loans insured by U.S. government agencies of $4.2 billion and $6.9 billion , respectively. These amounts have been excluded from the geographic regions presented based upon the government guarantee. Approximately 37% of the home equity portfolio are senior lien loans; the remaining balance are junior lien HELOANs or HELOCs. The following table provides the Firm’s delinquency statistics for junior lien home equity loans and lines of credit as of June 30, 2019 , and December 31, 2018 . Total loans Total 30+ day delinquency rate (in millions, except ratios) Jun 30, Dec 31, Jun 30, Dec 31, HELOCs: (a) Within the revolving period (b) $ 5,611 $ 5,608 0.32 % 0.25 % Beyond the revolving period 9,949 11,286 2.48 2.80 HELOANs 896 1,030 2.68 2.82 Total $ 16,456 $ 17,924 1.76 % 2.00 % (a) These HELOCs are predominantly revolving loans for a 10 -year period, after which time the HELOC converts to a loan with a 20 -year amortization period, but also include HELOCs that allow interest-only payments beyond the revolving period. (b) The Firm manages the risk of HELOCs during their revolving period by closing or reducing the undrawn line to the extent permitted by law when borrowers are experiencing financial difficulty. HELOCs beyond the revolving period and HELOANs have higher delinquency rates than HELOCs within the revolving period. That is primarily because the fully-amortizing payment that is generally required for those products is higher than the minimum payment options available for HELOCs within the revolving period. The higher delinquency rates associated with amortizing HELOCs and HELOANs are factored into the Firm’s allowance for loan losses. Impaired loans The table below sets forth information about the Firm’s residential real estate impaired loans, excluding PCI loans. These loans are considered to be impaired as they have been modified in a TDR. All impaired loans are evaluated for an asset-specific allowance as described in Note 13 of JPMorgan Chase ’s 2018 Form 10-K . Residential mortgage Home equity Total residential real estate – excluding PCI Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Impaired loans With an allowance $ 3,173 $ 3,381 $ 1,089 $ 1,142 $ 4,262 $ 4,523 Without an allowance (a) 1,208 1,184 865 870 2,073 2,054 Total impaired loans (b)(c) $ 4,381 $ 4,565 $ 1,954 $ 2,012 $ 6,335 $ 6,577 Allowance for loan losses related to impaired loans $ 60 $ 88 $ 17 $ 45 $ 77 $ 133 Unpaid principal balance of impaired loans (d) 5,965 6,207 3,362 3,466 9,327 9,673 Impaired loans on nonaccrual status (e) 1,436 1,459 946 955 2,382 2,414 (a) Represents collateral-dependent residential real estate loans that are charged off to the fair value of the underlying collateral less cost to sell. The Firm reports, in accordance with regulatory guidance, residential real estate loans that have been discharged under Chapter 7 bankruptcy and not reaffirmed by the borrower (“Chapter 7 loans”) as collateral-dependent nonaccrual TDRs, regardless of their delinquency status. At June 30, 2019 , Chapter 7 residential real estate loans included approximately 12% of residential mortgages and 8% of home equity that were 30 days or more past due. (b) At June 30, 2019 , and December 31, 2018 , $2.6 billion and $4.1 billion , respectively, of loans modified subsequent to repurchase from Ginnie Mae in accordance with the standards of the appropriate government agency (i.e., FHA, VA, RHS) are not included in the table above. When such loans perform subsequent to modification in accordance with Ginnie Mae guidelines, they are generally sold back into Ginnie Mae loan pools. Modified loans that do not re-perform become subject to foreclosure. (c) Predominantly all impaired loans in the table above are in the U.S. (d) Represents the contractual amount of principal owed at June 30, 2019 , and December 31, 2018 . The unpaid principal balance differs from the impaired loan balances due to various factors including charge-offs, net deferred loan fees or costs, and unamortized discounts or premiums on purchased loans. (e) At both June 30, 2019 and December 31, 2018 , nonaccrual loans included $2.0 billion of TDRs for which the borrowers were less than 90 days past due. For additional information about loans modified in a TDR that are on nonaccrual status refer to the Loan accounting framework in Note 12 of JPMorgan Chase ’s 2018 Form 10-K . The following tables present average impaired loans and the related interest income reported by the Firm. Three months ended June 30, Average impaired loans Interest income on impaired loans (a) Interest income on impaired (a) 2019 2018 2019 2018 2019 2018 Residential mortgage $ 4,437 $ 5,254 $ 57 $ 66 $ 18 $ 20 Home equity 1,980 2,087 33 33 20 21 Total residential real estate – excluding PCI $ 6,417 $ 7,341 $ 90 $ 99 $ 38 $ 41 Six months ended June 30, Average impaired loans Interest income on impaired loans (a) Interest income on impaired loans on a cash basis (a) 2019 2018 2019 2018 2019 2018 Residential mortgage $ 4,486 $ 5,431 $ 116 $ 136 $ 35 $ 39 Home equity 1,991 2,105 66 65 41 42 Total residential real estate – excluding PCI $ 6,477 $ 7,536 $ 182 $ 201 $ 76 $ 81 (a) Generally, interest income on loans modified in TDRs is recognized on a cash basis until the borrower has made a minimum of six payments under the new terms, unless the loan is deemed to be collateral-dependent. Loan modifications Modifications of residential real estate loans, excluding PCI loans, are generally accounted for and reported as TDRs. There were no additional commitments to lend to borrowers whose residential real estate loans, excluding PCI loans, have been modified in TDRs. The following table presents new TDRs reported by the Firm. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Residential mortgage $ 62 $ 100 $ 131 $ 247 Home equity 48 83 114 186 Total residential real estate – excluding PCI $ 110 $ 183 $ 245 $ 433 Nature and extent of modifications The U.S. Treasury’s Making Home Affordable programs, as well as the Firm’s proprietary modification programs, generally provide various concessions to financially troubled borrowers including, but not limited to, interest rate reductions, term or payment extensions and deferral of principal and/or interest payments that would otherwise have been required under the terms of the original agreement. The following tables provide information about how residential real estate loans, excluding PCI loans, were modified under the Firm’s loss mitigation programs described above during the periods presented. These tables exclude Chapter 7 loans where the sole concession granted is the discharge of debt. Three months ended June 30, Total residential real estate – excluding PCI Residential mortgage Home equity 2019 2018 2019 2018 2019 2018 Number of loans approved for a trial modification 501 977 411 849 912 1,826 Number of loans permanently modified 428 686 816 1,268 1,244 1,954 Concession granted: (a) Interest rate reduction 60 % 37 % 73 % 53 % 68 % 48 % Term or payment extension 92 46 74 59 80 55 Principal and/or interest deferred 29 50 9 27 16 35 Principal forgiveness 6 8 4 10 4 9 Other (b) 45 32 58 57 54 48 Six months ended June 30, Total residential Residential mortgage Home equity 2019 2018 2019 2018 2019 2018 Number of loans approved for a trial modification 1,238 1,276 932 1,309 2,170 2,585 Number of loans permanently modified 871 1,655 1,923 3,066 2,794 4,721 Concession granted: (a) Interest rate reduction 60 % 27 % 79 % 51 % 73 % 42 % Term or payment extension 90 35 66 54 74 48 Principal and/or interest deferred 28 54 8 26 14 36 Principal forgiveness 6 7 5 7 5 7 Other (b) 40 42 65 58 57 53 (a) Represents concessions granted in permanent modifications as a percentage of the number of loans permanently modified. The sum of the percentages exceeds 100% because predominantly all of the modifications include more than one type of concession. Concessions offered on trial modifications are generally consistent with those granted on permanent modifications. (b) Includes variable interest rate to fixed interest rate modifications and forbearances that meet the definition of a TDR for the three and six months ended June 30, 2019 and 2018 . Forbearances suspend or reduce monthly payments for a specific period of time to address a temporary hardship. Financial effects of modifications and redefaults The following tables provide information about the financial effects of the various concessions granted in modifications of residential real estate loans, excluding PCI loans, under the loss mitigation programs described above and about redefaults of certain loans modified in TDRs for the periods presented. The following tables present only the financial effects of permanent modifications and does not include temporary concessions offered through trial modifications. These tables also exclude Chapter 7 loans where the sole concession granted is the discharge of debt. Three months ended June 30, Residential mortgage Home equity Total residential real estate – excluding PCI 2019 2018 2019 2018 2019 2018 Weighted-average interest rate of loans with interest rate reductions – before TDR 6.03 % 4.97 % 5.51 % 5.21 % 5.76 % 5.10 % Weighted-average interest rate of loans with interest rate reductions – after TDR 4.47 3.15 3.83 3.31 4.14 3.24 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – before TDR 19 25 20 18 19 23 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – after TDR 39 37 40 37 39 38 Charge-offs recognized upon permanent modification $ 1 $ — $ — $ — $ 1 $ — Principal deferred 5 4 2 3 7 7 Principal forgiven 1 3 1 2 2 5 Balance of loans that redefaulted within one year of permanent modification (a) $ 23 $ 25 $ 16 $ 19 $ 39 $ 44 Six months ended June 30, Residential mortgage Home equity Total residential real estate – excluding PCI 2019 2018 2019 2018 2019 2018 Weighted-average interest rate of loans with interest rate reductions – before TDR 6.28 % 5.03 % 5.59 % 5.16 % 5.86 % 5.11 % Weighted-average interest rate of loans with interest rate reductions – after TDR 4.56 3.28 3.75 3.16 4.06 3.21 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – before TDR 20 25 20 19 20 22 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – after TDR 39 37 40 39 39 38 Charge-offs recognized upon permanent modification $ 1 $ — $ — $ 1 $ 1 $ 1 Principal deferred 8 10 3 5 11 15 Principal forgiven 2 6 2 4 4 10 Balance of loans that redefaulted within one year of permanent modification (a) $ 56 $ 45 $ 31 $ 33 $ 87 $ 78 (a) Represents loans permanently modified in TDRs that experienced a payment default in the periods presented, and for which the payment default occurred within one year of the modification. The dollar amounts presented represent the balance of such loans at the end of the reporting period in which such loans defaulted. For residential real estate loans modified in TDRs, payment default is deemed to occur when the loan becomes two contractual payments past due. In the event that a modified loan redefaults, it is probable that the loan will ultimately be liquidated through foreclosure or another similar type of liquidation transaction. Redefaults of loans modified within the last 12 months may not be representative of ultimate redefault levels. At June 30, 2019 , the weighted-average estimated remaining lives of residential real estate loans, excluding PCI loans, permanently modified in TDRs were 9 years for both residential mortgage and home equity. The estimated remaining lives of these loans reflect estimated prepayments, both voluntary and involuntary (i.e., foreclosures and other forced liquidations). Active and suspended foreclosure At June 30, 2019 , and December 31, 2018 , the Firm had non-PCI residential real estate loans, excluding those insured by U.S. government agencies, with a carrying value of $609 million and $653 million , respectively, that were not included in REO, but were in the process of active or suspended foreclosure. Other consumer loans The table below provides information for other consumer retained loan classes, including auto and business banking loans. (in millions, except ratios) Auto Consumer & Business Banking Total other consumer Jun 30, 2019 Dec 31, 2018 Jun 30, 2019 Dec 31, 2018 Jun 30, 2019 Dec 31, 2018 Loan delinquency Current $ 61,562 $ 62,984 $ 26,289 $ 26,249 $ 87,851 $ 89,233 30–119 days past due 511 589 215 252 726 841 120 or more days past due — — 112 111 112 111 Total retained loans $ 62,073 $ 63,573 $ 26,616 $ 26,612 $ 88,689 $ 90,185 % of 30+ days past due to total retained loans 0.82 % 0.93 % 1.23 % 1.36 % 0.94 % 1.06 % Nonaccrual loans (a) 108 128 223 245 331 373 Geographic region (b) California $ 8,142 $ 8,330 $ 5,689 $ 5,520 $ 13,831 $ 13,850 Texas 6,524 6,531 3,060 2,993 9,584 9,524 New York 3,690 3,863 4,349 4,381 8,039 8,244 Illinois 3,625 3,716 1,731 2,046 5,356 5,762 Florida 3,256 3,256 1,519 1,502 4,775 4,758 Arizona 2,011 2,084 1,275 1,491 3,286 3,575 Ohio 1,927 1,973 1,210 1,305 3,137 3,278 New Jersey 1,936 1,981 811 723 2,747 2,704 Michigan 1,305 1,357 1,264 1,329 2,569 2,686 Louisiana 1,539 1,587 789 860 2,328 2,447 All other 28,118 28,895 4,919 4,462 33,037 33,357 Total retained loans $ 62,073 $ 63,573 $ 26,616 $ 26,612 $ 88,689 $ 90,185 Loans by risk ratings (c) Noncriticized $ 14,754 $ 15,749 $ 18,707 $ 18,743 $ 33,461 $ 34,492 Criticized performing 407 273 730 751 1,137 1,024 Criticized nonaccrual — — 171 191 171 191 (a) There were no loans that were 90 or more days past due and still accruing interest at June 30, 2019 , and December 31, 2018 . (b) The geographic regions presented in this table are ordered based on the magnitude of the corresponding loan balances at June 30, 2019 . (c) For risk-rated business banking and auto loans, the primary credit quality indicator is the risk rating of the loan, including whether the loans are considered to be criticized and/or nonaccrual. Other consumer impaired loans and loan modifications The table below sets forth information about the Firm’s other consumer impaired loans, including risk-rated business banking and auto loans that have been placed on nonaccrual status, and loans that have been modified in TDRs. (in millions) June 30, December 31, Impaired loans With an allowance $ 207 $ 222 Without an allowance (a) 20 29 Total impaired loans (b)(c) $ 227 $ 251 Allowance for loan losses related to impaired loans $ 68 $ 63 Unpaid principal balance of impaired loans (d) 327 355 Impaired loans on nonaccrual status 205 229 (a) When discounted cash flows, collateral value or market price equals or exceeds the recorded investment in the loan, the loan does not require an allowance. This typically occurs when the impaired loans have been partially charged off and/or there have been interest payments received and applied to the loan balance. (b) Predominantly all other consumer impaired loans are in the U.S. (c) Other consumer average impaired loans were $244 million and $277 million for the three months ended June 30, 2019 and 2018 , respectively, and $245 million and $287 million for the six months ended June 30, 2019 and 2018 , respectively. The related interest income on impaired loans, including those on a cash basis, was not material for the three and six months ended June 30, 2019 and 2018 . (d) Represents the contractual amount of principal owed at June 30, 2019 , and December 31, 2018 . The unpaid principal balance differs from the impaired loan balances due to various factors, including charge-offs, interest payments received and applied to the principal balance, net deferred loan fees or costs, and unamortized discounts or premiums on purchased loans. Loan modifications Certain other consumer loan modifications are considered to be TDRs as they provide various concessions to borrowers who are experiencing financial difficulty. All of these TDRs are reported as impaired loans. Refer to Note 12 of JPMorgan Chase’s 2018 Form 10-K for further information on other consumer loans modified in TDRs. At June 30, 2019 and December 31, 2018 , other consumer loans modified in TDRs were $72 million and $79 million , respectively. The impact of these modifications, as well as new TDRs, were not material to the Firm for the three and six months ended June 30, 2019 and 2018 . Additional commitments to lend to borrowers whose loans have been modified in TDRs as of June 30, 2019 and December 31, 2018 were not material. TDRs on nonaccrual status were $50 million and $57 million at June 30, 2019 and December 31, 2018 , respectively. Purchased credit-impaired loans For a detailed discussion of PCI loans, including the related accounting policies, refer to Note 12 of JPMorgan Chase ’s 2018 Form 10-K . Residential real estate – PCI loans The table below sets forth information about the Firm’s consumer, excluding credit card, PCI loans. Home equity Prime mortgage Subprime mortgage Option ARMs Total PCI Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Carrying value (a) $ 8,149 $ 8,963 $ 4,343 $ 4,690 $ 1,857 $ 1,945 $ 7,893 $ 8,436 $ 22,242 $ 24,034 Loan delinquency (based on unpaid principal balance) Current $ 7,904 $ 8,624 $ 3,922 $ 4,226 $ 1,974 $ 2,033 $ 7,139 $ 7,592 $ 20,939 $ 22,475 30–149 days past due 239 278 256 259 254 286 372 398 1,121 1,221 150 or more days past due 193 242 185 223 105 123 395 457 878 1,045 Total loans $ 8,336 $ 9,144 $ 4,363 $ 4,708 $ 2,333 $ 2,442 $ 7,906 $ 8,447 $ 22,938 $ 24,741 % of 30+ days past due to total loans 5.18 % 5.69 % 10.11 % 10.24 % 15.39 % 16.75 % 9.70 % 10.12 % 8.71 % 9.16 % Current estimated LTV ratios (based on unpaid principal balance) (b)(c) Greater than 125% and refreshed FICO scores: Equal to or greater than 660 $ 15 $ 17 $ 2 $ 1 $ 2 $ — $ 3 $ 3 $ 22 $ 21 Less than 660 10 13 4 7 6 9 6 7 26 36 101% to 125% and refreshed FICO scores: Equal to or greater than 660 105 135 5 6 5 4 20 17 135 162 Less than 660 45 65 19 22 28 35 21 33 113 155 80% to 100% and refreshed FICO scores: Equal to or greater than 660 708 805 67 75 56 54 108 119 939 1,053 Less than 660 304 388 80 112 120 161 137 190 641 851 Lower than 80% and refreshed FICO scores: Equal to or greater than 660 5,241 5,548 2,692 2,689 820 739 5,143 5,111 13,896 14,087 Less than 660 1,678 1,908 1,306 1,568 1,196 1,327 2,165 2,622 6,345 7,425 No FICO/LTV available 230 265 188 228 100 113 303 345 821 951 Total unpaid principal balance $ 8,336 $ 9,144 $ 4,363 $ 4,708 $ 2,333 $ 2,442 $ 7,906 $ 8,447 $ 22,938 $ 24,741 Geographic region (based on unpaid principal balance) (d) California $ 4,942 $ 5,420 $ 2,381 $ 2,578 $ 568 $ 593 $ 4,517 $ 4,798 $ 12,408 $ 13,389 Florida 901 976 306 332 224 234 660 713 2,091 2,255 New York 485 525 350 365 259 268 470 502 1,564 1,660 Illinois 217 233 145 154 119 123 190 199 671 709 Washington 373 419 90 98 40 44 165 177 668 738 New Jersey 191 210 119 134 83 88 230 258 623 690 Massachusetts 59 65 108 113 71 73 226 240 464 491 Maryland 44 48 91 95 93 96 169 178 397 417 Virginia 49 54 84 91 35 37 197 211 365 393 Arizona 149 165 63 69 39 43 103 112 354 389 All other 926 1,029 626 679 802 843 979 1,059 3,333 3,610 Total unpaid principal balance $ 8,336 $ 9,144 $ 4,363 $ 4,708 $ 2,333 $ 2,442 $ 7,906 $ 8,447 $ 22,938 $ 24,741 (a) Carrying value includes the effect of fair value adjustments that were applied to the consumer PCI portfolio at the date of acquisition. (b) Represents the aggregate unpaid principal balance of loans divided by the estimated current property value. Current property values are estimated, at a minimum, quarterly, based on home valuation models using nationally recognized home price index valuation estimates incorporating actual data to the extent available and forecasted data where actual data is not available. These property values do not represent actual appraised loan level collateral values; as such, the resulting ratios are necessarily imprecise and should be viewed as estimates. Current estimated combined LTV for junior lien home equity loans considers all available lien positions, as well as unused lines, related to the property. (c) Refreshed FICO scores represent each borrower’s most recent credit score, which is obtained by the Firm on at least a quarterly basis. (d) The geographic regions presented in the table are ordered based on the magnitude of the corresponding loan balances at June 30, 2019 . Approximately 26% of the PCI home equity portfolio are senior lien loans; the remaining balance are junior

Allowance for Credit Losses

Allowance for Credit Losses6 Months Ended
Jun. 30, 2019
Allowance for Credit Losses [Abstract]
Allowance for Credit LossesAllowance for credit losses For a detailed discussion of the allowance for credit losses and the related accounting policies, refer to Note 13 of JPMorgan Chase ’s 2018 Form 10-K . Allowance for credit losses and related information The table below summarizes information about the allowances for loan losses and lending-related commitments, and includes a breakdown of loans and lending-related commitments by impairment methodology. 2019 2018 Six months ended June 30, Consumer, excluding credit card Credit card Wholesale Total Consumer, excluding credit card Credit card Wholesale Total Allowance for loan losses Beginning balance at January 1, $ 4,146 $ 5,184 $ 4,115 $ 13,445 $ 4,579 $ 4,884 $ 4,141 $ 13,604 Gross charge-offs 471 2,725 150 3,346 539 2,578 241 3,358 Gross recoveries (277 ) (283 ) (22 ) (582 ) (451 ) (244 ) (76 ) (771 ) Net charge-offs 194 2,442 128 2,764 88 2,334 165 2,587 Write-offs of PCI loans (a) 89 — — 89 93 — — 93 Provision for loan losses (204 ) 2,642 131 2,569 90 2,334 (98 ) 2,326 Other — (1 ) 6 5 — — — — Ending balance at June 30, $ 3,659 $ 5,383 $ 4,124 $ 13,166 $ 4,488 $ 4,884 $ 3,878 $ 13,250 Allowance for loan losses by impairment methodology Asset-specific (b) $ 145 $ 472 (c) $ 288 $ 905 $ 226 $ 402 (c) $ 318 $ 946 Formula-based 2,215 4,911 3,836 10,962 2,130 4,482 3,560 10,172 PCI 1,299 — — 1,299 2,132 — — 2,132 Total allowance for loan losses $ 3,659 $ 5,383 $ 4,124 $ 13,166 $ 4,488 $ 4,884 $ 3,878 $ 13,250 Loans by impairment methodology Asset-specific $ 6,562 $ 1,388 $ 1,295 $ 9,245 $ 7,387 $ 1,252 $ 1,327 $ 9,966 Formula-based 322,888 156,180 437,173 916,241 340,223 143,969 419,302 903,494 PCI 22,242 — — 22,242 26,977 — 3 26,980 Total retained loans $ 351,692 $ 157,568 $ 438,468 $ 947,728 $ 374,587 $ 145,221 $ 420,632 $ 940,440 Impaired collateral-dependent loans Net charge-offs $ 19 $ — $ 8 $ 27 $ 14 $ — $ — $ 14 Loans measured at fair value of collateral less cost to sell 2,098 — 83 2,181 2,124 — 300 2,424 Allowance for lending-related commitments Beginning balance at January 1, $ 33 $ — $ 1,022 $ 1,055 $ 33 $ — $ 1,035 $ 1,068 Provision for lending-related commitments — — 75 75 — — 49 49 Other — — (1 ) (1 ) — — — — Ending balance at June 30, $ 33 $ — $ 1,096 $ 1,129 $ 33 $ — $ 1,084 $ 1,117 Allowance for lending-related commitments by impairment methodology Asset-specific $ — $ — $ 136 $ 136 $ — $ — $ 139 $ 139 Formula-based 33 — 960 993 33 — 945 978 Total allowance for lending-related commitments $ 33 $ — $ 1,096 $ 1,129 $ 33 $ — $ 1,084 $ 1,117 Lending-related commitments by impairment methodology Asset-specific $ — $ — $ 465 $ 465 $ — $ — $ 712 $ 712 Formula-based 51,491 633,970 393,836 1,079,297 51,784 592,452 401,045 1,045,281 Total lending-related commitments $ 51,491 $ 633,970 $ 394,301 $ 1,079,762 $ 51,784 $ 592,452 $ 401,757 $ 1,045,993 (a) Write-offs of PCI loans are recorded against the allowance for loan losses when actual losses for a pool exceed estimated losses that were recorded as purchase accounting adjustments at the time of acquisition. A write-off of a PCI loan is recognized when the underlying loan is removed from a pool. (b) Includes risk-rated loans that have been placed on nonaccrual status and loans that have been modified in a TDR. (c) The asset-specific credit card allowance for loan losses is related to loans that have been modified in a TDR; such allowance is calculated based on the loans’ original contractual interest rates and does not consider any incremental penalty rates.

Variable Interest Entities

Variable Interest Entities6 Months Ended
Jun. 30, 2019
Variable Interest Entities [Abstract]
Variable Interest EntitiesVariable interest entities For a further description of JPMorgan Chase’s accounting policies regarding consolidation of VIEs, refer to Note 1 of JPMorgan Chase’s 2018 Form 10-K . The following table summarizes the most significant types of Firm- sponsored VIEs by business segment. Line of Business Transaction Type Activity Form 10-Q page reference CCB Credit card securitization trusts Securitization of originated credit card receivables 138 Mortgage securitization trusts Servicing and securitization of both originated and purchased residential mortgages 138-140 CIB Mortgage and other securitization trusts Securitization of both originated and purchased residential and commercial mortgages, and other consumer loans 138-140 Multi-seller conduits Assist clients in accessing the financial markets in a cost-efficient manner and structures transactions to meet investor needs 140 Municipal bond vehicles Financing of municipal bond investments 140 The Firm also invests in and provides financing and other services to VIEs sponsored by third parties. Refer to pages 141–142 of this Note for more information on the VIEs sponsored by third parties. Significant Firm-sponsored VIEs Credit card securitizations For a more detailed discussion of JPMorgan Chase’s involvement with credit card securitizations, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K . As a result of the Firm’s continuing involvement, the Firm is considered to be the primary beneficiary of its Firm- sponsored credit card securitization trusts, including its primary vehicle, the Chase Issuance Trust. Refer to the table on page 141 of this Note for further information on consolidated VIE assets and liabilities. Firm-sponsored mortgage and other securitization trusts The Firm securitizes (or has securitized) originated and purchased residential mortgages, commercial mortgages and other consumer loans primarily in its CCB and CIB businesses. Depending on the particular transaction, as well as the respective business involved, the Firm may act as the servicer of the loans and/or retain certain beneficial interests in the securitization trusts. For a detailed discussion of the Firm’s involvement with Firm-sponsored mortgage and other securitization trusts, as well as the accounting treatment relating to such trusts, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K . The following table presents the total unpaid principal amount of assets held in Firm-sponsored private-label securitization entities, including those in which the Firm has continuing involvement, and those that are consolidated by the Firm. Continuing involvement includes servicing the loans, holding senior interests or subordinated interests (including amounts required to be held pursuant to credit risk retention rules), recourse or guarantee arrangements, and derivative contracts. In certain instances, the Firm’s only continuing involvement is servicing the loans. Refer to Securitization activity on page 142 of this Note for further information regarding the Firm’s cash flows associated with and interests retained in nonconsolidated VIEs, and pages 142–143 of this Note for information on the Firm’s loan sales to U.S. government agencies. Principal amount outstanding JPMorgan Chase interest in securitized assets in nonconsolidated VIEs (c)(d)(e) June 30, 2019 (in millions) Total assets held by securitization VIEs Assets Assets held in nonconsolidated securitization VIEs with continuing involvement Trading assets Investment securities Other financial assets Total interests held by JPMorgan Securitization-related (a) Residential mortgage: Prime/Alt-A and option ARMs $ 61,838 $ 3,053 $ 49,625 $ 424 $ 512 $ — $ 936 Subprime 15,664 — 14,441 19 — — 19 Commercial and other (b) 101,785 — 80,511 785 792 215 1,792 Total $ 179,287 $ 3,053 $ 144,577 $ 1,228 $ 1,304 $ 215 $ 2,747 Principal amount outstanding JPMorgan Chase interest in securitized assets in nonconsolidated VIEs (c)(d)(e) December 31, 2018 (in millions) Total assets held by securitization VIEs Assets held in consolidated securitization VIEs Assets held in nonconsolidated securitization VIEs with continuing involvement Trading assets Investment securities Other financial assets Total interests held by JPMorgan Chase Securitization-related (a) Residential mortgage: Prime/Alt-A and option ARMs $ 63,350 $ 3,237 $ 50,679 $ 623 $ 647 $ — $ 1,270 Subprime 16,729 32 15,434 53 — — 53 Commercial and other (b) 102,961 — 79,387 783 801 210 1,794 Total $ 183,040 $ 3,269 $ 145,500 $ 1,459 $ 1,448 $ 210 $ 3,117 (a) Excludes U.S. government agency securitizations and re-securitizations, which are not Firm-sponsored. Refer to pages 142–143 of this Note for information on the Firm’s loan sales to U.S. government agencies. (b) Consists of securities backed by commercial loans (predominantly real estate) and non-mortgage-related consumer receivables purchased from third parties. (c) Excludes the following: retained servicing (refer to Note 14 for a discussion of MSRs); securities retained from loan sales to U.S. government agencies; interest rate and foreign exchange derivatives primarily used to manage interest rate and foreign exchange risks of securitization entities (Refer to Note 4 for further information on derivatives); senior and subordinated securities of $215 million and $77 million , respectively, at June 30, 2019 , and $87 million and $28 million , respectively, at December 31, 2018 , which the Firm purchased in connection with CIB’s secondary market-making activities. (d) Includes interests held in re-securitization transactions. (e) As of June 30, 2019 , and December 31, 2018 , 56% and 60% , respectively, of the Firm’s retained securitization interests, which are predominantly carried at fair value and include amounts required to be held pursuant to credit risk retention rules, were risk-rated “A” or better, on an S&P-equivalent basis. The retained interests in prime residential mortgages consisted of $895 million and $1.3 billion of investment-grade, and $41 million and $16 million of noninvestment-grade at June 30, 2019 , and December 31, 2018 , respectively. The retained interests in commercial and other securitizations trusts consisted of $1.2 billion of investment-grade retained interests at both June 30, 2019 and December 31, 2018 , and $593 million and $623 million of noninvestment-grade retained interests at June 30, 2019 , and December 31, 2018 , respectively. Residential mortgage The Firm securitizes residential mortgage loans originated by CCB , as well as residential mortgage loans purchased from third parties by either CCB or CIB . For a more detailed description of the Firm’s involvement with residential mortgage securitizations, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K . Refer to the table on page 141 of this Note for more information on the consolidated residential mortgage securitizations, and the table on the previous page of this Note for further information on interests held in nonconsolidated residential mortgage securitizations. Commercial mortgages and other consumer securitizations CIB originates and securitizes commercial mortgage loans, and engages in underwriting and trading activities involving the securities issued by securitization trusts. For a more detailed description of the Firm’s involvement with commercial mortgage and other consumer securitizations, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K . Refer to the table on page 141 of this Note for more information on the consolidated commercial mortgage securitizations, and the table on the previous page of this Note for further information on interests held in nonconsolidated securitizations. Re-securitizations For a more detailed description of JPMorgan Chase’s participation in certain re-securitization transactions, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K. The following table presents the principal amount of securities transferred to re-securitization VIEs. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Transfers of securities to VIEs Agency $ 2,564 $ 3,995 $ 7,067 $ 8,781 The following table presents information on nonconsolidated re-securitization VIEs. Nonconsolidated re-securitization VIEs (in millions) June 30, 2019 December 31, 2018 Firm-sponsored private-label Assets held in VIEs with continuing involvement (a) $ 22 $ 118 Interest in VIEs — 10 Agency Interest in VIEs 2,192 3,058 (a) Represents the principal amount and includes the notional amount of interest-only securities. As of June 30, 2019 , and December 31, 2018 , the Firm did not consolidate any agency re-securitization VIEs or any Firm-sponsored private-label re-securitization VIEs. Multi-seller conduits For a more detailed description of JPMorgan Chase’s principal involvement with Firm -administered multi-seller conduits, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K . In the normal course of business, JPMorgan Chase makes markets in and invests in commercial paper issued by the Firm -administered multi-seller conduits. The Firm held $8.2 billion and $20.1 billion of the commercial paper issued by the Firm -administered multi-seller conduits at June 30, 2019 , and December 31, 2018 , respectively, which have been eliminated in consolidation. The Firm’s investments reflect the Firm’s funding needs and capacity and were not driven by market illiquidity. Other than the amounts required to be held pursuant to credit risk retention rules, the Firm is not obligated under any agreement to purchase the commercial paper issued by the Firm -administered multi-seller conduits. Deal-specific liquidity facilities, program-wide liquidity and credit enhancement provided by the Firm have been eliminated in consolidation. The Firm or the Firm-administered multi-seller conduits provide lending-related commitments to certain clients of the Firm-administered multi-seller conduits. The unfunded commitments were $8.4 billion and $8.0 billion at June 30, 2019 , and December 31, 2018 , respectively, and are reported as off-balance sheet lending-related commitments in other unfunded commitments to extend credit. For more information on off-balance sheet lending-related commitments, refer to Note 22 . Municipal bond vehicles Municipal bond vehicles or tender option bond (“TOB”) trusts allow institutions to finance their municipal bond investments at short-term rates. TOB transactions are known as customer TOB trusts and non-customer TOB trusts. Customer TOB trusts are sponsored by a third party, refer to pages 141–142 of this Note for further information. The Firm serves as sponsor for all non-customer TOB transactions. For a more detailed description of JPMorgan Chase’s Municipal bond vehicles, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K . Consolidated VIE assets and liabilities The following table presents information on assets and liabilities related to VIEs consolidated by the Firm as of June 30, 2019 , and December 31, 2018 . Assets Liabilities June 30, 2019 (in millions) Trading assets Loans Other (b) Total assets (c) Beneficial interests in VIE assets (d) Other (e) Total liabilities VIE program type Firm-sponsored credit card trusts $ — $ 28,230 $ 412 $ 28,642 $ 9,302 $ 8 $ 9,310 Firm-administered multi-seller conduits 3 22,575 335 22,913 14,734 36 14,770 Municipal bond vehicles 1,304 — 3 1,307 1,281 2 1,283 Mortgage securitization entities (a) 2 3,078 55 3,135 267 146 413 Other 113 — 182 295 1 99 100 Total $ 1,422 $ 53,883 $ 987 $ 56,292 $ 25,585 $ 291 $ 25,876 Assets Liabilities December 31, 2018 (in millions) Trading assets Loans Other (b) Total assets (c) Beneficial interests in VIE assets (d) Other (e) Total liabilities VIE program type Firm-sponsored credit card trusts $ — $ 31,760 $ 491 $ 32,251 $ 13,404 $ 12 $ 13,416 Firm-administered multi-seller conduits — 24,411 300 24,711 4,842 33 4,875 Municipal bond vehicles 1,779 — 4 1,783 1,685 3 1,688 Mortgage securitization entities (a) 53 3,285 40 3,378 308 161 469 Other 134 — 178 312 2 103 105 Total $ 1,966 $ 59,456 $ 1,013 $ 62,435 $ 20,241 $ 312 $ 20,553 (a) Includes residential and commercial mortgage securitizations. (b) Includes assets classified as cash and other assets on the Consolidated balance sheets. (c) The assets of the consolidated VIEs included in the program types above are used to settle the liabilities of those entities. The assets and liabilities include third-party assets and liabilities of consolidated VIEs and exclude intercompany balances that eliminate in consolidation. (d) The interest-bearing beneficial interest liabilities issued by consolidated VIEs are classified in the line item on the Consolidated balance sheets titled, “Beneficial interests issued by consolidated variable interest entities.” The holders of these beneficial interests generally do not have recourse to the general credit of JPMorgan Chase . For conduits program-wide credit enhancements, refer to note 14 of JPMorgan Chase’s 2018 Form 10-K. Included in beneficial interests in VIE assets are long-term beneficial interests of $9.6 billion and $13.7 billion at June 30, 2019 , and December 31, 2018 . (e) Includes liabilities classified as accounts payable and other liabilities on the Consolidated balance sheets. VIEs sponsored by third parties The Firm enters into transactions with VIEs structured by other parties. These include, for example, acting as a derivative counterparty, liquidity provider , investor , underwriter, placement agent, remarketing agent, trustee or custodian. These transactions are conducted at arm’s-length, and individual credit decisions are based on the analysis of the specific VIE, taking into consideration the quality of the underlying assets. Where the Firm does not have the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, or a variable interest that could potentially be significant, the Firm generally does not consolidate the VIE, but it records and reports these positions on its Consolidated balance sheets in the same manner it would record and report positions in respect of any other third-party transaction. Tax credit vehicles The Firm holds investments in unconsolidated tax credit vehicles, which are limited partnerships and similar entities that construct, own and operate affordable housing , wind , solar and other alternative energy projects. These entities are primarily considered VIEs. A third party is typically the general partner or managing member and has control over the significant activities of the tax credit vehicles, and accordingly the Firm does not consolidate tax credit vehicles. The Firm generally invests in these partnerships as a limited partner and earns a return primarily through the receipt of tax credits allocated to the projects. The maximum loss exposure, represented by equity investments and funding commitments, was $ 16.0 billion and $16.5 billion , of which $4.1 billion and $4.0 billion was unfunded at June 30, 2019 and December 31, 2018, respectively. In order to reduce the risk of loss, the Firm assesses each project and withholds varying amounts of its capital investment until the project qualifies for tax credits. For further information on affordable housing tax credits, refer to Note 24 of JPMorgan Chase’s 2018 Form 10-K. For more information on off-balance sheet lending-related commitments, refer to Note 22 of this Form 10-Q. Customer municipal bond vehicles (TOB trusts) The Firm may provide various services to Customer TOB trusts, including remarketing agent, liquidity or tender option provider. In certain Customer TOB transactions, the Firm, as liquidity provider, has entered into a reimbursement agreement with the Residual holder. In those transactions, upon the termination of the vehicle, the Firm has recourse to the third-party Residual holders for any shortfall. The Firm does not have any intent to protect Residual holders from potential losses on any of the underlying municipal bonds. The Firm does not consolidate Customer TOB trusts, since the Firm does not have the power to make decisions that significantly impact the economic performance of the municipal bond vehicle. The Firm’s maximum exposure as a liquidity provider to Customer TOB trusts at June 30, 2019 and December 31, 2018 was $5.3 billion and $4.8 billion , respectively. The fair value of assets held by such VIEs at June 30, 2019 and December 31, 2018 , was $8.6 billion and $7.7 billion , respectively. For more information on off-balance sheet lending-related commitments, refer to Note 22 . Loan securitizations The Firm has securitized and sold a variety of loans, including residential mortgage, credit card, and commercial mortgage. For a further description of the Firm’s accounting policies regarding securitizations, refer to Note 14 of JPMorgan Chase’s 2018 Form 10-K . Securitization activity The following table provides information related to the Firm’s securitization activities for the three and six months ended June 30, 2019 and 2018 , related to assets held in Firm -sponsored securitization entities that were not consolidated by the Firm, and where sale accounting was achieved at the time of the securitization. Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 (in millions) Residential mortgage (e) Commercial and other (f) Residential mortgage (e) Commercial and other (f) Residential mortgage (e) Commercial and other (f) Residential mortgage (e) Commercial and other (f) Principal securitized $ 2,125 $ 1,974 $ 3,129 $ 2,181 $ 3,907 $ 2,738 $ 4,459 $ 5,172 All cash flows during the period (a) : Proceeds received from loan sales as financial instruments (b)(c) $ 2,188 $ 2,041 $ 3,122 $ 2,196 $ 4,010 $ 2,823 $ 4,460 $ 5,187 Servicing fees collected (d) 73 1 80 — 150 1 161 — Cash flows received on interests 114 98 137 84 199 149 229 131 (a) Excludes re-securitization transactions. (b) Predominantly includes Level 2 assets. (c) The carrying value of the loans accounted for at fair value approximated the proceeds received upon loan sale. (d) The prior period amounts have been revised to conform with the current period presentation. (e) Includes prime mortgages only. Excludes loan securitization transactions entered into with Ginnie Mae, Fannie Mae and Freddie Mac. (f) Includes commercial mortgage and other consumer loans. Loans and excess MSRs sold to U.S. government-sponsored enterprises, and loans in securitization transactions pursuant to Ginnie Mae guidelines In addition to the amounts reported in the securitization activity tables above, the Firm, in the normal course of business, sells originated and purchased mortgage loans and certain originated excess MSRs on a nonrecourse basis, predominantly to U.S. government-sponsored enterprises (“U.S. GSEs”). These loans and excess MSRs are sold primarily for the purpose of securitization by the U.S. GSEs, who provide certain guarantee provisions (e.g., credit enhancement of the loans). The Firm also sells loans into securitization transactions pursuant to Ginnie Mae guidelines; these loans are typically insured or guaranteed by another U.S. government agency. The Firm does not consolidate the securitization vehicles underlying these transactions as it is not the primary beneficiary. For a limited number of loan sales, the Firm is obligated to share a portion of the credit risk associated with the sold loans with the purchaser. Refer to Note 22 of this Form 10-Q, and Note 27 of JPMorgan Chase’s 2018 Form 10-K for additional information about the Firm’s loan sales- and securitization-related indemnifications. Refer to Note 14 for additional information about the impact of the Firm ’s sale of certain excess MSRs. The following table summarizes the activities related to loans sold to the U.S. GSEs, and loans in securitization transactions pursuant to Ginnie Mae guidelines. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Carrying value of loans sold $ 23,138 $ 8,076 $ 38,317 $ 16,836 Proceeds received from loan sales as cash 2 — 70 — Proceeds from loan sales as securities (a)(b) 22,823 7,959 37,660 16,578 Total proceeds received from loan sales (c) $ 22,825 $ 7,959 $ 37,730 $ 16,578 Gains on loan sales (d)(e) $ 104 $ 9 $ 153 $ 23 (a) Includes securities from U.S. GSEs and Ginnie Mae that are generally sold shortly after receipt or retained as part of the Firm’s Investment securities portfolio. (b) Included in level 2 assets. (c) Excludes the value of MSRs retained upon the sale of loans. (d) Gains on loan sales include the value of MSRs. (e) The carrying value of the loans accounted for at fair value approximated the proceeds received upon loan sale. Options to repurchase delinquent loans In addition to the Firm’s obligation to repurchase certain loans due to material breaches of representations and warranties as discussed in Note 22 , the Firm also has the option to repurchase delinquent loans that it services for Ginnie Mae loan pools, as well as for other U.S. government agencies under certain arrangements . The Firm typically elects to repurchase delinquent loans from Ginnie Mae loan pools as it continues to service them and/or manage the foreclosure process in accordance with the applicable requirements, and such loans continue to be insured or guaranteed. When the Firm’s repurchase option becomes exercisable, such loans must be reported on the Consolidated balance sheets as a loan with a corresponding liability. For additional information, refer to Note 11 . The following table presents loans the Firm repurchased or had an option to repurchase, real estate owned, and foreclosed government-guaranteed residential mortgage loans recognized on the Firm’s Consolidated balance sheets as of June 30, 2019 and December 31, 2018 . Substantially all of these loans and real estate are insured or guaranteed by U.S. government agencies. (in millions) Jun 30, Dec 31, Loans repurchased or option to repurchase (a) $ 5,214 $ 7,021 Real estate owned 56 75 Foreclosed government-guaranteed residential mortgage loans (b) 277 361 (a) Predominantly all of these amounts relate to loans that have been repurchased from Ginnie Mae loan pools. (b) Relates to voluntary repurchases of loans, which are included in accrued interest and accounts receivable. Loan delinquencies and liquidation losses The table below includes information about components of nonconsolidated securitized financial assets held in Firm -sponsored private-label securitization entities, in which the Firm has continuing involvement, and delinquencies as of June 30, 2019 , and December 31, 2018 . Net liquidation losses (a) Securitized assets 90 days past due Three months ended June 30, Six months ended June 30, (in millions) Jun 30, Dec 31, Jun 30, Dec 31, 2019 2018 2019 2018 Securitized loans Residential mortgage: Prime / Alt-A & option ARMs $ 49,625 $ 50,679 $ 2,900 $ 3,354 $ 171 $ 168 $ 328 $ 271 Subprime 14,441 15,434 2,076 2,478 167 140 311 (462 ) Commercial and other 80,511 79,387 131 225 24 21 165 48 Total loans securitized $ 144,577 $ 145,500 $ 5,107 $ 6,057 $ 362 $ 329 $ 804 $ (143 ) (a) Includes liquidation gains as a result of private label mortgage settlement payments during the first quarter of 2018, which were reflected as asset recoveries by trustees.

Goodwill and Mortgage Servicing

Goodwill and Mortgage Servicing Rights6 Months Ended
Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Mortgage Servicing RightsGoodwill and Mortgage servicing rights For a discussion of the accounting policies related to goodwill and mortgage servicing rights, refer to Note 15 of JPMorgan Chase ’s 2018 Form 10-K . Goodwill The following table presents goodwill attributed to the business segments. (in millions) June 30, December 31, Consumer & Community Banking $ 30,991 $ 30,984 Corporate & Investment Bank 6,769 6,770 Commercial Banking 2,860 2,860 Asset & Wealth Management 6,857 6,857 Total goodwill $ 47,477 $ 47,471 The following table presents changes in the carrying amount of goodwill. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Balance at beginning of period $ 47,474 $ 47,499 $ 47,471 $ 47,507 Changes during the period from: Other (a) 3 (11 ) 6 (19 ) Balance at June 30, $ 47,477 $ 47,488 $ 47,477 $ 47,488 (a) Primarily relates to foreign currency remeasurement. Goodwill impairment testing For a further description of the Firm’s goodwill impairment testing, including the primary method used to estimate the fair value of the reporting units, and the assumptions used in the goodwill impairment test, refer to Impairment testing on pages 252–253 of JPMorgan Chase ’s 2018 Form 10-K . The Firm reviewed current economic conditions, estimated market cost of equity, as well as actual and projections of business performance for all its businesses. Based upon such reviews, the Firm concluded that the goodwill allocated to its reporting units was not impaired as of June 30, 2019 or December 31, 2018 , nor was goodwill written off due to impairment during the six months ended June 30, 2019 or 2018 . Declines in business performance, increases in credit losses, increases in capital requirements, as well as deterioration in economic or market conditions, adverse regulatory or legislative changes or increases in the estimated market cost of equity, could cause the estimated fair values of the Firm’s reporting units or their associated goodwill to decline in the future, which could result in a material impairment charge to earnings in a future period related to some portion of the associated goodwill. Mortgage servicing rights MSRs represent the fair value of expected future cash flows for performing servicing activities for others. The fair value considers estimated future servicing fees and ancillary revenue, offset by estimated costs to service the loans, and generally declines over time as net servicing cash flows are received, effectively amortizing the MSR asset against contractual servicing and ancillary fee income. MSRs are either purchased from third parties or recognized upon sale or securitization of mortgage loans if servicing is retained. For a further description of the MSR asset, interest rate risk management, and the valuation of MSRs, refer to Note s 2 and 15 of JPMorgan Chase ’s 2018 Form 10-K . The following table summarizes MSR activity for the three and six months ended June 30, 2019 and 2018 . As of or for the three months As of or for the six months (in millions, except where otherwise noted) 2019 2018 2019 2018 Fair value at beginning of period $ 5,957 $ 6,202 $ 6,130 $ 6,030 MSR activity: Originations of MSRs 424 157 756 333 Purchase of MSRs 2 79 106 146 Disposition of MSRs (a) (217 ) (104 ) (328 ) (399 ) Net additions/(dispositions) 209 132 534 80 Changes due to collection/realization of expected cash flows (247 ) (187 ) (446 ) (347 ) Changes in valuation due to inputs and assumptions: Changes due to market interest rates and other (b) (540 ) 103 (841 ) 485 Changes in valuation due to other inputs and assumptions: Projected cash flows (e.g., cost to service) (350 ) (e) — (350 ) (e) — Discount rates 153 — 153 24 Prepayment model changes and other (c) (89 ) (9 ) (87 ) (31 ) Total changes in valuation due to other inputs and assumptions (286 ) (9 ) (284 ) (7 ) Total changes in valuation due to inputs and assumptions (826 ) 94 (1,125 ) 478 Fair value at June 30, $ 5,093 $ 6,241 $ 5,093 $ 6,241 Change in unrealized gains/(losses) included in income related to MSRs held at June 30, $ (826 ) $ 94 $ (1,125 ) $ 478 Contractual service fees, late fees and other ancillary fees included in income 437 446 857 911 Third-party mortgage loans serviced at June 30, (in billions) 527 534 527 534 Servicer advances, net of an allowance for uncollectible amounts, at June 30, (in billions) (d) 2.2 3.3 2.2 3.3 (a) Includes excess MSRs transferred to agency-sponsored trusts in exchange for stripped mortgage backed securities (“SMBS”). In each transaction, a portion of the SMBS was acquired by third parties at the transaction date; the Firm acquired the remaining balance of those SMBS as trading securities. (b) Represents both the impact of changes in estimated future prepayments due to changes in market interest rates, and the difference between actual and expected prepayments. (c) Represents changes in prepayments other than those attributable to changes in market interest rates. (d) Represents amounts the Firm pays as the servicer (e.g., scheduled principal and interest, taxes and insurance), which will generally be reimbursed within a short period of time after the advance from future cash flows from the trust or the underlying loans. The Firm’s credit risk associated with these servicer advances is minimal because reimbursement of the advances is typically senior to all cash payments to investors. In addition, the Firm maintains the right to stop payment to investors if the collateral is insufficient to cover the advance. However, certain of these servicer advances may not be recoverable if they were not made in accordance with applicable rules and agreements. (e) The decrease in projected cash flows was largely related to default servicing assumption updates. The following table presents the components of mortgage fees and related income (including the impact of MSR risk management activities) for the three and six months ended June 30, 2019 and 2018 . Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 CCB mortgage fees and related income Net production revenue $ 353 $ 93 $ 553 $ 188 Net mortgage servicing revenue: Operating revenue: Loan servicing revenue 417 441 821 954 Changes in MSR asset fair value due to collection/realization of expected cash flows (247 ) (187 ) (446 ) (347 ) Total operating revenue 170 254 375 607 Risk management: Changes in MSR asset fair value due to market interest rates and other (a) (540 ) 104 (841 ) 486 Other changes in MSR asset fair value due to other inputs and assumptions in model (b) (286 ) (9 ) (284 ) (7 ) Change in derivative fair value and other 582 (118 ) 872 (485 ) Total risk management (244 ) (23 ) (253 ) (6 ) Total net mortgage servicing revenue (74 ) 231 122 601 Total CCB mortgage fees and related income 279 324 675 789 All other — — — — Mortgage fees and related income $ 279 $ 324 $ 675 $ 789 (a) Represents both the impact of changes in estimated future prepayments due to changes in market interest rates, and the difference between actual and expected prepayments. (b) Represents the aggregate impact of changes in model inputs and assumptions such as projected cash flows (e.g., cost to service), discount rates and changes in prepayments other than those attributable to changes in market interest rates (e.g., changes in prepayments due to changes in home prices). The table below outlines the key economic assumptions used to determine the fair value of the Firm’s MSRs at June 30, 2019 , and December 31, 2018 , and outlines hypothetical sensitivities of those fair values to immediate adverse changes in those assumptions, as defined below. (in millions, except rates) Jun 30, Dec 31, Weighted-average prepayment speed assumption (constant prepayment rate) 11.58 % 8.78 % Impact on fair value of 10% adverse change $ (216 ) $ (205 ) Impact on fair value of 20% adverse change (414 ) (397 ) Weighted-average option adjusted spread (a)(b) 7.84 % 7.87 % Impact on fair value of a 100 basis point adverse change $ (183 ) $ (235 ) Impact on fair value of a 200 basis point adverse change (353 ) (452 ) (a) Includes the impact of operational risk and regulatory capital. (b) The prior period amount has been revised to conform with the current period presentation. Changes in fair value based on variations in assumptions generally cannot be easily extrapolated, because the relationship of the change in the assumptions to the change in fair value are often highly interrelated and may not be linear. In this table, the effect that a change in a particular assumption may have on the fair value is calculated without changing any other assumption. In reality, changes in one factor may result in changes in another, which would either magnify or counteract the impact of the initial change.

Deposits

Deposits6 Months Ended
Jun. 30, 2019
Deposits [Abstract]
DepositsDeposits For further information on deposits, refer to Note 17 of JPMorgan Chase’s 2018 Form 10-K. At June 30, 2019 , and December 31, 2018 , noninterest-bearing and interest-bearing deposits were as follows. (in millions) June 30, December 31, 2018 U.S. offices Noninterest-bearing (included $26,673 and $17,204 at fair value) (a)(b) $ 394,237 $ 386,709 Interest-bearing (included $2,530 and $2,487 at fair value) (a)(b) 841,397 813,881 Total deposits in U.S. offices 1,235,634 1,200,590 Non-U.S. offices Noninterest-bearing (included $2,445 and $2,367 at fair value) (a)(b) 20,419 21,459 Interest-bearing (included $1,276 and $1,159 at fair value) (a)(b) 268,308 248,617 Total deposits in non-U.S. offices 288,727 270,076 Total deposits $ 1,524,361 $ 1,470,666 (a) Includes structured notes classified as deposits for which the fair value option has been elected. For a further discussion, refer to Note 3 of JPMorgan Chase’s 2018 Form 10-K . (b) In the second quarter of 2019, the Firm reclassified balances related to certain structured notes from interest-bearing to noninterest-bearing deposits as the associated returns are recorded in principal transactions revenue and not in net interest income. This change was applied retrospectively and, accordingly, prior period amounts were revised to conform with the current presentation.

Leases

Leases6 Months Ended
Jun. 30, 2019
Leases [Abstract]
LeasesLeases Lease commitments Effective January 1, 2019, the Firm adopted new guidance that requires lessees to recognize on the Consolidated balance sheets all leases with lease terms greater than twelve months as a lease liability with a corresponding right-of-use (“ROU”) asset. Accordingly, the Firm recognized operating lease liabilities and ROU assets of $ 8.2 billion and $8.1 billion , respectively. The adoption of the new lease guidance did not have a material impact on the Firm’s Consolidated statements of income. The change in accounting due to the adoption of the new lease guidance did not result in a material change to the future net minimum rental payments/receivables or to the net rental expense when compared to December 31, 2018. Firm as lessee At June 30, 2019, JPMorgan Chase and its subsidiaries were obligated under a number of noncancelable leases, predominantly operating leases for premises and equipment used primarily for business purposes. These leases generally have terms of 20 years or less, determined based on the contractual maturity of the lease, and include periods covered by options to extend or terminate the lease when the Firm is reasonably certain that it will exercise those options. None of these lease agreements impose restrictions on the Firm’s ability to pay dividends, engage in debt or equity financing transactions or enter into further lease agreements. Certain of these leases contain escalation clauses that will increase rental payments based on maintenance, utility and tax increases, which are non-lease components. The Firm elected not to separate lease and non-lease components of a contract for its real estate leases. As such, real estate lease payments represent payments on both lease and non-lease components. Operating lease liabilities and ROU assets are recognized at the lease commencement date based on the present value of the future minimum lease payments over the lease term. The future lease payments are discounted at a rate that represents the Firm’s collateralized borrowing rate for financing instruments of a similar term and are included in accounts payable and other liabilities. The operating lease ROU asset, included in premises and equipment, also includes any lease prepayments made, plus initial direct costs incurred, less any lease incentives received. Rental expense associated with operating leases is recognized on a straight-line basis over the lease term, and generally included in occupancy expense in the Consolidated statements of income. The following tables provide information related to the Firm’s operating leases: As of June 30, (in millions, except where otherwise noted) 2019 Right-of-use assets $ 8,118 Lease liabilities 8,404 Weighted average remaining lease term (in years) 8.7 Weighted average discount rate 3.75 % Supplemental cash flow information Cash paid for amounts included in the measurement of lease liabilities - operating cash flows $ 778 Supplemental non-cash information Right-of-use assets obtained in exchange for operating lease obligations $ 587 (in millions) Three months ended June 30, 2019 Six months ended June 30, 2019 Rental expense Gross rental expense $ 506 $ 1,020 Sublease rental income (42 ) (88 ) Net rental expense $ 464 $ 932 The following table presents future payments under operating leases as of June 30, 2019: Year ended December 31, (in millions) 2019 (excluding six months ended June 30, 2019) $ 787 2020 1,535 2021 1,356 2022 1,161 2023 988 After 2023 4,180 Total future minimum lease payments 10,007 Less: Imputed interest (1,603 ) Total $ 8,404 In addition to the table above, as of June 30, 2019, the Firm had additional future operating lease commitments of $1.5 billion that were signed but had not yet commenced. These operating leases will commence between 2019 and 2022 with lease terms up to 25 years . Firm as lessor The Firm provides auto and equipment lease financing to its customers through lease arrangements with lease terms that may contain renewal, termination and/or purchase options. Generally, the Firm’s lease financings are operating leases. These assets are recognized in other assets on the Firm’s Consolidated balance sheets and are depreciated on a straight-line basis over the lease term to reduce the asset to its estimated residual value. Depreciation expense is included in technology, communications and equipment expense in the Consolidated statements of income. The Firm’s lease income is generally recognized on a straight-line basis over the lease term and is included in other income in the Consolidated statements of income. On a periodic basis, the Firm assesses leased assets for impairment, and if the carrying amount of the leased asset exceeds the undiscounted cash flows from the lease payments and the estimated residual value upon disposition of the leased asset, an impairment loss is recognized. The risk of loss on auto and equipment leased assets relating to the residual value of the leased assets is monitored through projections of the asset residual values at lease origination and periodic review of residual values, and is mitigated through arrangements with certain manufacturers or lessees. The following table presents the carrying value of assets subject to leases reported on the Consolidated balance sheets: (in millions) June 30, 2019 December 31, 2018 Carrying value of assets subject to operating leases, net of accumulated depreciation $ 22,406 $ 21,428 Accumulated depreciation 5,643 5,303 The following table presents the Firm’s operating lease income and the related depreciation expense on the Consolidated statements of income: Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Operating lease income $ 1,327 $ 1,112 $ 2,643 $ 2,159 Depreciation expense 988 852 1,985 1,663 The following table presents future receipts under operating leases as of June 30, 2019: Year ended December 31, (in millions) 2019 (excluding six months ended June 30, 2019) $ 2,107 2020 3,381 2021 1,866 2022 386 2023 69 After 2023 136 Total future minimum lease payments $ 7,945
LeasesLeases Lease commitments Effective January 1, 2019, the Firm adopted new guidance that requires lessees to recognize on the Consolidated balance sheets all leases with lease terms greater than twelve months as a lease liability with a corresponding right-of-use (“ROU”) asset. Accordingly, the Firm recognized operating lease liabilities and ROU assets of $ 8.2 billion and $8.1 billion , respectively. The adoption of the new lease guidance did not have a material impact on the Firm’s Consolidated statements of income. The change in accounting due to the adoption of the new lease guidance did not result in a material change to the future net minimum rental payments/receivables or to the net rental expense when compared to December 31, 2018. Firm as lessee At June 30, 2019, JPMorgan Chase and its subsidiaries were obligated under a number of noncancelable leases, predominantly operating leases for premises and equipment used primarily for business purposes. These leases generally have terms of 20 years or less, determined based on the contractual maturity of the lease, and include periods covered by options to extend or terminate the lease when the Firm is reasonably certain that it will exercise those options. None of these lease agreements impose restrictions on the Firm’s ability to pay dividends, engage in debt or equity financing transactions or enter into further lease agreements. Certain of these leases contain escalation clauses that will increase rental payments based on maintenance, utility and tax increases, which are non-lease components. The Firm elected not to separate lease and non-lease components of a contract for its real estate leases. As such, real estate lease payments represent payments on both lease and non-lease components. Operating lease liabilities and ROU assets are recognized at the lease commencement date based on the present value of the future minimum lease payments over the lease term. The future lease payments are discounted at a rate that represents the Firm’s collateralized borrowing rate for financing instruments of a similar term and are included in accounts payable and other liabilities. The operating lease ROU asset, included in premises and equipment, also includes any lease prepayments made, plus initial direct costs incurred, less any lease incentives received. Rental expense associated with operating leases is recognized on a straight-line basis over the lease term, and generally included in occupancy expense in the Consolidated statements of income. The following tables provide information related to the Firm’s operating leases: As of June 30, (in millions, except where otherwise noted) 2019 Right-of-use assets $ 8,118 Lease liabilities 8,404 Weighted average remaining lease term (in years) 8.7 Weighted average discount rate 3.75 % Supplemental cash flow information Cash paid for amounts included in the measurement of lease liabilities - operating cash flows $ 778 Supplemental non-cash information Right-of-use assets obtained in exchange for operating lease obligations $ 587 (in millions) Three months ended June 30, 2019 Six months ended June 30, 2019 Rental expense Gross rental expense $ 506 $ 1,020 Sublease rental income (42 ) (88 ) Net rental expense $ 464 $ 932 The following table presents future payments under operating leases as of June 30, 2019: Year ended December 31, (in millions) 2019 (excluding six months ended June 30, 2019) $ 787 2020 1,535 2021 1,356 2022 1,161 2023 988 After 2023 4,180 Total future minimum lease payments 10,007 Less: Imputed interest (1,603 ) Total $ 8,404 In addition to the table above, as of June 30, 2019, the Firm had additional future operating lease commitments of $1.5 billion that were signed but had not yet commenced. These operating leases will commence between 2019 and 2022 with lease terms up to 25 years . Firm as lessor The Firm provides auto and equipment lease financing to its customers through lease arrangements with lease terms that may contain renewal, termination and/or purchase options. Generally, the Firm’s lease financings are operating leases. These assets are recognized in other assets on the Firm’s Consolidated balance sheets and are depreciated on a straight-line basis over the lease term to reduce the asset to its estimated residual value. Depreciation expense is included in technology, communications and equipment expense in the Consolidated statements of income. The Firm’s lease income is generally recognized on a straight-line basis over the lease term and is included in other income in the Consolidated statements of income. On a periodic basis, the Firm assesses leased assets for impairment, and if the carrying amount of the leased asset exceeds the undiscounted cash flows from the lease payments and the estimated residual value upon disposition of the leased asset, an impairment loss is recognized. The risk of loss on auto and equipment leased assets relating to the residual value of the leased assets is monitored through projections of the asset residual values at lease origination and periodic review of residual values, and is mitigated through arrangements with certain manufacturers or lessees. The following table presents the carrying value of assets subject to leases reported on the Consolidated balance sheets: (in millions) June 30, 2019 December 31, 2018 Carrying value of assets subject to operating leases, net of accumulated depreciation $ 22,406 $ 21,428 Accumulated depreciation 5,643 5,303 The following table presents the Firm’s operating lease income and the related depreciation expense on the Consolidated statements of income: Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Operating lease income $ 1,327 $ 1,112 $ 2,643 $ 2,159 Depreciation expense 988 852 1,985 1,663 The following table presents future receipts under operating leases as of June 30, 2019: Year ended December 31, (in millions) 2019 (excluding six months ended June 30, 2019) $ 2,107 2020 3,381 2021 1,866 2022 386 2023 69 After 2023 136 Total future minimum lease payments $ 7,945

Preferred Stock

Preferred Stock6 Months Ended
Jun. 30, 2019
Stockholders' Equity Note [Abstract]
Preferred StockPreferred stock For a further discussion on preferred stock, refer to Note 20 of JPMorgan Chase’s 2018 Form 10-K. The following is a summary of JPMorgan Chase’s non-cumulative preferred stock outstanding as of June 30, 2019 and December 31, 2018, and the quarterly dividend declarations for the three and six months ended June 30, 2019 and 2018. Shares Carrying value (in millions) Contractual rate in effect at June 30, 2019 Earliest redemption date (b) Floating annual rate of three-month LIBOR plus: Dividend declared per share (c) June 30, 2019 (a) December 31, 2018 (a) June 30, 2019 December 31, 2018 Issue date Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Fixed-rate: Series P 90,000 90,000 $ 900 $ 900 2/5/2013 5.450 % 3/1/2018 NA $ 136.25 $136.25 $272.50 $272.50 Series T — 92,500 — 925 1/30/2014 — 3/1/2019 NA NA 167.50 167.50 335.00 Series W 88,000 88,000 880 880 6/23/2014 6.300 9/1/2019 NA 157.50 157.50 315.00 315.00 Series Y 143,000 143,000 1,430 1,430 2/12/2015 6.125 3/1/2020 NA 153.13 153.13 306.26 306.26 Series AA 142,500 142,500 1,425 1,425 6/4/2015 6.100 9/1/2020 NA 152.50 152.50 305.00 305.00 Series BB 115,000 115,000 1,150 1,150 7/29/2015 6.150 9/1/2020 NA 153.75 153.75 307.50 307.50 Series DD 169,625 169,625 1,696 1,696 9/21/2018 5.750 12/1/2023 NA 143.75 NA 287.50 NA Series EE 185,000 — 1,850 — 1/24/2019 6.000 3/1/2024 NA 211.67 NA 211.67 NA (d) Fixed-to-floating-rate: Series I 430,375 430,375 $ 4,304 $ 4,304 4/23/2008 LIBOR + 3.47% 4/30/2018 LIBOR + 3.47% $ 153.00 $147.34 $308.51 $344.84 (e) Series Q 150,000 150,000 1,500 1,500 4/23/2013 5.150 5/1/2023 LIBOR + 3.25 128.75 128.75 257.50 257.50 Series R 150,000 150,000 1,500 1,500 7/29/2013 6.000 8/1/2023 LIBOR + 3.30 150.00 150.00 300.00 300.00 Series S 200,000 200,000 2,000 2,000 1/22/2014 6.750 2/1/2024 LIBOR + 3.78 168.75 168.75 337.50 337.50 Series U 100,000 100,000 1,000 1,000 3/10/2014 6.125 4/30/2024 LIBOR + 3.33 153.13 153.13 306.25 306.25 Series V 250,000 250,000 2,500 2,500 6/9/2014 5.000 7/1/2019 LIBOR + 3.32 125.00 125.00 250.00 250.00 Series X 160,000 160,000 1,600 1,600 9/23/2014 6.100 10/1/2024 LIBOR + 3.33 152.50 152.50 305.00 305.00 Series Z 200,000 200,000 2,000 2,000 4/21/2015 5.300 5/1/2020 LIBOR + 3.80 132.50 132.50 265.00 265.00 Series CC 125,750 125,750 1,258 1,258 10/20/2017 4.625 11/1/2022 LIBOR + 2.58 115.63 115.63 231.25 231.25 Total preferred stock 2,699,250 2,606,750 $ 26,993 $ 26,068 (a) Represented by depositary shares. (b) Fixed-to-floating rate notes convert to a floating rate at the earliest redemption date. (c) Dividends are declared quarterly. Dividends are payable quarterly on fixed-rate preferred stock. Dividends are payable semiannually on fixed-to-floating-rate preferred stock while at a fixed rate, and payable quarterly after converting to a floating rate. (d) Dividends in the amount of $211.67 per share were declared on April 12, 2019 and include dividends from the original issue date of January 24, 2019 through May 31, 2019. (e) Prior to April 30, 2018, the dividend rate was fixed at 7.90% . On July 31, 2019, the Firm issued $2.25 billion of fixed-to-floating rate non-cumulative preferred stock, Series FF, and on August 2, 2019, the Firm announced that it will redeem all $880 million of its 6.30% non-cumulative preferred stock, Series W on September 1, 2019. On January 24, 2019, the Firm issued $1.85 billion of 6.00% non-cumulative preferred stock, Series EE, and on March 1, 2019, the Firm redeemed all $925 million of its 6.70%

Earnings per Share

Earnings per Share6 Months Ended
Jun. 30, 2019
Earnings Per Share [Abstract]
Earnings per ShareEarnings per share For a discussion of the computation of basic and diluted earnings per share (“EPS”), refer to Note 22 of JPMorgan Chase ’s 2018 Form 10-K . The following table presents the calculation of basic and diluted EPS for the three and six months ended June 30, 2019 and 2018 . (in millions, except per share amounts) Three months ended Six months ended 2019 2018 2019 2018 Basic earnings per share Net income $ 9,652 $ 8,316 $ 18,831 $ 17,028 Less: Preferred stock dividends 404 379 778 788 Net income applicable to common equity 9,248 7,937 18,053 16,240 Less: Dividends and undistributed earnings allocated to participating securities 56 57 108 121 Net income applicable to common stockholders $ 9,192 $ 7,880 $ 17,945 $ 16,119 Total weighted-average basic shares outstanding 3,250.6 3,415.2 3,274.3 3,436.7 Net income per share $ 2.83 $ 2.31 $ 5.48 $ 4.69 Diluted earnings per share Net income applicable to common stockholders $ 9,192 $ 7,880 $ 17,945 $ 16,119 Total weighted-average basic shares outstanding 3,250.6 3,415.2 3,274.3 3,436.7 Add: Employee stock options, SARs, warrants and unvested PSUs 9.1 19.5 9.6 20.4 Total weighted-average diluted shares outstanding 3,259.7 3,434.7 3,283.9 3,457.1 Net income per share $ 2.82 $ 2.29 $ 5.46 $ 4.66

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income/(Loss)6 Months Ended
Jun. 30, 2019
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Income/(Loss)Accumulated other comprehensive income/(loss) AOCI includes the after-tax change in unrealized gains and losses on investment securities, foreign currency translation adjustments (including the impact of related derivatives), fair value changes of excluded components on fair value hedges, cash flow hedging activities, net loss and prior service costs/(credit) related to the Firm’s defined benefit pension and OPEB plans, and on fair value option-elected liabilities arising from changes in the Firm’s own credit risk (DVA). As of or for the three months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at April 1, 2019 $ 2,616 $ (751 ) $ (159 ) $ 29 $ (2,272 ) $ (21 ) $ (558 ) Net change 1,093 99 86 97 41 256 1,672 Balance at June 30, 2019 $ 3,709 $ (652 ) $ (73 ) $ 126 $ (2,231 ) $ 235 $ 1,114 As of or for the three months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit pension and DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at April 1, 2018 $ 1,826 $ (720 ) (94 ) $ 19 $ (1,914 ) $ (180 ) $ (1,063 ) Net change (227 ) 88 (68 ) (166 ) 38 260 (75 ) Balance at June 30, 2018 $ 1,599 $ (632 ) $ (162 ) $ (147 ) $ (1,876 ) $ 80 $ (1,138 ) As of or for the six months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at January 1, 2019 $ 1,202 $ (727 ) $ (161 ) $ (109 ) $ (2,308 ) $ 596 $ (1,507 ) Net change 2,507 75 88 235 77 (361 ) 2,621 Balance at June 30, 2019 $ 3,709 $ (652 ) $ (73 ) $ 126 $ (2,231 ) $ 235 $ 1,114 As of or for the six months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit pension and DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at January 1, 2018 $ 2,164 $ (470 ) $ — $ 76 $ (1,521 ) $ (368 ) $ (119 ) Cumulative effect of changes in accounting principles (a) 896 (277 ) $ (54 ) 16 (414 ) (79 ) 88 Net change (1,461 ) 115 (108 ) (239 ) 59 527 (1,107 ) Balance at June 30, 2018 $ 1,599 $ (632 ) $ (162 ) $ (147 ) $ (1,876 ) $ 80 $ (1,138 ) (a) Represents the adjustment to AOCI as a result of the accounting standards adopted in the first quarter of 2018, refer to Note 1 of JPMorgan Chase’s 2018 Form 10-K. The following table presents the pre-tax and after-tax changes in the components of OCI. 2019 2018 Three months ended June 30, (in millions) Pre-tax Tax effect After-tax Pre-tax Tax effect After-tax Unrealized gains/(losses) on investment securities: Net unrealized gains/(losses) arising during the period $ 1,491 $ (365 ) $ 1,126 $ (376 ) $ 88 $ (288 ) Reclassification adjustment for realized (gains)/losses included in net income (a) (44 ) 11 (33 ) 80 (19 ) 61 Net change 1,447 (354 ) 1,093 (296 ) 69 (227 ) Translation adjustments (b) : Translation 123 72 195 (1,056 ) 208 (848 ) Hedges (128 ) 32 (96 ) 1,227 (291 ) 936 Net change (5 ) 104 99 171 (83 ) 88 Fair value hedges, net change (c) : 112 (26 ) 86 (89 ) 21 (68 ) Cash flow hedges: Net unrealized gains/(losses) arising during the period 101 (24 ) 77 (199 ) 47 (152 ) Reclassification adjustment for realized (gains)/losses included in net income (d) 26 (6 ) 20 (19 ) 5 (14 ) Net change 127 (30 ) 97 (218 ) 52 (166 ) Defined benefit pension and OPEB plans: Net gain/(loss) arising during the period (1 ) — (1 ) 2 — 2 Reclassification adjustments included in net income (e) : Amortization of net loss 41 (7 ) 34 26 (6 ) 20 Amortization of prior service cost/(credit) 1 (1 ) — (6 ) 2 (4 ) Foreign exchange and other 9 (1 ) 8 31 (11 ) 20 Net change 50 (9 ) 41 53 (15 ) 38 DVA on fair value option elected liabilities, net change: 338 (82 ) 256 340 (80 ) 260 Total other comprehensive income/(loss) $ 2,069 $ (397 ) $ 1,672 $ (39 ) $ (36 ) $ (75 ) 2019 2018 Six months ended June 30, (in millions) Pre-tax Tax effect After-tax Pre-tax Tax effect After-tax Unrealized gains/(losses) on investment securities: Net unrealized gains/(losses) arising during the period $ 3,366 $ (816 ) $ 2,550 $ (2,234 ) $ 525 $ (1,709 ) Reclassification adjustment for realized (gains)/losses included in net income (a) (57 ) 14 (43 ) 325 (77 ) 248 Net change 3,309 (802 ) 2,507 (1,909 ) 448 (1,461 ) Translation adjustments (b) : Translation 164 36 200 (667 ) 143 (524 ) Hedges (166 ) 41 (125 ) 838 (199 ) 639 Net change (2 ) 77 75 171 (56 ) 115 Fair value hedges, net change (c) : 115 (27 ) 88 (141 ) 33 (108 ) Cash flow hedges: Net unrealized gains/(losses) arising during the period 242 (57 ) 185 (243 ) 58 (185 ) Reclassification adjustment for realized (gains)/losses included in net income (d) 65 (15 ) 50 (71 ) 17 (54 ) Net change 307 (72 ) 235 (314 ) 75 (239 ) Defined benefit pension and OPEB plans: Net gain/(loss) arising during the period 2 (2 ) — 25 (6 ) 19 Reclassification adjustments included in net income (e) : Amortization of net loss 83 (16 ) 67 52 (12 ) 40 Amortization of prior service cost/(credit) 2 (1 ) 1 (12 ) 3 (9 ) Foreign exchange and other 1 8 9 12 (3 ) 9 Net change 88 (11 ) 77 77 (18 ) 59 DVA on fair value option elected liabilities, net change: $ (469 ) $ 108 $ (361 ) $ 690 $ (163 ) $ 527 Total other comprehensive income/(loss) $ 3,348 $ (727 ) $ 2,621 $ (1,426 ) $ 319 $ (1,107 ) (a) The pre-tax amount is reported in Investment securities gains/(losses) in the Consolidated statements of income. (b) Reclassifications of pre-tax realized gains/(losses) on translation adjustments and related hedges are reported in other income/expense in the Consolidated statements of income. During the three and six months ended June 30, 2019, the Firm reclassified net pre-tax gains of $6 million to other income and $1 million to other expense, respectively. These amounts, which related to the liquidation of certain legal entities, are comprised of $5 million related to net investment hedge gains and $2 million related to cumulative translation adjustments. During the three and six months ended June 30, 2018, the Firm reclassified a net pre-tax loss of $174 million to other expense related to the liquidation of a legal entity, comprised of $23 million related to net investment hedge losses and $151 million related to cumulative translation adjustments. (c) Represents changes in fair value of cross-currency swaps attributable to changes in cross-currency basis spreads, which are excluded from the assessment of hedge effectiveness and recorded in other comprehensive income. The initial cost of cross-currency basis spreads is recognized in earnings as part of the accrual of interest on the cross currency swap. (d) The pre-tax amounts are predominantly recorded in noninterest revenue, net interest income and compensation expense in the Consolidated statements of income. (e) The pre-tax amount is reported in other expense in the Consolidated statements of income.

Restricted Cash and Other Restr

Restricted Cash and Other Restricted Assets6 Months Ended
Jun. 30, 2019
Cash and Cash Equivalents [Abstract]
Restricted Cash and Other Restricted AssetsRestricted cash and other restricted assets For a detailed discussion of the Firm’s restricted cash and other restricted assets, refer to Note 25 of JPMorgan Chase’s 2018 Form 10-K. Certain of the Firm’s cash and other assets are restricted as to withdrawal or usage. These restrictions are imposed by various regulatory authorities based on the particular activities of the Firm’s subsidiaries . The Firm is also subject to rules and regulations established by other U.S. and non U.S. regulators. As part of its compliance with the respective regulatory requirements, the Firm’s broker-dealer activities are subject to certain restrictions on cash and other assets. The following table presents the components of the Firm’s restricted cash: (in billions) June 30, December 31, 2018 Cash reserves – Federal Reserve Banks $ 24.9 $ 22.1 Segregated for the benefit of securities and futures brokerage customers 16.7 14.6 Cash reserves at non-U.S. central banks and held for other general purposes 3.9 4.1 Total restricted cash (a) $ 45.5 $ 40.8 (a) Comprises $44.2 billion and $39.6 billion in deposits with banks, and $1.3 billion and $1.2 billion in cash and due from banks on the Consolidated balance sheets as of June 30, 2019 and December 31, 2018 , respectively. Also, as of June 30, 2019 and December 31, 2018 , the Firm had the following other restricted assets: • Cash and securities pledged with clearing organizations for the benefit of customers of $21.0 billion and $20.6 billion , respectively. • Securities with a fair value of $3.9 billion and $9.7 billion , respectively, were also restricted in relation to customer activity.

Regulatory Capital

Regulatory Capital6 Months Ended
Jun. 30, 2019
Banking and Thrift [Abstract]
Regulatory CapitalRegulatory capital For a detailed discussion on regulatory capital, refer to Note 26 of JPMorgan Chase’s 2018 Form 10-K. The Federal Reserve establishes capital requirements, including well-capitalized standards, for the consolidated financial holding company. The Office of the Comptroller of the Currency (“OCC”) establishes similar minimum capital requirements and standards for the Firm’s insured depository institutions (“IDI”), including JPMorgan Chase Bank, N.A. Effective January 1, 2019, the capital adequacy of the Firm and its IDI subsidiaries is evaluated against the fully phased-in measures under Basel III and represents the lower of the Standardized or Advanced approaches. During 2018, the required capital measures were subject to the transitional rules and as of December 31, 2018 were the same on a fully phased-in and on a transitional basis. Under the risk-based capital and leverage-based guidelines of the Federal Reserve, JPMorgan Chase is required to maintain minimum ratios for CET1, Tier 1, Total, Tier 1 leverage and the SLR. Failure to meet these minimum requirements could cause the Federal Reserve to take action. IDI subsidiaries are also subject to these capital requirements by their respective primary regulators. The following table represents the minimum and well-capitalized ratios to which the Firm and its IDI subsidiaries were subject as of June 30, 2019 . Minimum capital ratios Well-capitalized ratios BHC (a)(e)(f) IDI (b)(e)(f) BHC (c) IDI (d) Capital ratios CET1 10.5 % 7.0 % N/A 6.5 % Tier 1 12.0 8.5 6.0 8.0 Total 14.0 10.5 10.0 10.0 Tier 1 leverage 4.0 4.0 N/A 5.0 SLR 5.0 6.0 N/A 6.0 Note: The table above is as defined by the regulations issued by the Federal Reserve, OCC and FDIC and to which the Firm and its IDI subsidiaries are subject. (a) Represents the minimum capital ratios applicable to the Firm under Basel III. The CET1 minimum capital ratio includes a capital conservation buffer of 2.5% and GSIB surcharge of 3.5% . (b) Represents requirements for JPMorgan Chase’s IDI subsidiaries. The CET1 minimum capital ratio includes a capital conservation buffer of 2.5% that is applicable to the IDI subsidiaries. The IDI subsidiaries are not subject to the GSIB surcharge. (c) Represents requirements for bank holding companies pursuant to regulations issued by the Federal Reserve. (d) Represents requirements for IDI subsidiaries pursuant to regulations issued under the FDIC Improvement Act. (e) For the period ended December 31, 2018 , the CET1, Tier 1, Total and Tier 1 leverage minimum capital ratios applicable to the Firm were 9.0% , 10.5% , 12.5% , and 4.0% and the CET1, Tier 1, Total and Tier 1 leverage minimum capital ratios applicable to the Firm’s IDI subsidiaries were 6.375% , 7.875% , 9.875% , and 4.0% , respectively. (f) Represents minimum SLR requirement of 3.0% , as well as, supplementary leverage buffers of 2.0% and 3.0% for BHC and IDI, respectively. The following tables present the risk-based and leverage-based capital metrics for JPMorgan Chase and JPMorgan Chase Bank, N.A. under both the Basel III Standardized and Basel III Advanced Approaches. As of June 30, 2019 and December 31, 2018 , JPMorgan Chase and JPMorgan Chase Bank, N.A. were well-capitalized and met all capital requirements to which each was subject. June 30, 2019 Basel III Standardized Fully Phased-In Basel III Advanced Fully Phased-In JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. Regulatory capital CET1 capital $ 189,169 $ 217,622 $ 189,169 $ 217,622 Tier 1 capital 215,808 217,622 215,808 217,622 Total capital 244,490 235,208 234,507 225,403 Assets Risk-weighted 1,545,101 1,452,055 1,449,211 1,302,719 Adjusted average (a) 2,692,225 2,325,199 2,692,225 2,325,199 Capital ratios (b) CET1 12.2 % 15.0 % 13.1 % 16.7 % Tier 1 14.0 15.0 14.9 16.7 Total 15.8 16.2 16.2 17.3 Tier 1 leverage (c) 8.0 9.4 8.0 9.4 December 31, 2018 Basel III Standardized Transitional Basel III Advanced Transitional JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. (d) JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. (d) Regulatory capital CET1 capital $ 183,474 $ 211,671 $ 183,474 $ 211,671 Tier 1 capital 209,093 211,671 209,093 211,671 Total capital 237,511 229,952 227,435 220,025 Assets Risk-weighted 1,528,916 1,446,529 1,421,205 1,283,146 Adjusted average (a) 2,589,887 2,250,480 2,589,887 2,250,480 Capital ratios (b) CET1 12.0 % 14.6 % 12.9 % 16.5 % Tier 1 13.7 14.6 14.7 16.5 Total 15.5 15.9 16.0 17.1 Tier 1 leverage (c) 8.1 9.4 8.1 9.4 (a) Adjusted average assets, for purposes of calculating the Tier 1 leverage ratio, includes total quarterly average assets adjusted for on-balance sheet assets that are subject to deduction from Tier 1 capital, predominantly goodwill and other intangible assets. (b) For each of the risk-based capital ratios, the capital adequacy of the Firm and its IDI subsidiaries is evaluated against the lower of the two ratios as calculated under Basel III approaches (Standardized or Advanced). (c) The Tier 1 leverage ratio is not a risk-based measure of capital. (d) On May 18, 2019, Chase Bank USA, N.A. merged with and into JPMorgan Chase Bank, N.A., with JPMorgan Chase Bank, N.A as the surviving entity. The December 31, 2018 amounts reported for JPMorgan Chase Bank, N.A. retrospectively reflect the impact of the merger. June 30, 2019 December 31, 2018 Basel III Advanced Fully Phased-In Basel III Advanced Fully Phased-In (in millions, except ratios) JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. (a) Total leverage exposure $ 3,367,154 $ 2,984,420 $ 3,269,988 $ 2,915,541 SLR 6.4 % 7.3 % 6.4 % 7.3 % (a) On May 18, 2019, Chase Bank USA, N.A. merged with and into JPMorgan Chase Bank, N.A., with JPMorgan Chase Bank, N.A as the surviving entity. The December 31, 2018 amounts reported for JPMorgan Chase Bank, N.A. retrospectively reflect the impact of the merger.

Off-balance Sheet Lending-relat

Off-balance Sheet Lending-related Financial Instruments, Guarantees, and Other Commitments6 Months Ended
Jun. 30, 2019
Off-Balance Sheet Lending-Related Financial Instruments, Guarantees and Other Commitments [Abstract]
Off-balance Sheet Lending-related Financial Instruments, Guarantees, and Other CommitmentsOff–balance sheet lending-related financial instruments, guarantees, and other commitments JPMorgan Chase provides lending-related financial instruments (e.g., commitments and guarantees) to address the financing needs of its customers and clients. The contractual amount of these financial instruments represents the maximum possible credit risk to the Firm should the customer or client draw upon the commitment or the Firm be required to fulfill its obligation under the guarantee, and should the customer or client subsequently fail to perform according to the terms of the contract. Most of these commitments and guarantees are refinanced, extended, cancelled, or expire without being drawn or a default occurring. As a result, the total contractual amount of these instruments is not, in the Firm’s view, representative of its expected future credit exposure or funding requirements. For a further discussion of lending-related commitments and guarantees, and the Firm’s related accounting policies, refer to Note 27 of JPMorgan Chase ’s 2018 Form 10-K . To provide for probable credit losses inherent in wholesale and certain consumer lending-related commitments, an allowance for credit losses on lending-related commitments is maintained. Refer to Note 12 for further information regarding the allowance for credit losses on lending-related commitments. The following table summarizes the contractual amounts and carrying values of off-balance sheet lending-related financial instruments, guarantees and other commitments at June 30, 2019 , and December 31, 2018 . The amounts in the table below for credit card and home equity lending-related commitments represent the total available credit for these products. The Firm has not experienced, and does not anticipate, that all available lines of credit for these products will be utilized at the same time. The Firm can reduce or cancel credit card lines of credit by providing the borrower notice or, in some cases as permitted by law, without notice. In addition, the Firm typically closes credit card lines when the borrower is 60 days or more past due. The Firm may reduce or close HELOCs when there are significant decreases in the value of the underlying property, or when there has been a demonstrable decline in the creditworthiness of the borrower. Off–balance sheet lending-related financial instruments, guarantees and other commitments Contractual amount Carrying value (g) June 30, 2019 Dec 31, Jun 30, Dec 31, By remaining maturity Expires in 1 year or less Expires after Expires after Expires after 5 years Total Total Lending-related Consumer, excluding credit card: Home equity $ 549 $ 1,202 $ 2,185 $ 17,263 $ 21,199 $ 20,901 $ 12 $ 12 Residential mortgage (a) 9,477 — — 12 9,489 5,481 — — Auto 7,694 962 95 45 8,796 8,011 2 2 Consumer & Business Banking 10,503 679 104 721 12,007 11,673 19 19 Total consumer, excluding credit card 28,223 2,843 2,384 18,041 51,491 46,066 33 33 Credit card 633,970 — — — 633,970 605,379 — — Total consumer (b) 662,193 2,843 2,384 18,041 685,461 651,445 33 33 Wholesale: Other unfunded commitments to extend credit (c) 61,732 129,593 159,234 8,223 358,782 351,490 883 852 Standby letters of credit and other financial guarantees (c) 14,658 10,552 4,776 2,210 32,196 33,498 554 521 Other letters of credit (c) 3,066 220 37 — 3,323 2,825 3 3 Total wholesale (b) 79,456 140,365 164,047 10,433 394,301 387,813 1,440 1,376 Total lending-related $ 741,649 $ 143,208 $ 166,431 $ 28,474 $ 1,079,762 $ 1,039,258 $ 1,473 $ 1,409 Other guarantees and commitments Securities lending indemnification agreements and guarantees (d) $ 203,868 $ — $ — $ — $ 203,868 $ 186,077 $ — $ — Derivatives qualifying as guarantees 1,594 135 12,394 40,509 54,632 55,271 228 367 Unsettled resale and securities borrowed agreements 113,218 875 71 — 114,164 102,008 — — Unsettled repurchase and securities loaned agreements 122,806 — — — 122,806 57,732 — — Loan sale and securitization-related indemnifications: Mortgage repurchase liability NA NA NA NA NA NA 89 89 Loans sold with recourse NA NA NA NA 1,031 1,019 27 30 Exchange & clearing house guarantees and commitments (e) 164,784 — — — 164,784 58,960 — — Other guarantees and commitments (f) 4,505 2,931 1,537 2,749 11,722 8,183 (79 ) (73 ) (a) Includes certain commitments to purchase loans from correspondents. (b) Predominantly all consumer and wholesale lending-related commitments are in the U.S. (c) At June 30, 2019 , and December 31, 2018 , reflected the contractual amount net of risk participations totaling $193 million and $282 million respectively, for other unfunded commitments to extend credit; $9.5 billion and $10.4 billion , respectively, for standby letters of credit and other financial guarantees; and $682 million and $385 million , respectively, for other letters of credit. In regulatory filings with the Federal Reserve these commitments are shown gross of risk participations. (d) At June 30, 2019 , and December 31, 2018 , collateral held by the Firm in support of securities lending indemnification agreements was $214.6 billion and $195.6 billion , respectively. Securities lending collateral primarily consists of cash and securities issued by governments that are members of the G7 and U.S. government agencies. (e) At June 30, 2019 , and December 31, 2018 , includes guarantees to the Fixed Income Clearing Corporation under the sponsored member repo program and commitments and guarantees associated with the Firm’s membership in certain clearing houses. (f) At June 30, 2019 , and December 31, 2018 , primarily includes letters of credit hedged by derivative transactions and managed on a market risk basis, and unfunded commitments related to institutional lending. Additionally, includes unfunded commitments predominantly related to certain tax-oriented equity investments. (g) For lending-related products, the carrying value represents the allowance for lending-related commitments and the guarantee liability; for derivative-related products, the carrying value represents the fair value. Other unfunded commitments to extend credit Other unfunded commitments to extend credit generally consist of commitments for working capital and general corporate purposes, extensions of credit to support commercial paper facilities and bond financings in the event that those obligations cannot be remarketed to new investors, as well as committed liquidity facilities to clearing organizations. The Firm also issues commitments under multipurpose facilities which could be drawn upon in several forms, including the issuance of a standby letter of credit. Standby letters of credit and other financial guarantees Standby letters of credit and other financial guarantees are conditional lending commitments issued by the Firm to guarantee the performance of a client or customer to a third party under certain arrangements, such as commercial paper facilities, bond financings, acquisition financings, trade and similar transactions. The following table summarizes the contractual amount and carrying value of standby letters of credit and other financial guarantees and other letters of credit arrangements as of June 30, 2019 , and December 31, 2018 . Standby letters of credit, other financial guarantees and other letters of credit June 30, 2019 December 31, 2018 (in millions) Standby letters of Other letters of credit Standby letters of Other letters of credit Investment-grade (a) $ 25,041 $ 2,181 $ 26,420 $ 2,079 Noninvestment-grade (a) 7,155 1,142 7,078 746 Total contractual amount $ 32,196 $ 3,323 $ 33,498 $ 2,825 Allowance for lending-related commitments $ 210 $ 3 $ 167 $ 3 Guarantee liability 344 — 354 — Total carrying value $ 554 $ 3 $ 521 $ 3 Commitments with collateral $ 17,373 $ 768 $ 17,400 $ 583 (a) The ratings scale is based on the Firm’s internal ratings which generally correspond to ratings as defined by S&P and Moody’s. Derivatives qualifying as guarantees The Firm transacts certain derivative contracts that have the characteristics of a guarantee under U.S. GAAP. For further information on these derivatives, refer to Note 27 of JPMorgan Chase’s 2018 Form 10-K. The following table summarizes the derivatives qualifying as guarantees as of June 30, 2019 , and December 31, 2018 . (in millions) June 30, 2019 December 31, 2018 Notional amounts Derivative guarantees $ 54,632 $ 55,271 Stable value contracts with contractually limited exposure 28,843 28,637 Maximum exposure of stable value contracts with contractually limited exposure 2,958 2,963 Fair value Derivative payables 228 367 Derivative receivables — — In addition to derivative contracts that meet the characteristics of a guarantee, the Firm is both a purchaser and seller of credit protection in the credit derivatives market. For a further discussion of credit derivatives, refer to Note 4 . Loan sales- and securitization-related indemnifications In connection with the Firm’s mortgage loan sale and securitization activities with GSEs the Firm has made representations and warranties that the loans sold meet certain requirements, and that may require the Firm to repurchase mortgage loans and/or indemnify the loan purchaser if such representations and warranties are breached by the Firm. Further, although the Firm’s securitizations are predominantly nonrecourse, the Firm does provide recourse servicing in certain limited cases where it agrees to share credit risk with the owner of the mortgage loans. For additional information, refer to Note 27 of JPMorgan Chase’s 2018 Form 10-K. The liability related to repurchase demands associated with private label securitizations is separately evaluated by the Firm in establishing its litigation reserves. For additional information regarding litigation, refer to Note 24 of this Form 10-Q and Note 29 of JPMorgan Chase’s 2018 Form 10-K. Sponsored member repo program In 2018 the Firm commenced the sponsored member repo program, wherein the Firm acts as a sponsoring member to clear eligible overnight resale and repurchase agreements through the Government Securities Division of the Fixed Income Clearing Corporation (“FICC”) on behalf of clients that become sponsored members under the FICC’s rules. The Firm also guarantees to the FICC the prompt and full payment and performance of its sponsored member clients’ respective obligations under the FICC’s rules. The Firm minimizes its liability under these overnight guarantees by obtaining a security interest in the cash or high-quality securities collateral that the clients place with the clearing house therefore the Firm expects the risk of loss to be remote. The Firm’s maximum possible exposure, without taking into consideration the associated collateral, is included in the Exchange & clearing house guarantees and commitments line on page 156 . For additional information on credit risk mitigation practices on resale agreements and the types of collateral pledged under repurchase agreements, refer to Note 11 of JPMorgan Chase’s 2018 Form 10-K. Guarantees of subsidiaries The Parent Company has guaranteed certain long-term debt and structured notes of its subsidiaries, including JPMorgan Chase Financial Company LLC (“JPMFC”), a 100% -owned finance subsidiary. All securities issued by JPMFC are fully and unconditionally guaranteed by the Parent Company. These guarantees, which rank on a parity with the Firm’s unsecured and unsubordinated indebtedness, are not included in the table on page 156 of this Note. For additional information, refer to Note 19 of JPMorgan Chase’s 2018 Form 10-K.

Pledged Assets and Collateral

Pledged Assets and Collateral6 Months Ended
Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Pledged Assets and CollateralPledged assets and collateral For a discussion of the Firm’s pledged assets and collateral, refer to Note 28 of JPMorgan Chase’s 2018 Form 10-K . Pledged assets The Firm may pledge financial assets that it owns to maintain potential borrowing capacity at discount windows with Federal Reserve banks, various other central banks and FHLBs. Additionally, pledged assets are used for other purposes, including to collateralize repurchase and other securities financing agreements, to cover short sales and to collateralize derivative contracts and deposits . Certain of these pledged assets may be sold or repledged or otherwise used by the secured parties and are parenthetically identified on the Consolidated balance sheets as assets pledged. The following table presents the Firm ’s pledged assets. (in billions) June 30, 2019 December 31, 2018 Assets that may be sold or repledged or otherwise used by secured parties $ 155.0 $ 104.0 Assets that may not be sold or repledged or otherwise used by secured parties 93.6 83.7 Assets pledged at Federal Reserve banks and FHLBs 490.2 475.3 Total assets pledged $ 738.8 $ 663.0 Total assets pledged do not include assets of consolidated VIEs; these assets are used to settle the liabilities of those entities. Refer to Note 13 for additional information on assets and liabilities of consolidated VIEs. For additional information on the Firm ’s securities financing activities, refer to Note 10 . For additional information on the Firm ’s long-term debt, refer to Note 19 of JPMorgan Chase’s 2018 Form 10-K. Collateral The Firm accepts financial assets as collateral that it is permitted to sell or repledge, deliver or otherwise use. This collateral is generally obtained under resale and other securities financing agreements, prime brokerage-related held-for-investment customer receivables and derivative contracts. Collateral is generally used under repurchase and other securities financing agreements, to cover short sales and to collateralize derivative contracts and deposits. The following table presents the fair value of collateral accepted. (in billions) June 30, 2019 December 31, 2018 Collateral permitted to be sold or repledged, delivered, or otherwise used $ 1,319.2 $ 1,245.3 Collateral sold, repledged, delivered or otherwise used 1,033.9 998.3

Litigation

Litigation6 Months Ended
Jun. 30, 2019
Litigation [Abstract]
LitigationLitigation Contingencies As of June 30, 2019, the Firm and its subsidiaries and affiliates are defendants, putative defendants or respondents in numerous legal proceedings, including private, civil litigations and regulatory/government investigations. The litigations range from individual actions involving a single plaintiff to class action lawsuits with potentially millions of class members. Investigations involve both formal and informal proceedings, by both governmental agencies and self-regulatory organizations. These legal proceedings are at varying stages of adjudication, arbitration or investigation, and involve each of the Firm’s lines of business and several geographies and a wide variety of claims (including common law tort and contract claims and statutory antitrust, securities and consumer protection claims), some of which present novel legal theories. The Firm believes the estimate of the aggregate range of reasonably possible losses, in excess of reserves established, for its legal proceedings is from $0 to approximately $1.3 billion at June 30, 2019. This estimated aggregate range of reasonably possible losses was based upon information available as of that date for those proceedings in which the Firm believes that an estimate of reasonably possible loss can be made. For certain matters, the Firm does not believe that such an estimate can be made, as of that date. The Firm’s estimate of the aggregate range of reasonably possible losses involves significant judgment, given: • the number, variety and varying stages of the proceedings, including the fact that many are in preliminary stages, • the existence in many such proceedings of multiple defendants, including the Firm, whose share of liability (if any) has yet to be determined, • the numerous yet-unresolved issues in many of the proceedings, including issues regarding class certification and the scope of many of the claims, and • the attendant uncertainty of the various potential outcomes of such proceedings, including where the Firm has made assumptions concerning future rulings by the court or other adjudicator, or about the behavior or incentives of adverse parties or regulatory authorities, and those assumptions prove to be incorrect. In addition, the outcome of a particular proceeding may be a result which the Firm did not take into account in its estimate because the Firm had deemed the likelihood of that outcome to be remote. Accordingly, the Firm’s estimate of the aggregate range of reasonably possible losses will change from time to time, and actual losses may vary significantly. Set forth below are descriptions of the Firm’s material legal proceedings. Foreign Exchange Investigations and Litigation. The Firm previously reported settlements with certain government authorities relating to its foreign exchange (“FX”) sales and trading activities and controls related to those activities. FX-related investigations and inquiries by government authorities, including competition authorities, are ongoing, and the Firm is cooperating with and working to resolve those matters. In May 2015, the Firm pleaded guilty to a single violation of federal antitrust law. In January 2017, the Firm was sentenced, with judgment entered thereafter and a term of probation ending in January 2020. The Department of Labor has granted the Firm a five-year exemption of disqualification that allows the Firm and its affiliates to continue to rely on the Qualified Professional Asset Manager exemption under the Employee Retirement Income Security Act (“ERISA”) until January 2023. The Firm will need to reapply in due course for a further exemption to cover the remainder of the ten-year disqualification period. In addition, the Firm has agreed to pay fines totaling $265 million in connection with the settlement of FX-related investigations conducted by the European Commission and the Swiss Competition Commission which were announced in May 2019 and June 2019, respectively. Separately, in February 2017 the South Africa Competition Commission referred its FX investigation of the Firm and other banks to the South Africa Competition Tribunal, which is conducting civil proceedings concerning that matter. In August 2018, the United States District Court for the Southern District of New York granted final approval to the Firm’s settlement of a consolidated class action brought by U.S.-based plaintiffs, which principally alleged violations of federal antitrust laws based on an alleged conspiracy to manipulate foreign exchange rates and also sought damages on behalf of persons who transacted in FX futures and options on futures. Certain members of the settlement class filed requests to the Court to be excluded from the class, and certain of them filed a complaint against the Firm and a number of other foreign exchange dealers in November 2018 (the “opt-out action”). The two FX-related actions brought by participants or beneficiaries of qualified ERISA plans have been dismissed. Putative class actions on behalf of consumers who purchased foreign currencies at allegedly inflated rates (the “consumer action”) and purported indirect purchasers of FX instruments (the “indirect purchaser action”) remain pending in the District Court. In addition, some FX related individual and putative class actions have been filed outside the U.S. General Motors Litigation. JPMorgan Chase Bank, N.A. participated in, and was the Administrative Agent on behalf of a syndicate of lenders on, a $1.5 billion syndicated Term Loan facility (“Term Loan”) for General Motors Corporation (“GM”). In July 2009, in connection with the GM bankruptcy proceedings, the Official Committee of Unsecured Creditors of Motors Liquidation Company (“Creditors Committee”) filed a lawsuit against JPMorgan Chase Bank, N.A., in its individual capacity and as Administrative Agent for other lenders on the Term Loan, seeking to hold the underlying lien invalid based on the filing of a UCC-3 termination statement relating to the Term Loan. In January 2015, following several court proceedings, the United States Court of Appeals for the Second Circuit reversed the Bankruptcy Court’s dismissal of the Creditors Committee’s claim and remanded the case to the Bankruptcy Court with instructions to enter partial summary judgment for the Creditors Committee as to the termination statement. The proceedings in the Bankruptcy Court thereafter continued with respect to, among other things, additional defenses asserted by JPMorgan Chase Bank, N.A. and the value of additional collateral on the Term Loan that was unaffected by the filing of the termination statement at issue. In addition, certain Term Loan lenders filed cross-claims in the Bankruptcy Court against JPMorgan Chase Bank, N.A. seeking indemnification and asserting various claims. In April 2019, the parties finalized a settlement agreement to fully resolve the litigation, and the Bankruptcy Court approved that settlement in June 2019. In July 2019, the Bankruptcy Court issued orders dismissing with prejudice all claims filed against the Firm, including the cross-claims that were brought by certain Term Loan lenders. Interchange Litigation. A group of merchants and retail associations filed a series of class action complaints alleging that Visa and Mastercard, as well as certain banks, conspired to set the price of credit and debit card interchange fees and enacted respective rules in violation of antitrust laws. The parties settled the cases for a cash payment, a temporary reduction of credit card interchange, and modifications to certain credit card network rules. In December 2013, the District Court granted final approval of the settlement. A number of merchants appealed the settlement to the United States Court of Appeals for the Second Circuit, which, in June 2016, vacated the District Court’s certification of the class action and reversed the approval of the class settlement. In March 2017, the U.S. Supreme Court declined petitions seeking review of the decision of the Court of Appeals. The case was remanded to the District Court for further proceedings consistent with the appellate decision. The original class action was divided into two separate actions, one seeking primarily monetary relief and the other seeking primarily injunctive relief. In September 2018, the parties to the class action seeking monetary relief finalized an agreement which amends and supersedes the prior settlement agreement, and the plaintiffs filed a motion seeking preliminary approval of the modified settlement. Pursuant to this settlement, the defendants have collectively contributed an additional $900 million to the approximately $5.3 billion previously held in escrow from the original settlement. In January 2019, the amended agreement was preliminarily approved by the District Court, and formal notice of the class settlement is proceeding in accordance with the District Court’s order. The class action seeking primarily injunctive relief continues separately. In addition, certain merchants have filed individual actions raising similar allegations against Visa and Mastercard, as well as against the Firm and other banks, and those actions are proceeding. LIBOR and Other Benchmark Rate Investigations and Litigation. JPMorgan Chase has received subpoenas and requests for documents and, in some cases, interviews, from federal and state agencies and entities, including the U.S. Commodity Futures Trading Commission and various state attorneys general, as well as the European Commission (“EC”), the Swiss Competition Commission (“ComCo”) and other regulatory authorities and banking associations around the world relating primarily to the process by which interest rates were submitted to the British Bankers Association (“BBA”) in connection with the setting of the BBA’s London Interbank Offered Rate (“LIBOR”) for various currencies, principally in 2007 and 2008. Some of the inquiries also relate to similar processes by which information on rates was submitted to the European Banking Federation (“EBF”) in connection with the setting of the EBF’s Euro Interbank Offered Rate (“EURIBOR”). The Firm continues to cooperate with these investigations to the extent that they are ongoing. ComCo’s investigation relating to EURIBOR, to which the Firm and other banks are subject, continues. In December 2016, the EC issued a decision against the Firm and other banks finding an infringement of European antitrust rules relating to EURIBOR. The Firm has filed an appeal of that decision with the European General Court, and that appeal is pending. In addition, the Firm has been named as a defendant along with other banks in a series of individual and putative class actions related to benchmarks, including U.S. dollar LIBOR during the period that it was administered by the BBA and, in a separate consolidated putative class action, during the period that it was administered by ICE Benchmark Administration. These actions have been filed, or consolidated for pre-trial purposes, in the United States District Court for the Southern District of New York. In these actions, plaintiffs make varying allegations that in various periods, starting in 2000 or later, defendants either individually or collectively manipulated various benchmark rates by submitting rates that were artificially low or high. Plaintiffs allege that they transacted in loans, derivatives or other financial instruments whose values are affected by changes in these rates and assert a variety of claims including antitrust claims seeking treble damages. These actions are in various stages of litigation. In actions related to U.S. dollar LIBOR during the period that it was administered by the BBA, the District Court dismissed certain claims, including antitrust claims brought by some plaintiffs whom the District Court found did not have standing to assert such claims, and permitted certain claims to proceed, including antitrust, Commodity Exchange Act, Section 10(b) of the Securities Exchange Act and common law claims. The plaintiffs whose antitrust claims were dismissed for lack of standing have filed an appeal. The District Court granted class certification of antitrust claims related to bonds and interest rate swaps sold directly by the defendants and denied class certification motions filed by other plaintiffs. The Firm has agreed to settle putative class actions related to Swiss franc LIBOR, the Singapore Interbank Offered Rate, the Singapore Swap Offer Rate and the Australian Bank Bill Swap Reference Rate, as well as certain of the putative class actions related to U.S. dollar LIBOR. The District Court declined to grant preliminary approval to the settlement involving the Singapore Interbank Offered Rate and the Singapore Swap Offer Rate after concluding that plaintiffs lacked standing and dismissing the litigation. The remaining settlements are all subject to further documentation and court approval. The Firm has also settled the putative class action related to EURIBOR, and the Court has granted final approval of that settlement. Metals Investigations and Litigation. Various authorities, including the Department of Justice’s Criminal Division, are conducting investigations relating to trading practices in the metals markets and related conduct. The Firm is responding to and cooperating with these investigations. Several putative class action complaints have been filed in the United States District Court for the Southern District of New York against the Firm and certain current and former employees, alleging a precious metals futures and options price manipulation scheme in violation of the Commodity Exchange Act. Some of the complaints also allege unjust enrichment and deceptive acts or practices under the General Business Law of the State of New York. The Court consolidated these putative class actions in February 2019. The Firm is also a defendant in a consolidated action filed in the United States District Court for the Southern District of New York alleging monopolization of silver futures in violation of the Sherman Act. Wendel. Since 2012, the French criminal authorities have been investigating a series of transactions entered into by senior managers of Wendel Investissement (“Wendel”) during the period from 2004 through 2007 to restructure their shareholdings in Wendel. JPMorgan Chase Bank, N.A., Paris branch provided financing for the transactions to a number of managers of Wendel in 2007. JPMorgan Chase has cooperated with the investigation. The investigating judges issued an ordonnance de renvoi in November 2016, referring JPMorgan Chase Bank, N.A. to the French tribunal correctionnel for alleged complicity in tax fraud. No date for trial has been set by the court. In January 2018, the Paris Court of Appeal issued a decision cancelling the mise en examen of JPMorgan Chase Bank, N.A. In September 2018, the Court of Cassation, France’s highest court, ruled that a mise en examen is a prerequisite for an ordonnance de renvoi and remanded the case to the Court of Appeal. In June 2019, the Court of Appeal declined to annul the ordonnance de renvoi referring JPMorgan Chase Bank, N.A. to the French tribunal correctionnel , and the Firm has reapplied to the Court of Cassation for a determination as to whether the Court of Appeal’s decision is consistent with the Court of Cassation’s September 2018 ruling. Any further actions in the criminal proceedings are stayed pending the outcome of that application. In addition, a number of the managers have commenced civil proceedings against JPMorgan Chase Bank, N.A. The claims are separate, involve different allegations and are at various stages of proceedings. * * * In addition to the various legal proceedings discussed above, JPMorgan Chase and its subsidiaries are named as defendants or are otherwise involved in a substantial number of other legal proceedings. The Firm believes it has meritorious defenses to the claims asserted against it in its currently outstanding legal proceedings and it intends to defend itself vigorously. Additional legal proceedings may be initiated from time to time in the future. The Firm has established reserves for several hundred of its currently outstanding legal proceedings. In accordance with the provisions of U.S. GAAP for contingencies, the Firm accrues for a litigation-related liability when it is probable that such a liability has been incurred and the amount of the loss can be reasonably estimated. The Firm evaluates its outstanding legal proceedings each quarter to assess its litigation reserves, and makes adjustments in such reserves, upwards or downward, as appropriate, based on management’s best judgment after consultation with counsel. The Firm’s legal expense/(benefit) was $69 million and $0 million for the three months ended June 30, 2019 and 2018, respectively, and $(12) million and $70 million for the six months ended June 30, 2019 and 2018, respectively. There is no assurance that the Firm’s litigation reserves will not need to be adjusted in the future. In view of the inherent difficulty of predicting the outcome of legal proceedings, particularly where the claimants seek very large or indeterminate damages, or where the matters present novel legal theories, involve a large number of parties or are in early stages of discovery, the Firm cannot state with confidence what will be the eventual outcomes of the currently pending matters, the timing of their ultimate resolution or the eventual losses, fines, penalties or consequences related to those matters. JPMorgan Chase believes, based upon its current knowledge and after consultation with counsel, consideration of the material legal proceedings described above and after taking into account its current litigation reserves and its estimated aggregate range of possible losses, that the other legal proceedings currently pending against it should not have a material adverse effect on the Firm’s consolidated financial condition. The Firm notes, however, that in light of the uncertainties involved in such proceedings, there is no assurance that the ultimate resolution of these matters will not significantly exceed the reserves it has currently accrued or that a matter will not have material reputational consequences. As a result, the outcome of a particular matter may be material to JPMorgan Chase’s operating results for a particular period, depending on, among other factors, the size of the loss or liability imposed and the level of JPMorgan Chase’s income for that period.

Business Segments

Business Segments6 Months Ended
Jun. 30, 2019
Segment Reporting [Abstract]
Business SegmentsBusiness segments The Firm is managed on a line of business basis. There are four major reportable business segments - Consumer & Community Banking, Corporate & Investment Bank, Commercial Banking and Asset & Wealth Management. In addition, there is a Corporate segment. The business segments are determined based on the products and services provided, or the type of customer served, and they reflect the manner in which financial information is currently evaluated by the Firm’s Operating Committee. Segment results are presented on a managed basis. For a further discussion concerning JPMorgan Chase ’s business segments, refer to Segment results below, and Note 31 of JPMorgan Chase ’s 2018 Form 10-K. Segment results The following tables provide a summary of the Firm’s segment results as of or for the three and six months ended June 30, 2019 and 2018, on a managed basis. The Firm’s definition of managed basis starts with the reported U.S. GAAP results and includes certain reclassifications to present total net revenue for the Firm (and each of the reportable business segments) on an FTE basis. Accordingly, revenue from investments that receive tax credits and tax-exempt securities is presented in the managed results on a basis comparable to taxable investments and securities. For additional information on the Firm’s managed basis, refer to Note 31 of JPMorgan Chase’s 2018 Form 10-K. Business segment capital allocation The amount of capital assigned to each business is referred to as equity. On at least an annual basis, the assumptions and methodologies used in capital allocation are assessed and as a result, the capital allocated to lines of business may change. For additional information on business segment capital allocation, refer to Line of business equity on page 91 of JPMorgan Chase’s 2018 Form 10-K. Segment results and reconciliation (a) As of or for the three months ended June 30, Consumer & Corporate & Commercial Banking Asset & Wealth Management 2019 2018 2019 2018 2019 2018 2019 2018 Noninterest revenue $ 4,440 $ 3,748 $ 7,483 $ 7,532 $ 549 $ 633 $ 2,683 $ 2,687 Net interest income 9,393 8,749 2,158 2,391 1,662 1,683 876 885 Total net revenue 13,833 12,497 9,641 9,923 2,211 2,316 3,559 3,572 Provision for credit losses 1,120 1,108 — 58 29 43 2 2 Noninterest expense 7,162 6,879 5,487 5,403 864 844 2,596 2,566 Income before income tax expense 5,551 4,510 4,154 4,462 1,318 1,429 961 1,004 Income tax expense 1,377 1,098 1,219 1,264 322 342 242 249 Net income $ 4,174 $ 3,412 $ 2,935 $ 3,198 $ 996 $ 1,087 $ 719 $ 755 Average equity $ 52,000 $ 51,000 $ 80,000 $ 70,000 $ 22,000 $ 20,000 $ 10,500 $ 9,000 Total assets 550,690 552,674 962,498 908,954 220,712 220,232 172,149 161,474 ROE 31 % 26 % 14 % 17 % 17 % 21 % 27 % 33 % Overhead ratio 52 55 57 54 39 36 73 72 As of or for the three months ended June 30, Corporate Reconciling Items (a) Total 2019 2018 2019 2018 2019 2018 Noninterest revenue $ (125 ) $ 142 $ (596 ) $ (474 ) $ 14,434 $ 14,268 Net interest income 447 (62 ) (138 ) (161 ) 14,398 13,485 Total net revenue 322 80 (734 ) (635 ) 28,832 27,753 Provision for credit losses (2 ) (1 ) — — 1,149 1,210 Noninterest expense 232 279 — — 16,341 15,971 Income/(loss) before income tax expense/(benefit) 92 (198 ) (734 ) (635 ) 11,342 10,572 Income tax expense/(benefit) (736 ) (62 ) (734 ) (635 ) 1,690 2,256 Net income/(loss) $ 828 $ (136 ) $ — $ — $ 9,652 $ 8,316 Average equity $ 68,526 $ 78,901 $ — $ — $ 233,026 $ 228,901 Total assets 821,330 746,716 NA NA 2,727,379 2,590,050 ROE NM NM NM NM 16 % 14 % Overhead ratio NM NM NM NM 57 58 (a) Segment managed results reflect revenue on an FTE basis with the corresponding income tax impact recorded within income tax expense/(benefit). These adjustments are eliminated in reconciling items to arrive at the Firm’s reported U.S. GAAP results. Segment results and reconciliation (a) As of or for the six months ended June 30, Consumer & Corporate & Commercial Banking Asset & Wealth Management 2019 2018 2019 2018 2019 2018 2019 2018 Noninterest revenue $ 8,773 $ 7,887 $ 15,146 $ 15,449 $ 1,207 $ 1,182 $ 5,276 $ 5,317 Net interest income 18,811 17,207 4,343 4,957 3,342 3,300 1,772 1,761 Total net revenue 27,584 25,094 19,489 20,406 4,549 4,482 7,048 7,078 Provision for credit losses 2,434 2,425 87 (100 ) 119 38 4 17 Noninterest expense 14,373 13,788 10,940 11,062 1,737 1,688 5,243 5,147 Income before income tax expense 10,777 8,881 8,462 9,444 2,693 2,756 1,801 1,914 Income tax expense 2,640 2,143 2,276 2,272 644 644 421 389 Net income $ 8,137 $ 6,738 $ 6,186 $ 7,172 $ 2,049 $ 2,112 $ 1,380 $ 1,525 Average equity $ 52,000 $ 51,000 $ 80,000 $ 70,000 $ 22,000 $ 20,000 $ 10,500 $ 9,000 Total assets 550,690 552,674 962,498 908,954 220,712 220,232 172,149 161,474 Return on equity 31 % 26 % 15 % 20 % 18 % 20 % 26 % 33 % Overhead ratio 52 55 56 54 38 38 74 73 As of or for the six months ended June 30, Corporate Reconciling Items (a) Total 2019 2018 2019 2018 2019 2018 Noninterest revenue $ (117 ) $ (43 ) $ (1,181 ) $ (929 ) $ 29,104 $ 28,863 Net interest income 864 (109 ) (281 ) (319 ) 28,851 26,797 Total net revenue 747 (152 ) (1,462 ) (1,248 ) 57,955 55,660 Provision for credit losses — (5 ) — — 2,644 2,375 Noninterest expense 443 366 — — 32,736 32,051 Income/(loss) before income tax expense/(benefit) 304 (513 ) (1,462 ) (1,248 ) 22,575 21,234 Income tax expense/(benefit) (775 ) 6 (1,462 ) (1,248 ) 3,744 4,206 Net income/(loss) $ 1,079 $ (519 ) $ — $ — $ 18,831 $ 17,028 Average equity $ 67,047 $ 78,261 $ — $ — $ 231,547 $ 228,261 Total assets 821,330 746,716 NA NA 2,727,379 2,590,050 Return on equity NM NM NM NM 16 % 14 % Overhead ratio NM NM NM NM 56 58 (a) Segment managed results reflect revenue on an FTE basis with the corresponding income tax impact recorded within income tax expense/(benefit). These adjustments are eliminated in reconciling items to arrive at the Firm’s reported U.S. GAAP results.

Basis of Presentation (Policies

Basis of Presentation (Policies)6 Months Ended
Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of presentation policyThe accounting and financial reporting policies of JPMorgan Chase and its subsidiaries conform to U.S. GAAP. Additionally, where applicable, the policies conform to the accounting and reporting guidelines prescribed by regulatory authorities.
Use of estimates in the preparation of consolidated financial statements policyThe unaudited Consolidated Financial Statements prepared in conformity with U.S. GAAP require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expense, and the disclosures of contingent assets and liabilities. Actual results could be different from these estimates. In the opinion of management, all normal, recurring adjustments have been included such that this interim financial information is fairly presented.
Reclassifications policyCertain amounts reported in prior periods have been reclassified to conform with the current presentation.
Consolidation policyThe Consolidated Financial Statements include the accounts of JPMorgan Chase and other entities in which the Firm has a controlling financial interest. All material intercompany balances and transactions have been eliminated. Assets held for clients in an agency or fiduciary capacity by the Firm are not assets of JPMorgan Chase and are not included on the Consolidated balance sheets. The Firm determines whether it has a controlling financial interest in an entity by first evaluating whether the entity is a voting interest entity or a variable interest entity.
Offsetting assets and liabilities policyU.S. GAAP permits entities to present derivative receivables and derivative payables with the same counterparty and the related cash collateral receivables and payables on a net basis on the Consolidated balance sheets when a legally enforceable master netting agreement exists. U.S. GAAP also permits securities financing activities to be presented on a net basis when specified conditions are met, including the existence of a legally enforceable master netting agreement. The Firm has elected to net such balances when the specified conditions are met. For further information on offsetting assets and liabilities, refer to Note 1 of JPMorgan Chase ’s 2018 Form 10-K.
Loan securitizations policyThe Firm has securitized and sold a variety of loans, including residential mortgage, credit card, and commercial mortgage.

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)6 Months Ended
Jun. 30, 2019
Fair Value Disclosures [Abstract]
Assets and liabilities measured at fair value on a recurring basisThe following table presents the assets and liabilities reported at fair value as of June 30, 2019 , and December 31, 2018 , by major product category and fair value hierarchy . Assets and liabilities measured at fair value on a recurring basis Fair value hierarchy Derivative (f) June 30, 2019 (in millions) Level 1 Level 2 Level 3 Total fair value Federal funds sold and securities purchased under resale agreements $ — $ 13,982 $ — $ — $ 13,982 Securities borrowed — 5,685 — — 5,685 Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies (a) — 104,186 617 — 104,803 Residential – nonagency — 2,102 42 — 2,144 Commercial – nonagency — 1,708 9 — 1,717 Total mortgage-backed securities — 107,996 668 — 108,664 U.S. Treasury and government agencies (a) 88,502 9,712 — — 98,214 Obligations of U.S. states and municipalities — 6,628 680 — 7,308 Certificates of deposit, bankers’ acceptances and commercial paper — 1,492 — — 1,492 Non-U.S. government debt securities 34,840 31,353 190 — 66,383 Corporate debt securities — 22,140 562 — 22,702 Loans (b) — 42,180 1,778 — 43,958 Asset-backed securities — 2,643 33 — 2,676 Total debt instruments 123,342 224,144 3,911 — 351,397 Equity securities 98,234 456 147 — 98,837 Physical commodities (c) 3,692 3,339 — — 7,031 Other — 12,874 311 — 13,185 Total debt and equity instruments (d) 225,268 240,813 4,369 — 470,450 Derivative receivables: Interest rate 1,529 331,329 1,698 (308,068 ) 26,488 Credit — 14,971 694 (15,032 ) 633 Foreign exchange 2,170 141,248 682 (133,437 ) 10,663 Equity — 41,997 2,933 (35,725 ) 9,205 Commodity — 16,663 208 (10,982 ) 5,889 Total derivative receivables 3,699 546,208 6,215 (503,244 ) 52,878 Total trading assets (e) 228,967 787,021 10,584 (503,244 ) 523,328 Available-for-sale securities: Mortgage-backed securities: U.S. government agencies (a) — 96,616 — — 96,616 Residential – nonagency — 12,740 — — 12,740 Commercial – nonagency — 5,989 — — 5,989 Total mortgage-backed securities — 115,345 — — 115,345 U.S. Treasury and government agencies 73,990 — — — 73,990 Obligations of U.S. states and municipalities — 31,901 — — 31,901 Certificates of deposit — 74 — — 74 Non-U.S. government debt securities 14,869 7,623 — — 22,492 Corporate debt securities — 1,778 — — 1,778 Asset-backed securities: Collateralized loan obligations — 24,781 — — 24,781 Other — 5,996 — — 5,996 Total available-for-sale securities 88,859 187,498 — — 276,357 Loans — 4,304 5 — 4,309 Mortgage servicing rights — — 5,093 — 5,093 Other assets (e) 7,784 198 861 — 8,843 Total assets measured at fair value on a recurring basis $ 325,610 $ 998,688 $ 16,543 $ (503,244 ) $ 837,597 Deposits $ — $ 28,858 $ 4,066 $ — $ 32,924 Federal funds purchased and securities loaned or sold under repurchase agreements — 981 — — 981 Short-term borrowings — 5,684 2,052 — 7,736 Trading liabilities: Debt and equity instruments (d) 84,236 21,879 45 — 106,160 Derivative payables: Interest rate 2,090 296,717 2,242 (292,166 ) 8,883 Credit — 16,305 926 (14,975 ) 2,256 Foreign exchange 2,438 144,304 875 (136,491 ) 11,126 Equity — 42,205 5,493 (36,521 ) 11,177 Commodity — 18,238 1,116 (11,317 ) 8,037 Total derivative payables 4,528 517,769 10,652 (491,470 ) 41,479 Total trading liabilities 88,764 539,648 10,697 (491,470 ) 147,639 Accounts payable and other liabilities 2,583 198 92 — 2,873 Beneficial interests issued by consolidated VIEs — — — — — Long-term debt — 45,965 21,863 — 67,828 Total liabilities measured at fair value on a recurring basis $ 91,347 $ 621,334 $ 38,770 $ (491,470 ) $ 259,981 Fair value hierarchy Derivative (f) December 31, 2018 (in millions) Level 1 Level 2 Level 3 Total fair value Federal funds sold and securities purchased under resale agreements $ — $ 13,235 $ — $ — $ 13,235 Securities borrowed — 5,105 — — 5,105 Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies (a) — 76,249 549 — 76,798 Residential – nonagency — 1,798 64 — 1,862 Commercial – nonagency — 1,501 11 — 1,512 Total mortgage-backed securities — 79,548 624 — 80,172 U.S. Treasury and government agencies (a) 51,477 7,702 — — 59,179 Obligations of U.S. states and municipalities — 7,121 689 — 7,810 Certificates of deposit, bankers’ acceptances and commercial paper — 1,214 — — 1,214 Non-U.S. government debt securities 27,878 27,056 155 — 55,089 Corporate debt securities — 18,655 334 — 18,989 Loans (b) — 40,047 1,706 — 41,753 Asset-backed securities — 2,756 127 — 2,883 Total debt instruments 79,355 184,099 3,635 — 267,089 Equity securities 71,119 482 232 — 71,833 Physical commodities (c) 5,182 1,855 — — 7,037 Other — 13,192 301 — 13,493 Total debt and equity instruments (d) 155,656 199,628 4,168 — 359,452 Derivative receivables: Interest rate 682 266,380 1,642 (245,490 ) 23,214 Credit — 19,235 860 (19,483 ) 612 Foreign exchange 771 166,238 676 (154,235 ) 13,450 Equity — 46,777 2,508 (39,339 ) 9,946 Commodity — 20,339 131 (13,479 ) 6,991 Total derivative receivables 1,453 518,969 5,817 (472,026 ) 54,213 Total trading assets (e) 157,109 718,597 9,985 (472,026 ) 413,665 Available-for-sale securities: Mortgage-backed securities: U.S. government agencies (a) — 68,646 — — 68,646 Residential – nonagency — 8,519 1 — 8,520 Commercial – nonagency — 6,654 — — 6,654 Total mortgage-backed securities — 83,819 1 — 83,820 U.S. Treasury and government agencies 56,059 — — — 56,059 Obligations of U.S. states and municipalities — 37,723 — — 37,723 Certificates of deposit — 75 — — 75 Non-U.S. government debt securities 15,313 8,789 — — 24,102 Corporate debt securities — 1,918 — — 1,918 Asset-backed securities: Collateralized loan obligations — 19,437 — — 19,437 Other — 7,260 — — 7,260 Total available-for-sale securities 71,372 159,021 1 — 230,394 Loans — 3,029 122 — 3,151 Mortgage servicing rights — — 6,130 — 6,130 Other assets (e) 7,810 195 927 — 8,932 Total assets measured at fair value on a recurring basis $ 236,291 $ 899,182 $ 17,165 $ (472,026 ) $ 680,612 Deposits $ — $ 19,048 $ 4,169 $ — $ 23,217 Federal funds purchased and securities loaned or sold under repurchase agreements — 935 — — 935 Short-term borrowings — 5,607 1,523 — 7,130 Trading liabilities: Debt and equity instruments (d) 80,199 22,755 50 — 103,004 Derivative payables: Interest rate 1,526 239,576 1,680 (234,998 ) 7,784 Credit — 19,309 967 (18,609 ) 1,667 Foreign exchange 695 163,549 973 (152,432 ) 12,785 Equity — 46,462 4,733 (41,034 ) 10,161 Commodity — 21,158 1,260 (13,046 ) 9,372 Total derivative payables 2,221 490,054 9,613 (460,119 ) 41,769 Total trading liabilities 82,420 512,809 9,663 (460,119 ) 144,773 Accounts payable and other liabilities 3,063 196 10 — 3,269 Beneficial interests issued by consolidated VIEs — 27 1 — 28 Long-term debt — 35,468 19,418 — 54,886 Total liabilities measured at fair value on a recurring basis $ 85,483 $ 574,090 $ 34,784 $ (460,119 ) $ 234,238 (a) At June 30, 2019 , and December 31, 2018 , included total U.S. government-sponsored enterprise obligations of $153.6 billion and $92.3 billion , respectively, which were predominantly mortgage-related. (b) At June 30, 2019 , and December 31, 2018 , included within trading loans were $16.6 billion and $13.2 billion , respectively, of residential first-lien mortgages, and $2.8 billion and $2.3 billion , respectively, of commercial first-lien mortgages. Residential mortgage loans include conforming mortgage loans originated with the intent to sell to U.S. government agencies of $9.9 billion and $7.6 billion , respectively. (c) Physical commodities inventories are generally accounted for at the lower of cost or net realizable value. “Net realizable value” is a term defined in U.S. GAAP as not exceeding fair value less costs to sell (“transaction costs”). Transaction costs for the Firm’s physical commodities inventories are either not applicable or immaterial to the value of the inventory. Therefore, net realizable value approximates fair value for the Firm’s physical commodities inventories. When fair value hedging has been applied (or when net realizable value is below cost), the carrying value of physical commodities approximates fair value, because under fair value hedge accounting, the cost basis is adjusted for changes in fair value. For a further discussion of the Firm’s hedge accounting relationships, refer to Note 4 . To provide consistent fair value disclosure information, all physical commodities inventories have been included in each period presented. (d) Balances reflect the reduction of securities owned (long positions) by the amount of identical securities sold but not yet purchased (short positions). (e) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) as a practical expedient are not required to be classified in the fair value hierarchy. At June 30, 2019 , and December 31, 2018 , the fair values of these investments, which include certain hedge funds, private equity funds, real estate and other funds, were $746 million and $747 million , respectively. Included in these balances at June 30, 2019 , and December 31, 2018 , were trading assets of $45 million and $49 million , respectively, and other assets of $701 million and $698 million , respectively. (f) As permitted under U.S. GAAP, the Firm has elected to net derivative receivables and derivative payables and the related cash collateral received and paid when a legally enforceable master netting agreement exists. The level 3 balances would be reduced if netting were applied, including the netting benefit associated with cash collateral.
Fair value inputs, assets and liabilities, quantitative informationLevel 3 inputs (a) June 30, 2019 Product/Instrument Fair value (in millions) Principal valuation technique Unobservable inputs (g) Range of input values Weighted average Residential mortgage-backed securities and loans (b) $ 942 Discounted cash flows Yield 0 % – 15 % 6 % Prepayment speed 0 % – 26 % 13 % Conditional default rate 0 % – 5 % 1 % Loss severity 0 % – 70 % 1 % Commercial mortgage-backed securities and loans (c) 218 Market comparables Price $ 0 – $ 110 $ 85 Obligations of U.S. states and municipalities 680 Market comparables Price $ 66 – $ 100 $ 97 Corporate debt securities 562 Market comparables Price $ 0 – $ 109 $ 83 Loans (d) 212 Discounted cash flows Yield 5 % – 18 % 7 % 1,079 Market comparables Price $ 2 – $ 102 $ 80 Asset-backed securities 33 Market comparables Price $ 1 – $ 100 $ 38 Net interest rate derivatives (616 ) Option pricing Interest rate spread volatility 20 bps – 30 bps Interest rate correlation (28 )% – 96 % IR-FX correlation 45 % – 60 % 72 Discounted cash flows Prepayment speed 4 % – 30 % Net credit derivatives (265 ) Discounted cash flows Credit correlation 35 % – 60 % Credit spread 6 bps – 1,402 bps Recovery rate 20 % – 70 % Conditional default rate 2 % – 91 % Loss severity 100% 33 Market comparables Price $ 1 – $ 115 Net foreign exchange derivatives (23 ) Option pricing IR-FX correlation (45 )% – 60 % (170 ) Discounted cash flows Prepayment speed 9% Net equity derivatives (2,560 ) Option pricing Equity volatility 14 % – 60 % Equity correlation 25 % – 98 % Equity-FX correlation (75 )% – 59 % Equity-IR correlation 20 % – 60 % Net commodity derivatives (908 ) Option pricing Forward commodity price $ 49 – $ 70 per barrel Commodity volatility 5 % – 65 % Commodity correlation (48 )% – 95 % MSRs 5,093 Discounted cash flows Refer to Note 14 Other assets 358 Discounted cash flows Credit spread 45 bps 45 bps Yield 8 % – 12 % 12 % 814 Market comparables Price $ 19 – $ 113 $ 34 Long-term debt, short-term borrowings, and deposits (e) 27,981 Option pricing Interest rate spread volatility 20 bps – 30 bps Interest rate correlation (28 )% – 96 % IR-FX correlation (45 )% – 60 % Equity correlation 25 % – 98 % Equity-FX correlation (75 )% – 59 % Equity-IR correlation 20 % – 60 % Other level 3 assets and liabilities, net (f) 200 (a) The categories presented in the table have been aggregated based upon the product type, which may differ from their classification on the Consolidated balance sheets. Furthermore, the inputs presented for each valuation technique in the table are, in some cases, not applicable to every instrument valued using the technique as the characteristics of the instruments can differ. (b) Comprises U.S. government agency securities of $617 million , nonagency securities of $42 million and trading loans of $283 million . (c) Comprises nonagency securities of $9 million , trading loans of $204 million and non-trading loans of $5 million . (d) Comprises trading loans. (e) Long-term debt, short-term borrowings and deposits include structured notes issued by the Firm that are financial instruments that typically contain embedded derivatives. The estimation of the fair value of structured notes includes the derivative features embedded within the instrument. The significant unobservable inputs are broadly consistent with those presented for derivative receivables. (f) Includes level 3 assets and liabilities that are insignificant both individually and in aggregate. (g) Price is a significant unobservable input for certain instruments. When quoted market prices are not readily available, reliance is generally placed on price-based internal valuation techniques. The price input is expressed assuming a par value of $100 .
Changes in level 3 recurring fair value measurementsThe following tables include a rollforward of the Consolidated balance sheets amounts (including changes in fair value) for financial instruments classified by the Firm within level 3 of the fair value hierarchy for the three and six months ended June 30, 2019 and 2018. When a determination is made to classify a financial instrument within level 3, the determination is based on the significance of the unobservable inputs to the overall fair value measurement. However, level 3 financial instruments typically include, in addition to the unobservable or level 3 components, observable components (that is, components that are actively quoted and can be validated to external sources); accordingly, the gains and losses in the table below include changes in fair value due in part to observable factors that are part of the valuation methodology. Also, the Firm risk-manages the observable components of level 3 financial instruments using securities and derivative positions that are classified within level 1 or 2 of the fair value hierarchy; as these level 1 and level 2 risk management instruments are not included below, the gains or losses in the following tables do not reflect the effect of the Firm’s risk management activities related to such level 3 instruments. Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 412 $ (25 ) $ 318 $ (68 ) $ (20 ) $ — $ — $ 617 $ (24 ) Residential – nonagency 85 1 11 (14 ) (19 ) — (22 ) 42 — Commercial – nonagency 17 — 4 — (12 ) — — 9 (1 ) Total mortgage-backed securities 514 (24 ) 333 (82 ) (51 ) — (22 ) 668 (25 ) U.S. Treasury and government agencies — — — — — — — — — Obligations of U.S. states and municipalities 623 1 57 (1 ) — — — 680 — Non-U.S. government debt securities 170 — 117 (103 ) — 9 (3 ) 190 — Corporate debt securities 568 7 61 (62 ) (53 ) 51 (10 ) 562 22 Loans 1,741 56 385 (216 ) (156 ) 139 (171 ) 1,778 68 Asset-backed securities 119 2 2 (58 ) (30 ) — (2 ) 33 2 Total debt instruments 3,735 42 955 (522 ) (290 ) 199 (208 ) 3,911 67 Equity securities 202 (12 ) 8 (3 ) — 21 (69 ) 147 (12 ) Other 304 20 3 — (15 ) — (1 ) 311 35 Total trading assets – debt and equity instruments 4,241 50 (c) 966 (525 ) (305 ) 220 (278 ) 4,369 90 (c) Net derivative receivables: (b) Interest rate (147 ) (341 ) 28 (60 ) (57 ) (6 ) 39 (544 ) (459 ) Credit (115 ) (127 ) 13 (1 ) 4 1 (7 ) (232 ) (139 ) Foreign exchange (356 ) 58 10 (8 ) 114 (17 ) 6 (193 ) 82 Equity (2,066 ) (21 ) 34 (158 ) (284 ) (148 ) 83 (2,560 ) (91 ) Commodity (665 ) (171 ) 7 (83 ) 21 (17 ) — (908 ) (151 ) Total net derivative receivables (3,349 ) (602 ) (c) 92 (310 ) (202 ) (187 ) 121 (4,437 ) (758 ) (c) Available-for-sale securities: Mortgage-backed securities — — — — — — — — — Asset-backed securities — — — — — — — — — Total available-for-sale securities — — — — — — — — — Loans 123 1 (c) — — (119 ) — — 5 — (c) Mortgage servicing rights 5,957 (826 ) (d) 426 (217 ) (247 ) — — 5,093 (826 ) (d) Other assets 841 (89 ) (c) 142 (8 ) (26 ) 1 — 861 (92 ) (c) Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/ Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,528 $ 89 (c)(e) $ — $ — $ 92 $ (292 ) $ — $ (351 ) $ 4,066 $ 104 (c)(e) Short-term borrowings 1,502 72 (c)(e) — — 1,037 (624 ) 67 (2 ) 2,052 28 (c)(e) Trading liabilities – debt and equity instruments 52 — (5 ) 5 — — 4 (11 ) 45 — Accounts payable and other liabilities 15 (1 ) (c) (3 ) 80 — — 1 — 92 (1 ) (c) Beneficial interests issued by consolidated VIEs — — — — — — — — — — Long-term debt 21,655 455 (c)(e) — — 2,648 (2,729 ) 200 (366 ) 21,863 621 (c)(e) Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 508 $ — $ 5 $ (11 ) $ (19 ) $ 5 $ (10 ) $ 478 $ — Residential – nonagency 55 2 45 (11 ) (1 ) 11 (14 ) 87 1 Commercial – nonagency 14 2 1 (1 ) (12 ) 17 (3 ) 18 1 Total mortgage-backed securities 577 4 51 (23 ) (32 ) 33 (27 ) 583 2 U.S. Treasury and — — — — — — — — — Obligations of U.S. states and municipalities 704 (9 ) 42 — (1 ) — — 736 (9 ) Non-U.S. government debt securities 197 (12 ) 126 (92 ) — — (36 ) 183 (12 ) Corporate debt securities 306 (3 ) 60 (40 ) (10 ) 36 (75 ) 274 4 Loans 2,368 (21 ) 565 (806 ) (192 ) 251 (179 ) 1,986 (30 ) Asset-backed securities 63 4 45 (9 ) (6 ) 2 (12 ) 87 4 Total debt instruments 4,215 (37 ) 889 (970 ) (241 ) 322 (329 ) 3,849 (41 ) Equity securities 300 (13 ) 65 (50 ) (1 ) — (13 ) 288 (8 ) Other 698 (254 ) 16 (34 ) (18 ) — (2 ) 406 (259 ) Total trading assets – debt and equity instruments 5,213 (304 ) (c) 970 (1,054 ) (260 ) 322 (344 ) 4,543 (308 ) (c) Net derivative receivables: (b) Interest rate 472 287 38 (51 ) (179 ) (54 ) (24 ) 489 254 Credit 5 21 1 (5 ) (29 ) (4 ) (13 ) (24 ) 9 Foreign exchange (288 ) 94 13 (3 ) (8 ) (74 ) 21 (245 ) 95 Equity (2,512 ) 143 606 (1,042 ) (13 ) 38 202 (2,578 ) (24 ) Commodity (519 ) (35 ) — — (186 ) (9 ) (3 ) (752 ) (65 ) Total net derivative receivables (2,842 ) 510 (c) 658 (1,101 ) (415 ) (103 ) 183 (3,110 ) 269 (c) Available-for-sale securities: Mortgage-backed securities 1 — — — — — — 1 — Asset-backed securities 204 — — — (57 ) — — 147 — Total available-for-sale securities 205 — — — (57 ) — — 148 — Loans 396 (9 ) (c) — — (154 ) — (74 ) 159 (9 ) (c) Mortgage servicing rights 6,202 94 (d) 236 (104 ) (187 ) — — 6,241 94 (d) Other assets 1,220 (13 ) (c) 24 (2 ) (5 ) 1 — 1,225 (17 ) (c) Fair value measurements using significant unobservable inputs Three months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/losses related Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,017 $ 49 (c)(e) $ — $ — $ 434 $ (57 ) $ 1 $ (139 ) $ 4,305 $ 50 (c)(e) Short-term borrowings 2,125 (197 ) (c)(e) — — 862 (614 ) 43 (10 ) 2,209 (27 ) (c)(e) Trading liabilities – debt and equity instruments 50 (11 ) (c) (25 ) 33 — — — (4 ) 43 (4 ) (c) Accounts payable and other liabilities 7 (1 ) (c) — 1 — — 1 — 8 (1 ) (c) Beneficial interests issued by consolidated VIEs 1 — — — — — — — 1 — Long-term debt 16,950 (344 ) (c)(e) — — 3,150 (i) (2,123 ) (i) 219 (220 ) 17,632 (i) (427 ) (c)(e) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 549 $ (40 ) $ 323 $ (168 ) $ (38 ) $ 1 $ (10 ) $ 617 $ (37 ) Residential – nonagency 64 25 81 (83 ) (20 ) 15 (40 ) 42 — Commercial – nonagency 11 2 16 (19 ) (14 ) 15 (2 ) 9 — Total mortgage-backed securities 624 (13 ) 420 (270 ) (72 ) 31 (52 ) 668 (37 ) U.S. Treasury and government agencies — — — — — — — — — Obligations of U.S. states and municipalities 689 14 58 (75 ) (6 ) — — 680 15 Non-U.S. government debt securities 155 (1 ) 188 (157 ) — 11 (6 ) 190 2 Corporate debt securities 334 29 284 (69 ) (53 ) 79 (42 ) 562 35 Loans 1,706 139 457 (334 ) (276 ) 298 (212 ) 1,778 128 Asset-backed securities 127 — 19 (79 ) (37 ) 20 (17 ) 33 — Total debt instruments 3,635 168 1,426 (984 ) (444 ) 439 (329 ) 3,911 143 Equity securities 232 (14 ) 23 (82 ) (22 ) 96 (86 ) 147 (11 ) Other 301 24 15 (1 ) (26 ) 1 (3 ) 311 45 Total trading assets – debt and equity instruments 4,168 178 (c) 1,464 (1,067 ) (492 ) 536 (418 ) 4,369 177 (c) Net derivative receivables: (b) Interest rate (38 ) (663 ) 47 (207 ) 241 12 64 (544 ) (725 ) Credit (107 ) (144 ) 13 (2 ) 10 4 (6 ) (232 ) (155 ) Foreign exchange (297 ) (187 ) 11 (17 ) 295 (25 ) 27 (193 ) (144 ) Equity (2,225 ) 710 161 (455 ) (685 ) (215 ) 149 (2,560 ) (134 ) Commodity (1,129 ) 362 10 (171 ) 45 (16 ) (9 ) (908 ) 485 Total net derivative receivables (3,796 ) 78 (c) 242 (852 ) (94 ) (240 ) 225 (4,437 ) (673 ) (c) Available-for-sale securities: Mortgage-backed securities 1 — — — (1 ) — — — — Asset-backed securities — — — — — — — — — Total available-for-sale securities 1 — — — (1 ) — — — — Loans 122 4 (c) — — (121 ) — — 5 5 (c) Mortgage servicing rights 6,130 (1,125 ) (d) 862 (328 ) (446 ) — — 5,093 (1,125 ) (d) Other assets 927 (96 ) (c) 151 (88 ) (27 ) 1 (7 ) 861 (98 ) (c) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/ Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,169 $ 241 (c)(e) $ — $ — $ 427 $ (316 ) $ — $ (455 ) $ 4,066 $ 246 (c)(e) Short-term borrowings 1,523 118 (c)(e) — — 1,688 (1,225 ) 68 (120 ) 2,052 115 (c)(e) Trading liabilities – debt and equity instruments 50 — (7 ) 16 — — 7 (21 ) 45 1 (c) Accounts payable and other liabilities 10 (1 ) (c) (8 ) 90 — — 1 — 92 (1 ) (c) Beneficial interests issued by consolidated VIEs 1 (1 ) (c) — — — — — — — — Long-term debt 19,418 1,728 (c)(e) — — 4,699 (3,917 ) 473 (538 ) 21,863 2,039 (c)(e) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized gains/(losses) Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized gains/(losses) related Purchases (f) Sales Settlements (g) Assets: (a) Trading assets: Debt instruments: Mortgage-backed securities: U.S. government agencies $ 307 $ 3 $ 334 $ (98 ) $ (39 ) $ 9 $ (38 ) $ 478 $ 1 Residential – nonagency 60 — 45 (13 ) (3 ) 40 (42 ) 87 1 Commercial – nonagency 11 3 7 (8 ) (13 ) 21 (3 ) 18 (2 ) Total mortgage-backed securities 378 6 386 (119 ) (55 ) 70 (83 ) 583 — U.S. Treasury and 1 — — — — — (1 ) — — Obligations of U.S. states and municipalities 744 (11 ) 81 — (78 ) — — 736 (11 ) Non-U.S. government debt securities 78 (10 ) 351 (184 ) — 17 (69 ) 183 (9 ) Corporate debt securities 312 (4 ) 141 (140 ) (11 ) 167 (191 ) 274 3 Loans 2,719 41 1,035 (1,534 ) (329 ) 374 (320 ) 1,986 (24 ) Asset-backed securities 153 9 59 (22 ) (40 ) 13 (85 ) 87 5 Total debt instruments 4,385 31 2,053 (1,999 ) (513 ) 641 (749 ) 3,849 (36 ) Equity securities 295 (21 ) 93 (60 ) (1 ) 4 (22 ) 288 (8 ) Other 690 (239 ) 34 (40 ) (38 ) 1 (2 ) 406 (251 ) Total trading assets – debt and equity instruments 5,370 (229 ) (c) 2,180 (2,099 ) (552 ) 646 (773 ) 4,543 (295 ) (c) Net derivative receivables: (b) Interest rate 264 340 55 (55 ) (133 ) (28 ) 46 489 314 Credit (35 ) 38 2 (7 ) (25 ) (1 ) 4 (24 ) 11 Foreign exchange (396 ) 240 13 (8 ) 3 (112 ) 15 (245 ) 190 Equity (3,409 ) 782 824 (1,284 ) 421 (73 ) 161 (2,578 ) 514 Commodity (674 ) 150 — — (174 ) (8 ) (46 ) (752 ) 154 Total net derivative receivables (4,250 ) 1,550 (c) 894 (1,354 ) 92 (222 ) 180 (3,110 ) 1,183 (c) Available-for-sale securities: Mortgage-backed securities 1 — — — — — — 1 — Asset-backed securities 276 1 — — (130 ) — — 147 1 Total available-for-sale securities 277 1 (j) — — (130 ) — — 148 1 (d) Loans 276 (4 ) (c) 122 — (161 ) — (74 ) 159 (5 ) (c) Mortgage servicing rights 6,030 478 (d) 479 (399 ) (347 ) — — 6,241 478 (d) Other assets 1,265 (50 ) (c) 47 (16 ) (21 ) 1 (1 ) 1,225 (52 ) (c) Fair value measurements using significant unobservable inputs Six months ended Fair value at Total realized/unrealized (gains)/losses Transfers into (h) Transfers (out of) level 3 (h) Fair value at Change in unrealized (gains)/losses related Purchases Sales Issuances Settlements (g) Liabilities: (a) Deposits $ 4,142 $ (41 ) (c)(e) $ — $ — $ 755 $ (255 ) $ 1 $ (297 ) $ 4,305 $ (86 ) (c)(e) Short-term borrowings 1,665 (182 ) (c)(e) — — 2,070 (1,360 ) 55 (39 ) 2,209 (31 ) (c)(e) Trading liabilities – debt and equity instruments 39 (8 ) (c) (62 ) 76 — 1 2 (5 ) 43 (1 ) (c) Accounts payable and other liabilities 13 (1 ) (c) (6 ) 1 — — 1 — 8 (1 ) (c) Beneficial interests issued by consolidated VIEs 39 — — — — (38 ) — — 1 — Long-term debt 16,125 (590 ) (c)(e) — — 6,241 (i) (4,386 ) (i) 594 (352 ) 17,632 (i) (706 ) (c)(e) (a) Level 3 assets as a percentage of total Firm assets accounted for at fair value (including assets measured at fair value on a nonrecurring basis) were 2% and 3% at June 30, 2019 and December 31, 2018, respectively. Level 3 liabilities as a percentage of total Firm liabilities accounted for at fair value (including liabilities measured at fair value on a nonrecurring basis) was 15% at June 30, 2019 and December 31, 2018 . (b) All level 3 derivatives are presented on a net basis, irrespective of the underlying counterparty. (c) Predominantly reported in principal transactions revenue, except for changes in fair value for CCB mortgage loans and lending-related commitments originated with the intent to sell, and mortgage loan purchase commitments, which are reported in mortgage fees and related income. (d) Changes in fair value for MSRs are reported in mortgage fees and related income. (e) Realized (gains)/losses due to DVA for fair value option elected liabilities are reported in principal transactions revenue, and they were not material for the three and six months ended June 30, 2019 and 2018, respectively. Unrealized (gains)/losses are reported in OCI, and they were $(5) million and $(71) million for the three months ended June 30, 2019 and 2018, respectively and $170 million and $(123) million for the six months ended June 30, 2019 and 2018 , respectively. (f) Loan originations are included in purchases. (g) Includes financial assets and liabilities that have matured, been partially or fully repaid, impacts of modifications, deconsolidations associated with beneficial interests in VIEs and other items. (h) All transfers into and/or out of level 3 are based on changes in the observability and/or significance of the valuation inputs and are assumed to occur at the beginning of the quarterly reporting period in which they occur. (i) The prior period amounts have been revised to conform with the current period presentation. (j) Realized gains/(losses) on AFS securities, as well as other-than-temporary impairment (“OTTI”) losses that are recorded in earnings, are reported in investment securities gains/(losses). Unrealized gains/(losses) are reported in OCI. There were no realized gains/(losses) recorded in income on AFS securities for the three and six months ended June 30, 2019 and 2018 , respectively. Unrealized gains/(losses) recorded on AFS securities in OCI were zero for both the three months ended June 30, 2019 and 2018 , respectively and zero and $1 million for the six months ended June 30, 2019 and 2018 , respectively.
Impact of credit adjustments on earningsThe following table provides the impact of credit and funding adjustments on principal transactions revenue in the respective periods, excluding the effect of any associated hedging activities. The FVA presented below includes the impact of the Firm’s own credit quality on the inception value of liabilities as well as the impact of changes in the Firm’s own credit quality over time. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Credit and funding adjustments: Derivatives CVA $ (44 ) $ 73 $ 16 $ 157 Derivatives FVA (89 ) 97 63 14
Assets and liabilities measured at fair value on a nonrecurring basisThe following table presents the total change in value of assets and liabilities for which a fair value adjustment has been recognized for the three and six months ended June 30, 2019 and 2018, related to assets and liabilities held at those dates. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Loans $ (33 ) $ (18 ) $ (54 ) $ (22 ) Other assets (a) 13 37 90 528 Total nonrecurring fair value gains/(losses) $ (20 ) $ 19 $ 36 $ 506 (a) Included $16 million and $41 million for the three months ended June 30, 2019 and 2018, respectively and $95 million and $534 million for the six months ended June 30, 2019 and 2018 The following tables present the assets held as of June 30, 2019 and 2018 , respectively, for which a nonrecurring fair value adjustment was recorded during the six months ended June 30, 2019 and 2018, respectively, by major product category and fair value hierarchy. Fair value hierarchy Total fair value June 30, 2019 (in millions) Level 1 Level 2 Level 3 Loans $ — $ 733 $ 141 (b) $ 874 Other assets (a) — 13 713 726 Total assets measured at fair value on a nonrecurring basis $ — $ 746 $ 854 $ 1,600 Fair value hierarchy Total fair value June 30, 2018 (in millions) Level 1 Level 2 Level 3 Loans $ — $ 325 $ 210 $ 535 Other assets — 217 823 1,040 Total assets measured at fair value on a nonrecurring basis $ — $ 542 $ 1,033 $ 1,575 (a) Primarily includes equity securities without readily determinable fair values that were adjusted based on observable price changes in orderly transactions from an identical or similar investment of the same issuer (measurement alternative). Of the $713 million in level 3 assets measured at fair value on a nonrecurring basis as of June 30, 2019, $564 million related to such equity securities. These equity securities are classified as level 3 due to the infrequency of the observable prices and/or the restrictions on the shares. (b) Of the $141 million in level 3 assets measured at fair value on a nonrecurring basis as of June 30, 2019, $110 million related to residential real estate loans carried at the net realizable value of the underlying collateral (e.g., collateral-dependent loans and other loans charged off in accordance with regulatory guidance). These amounts are classified as level 3 as they are valued using information from broker’s price opinions, appraisals and automated valuation models and discounted based upon the Firm’s experience with actual liquidation values. These discounts ranged from 14% to 49% with a weighted average of 29% .
Schedule of equity securities without readily determinable fair values measured under the measurement alternative and related adjustmentsThe following table presents the carrying value of equity securities without readily determinable fair values still held as of June 30, 2019 and 2018 , that are measured under the measurement alternative and the related adjustments recorded during the periods presented for those securities with observable price changes. These securities are included in the nonrecurring fair value tables when applicable price changes are observable. Three months ended Six months ended June 30, June 30, As of or for the period ended, (in millions) 2019 2018 2019 2018 Other assets Carrying value (a) $ 1,704 $ 1,471 $ 1,704 $ 1,471 Upward carrying value changes (b) 52 67 136 562 Downward carrying value changes/impairment (c) (36 ) (26 ) (42 ) (28 ) (a) The carrying value as of December 31, 2018 was $1.5 billion . (b) The cumulative upward carrying value changes between January 1, 2018 and June 30, 2019 were $446 million . (c) The cumulative downward carrying value changes/impairment between January 1, 2018 and June 30, 2019 were $(202) million .
Carrying value and estimated fair value of financial assets and liabilitiesThe following table presents by fair value hierarchy classification the carrying values and estimated fair values at June 30, 2019 , and December 31, 2018 , of financial assets and liabilities, excluding financial instruments that are carried at fair value on a recurring basis, and their classification within the fair value hierarchy. June 30, 2019 December 31, 2018 Estimated fair value hierarchy Estimated fair value hierarchy (in billions) Carrying value Level 1 Level 2 Level 3 Total estimated fair value Carrying value Level 1 Level 2 Level 3 Total estimated fair value Financial assets Cash and due from banks $ 23.2 $ 23.2 $ — $ — $ 23.2 $ 22.3 $ 22.3 $ — $ — $ 22.3 Deposits with banks 244.9 244.9 — — 244.9 256.5 256.5 — — 256.5 Accrued interest and accounts receivable 87.2 0.8 86.3 0.1 87.2 72.0 — 71.9 0.1 72.0 Federal funds sold and securities purchased under resale agreements 253.9 — 253.9 — 253.9 308.4 — 308.4 — 308.4 Securities borrowed 125.0 — 125.0 — 125.0 106.9 — 106.9 — 106.9 Investment securities, held-to-maturity 30.9 — 32.1 — 32.1 31.4 — 31.5 — 31.5 Loans, net of allowance for loan losses (a) 939.4 — 224.1 727.8 951.9 968.0 — 241.5 728.5 970.0 Other 59.2 — 58.4 0.9 59.3 60.5 — 59.6 1.0 60.6 Financial liabilities Deposits $ 1,491.4 $ — $ 1,491.8 $ — $ 1,491.8 $ 1,447.4 $ — $ 1,447.5 $ — $ 1,447.5 Federal funds purchased and securities loaned or sold under repurchase agreements 200.7 — 200.7 — 200.7 181.4 — 181.4 — 181.4 Short-term borrowings 52.2 — 52.2 — 52.2 62.1 — 62.1 — 62.1 Accounts payable and other liabilities 175.8 0.1 172.2 3.1 175.4 160.6 0.2 157.0 3.0 160.2 Beneficial interests issued by consolidated VIEs 25.6 — 25.6 — 25.6 20.2 — 20.2 — 20.2 Long-term debt and junior subordinated deferrable interest debentures 220.8 — 221.6 3.3 224.9 227.1 — 224.6 3.3 227.9 (a) Fair value is typically estimated using a discounted cash flow model that incorporates the characteristics of the underlying loans (including principal, contractual interest rate and contractual fees) and other key inputs, including expected lifetime credit losses, interest rates, prepayment rates, and primary origination or secondary market spreads. For certain loans, the fair value is measured based on the value of the underlying collateral. The difference between the estimated fair value and carrying value of a financial asset or liability is the result of the different methodologies used to determine fair value as compared with carrying value. For example, credit losses are estimated for a financial asset’s remaining life in a fair value calculation but are estimated for a loss emergence period in the allowance for loan loss calculation; future loan income (interest and fees) is incorporated in a fair value calculation but is generally not considered in the allowance for loan losses.
The carrying value and estimated fair value of wholesale lending- related commitmentsThe majority of the Firm’s lending-related commitments are not carried at fair value on a recurring basis on the Consolidated balance sheets. The carrying value of the wholesale allowance for lending-related commitments and the estimated fair value of these wholesale lending-related commitments were as follows for the periods indicated. June 30, 2019 December 31, 2018 Estimated fair value hierarchy Estimated fair value hierarchy (in billions) Carrying value (a) Level 1 Level 2 Level 3 Total estimated fair value Carrying value (a) Level 1 Level 2 Level 3 Total estimated fair value (b) Wholesale lending-related commitments $ 1.1 $ — $ — $ 1.8 $ 1.8 $ 1.0 $ — $ — $ 1.9 $ 1.9 (a) Excludes the current carrying values of the guarantee liability and the offsetting asset, each of which is recognized at fair value at the inception of the guarantees. (b) The prior period amounts have been revised to conform with the current period presentation.

Fair Value Option (Tables)

Fair Value Option (Tables)6 Months Ended
Jun. 30, 2019
Fair Value Disclosures [Abstract]
Changes in fair value under the fair value option electionThe following table presents the changes in fair value included in the Consolidated statements of income for the three months ended June 30, 2019 and 2018 , for items for which the fair value option was elected. The profit and loss information presented below only includes the financial instruments that were elected to be measured at fair value; related risk management instruments, which are required to be measured at fair value, are not included in the table. Three months ended June 30, 2019 2018 (in millions) Principal transactions All other income Total changes in fair (e) Principal transactions All other income Total changes in fair value recorded (e) Federal funds sold and securities purchased under resale agreements $ 22 $ — $ 22 $ (33 ) $ — $ (33 ) Securities borrowed 43 — 43 29 — 29 Trading assets: Debt and equity instruments, excluding loans 204 — 204 (259 ) 1 (c) (258 ) Loans reported as trading assets: Changes in instrument-specific credit risk 199 2 (c) 201 214 (1 ) (c) 213 Other changes in fair value 120 328 (c) 448 29 65 (c) 94 Loans: Changes in instrument-specific credit risk (13 ) — (13 ) (1 ) — (1 ) Other changes in fair value 1 — 1 (1 ) — (1 ) Other assets 2 3 (d) 5 — (3 ) (d) (3 ) Deposits (a) (696 ) — (696 ) 129 — 129 Federal funds purchased and securities loaned or sold under repurchase agreements (15 ) — (15 ) 9 — 9 Short-term borrowings (a) (70 ) — (70 ) (162 ) — (162 ) Trading liabilities 2 — 2 6 — 6 Other liabilities (4 ) — (4 ) — — — Long-term debt (a)(b) (1,770 ) — (1,770 ) 196 — 196 Six months ended June 30, 2019 2018 (in millions) Principal transactions All other income Total changes in fair value recorded (e) Principal transactions All other income Total changes in fair value recorded (e) Federal funds sold and securities purchased under resale agreements $ 33 $ — $ 33 $ (26 ) $ — $ (26 ) Securities borrowed 80 — 80 2 — 2 Trading assets: Debt and equity instruments, excluding loans 1,558 — 1,558 (445 ) 1 (c) (444 ) Loans reported as trading assets: Changes in instrument-specific credit risk 447 5 (c) 452 336 4 (c) 340 Other changes in fair value 200 565 (c) 765 70 (25 ) (c) 45 Loans: Changes in instrument-specific credit risk (8 ) — (8 ) (1 ) — (1 ) Other changes in fair value 1 — 1 (2 ) — (2 ) Other assets 3 3 (d) 6 2 (10 ) (d) (8 ) Deposits (a) (1,192 ) — (1,192 ) 339 — 339 Federal funds purchased and securities loaned or sold under repurchase agreements (20 ) — (20 ) 19 — 19 Short-term borrowings (a) (774 ) — (774 ) 111 — 111 Trading liabilities 5 — 5 (1 ) — (1 ) Other liabilities (8 ) — (8 ) — — — Long-term debt (a)(b) (4,606 ) — (4,606 ) 1,227 — 1,227 (a) Unrealized gains/(losses) due to instrument-specific credit risk (DVA) for liabilities for which the fair value option has been elected is recorded in OCI, while realized gains/(losses) are recorded in principal transactions revenue. Realized gains/(losses) due to instrument-specific credit risk recorded in principal transactions revenue were not material for the three and six months ended June 30, 2019 and 2018 , respectively. (b) Long-term debt measured at fair value predominantly relates to structured notes. Although the risk associated with the structured notes is actively managed, the gains/(losses) reported in this table do not include the income statement impact of the risk management instruments used to manage such risk. (c) Reported in mortgage fees and related income. (d) Reported in other income. (e) Changes in fair value exclude contractual interest, which is included in interest income and interest expense for all instruments other than hybrid financial instruments. For further information regarding interest income and interest expense, refer to Note 6 .
Difference between aggregate fair value and aggregate remaining contractual principal balance outstandingThe following table reflects the difference between the aggregate fair value and the aggregate remaining contractual principal balance outstanding as of June 30, 2019 , and December 31, 2018 , for loans, long-term debt and long-term beneficial interests for which the fair value option has been elected. June 30, 2019 December 31, 2018 (in millions) Contractual principal outstanding Fair value Fair value over/(under) contractual principal outstanding Contractual principal outstanding Fair value Fair value over/(under) contractual principal outstanding Loans (a) Nonaccrual loans Loans reported as trading assets $ 4,038 $ 1,231 $ (2,807 ) $ 4,240 $ 1,350 $ (2,890 ) Loans 124 72 (52 ) 39 — (39 ) Subtotal 4,162 1,303 (2,859 ) 4,279 1,350 (2,929 ) All other performing loans Loans reported as trading assets 43,722 42,727 (995 ) 42,215 40,403 (1,812 ) Loans 4,284 4,237 (47 ) 3,186 3,151 (35 ) Total loans $ 52,168 $ 48,267 $ (3,901 ) $ 49,680 $ 44,904 $ (4,776 ) Long-term debt Principal-protected debt $ 39,559 (c) $ 36,681 $ (2,878 ) $ 32,674 (c) $ 28,718 $ (3,956 ) Nonprincipal-protected debt (b) NA 31,147 NA NA 26,168 NA Total long-term debt NA $ 67,828 NA NA $ 54,886 NA Long-term beneficial interests Nonprincipal-protected debt (b) NA $ — NA NA $ 28 NA Total long-term beneficial interests NA $ — NA NA $ 28 NA (a) There were no performing loans that were ninety days or more past due as of June 30, 2019 , and December 31, 2018 , respectively. (b) Remaining contractual principal is not applicable to nonprincipal-protected structured notes and long-term beneficial interests. Unlike principal-protected structured notes and long-term beneficial interests, for which the Firm is obligated to return a stated amount of principal at maturity, nonprincipal-protected structured notes and long-term beneficial interests do not obligate the Firm to return a stated amount of principal at maturity, but for structured notes to return an amount based on the performance of an underlying variable or derivative feature embedded in the note. However, investors are exposed to the credit risk of the Firm as issuer for both nonprincipal-protected and principal-protected notes. (c) Where the Firm issues principal-protected zero-coupon or discount notes, the balance reflects the contractual principal payment at maturity or, if applicable, the contractual principal payment at the Firm’s next call date.
Fair value option, structured notes by balance sheet classification and primary embedded derivative riskThe following table presents the fair value of structured notes, by balance sheet classification and the primary risk type. June 30, 2019 December 31, 2018 (in millions) Long-term debt Short-term borrowings Deposits Total Long-term debt Short-term borrowings Deposits Total Risk exposure Interest rate $ 31,670 $ 66 $ 21,048 $ 52,784 $ 24,137 $ 62 $ 12,372 $ 36,571 Credit 4,848 639 — 5,487 4,009 995 — 5,004 Foreign exchange 3,580 85 37 3,702 3,169 157 38 3,364 Equity 25,338 6,536 8,278 40,152 21,382 5,422 7,368 34,172 Commodity 467 6 1,320 1,793 372 34 1,207 1,613 Total structured notes $ 65,903 $ 7,332 $ 30,683 $ 103,918 $ 53,069 $ 6,670 $ 20,985 $ 80,724

Derivative Instruments (Tables)

Derivative Instruments (Tables)6 Months Ended
Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of uses and disclosure of derivativesThe following table outlines the Firm’s primary uses of derivatives and the related hedge accounting designation or disclosure category. Type of Derivative Use of Derivative Designation and disclosure Affected segment or unit 10-Q page reference Manage specifically identified risk exposures in qualifying hedge accounting relationships: • Interest rate Hedge fixed rate assets and liabilities Fair value hedge Corporate 108-109 • Interest rate Hedge floating-rate assets and liabilities Cash flow hedge Corporate 110 • Foreign exchange Hedge foreign currency-denominated assets and liabilities Fair value hedge Corporate 108-109 • Foreign exchange Hedge foreign currency-denominated forecasted revenue and expense Cash flow hedge Corporate 110 • Foreign exchange Hedge the value of the Firm’s investments in non-U.S. dollar functional currency entities Net investment hedge Corporate 111 • Commodity Hedge commodity inventory Fair value hedge CIB 108-109 Manage specifically identified risk exposures not designated in qualifying hedge accounting relationships: • Interest rate Manage the risk of the mortgage pipeline, warehouse loans and MSRs Specified risk management CCB 111 • Credit Manage the credit risk of wholesale lending exposures Specified risk management CIB 111 • Interest rate and foreign exchange Manage the risk of certain other specified assets and liabilities Specified risk management Corporate 111 Market-making derivatives and other activities: • Various Market-making and related risk management Market-making and other CIB 111 • Various Other derivatives Market-making and other CIB, AWM, Corporate 111
Notional amount of derivative contractsThe following table summarizes the notional amount of derivative contracts outstanding as of June 30, 2019 , and December 31, 2018 . Notional amounts (b) (in billions) June 30, 2019 December 31, 2018 Interest rate contracts Swaps $ 25,583 $ 21,763 Futures and forwards 4,600 3,562 Written options 4,572 3,997 Purchased options 5,054 4,322 Total interest rate contracts 39,809 33,644 Credit derivatives (a) 1,294 1,501 Foreign exchange contracts Cross-currency swaps 3,824 3,548 Spot, futures and forwards 6,951 5,871 Written options 922 835 Purchased options 939 830 Total foreign exchange contracts 12,636 11,084 Equity contracts Swaps 365 346 Futures and forwards 122 101 Written options 640 528 Purchased options 573 490 Total equity contracts 1,700 1,465 Commodity contracts Swaps 148 134 Spot, futures and forwards 161 156 Written options 143 135 Purchased options 126 120 Total commodity contracts 578 545 Total derivative notional amounts $ 56,017 $ 48,239 (a) For more information on volumes and types of credit derivative contracts, refer to the Credit derivatives discussion on page 112 . (b) Represents the sum of gross long and gross short third-party notional derivative contracts.
Impact of derivatives on the Consolidated Balance SheetsThe following table summarizes information on derivative receivables and payables (before and after netting adjustments) that are reflected on the Firm’s Consolidated balance sheets as of June 30, 2019 , and December 31, 2018 , by accounting designation (e.g., whether the derivatives were designated in qualifying hedge accounting relationships or not) and contract type. Free-standing derivative receivables and payables (a) Gross derivative receivables Gross derivative payables June 30, 2019 Not designated as hedges Designated as hedges Total derivative receivables Net derivative receivables (b) Not designated as hedges Designated as hedges Total derivative payables Net derivative payables (b) Trading assets and liabilities Interest rate $ 333,694 $ 862 $ 334,556 $ 26,488 $ 301,047 $ 2 $ 301,049 $ 8,883 Credit 15,665 — 15,665 633 17,231 — 17,231 2,256 Foreign exchange 143,659 441 144,100 10,663 146,920 697 147,617 11,126 Equity 44,930 — 44,930 9,205 47,698 — 47,698 11,177 Commodity 16,739 132 16,871 5,889 19,280 74 19,354 8,037 Total fair value of trading assets and liabilities $ 554,687 $ 1,435 $ 556,122 $ 52,878 $ 532,176 $ 773 $ 532,949 $ 41,479 Gross derivative receivables Gross derivative payables December 31, 2018 Not designated as hedges Designated as hedges Total derivative receivables Net derivative receivables (b) Not designated as hedges Designated Total derivative payables Net derivative payables (b) Trading assets and liabilities Interest rate $ 267,871 $ 833 $ 268,704 $ 23,214 $ 242,782 $ — $ 242,782 $ 7,784 Credit 20,095 — 20,095 612 20,276 — 20,276 1,667 Foreign exchange 167,057 628 167,685 13,450 164,392 825 165,217 12,785 Equity 49,285 — 49,285 9,946 51,195 — 51,195 10,161 Commodity 20,223 247 20,470 6,991 22,297 121 22,418 9,372 Total fair value of trading assets and liabilities $ 524,531 $ 1,708 $ 526,239 $ 54,213 $ 500,942 $ 946 $ 501,888 $ 41,769 (a) Balances exclude structured notes for which the fair value option has been elected. Refer to Note 3 for further information. (b) As permitted under U.S. GAAP, the Firm has elected to net derivative receivables and derivative payables and the related cash collateral receivables and payables when a legally enforceable master netting agreement exists.
Offsetting assetsThe following tables present, as of June 30, 2019 , and December 31, 2018 , gross and net derivative receivables and payables by contract and settlement type. Derivative receivables and payables, as well as the related cash collateral from the same counterparty have been netted on the Consolidated balance sheets where the Firm has obtained an appropriate legal opinion with respect to the master netting agreement. Where such a legal opinion has not been either sought or obtained, amounts are not eligible for netting on the Consolidated balance sheets, and those derivative receivables and payables are shown separately in the tables below. In addition to the cash collateral received and transferred that is presented on a net basis with derivative receivables and payables, the Firm receives and transfers additional collateral (financial instruments and cash). These amounts mitigate counterparty credit risk associated with the Firm’s derivative instruments, but are not eligible for net presentation: • collateral that consists of non-cash financial instruments (generally U.S. government and agency securities and other G7 government securities) and cash collateral held at third-party custodians, which are shown separately as “Collateral not nettable on the Consolidated balance sheets” in the tables below, up to the fair value exposure amount. • the amount of collateral held or transferred that exceeds the fair value exposure at the individual counterparty level, as of the date presented, which is excluded from the tables below; and • collateral held or transferred that relates to derivative receivables or payables where an appropriate legal opinion has not been either sought or obtained with respect to the master netting agreement, which is excluded from the tables below. June 30, 2019 December 31, 2018 (in millions) Gross derivative receivables Amounts netted on the Consolidated balance sheets Net derivative receivables Gross derivative receivables Amounts netted on the Consolidated balance sheets Net derivative receivables U.S. GAAP nettable derivative receivables Interest rate contracts: Over-the-counter (“OTC”) $ 317,682 $ (295,900 ) $ 21,782 $ 258,227 $ (239,498 ) $ 18,729 OTC–cleared 11,535 (11,488 ) 47 6,404 (5,856 ) 548 Exchange-traded (a) 747 (680 ) 67 322 (136 ) 186 Total interest rate contracts 329,964 (308,068 ) 21,896 264,953 (245,490 ) 19,463 Credit contracts: OTC 11,358 (10,938 ) 420 12,648 (12,261 ) 387 OTC–cleared 4,142 (4,094 ) 48 7,267 (7,222 ) 45 Total credit contracts 15,500 (15,032 ) 468 19,915 (19,483 ) 432 Foreign exchange contracts: OTC 141,257 (133,171 ) 8,086 163,862 (153,988 ) 9,874 OTC–cleared 276 (260 ) 16 235 (226 ) 9 Exchange-traded (a) 18 (6 ) 12 32 (21 ) 11 Total foreign exchange contracts 141,551 (133,437 ) 8,114 164,129 (154,235 ) 9,894 Equity contracts: OTC 22,627 (20,219 ) 2,408 26,178 (23,879 ) 2,299 Exchange-traded (a) 18,885 (15,506 ) 3,379 18,876 (15,460 ) 3,416 Total equity contracts 41,512 (35,725 ) 5,787 45,054 (39,339 ) 5,715 Commodity contracts: OTC 6,917 (5,082 ) 1,835 7,448 (5,261 ) 2,187 OTC–cleared 13 (13 ) — — — — Exchange-traded (a) 6,007 (5,887 ) 120 8,815 (8,218 ) 597 Total commodity contracts 12,937 (10,982 ) 1,955 16,263 (13,479 ) 2,784 Derivative receivables with appropriate legal opinion 541,464 (503,244 ) 38,220 (d) 510,314 (472,026 ) 38,288 (d) Derivative receivables where an appropriate legal opinion has not been either sought or obtained 14,658 14,658 15,925 15,925 Total derivative receivables recognized on the Consolidated balance sheets $ 556,122 $ 52,878 $ 526,239 $ 54,213 Collateral not nettable on the Consolidated balance sheets (b)(c) (12,168 ) (13,046 ) Net amounts $ 40,710 $ 41,167
Offsetting liabilities June 30, 2019 December 31, 2018 (in millions) Gross derivative payables Amounts netted on the Consolidated balance sheets Net derivative payables Gross derivative payables Amounts netted on the Consolidated balance sheets Net derivative payables U.S. GAAP nettable derivative payables Interest rate contracts: OTC $ 286,199 $ (279,425 ) $ 6,774 $ 233,404 $ (228,369 ) $ 5,035 OTC–cleared 12,460 (12,044 ) 416 7,163 (6,494 ) 669 Exchange-traded (a) 783 (697 ) 86 210 (135 ) 75 Total interest rate contracts 299,442 (292,166 ) 7,276 240,777 (234,998 ) 5,779 Credit contracts: OTC 13,371 (11,347 ) 2,024 13,412 (11,895 ) 1,517 OTC–cleared 3,678 (3,628 ) 50 6,716 (6,714 ) 2 Total credit contracts 17,049 (14,975 ) 2,074 20,128 (18,609 ) 1,519 Foreign exchange contracts: OTC 144,667 (136,225 ) 8,442 160,930 (152,161 ) 8,769 OTC–cleared 260 (260 ) — 274 (268 ) 6 Exchange-traded (a) 15 (6 ) 9 16 (3 ) 13 Total foreign exchange contracts 144,942 (136,491 ) 8,451 161,220 (152,432 ) 8,788 Equity contracts: OTC 26,349 (21,015 ) 5,334 29,437 (25,544 ) 3,893 Exchange-traded (a) 16,818 (15,506 ) 1,312 16,285 (15,490 ) 795 Total equity contracts 43,167 (36,521 ) 6,646 45,722 (41,034 ) 4,688 Commodity contracts: OTC 8,153 (5,434 ) 2,719 8,930 (4,838 ) 4,092 OTC–cleared 13 (13 ) — — — — Exchange-traded (a) 6,193 (5,870 ) 323 8,259 (8,208 ) 51 Total commodity contracts 14,359 (11,317 ) 3,042 17,189 (13,046 ) 4,143 Derivative payables with appropriate legal opinion 518,959 (491,470 ) 27,489 (d) 485,036 (460,119 ) 24,917 (d) Derivative payables where an appropriate legal opinion has not been either sought or obtained 13,990 13,990 16,852 16,852 Total derivative payables recognized on the Consolidated balance sheets $ 532,949 $ 41,479 $ 501,888 $ 41,769 Collateral not nettable on the Consolidated balance sheets (b)(c) (6,959 ) (4,449 ) Net amounts $ 34,520 $ 37,320 (a) Exchange-traded derivative balances that relate to futures contracts are settled daily. (b) Represents liquid security collateral as well as cash collateral held at third-party custodians related to derivative instruments where an appropriate legal opinion has been obtained. For some counterparties, the collateral amounts of financial instruments may exceed the derivative receivables and derivative payables balances. Where this is the case, the total amount reported is limited to the net derivative receivables and net derivative payables balances with that counterparty. (c) Derivative collateral relates only to OTC and OTC-cleared derivative instruments. (d) Net derivatives receivable included cash collateral netted of $65.0 billion and $55.2 billion at June 30, 2019 , and December 31, 2018 , respectively. Net derivatives payable included cash collateral netted of $53.3 billion and $43.3 billion at June 30, 2019 , and December 31, 2018 , respectively. Derivative cash collateral relates to OTC and OTC-cleared derivative instruments.
Current credit risk of derivative receivables and liquidity risk of derivative payablesThe following table shows the aggregate fair value of net derivative payables related to OTC and OTC-cleared derivatives that contain contingent collateral or termination features that may be triggered upon a ratings downgrade, and the associated collateral the Firm has posted in the normal course of business, at June 30, 2019 , and December 31, 2018 . OTC and OTC-cleared derivative payables containing downgrade triggers (in millions) June 30, 2019 December 31, 2018 Aggregate fair value of net derivative payables $ 15,294 $ 9,396 Collateral posted 14,023 8,907 The following table shows the impact of a single-notch and two-notch downgrade of the long-term issuer ratings of JPMorgan Chase & Co. and its subsidiaries , predominantly JPMorgan Chase Bank, N.A., at June 30, 2019 , and December 31, 2018 , related to OTC and OTC-cleared derivative contracts with contingent collateral or termination features that may be triggered upon a ratings downgrade. Derivatives contracts generally require additional collateral to be posted or terminations to be triggered when the predefined threshold rating is breached. A downgrade by a single rating agency that does not result in a rating lower than a preexisting corresponding rating provided by another major rating agency will generally not result in additional collateral, (except in certain instances in which additional initial margin may be required upon a ratings downgrade), nor in termination payments requirements. The liquidity impact in the table is calculated based upon a downgrade below the lowest current rating of the rating agencies referred to in the derivative contract. Liquidity impact of downgrade triggers on OTC and OTC-cleared derivatives June 30, 2019 December 31, 2018 (in millions) Single-notch downgrade Two-notch downgrade Single-notch downgrade Two-notch downgrade Amount of additional collateral to be posted upon downgrade (a) $ 180 $ 1,228 $ 76 $ 947 Amount required to settle contracts with termination triggers upon downgrade (b) 302 1,613 172 764 (a) Includes the additional collateral to be posted for initial margin. (b) Amounts represent fair values of derivative payables, and do not reflect collateral posted.
Fair value hedge gains and lossesThe following tables present derivative instruments, by contract type, used in fair value hedge accounting relationships, as well as pre-tax gains/(losses) recorded on such derivatives and the related hedged items for the three and six months ended June 30, 2019 and 2018 , respectively. The Firm includes gains/(losses) on the hedging derivative in the same line item in the Consolidated statements of income as the related hedged item. Gains/(losses) recorded in income Income statement impact of (e) OCI impact Three months ended June 30, 2019 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ 1,762 $ (1,556 ) $ 206 $ — $ 196 $ — Foreign exchange (c) 426 (301 ) 125 (229 ) 125 112 Commodity (d) (154 ) 175 21 — 17 — Total $ 2,034 $ (1,682 ) $ 352 $ (229 ) $ 338 $ 112 Gains/(losses) recorded in income Income statement impact of excluded components (e) OCI impact Three months ended June 30, 2018 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ (400 ) $ 553 $ 153 $ — $ 152 $ — Foreign exchange (c) 376 (254 ) 122 (145 ) 122 (89 ) Commodity (d) 11 (18 ) (7 ) — 16 — Total $ (13 ) $ 281 $ 268 $ (145 ) $ 290 $ (89 ) Gains/(losses) recorded in income Income statement impact of (e) OCI impact Six months ended June 30, 2019 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ 3,226 $ (2,849 ) $ 377 $ — $ 368 $ — Foreign exchange (c) 136 108 244 (451 ) 244 115 Commodity (d) (442 ) 469 27 — 18 — Total $ 2,920 $ (2,272 ) $ 648 $ (451 ) $ 630 $ 115 Gains/(losses) recorded in income Income statement impact of (e) OCI impact Six months ended June 30, 2018 Derivatives Hedged items Income statement impact Amortization approach Changes in fair value Derivatives - Gains/(losses) recorded in OCI (f) Contract type Interest rate (a)(b) $ (1,877 ) $ 2,182 $ 305 $ — $ 299 $ — Foreign exchange (c) 520 (287 ) 233 (267 ) 233 (141 ) Commodity (d) 195 (165 ) 30 — 34 — Total $ (1,162 ) $ 1,730 $ 568 $ (267 ) $ 566 $ (141 ) (a) Primarily consists of hedges of the benchmark (e.g., London Interbank Offered Rate (“LIBOR”)) interest rate risk of fixed-rate long-term debt and AFS securities. Gains and losses were recorded in net interest income. (b) Excludes the amortization expense associated with the inception hedge accounting adjustment applied to the hedged item. This expense is recorded in net interest income and substantially offsets the income statement impact of the excluded components. Also excludes the accrual of interest on interest rate swaps and the related hedged items. (c) Primarily consists of hedges of the foreign currency risk of long-term debt and AFS securities for changes in spot foreign currency rates. Gains and losses related to the derivatives and the hedged items due to changes in foreign currency rates and the income statement impact of excluded components were recorded primarily in principal transactions revenue and net interest income. (d) Consists of overall fair value hedges of physical commodities inventories that are generally carried at the lower of cost or net realizable value (net realizable value approximates fair value). Gains and losses were recorded in principal transactions revenue. (e) The assessment of hedge effectiveness excludes certain components of the changes in fair values of the derivatives and hedged items such as forward points on foreign exchange forward contracts, time values and cross-currency basis spreads. The initial amount of the excluded components may be amortized into income over the life of the derivative, or changes in fair value may be recognized in current period earnings. (f) Represents the change in value of amounts excluded from the assessment of effectiveness under the amortization approach, predominantly cross-currency basis spreads. The amount excluded at inception of the hedge is recognized in earnings over the life of the derivative.
Schedule of amounts recorded on Consolidated Balance Sheets related to certain cumulative fair value hedge basis adjustmentsAs of June 30, 2019 and December 31, 2018, the following amounts were recorded on the Consolidated balance sheets related to certain cumulative fair value hedge basis adjustments that are expected to reverse through the income statement in future periods as an adjustment to yield. Carrying amount of the hedged items (a)(b) Cumulative amount of fair value hedging adjustments included in the carrying amount of hedged items: June 30, 2019 Active hedging relationships Discontinued hedging relationships (d) Total Assets Investment securities - AFS $ 91,668 (c) $ 2,084 $ 292 $ 2,376 Liabilities Long-term debt $ 151,184 $ 6,534 $ 55 $ 6,589 Beneficial interests issued by consolidated VIEs 5,208 — (15 ) (15 ) Carrying amount of the hedged items (a)(b) Cumulative amount of fair value hedging adjustments included in the carrying amount of hedged items: December 31, 2018 Active hedging relationships Discontinued hedging relationships (d) Total Assets Investment securities - AFS $ 55,313 (c) $ (1,105 ) $ 381 $ (724 ) Liabilities Long-term debt $ 139,915 $ 141 $ 8 $ 149 Beneficial interests issued by consolidated VIEs 6,987 — (33 ) (33 ) (a) Excludes physical commodities with a carrying value of $6.6 billion and $6.8 billion at June 30, 2019 and December 31, 2018, respectively, to which the Firm applies fair value hedge accounting. As a result of the application of hedge accounting, these inventories are carried at fair value, thus recognizing unrealized gains and losses in current periods. Given the Firm exits these positions at fair value, there is no incremental impact to net income in future periods. (b) Excludes hedged items where only foreign currency risk is the designated hedged risk, as basis adjustments related to foreign currency hedges will not reverse through the income statement in future periods. At June 30, 2019 and December 31, 2018, the carrying amount excluded for available-for-sale securities is $14.4 billion and $14.6 billion , respectively, and for long-term debt is $6.0 billion and $7.3 billion , respectively. (c) Carrying amount represents the amortized cost. (d) Represents hedged items no longer designated in qualifying fair value hedging relationships for which an associated basis adjustment exists at the balance sheet date.
Cash flow hedge gains and lossesThe following tables present derivative instruments, by contract type, used in cash flow hedge accounting relationships, and the pre-tax gains/(losses) recorded on such derivatives, for the three and six months ended June 30, 2019 and 2018 , respectively. The Firm includes the gain/(loss) on the hedging derivative in the same line item in the Consolidated statements of income as the change in cash flows on the related hedged item . Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Three months ended June 30, 2019 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change Contract type Interest rate (a) $ 2 $ 155 $ 153 Foreign exchange (b) (28 ) (54 ) (26 ) Total $ (26 ) $ 101 $ 127 Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Three months ended June 30, 2018 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change Contract type Interest rate (a) $ 13 $ (33 ) $ (46 ) Foreign exchange (b) 6 (166 ) (172 ) Total $ 19 $ (199 ) $ (218 ) Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Six months ended June 30, 2019 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change in OCI for period Contract type Interest rate (a) $ 4 $ 211 $ 207 Foreign exchange (b) (69 ) 31 100 Total $ (65 ) $ 242 $ 307 Derivatives gains/(losses) recorded in income and other comprehensive income/(loss) Six months ended June 30, 2018 Amounts reclassified from AOCI to income Amounts recorded in OCI Total change in OCI for period Contract type Interest rate (a) $ 26 $ (111 ) $ (137 ) Foreign exchange (b) 45 (132 ) (177 ) Total $ 71 $ (243 ) $ (314 ) (a) Primarily consists of hedges of LIBOR-indexed floating-rate assets and floating-rate liabilities. Gains and losses were recorded in net interest income. (b)
Net investment hedge gains and lossesThe following table presents hedging instruments, by contract type, that were used in net investment hedge accounting relationships, and the pre-tax gains/(losses) recorded on such instruments for the three and six months ended June 30, 2019 and 2018 . Gains/(losses) recorded in income and other comprehensive income/(loss) 2019 2018 Three months ended June 30, Amounts recorded in income (a)(b) Amounts recorded in OCI Amounts recorded in income (a)(b)(c) Amounts recorded in OCI Foreign exchange derivatives $ 27 $ (123 ) $ — $ 1,204 Gains/(losses) recorded in income and other comprehensive income/(loss) 2019 2018 Six months ended June 30, Amounts recorded in income (a)(b) Amounts recorded in OCI Amounts recorded in income (a)(b)(c) Amounts recorded in OCI Foreign exchange derivatives $ 48 $ (161 ) $ (10 ) $ 815 (a) Certain components of hedging derivatives are permitted to be excluded from the assessment of hedge effectiveness, such as forward points on foreign exchange forward contracts. The Firm elects to record changes in fair value of these amounts directly in other income. (b) Excludes amounts reclassified from AOCI to income on the sale or liquidation of hedged entities. For additional information, refer to Note 19. (c) The prior period amount has been revised to conform with the current period presentation.
Risk management derivatives gains and losses (not designated as hedging instruments)The following table presents pre-tax gains/(losses) recorded on a limited number of derivatives, not designated in hedge accounting relationships, that are used to manage risks associated with certain specified assets and liabilities, including certain risks arising from the mortgage pipeline, warehouse loans, MSRs, wholesale lending exposures, and foreign currency-denominated assets and liabilities. Derivatives gains/(losses) recorded in income Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Contract type Interest rate (a) $ 657 $ (25 ) $ 949 $ (235 ) Credit (b) (2 ) (3 ) (12 ) (10 ) Foreign exchange (c)(d) (75 ) 133 (25 ) 103 Total (d) $ 580 $ 105 $ 912 $ (142 ) (a) Primarily represents interest rate derivatives used to hedge the interest rate risk inherent in the mortgage pipeline, warehouse loans and MSRs, as well as written commitments to originate warehouse loans. Gains and losses were recorded predominantly in mortgage fees and related income. (b) Relates to credit derivatives used to mitigate credit risk associated with lending exposures in the Firm’s wholesale businesses. These derivatives do not include credit derivatives used to mitigate counterparty credit risk arising from derivative receivables, which is included in gains and losses on derivatives related to market-making activities and other derivatives. Gains and losses were recorded in principal transactions revenue. (c) Primarily relates to derivatives used to mitigate foreign exchange risk of specified foreign currency-denominated assets and liabilities. Gains and losses were recorded in principal transactions revenue. (d) The prior period amounts have been revised to conform with the current period presentation.
Credit derivatives tableTotal credit derivatives and credit-related notes Maximum payout/Notional amount June 30, 2019 (in millions) Protection sold Protection purchased with identical underlyings (b) Net protection (sold)/purchased (c) Other protection purchased (d) Credit derivatives Credit default swaps $ (579,081 ) $ 590,894 $ 11,813 $ 4,323 Other credit derivatives (a) (50,031 ) 60,725 10,694 9,111 Total credit derivatives (629,112 ) 651,619 22,507 13,434 Credit-related notes — — — 8,812 Total $ (629,112 ) $ 651,619 $ 22,507 $ 22,246 Maximum payout/Notional amount December 31, 2018 (in millions) Protection sold Protection purchased with identical underlyings (b) Net protection (sold)/purchased (c) Other protection purchased (d) Credit derivatives Credit default swaps $ (697,220 ) $ 707,282 $ 10,062 $ 4,053 Other credit derivatives (a) (41,244 ) 42,484 1,240 8,488 Total credit derivatives (738,464 ) 749,766 11,302 12,541 Credit-related notes — — — 8,425 Total $ (738,464 ) $ 749,766 $ 11,302 $ 20,966 (a) Other credit derivatives predominantly consist of credit swap options and total return swaps. (b) Represents the total notional amount of protection purchased where the underlying reference instrument is identical to the reference instrument on protection sold; the notional amount of protection purchased for each individual identical underlying reference instrument may be greater or lower than the notional amount of protection sold. (c) Does not take into account the fair value of the reference obligation at the time of settlement, which would generally reduce the amount the seller of protection pays to the buyer of protection in determining settlement value. (d) Represents protection purchased by the Firm on referenced instruments (single-name, portfolio or index) where the Firm has not sold any protection on the identical reference instrument.
Protection sold - credit derivatives and credit-related notes ratings/maturity profileThe following tables summarize the notional amounts by the ratings, maturity profile, and total fair value, of credit derivatives and credit-related notes as of June 30, 2019 , and December 31, 2018 , where JPMorgan Chase is the seller of protection. The maturity profile is based on the remaining contractual maturity of the credit derivative contracts. The ratings profile is based on the rating of the reference entity on which the credit derivative contract is based. The ratings and maturity profile of credit derivatives and credit-related notes where JPMorgan Chase is the purchaser of protection are comparable to the profile reflected below. Protection sold — credit derivatives and credit-related notes ratings (a) /maturity profile June 30, 2019 <1 year 1–5 years >5 years Total notional amount Fair value of receivables (b) Fair value of payables (b) Net fair value Risk rating of reference entity Investment-grade $ (103,901 ) $ (332,277 ) $ (39,334 ) $ (475,512 ) $ 5,678 $ (1,699 ) $ 3,979 Noninvestment-grade (41,328 ) (99,938 ) (12,334 ) (153,600 ) 4,007 (3,612 ) 395 Total $ (145,229 ) $ (432,215 ) $ (51,668 ) $ (629,112 ) $ 9,685 $ (5,311 ) $ 4,374 December 31, 2018 <1 year 1–5 years >5 years Total notional amount Fair value of receivables (b) Fair value of payables (b) Net fair value Risk rating of reference entity Investment-grade $ (115,443 ) $ (402,325 ) $ (43,611 ) $ (561,379 ) $ 5,720 $ (2,791 ) $ 2,929 Noninvestment-grade (45,897 ) (119,348 ) (11,840 ) (177,085 ) 4,719 (5,660 ) (941 ) Total $ (161,340 ) $ (521,673 ) $ (55,451 ) $ (738,464 ) $ 10,439 $ (8,451 ) $ 1,988 (a) The ratings scale is primarily based on external credit ratings defined by S&P and Moody’s. (b)

Noninterest Revenue and Nonin_2

Noninterest Revenue and Noninterest Expense (Tables)6 Months Ended
Jun. 30, 2019
Noninterest Income (Expense) [Abstract]
Components of investment banking feesThe following table presents the components of investment banking fees. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Underwriting Equity $ 515 $ 573 $ 776 $ 925 Debt 820 964 1,765 1,760 Total underwriting 1,335 1,537 2,541 2,685 Advisory 516 631 1,150 1,219 Total investment banking fees $ 1,851 $ 2,168 $ 3,691 $ 3,904
Principal transactions revenueThe following table presents all realized and unrealized gains and losses recorded in principal transactions revenue. This table excludes interest income and interest expense on trading assets and liabilities, which are an integral part of the overall performance of the Firm’s client-driven market-making activities in CIB and cash deployment activities in Treasury and CIO. Refer to Note 6 for further information on interest income and interest expense. Trading revenue is presented primarily by instrument type. The Firm’s client-driven market-making businesses generally utilize a variety of instrument types in connection with their market-making and related risk-management activities; accordingly, the trading revenue presented in the table below is not representative of the total revenue of any individual line of business. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Trading revenue by instrument type Interest rate $ 461 $ 672 $ 1,066 $ 1,446 Credit 488 648 1,047 1,028 Foreign exchange 729 745 1,617 1,769 Equity 1,912 1,386 3,527 3,013 Commodity 227 246 610 523 Total trading revenue 3,817 3,697 7,867 7,779 Private equity gains/(losses) (103 ) 85 (77 ) (45 ) Principal transactions $ 3,714 $ 3,782 $ 7,790 $ 7,734
Components of lending and deposit-related feesThe following table presents the components of lending- and deposit-related fees. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Lending-related fees $ 285 $ 280 $ 575 $ 554 Deposit-related fees 1,250 1,215 2,442 2,418 Total lending- and deposit-related fees $ 1,535 $ 1,495 $ 3,017 $ 2,972
Components of asset management, administration and commissionsThe following table presents the components of Firmwide asset management, administration and commissions. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Asset management fees Investment management fees (a) $ 2,698 $ 2,671 $ 5,275 $ 5,365 All other asset management fees (b) 78 66 147 132 Total asset management fees 2,776 2,737 5,422 5,497 Total administration fees (c) 544 557 1,079 1,118 Commissions and other fees Brokerage commissions 641 631 1,227 1,283 All other commissions and fees 392 379 739 715 Total commissions and fees 1,033 1,010 1,966 1,998 Total asset management, administration and commissions $ 4,353 $ 4,304 $ 8,467 $ 8,613 (a) Represents fees earned from managing assets on behalf of the Firm’s clients, including investors in Firm-sponsored funds and owners of separately managed investment accounts. (b) Represents fees for services that are ancillary to investment management services, such as commissions earned on the sales or distribution of mutual funds to clients. (c) Predominantly includes fees for custody, securities lending, funds services and securities clearance.
Schedule of components of card incomeThe following table presents the components of card income: Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Interchange and merchant processing income $ 5,184 $ 4,723 $ 9,905 $ 9,082 Rewards costs and partner payments (a) (3,610 ) (3,527 ) (6,846 ) (6,411 ) Other card income (b) (208 ) (176 ) (419 ) (376 ) Total card income $ 1,366 $ 1,020 $ 2,640 $ 2,295 (a) The three and six months ended June 30, 2018, included an adjustment to the credit card rewards liability of approximately $330 million . (b) Predominantly represents annual fees and new account origination costs, which are deferred and recognized on a straight-line basis over a 12 -month period.
Components of noninterest expenseOther expense on the Firm’s Consolidated statements of income included the following: Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Legal expense/(benefit) $ 69 $ — $ (12 ) $ 70 FDIC-related expense 121 368 264 751

Interest Income and Interest _2

Interest Income and Interest Expense (Tables)6 Months Ended
Jun. 30, 2019
Interest Income (Expense), Net [Abstract]
Details of interest income and interest expenseThe following table presents the components of interest income and interest expense. Three months ended Six months ended (in millions) 2019 2018 2019 2018 Interest income Loans (a) $ 12,726 $ 11,634 $ 25,606 $ 22,708 Taxable securities 1,875 1,383 3,580 2,696 Non-taxable securities (b) 340 395 703 805 Total investment securities (a) 2,215 1,778 4,283 3,501 Trading assets - debt instruments 2,915 2,111 5,684 4,214 Federal funds sold and securities purchased under resale agreements 1,676 807 3,323 1,538 Securities borrowed (c) 467 190 864 301 Deposits with banks 1,132 1,543 2,302 2,864 All other interest-earning assets (c)(d) 472 503 930 934 Total interest income (c) 21,603 18,566 42,992 36,060 Interest expense Interest-bearing deposits 2,413 1,340 4,601 2,400 Federal funds purchased and securities loaned or sold under repurchase agreements 1,226 759 2,336 1,337 Short-term borrowings (e) 363 260 790 469 Trading liabilities – debt and all other interest-bearing liabilities (c)(f) 762 598 1,481 1,057 Long-term debt 2,266 2,003 4,608 3,756 Beneficial interest issued by consolidated VIEs 175 121 325 244 Total interest expense (c) 7,205 5,081 14,141 9,263 Net interest income 14,398 13,485 28,851 26,797 Provision for credit losses 1,149 1,210 2,644 2,375 Net interest income after provision for credit losses $ 13,249 $ 12,275 $ 26,207 $ 24,422 (a) Includes the amortization/accretion of unearned income (e.g., purchase premiums/discounts, net deferred fees/costs, etc.). (b) Represents securities which are tax-exempt for U.S. federal income tax purposes. (c) In the second quarter of 2019, the Firm implemented certain presentation changes that impacted interest income and interest expense, but had no effect on net interest income. These changes were made to align the accounting treatment between the balance sheet and the related interest income or expense, primarily by offsetting interest income and expense for certain prime brokerage-related held-for-investment customer receivables and payables that are currently presented as a single margin account on the balance sheet. These changes were applied retrospectively and, accordingly, prior period amounts were revised to conform with the current presentation. (d) Includes prime brokerage-related held-for-investment customer receivables, which are classified in accrued interest and accounts receivable, and all other interest-earning assets which are classified in other assets on the Consolidated balance sheets. (e) Includes commercial paper. (f) Other interest-bearing liabilities include prime brokerage-related customer payables.

Pension and Other Postretirem_2

Pension and Other Postretirement Employee Benefit Plans (Tables)6 Months Ended
Jun. 30, 2019
Retirement Benefits [Abstract]
Components of net periodic benefit costs reported in the Consolidated Statements of IncomeThe following table presents the components of net periodic benefit costs reported in the Consolidated statements of income for the Firm’s U.S. and non-U.S. defined benefit pension, defined contribution and OPEB plans. (in millions) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 2019 2018 2019 2018 Pension plans OPEB plans Pension plans OPEB plans Components of net periodic benefit cost Benefits earned during the period $ 89 $ 89 $ — $ — $ 178 $ 179 $ — $ — Interest cost on benefit obligations 149 139 6 6 299 278 12 12 Expected return on plan assets (229 ) (247 ) (28 ) (26 ) (459 ) (495 ) (56 ) (52 ) Amortization: Net (gain)/loss 41 26 — — 83 52 — — Prior service (credit)/cost 1 (6 ) — — 2 (12 ) — — Net periodic defined benefit cost 51 1 (22 ) (20 ) 103 2 (44 ) (40 ) Other defined benefit pension plans (a) 7 9 NA NA 13 15 NA NA Total defined benefit plans 58 10 (22 ) (20 ) 116 17 (44 ) (40 ) Total defined contribution plans 243 222 NA NA 463 432 NA NA Total pension and OPEB cost included in noninterest expense $ 301 $ 232 $ (22 ) $ (20 ) $ 579 $ 449 $ (44 ) $ (40 ) (a) Includes various defined benefit pension plans which are individually immaterial.
Schedule of Fair Values of Plan AssetsThe following table presents the fair values of plan assets for the U.S. defined benefit pension and OPEB plans and for the material non-U.S. defined benefit pension plans. (in billions) June 30, December 31, 2018 Fair value of plan assets Defined benefit pension plans $ 19.7 $ 18.1 OPEB plans 2.9 2.6

Employee Share-based Incentiv_2

Employee Share-based Incentives (Tables)6 Months Ended
Jun. 30, 2019
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Noncash compensation expense related to employee stock-based incentive plansThe Firm recognized the following noncash compensation expense related to its various employee share-based incentive plans in its Consolidated statements of income. Three months ended Six months ended (in millions) 2019 2018 2019 2018 Cost of prior grants of RSUs, performance share units (“PSUs”) and stock appreciation rights (“SARs”) that are amortized over their applicable vesting periods $ 278 $ 276 $ 617 $ 674 Accrual of estimated costs of share-based awards to be granted in future periods including those to full-career eligible employees 292 304 606 612 Total noncash compensation expense related to employee share-based incentive plans $ 570 $ 580 $ 1,223 $ 1,286

Investment Securities (Tables)

Investment Securities (Tables)6 Months Ended
Jun. 30, 2019
Investments, Debt and Equity Securities [Abstract]
Amortized costs and estimated fair valuesThe amortized costs and estimated fair values of the investment securities portfolio were as follows for the dates indicated. June 30, 2019 December 31, 2018 (in millions) Amortized cost Gross unrealized gains Gross unrealized losses Fair value Amortized cost Gross unrealized gains Gross unrealized losses Fair value Available-for-sale securities Mortgage-backed securities: U.S. government agencies (a) $ 94,723 $ 1,979 $ 86 $ 96,616 $ 69,026 $ 594 $ 974 $ 68,646 Residential: U.S. 9,872 272 5 10,139 5,877 79 31 5,925 Non-U.S. 2,534 69 2 2,601 2,529 72 6 2,595 Commercial 5,910 90 11 5,989 6,758 43 147 6,654 Total mortgage-backed securities 113,039 2,410 104 115,345 84,190 788 1,158 83,820 U.S. Treasury and government agencies 73,919 240 169 73,990 55,771 366 78 56,059 Obligations of U.S. states and municipalities 29,869 2,033 1 31,901 36,221 1,582 80 37,723 Certificates of deposit 74 — — 74 75 — — 75 Non-U.S. government debt securities 22,017 483 8 22,492 23,771 351 20 24,102 Corporate debt securities 1,736 44 2 1,778 1,904 23 9 1,918 Asset-backed securities: Collateralized loan obligations 24,827 16 62 24,781 19,612 1 176 19,437 Other 5,945 61 10 5,996 7,225 57 22 7,260 Total available-for-sale securities 271,426 5,287 356 276,357 228,769 3,168 1,543 230,394 Held-to-maturity securities Mortgage-backed securities: U.S. government agencies (a) 26,097 915 12 27,000 26,610 134 200 26,544 Total mortgage-backed securities 26,097 915 12 27,000 26,610 134 200 26,544 Obligations of U.S. states and municipalities 4,810 262 — 5,072 4,824 105 15 4,914 Total held-to-maturity securities 30,907 1,177 12 32,072 31,434 239 215 31,458 Total investment securities $ 302,333 $ 6,464 $ 368 $ 308,429 $ 260,203 $ 3,407 $ 1,758 $ 261,852 (a) Includes AFS U.S. government-sponsored enterprise obligations with fair values of $69.8 billion and $50.7 billion , and HTM U.S. government-sponsored enterprise obligations with amortized cost of $20.7 billion and $20.9 billion , at June 30, 2019 , and December 31, 2018 , respectively. As of June 30, 2019 , mortgage-backed securities issued by Fannie Mae and Freddie Mac each exceeded 10% of JPMorgan Chase’s total stockholders’ equity; the amortized cost and fair value of such securities was $59.7 billion and $61.4 billion , and $29.2 billion and $30.0 billion , respectively.
Securities impairmentThe following tables present the fair value and gross unrealized losses for investment securities by aging category at June 30, 2019 , and December 31, 2018 . Investment securities with gross unrealized losses Less than 12 months 12 months or more June 30, 2019 (in millions) Fair value Gross unrealized losses Fair value Gross unrealized losses Total fair value Total gross unrealized losses Available-for-sale securities Mortgage-backed securities: U.S. government agencies $ 5,701 $ 48 $ 5,704 $ 38 $ 11,405 $ 86 Residential: U.S. 3 — 681 5 684 5 Non-U.S. 122 — 559 2 681 2 Commercial 420 1 843 10 1,263 11 Total mortgage-backed securities 6,246 49 7,787 55 14,033 104 U.S. Treasury and government agencies 38,553 169 — — 38,553 169 Obligations of U.S. states and municipalities — — 205 1 205 1 Certificates of deposit 74 — — — 74 — Non-U.S. government debt securities 3,923 5 897 3 4,820 8 Corporate debt securities 47 — 115 2 162 2 Asset-backed securities: Collateralized loan obligations 7,766 16 6,034 46 13,800 62 Other 604 3 2,055 7 2,659 10 Total available-for-sale securities 57,213 242 17,093 114 74,306 356 Held-to-maturity securities Mortgage-backed securities U.S. government agencies 1 — 2,747 12 2,748 12 Total mortgage-backed securities 1 — 2,747 12 2,748 12 Obligations of U.S. states and municipalities — — — — — — Total held-to-maturity securities 1 — 2,747 12 2,748 12 Total investment securities with gross unrealized losses $ 57,214 $ 242 $ 19,840 $ 126 $ 77,054 $ 368 Investment securities with gross unrealized losses Less than 12 months 12 months or more December 31, 2018 (in millions) Fair value Gross unrealized losses Fair value Gross unrealized losses Total fair value Total gross unrealized losses Available-for-sale securities Mortgage-backed securities: U.S. government agencies $ 17,656 $ 318 $ 22,728 $ 656 $ 40,384 $ 974 Residential: U.S. 623 4 1,445 27 2,068 31 Non-U.S. 907 5 165 1 1,072 6 Commercial 974 6 3,172 141 4,146 147 Total mortgage-backed securities 20,160 333 27,510 825 47,670 1,158 U.S. Treasury and government agencies 4,792 7 2,391 71 7,183 78 Obligations of U.S. states and municipalities 1,808 15 2,477 65 4,285 80 Certificates of deposit 75 — — — 75 — Non-U.S. government debt securities 3,123 5 1,937 15 5,060 20 Corporate debt securities 478 8 37 1 515 9 Asset-backed securities: Collateralized loan obligations 18,681 176 — — 18,681 176 Other 1,208 6 2,354 16 3,562 22 Total available-for-sale securities 50,325 550 36,706 993 87,031 1,543 Held-to-maturity securities Mortgage-backed securities U.S. government agencies 4,385 23 7,082 177 11,467 200 Total mortgage-backed securities 4,385 23 7,082 177 11,467 200 Obligations of U.S. states and municipalities 12 — 1,114 15 1,126 15 Total held-to-maturity securities 4,397 23 8,196 192 12,593 215 Total investment securities with gross unrealized losses $ 54,722 $ 573 $ 44,902 $ 1,185 $ 99,624 $ 1,758
Securities gains and lossesThe following table presents realized gains and losses and OTTI from AFS securities that were recognized in income. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Realized gains $ 115 $ 9 $ 376 $ 79 Realized losses (71 ) (88 ) (319 ) (403 ) OTTI losses (a) — (1 ) — (1 ) Net investment securities gains/(losses) $ 44 $ (80 ) $ 57 $ (325 ) (a) Represents OTTI losses recognized in income on investment securities the Firm intends to sell. Excludes realized losses on securities sold of $20 million for the six months ended June 30, 2018 that had been previously reported as an OTTI loss due to the intention to sell the securities.
Amortized cost and estimated fair value by contractual maturityThe following table presents the amortized cost and estimated fair value at June 30, 2019 , of JPMorgan Chase ’s investment securities portfolio by contractual maturity. By remaining maturity June 30, 2019 (in millions) Due in one year or less Due after one year through five years Due after five years through 10 years Due after 10 years (b) Total Available-for-sale securities Mortgage-backed securities Amortized cost $ 287 $ 89 $ 9,642 $ 103,021 $ 113,039 Fair value 287 90 9,827 105,141 115,345 Average yield (a) 2.27 % 2.55 % 3.18 % 3.50 % 3.47 % U.S. Treasury and government agencies Amortized cost $ 4,550 $ 42,673 $ 18,309 $ 8,387 $ 73,919 Fair value 4,551 42,760 18,385 8,294 73,990 Average yield (a) 2.55 % 2.53 % 2.34 % 2.55 % 2.49 % Obligations of U.S. states and municipalities Amortized cost $ 158 $ 410 $ 1,317 $ 27,984 $ 29,869 Fair value 159 417 1,365 29,960 31,901 Average yield (a) 2.83 % 4.27 % 5.69 % 4.99 % 5.00 % Certificates of deposit Amortized cost $ 74 $ — $ — $ — $ 74 Fair value 74 — — — 74 Average yield (a) 0.49 % — % — % — % 0.49 % Non-U.S. government debt securities Amortized cost $ 6,497 $ 11,961 $ 3,559 $ — $ 22,017 Fair value 6,504 12,246 3,742 — 22,492 Average yield (a) 2.38 % 1.94 % 1.20 % — % 1.95 % Corporate debt securities Amortized cost $ 120 $ 910 $ 561 $ 145 $ 1,736 Fair value 121 932 572 153 1,778 Average yield (a) 4.89 % 4.34 % 4.12 % 4.58 % 4.33 % Asset-backed securities Amortized cost $ — $ 2,345 $ 8,197 $ 20,230 $ 30,772 Fair value — 2,348 8,195 20,234 30,777 Average yield (a) — % 2.91 % 3.32 % 3.27 % 3.25 % Total available-for-sale securities Amortized cost $ 11,686 $ 58,388 $ 41,585 $ 159,767 $ 271,426 Fair value 11,696 58,793 42,086 163,782 276,357 Average yield (a) 2.46 % 2.46 % 2.76 % 3.68 % 3.23 % Held-to-maturity securities Mortgage-backed securities Amortized cost $ — $ — $ 4,293 $ 21,804 $ 26,097 Fair value — — 4,576 22,424 27,000 Average yield (a) — % — % 3.37 % 3.33 % 3.34 % Obligations of U.S. states and municipalities Amortized cost $ — $ — $ 32 $ 4,778 $ 4,810 Fair value — — 34 5,038 5,072 Average yield (a) — % — % 3.82 % 4.02 % 4.01 % Total held-to-maturity securities Amortized cost $ — $ — $ 4,325 $ 26,582 $ 30,907 Fair value — — 4,610 27,462 32,072 Average yield (a) — % — % 3.38 % 3.45 % 3.44 % (a) Average yield is computed using the effective yield of each security owned at the end of the period, weighted based on the amortized cost of each security. The effective yield considers the contractual coupon, amortization of premiums and accretion of discounts, and the effect of related hedging derivatives. Taxable-equivalent amounts are used where applicable. The effective yield excludes unscheduled principal prepayments; and accordingly, actual maturities of securities may differ from their contractual or expected maturities as certain securities may be prepaid. (b) Substantially all of the Firm’s U.S. residential MBS and collateralized mortgage obligations are due in 10 years or more, based on contractual maturity. The estimated weighted-average life, which reflects anticipated future prepayments, is approximately 6 years for agency residential MBS, 3 years for agency residential collateralized mortgage obligations and 3 years for nonagency residential collateralized mortgage obligations.

Securities Financing Activiti_2

Securities Financing Activities (Tables)6 Months Ended
Jun. 30, 2019
Securities Financing Transactions Disclosures [Abstract]
Schedule of securities sold under repurchase agreements, netting & securities loanedThe table below summarizes the gross and net amounts of the Firm’s securities financing agreements as of June 30, 2019 and December 31, 2018 . When the Firm has obtained an appropriate legal opinion with respect to a master netting agreement with a counterparty and where other relevant netting criteria under U.S. GAAP are met, the Firm nets, on the Consolidated balance sheets, the balances outstanding under its securities financing agreements with the same counterparty. In addition, the Firm exchanges securities and/or cash collateral with its counterparty to reduce the economic exposure with the counterparty, but such collateral is not eligible for net Consolidated balance sheet presentation. Where the Firm has obtained an appropriate legal opinion with respect to the counterparty master netting agreement, such collateral, along with securities financing balances that do not meet all these relevant netting criteria under U.S. GAAP, is presented in the table below as “Amounts not nettable on the Consolidated balance sheets,” and reduces the “Net amounts” presented. Where a legal opinion has not been either sought or obtained, the securities financing balances are presented gross in the “Net amounts” below. June 30, 2019 (in millions) Gross amounts Amounts netted on the Consolidated balance sheets Amounts presented on the Consolidated balance sheets (b) Amounts not nettable on the Consolidated balance sheets (c) Net amounts (d) Assets Securities purchased under resale agreements $ 710,885 $ (443,021 ) $ 267,864 $ (256,036 ) $ 11,828 Securities borrowed 153,413 (22,752 ) 130,661 (96,512 ) 34,149 Liabilities Securities sold under repurchase agreements $ 635,858 $ (443,021 ) $ 192,837 $ (171,175 ) $ 21,662 Securities loaned and other (a) 33,408 (22,752 ) 10,656 (10,410 ) 246 December 31, 2018 (in millions) Gross amounts Amounts netted on the Consolidated balance sheets Amounts presented on the Consolidated balance sheets (b) Amounts not nettable on the Consolidated balance sheets (c) Net amounts (d) Assets Securities purchased under resale agreements $ 691,116 $ (369,612 ) $ 321,504 $ (308,854 ) $ 12,650 Securities borrowed 132,955 (20,960 ) 111,995 (79,747 ) 32,248 Liabilities Securities sold under repurchase agreements $ 541,587 $ (369,612 ) $ 171,975 $ (149,125 ) $ 22,850 Securities loaned and other (a) 33,700 (20,960 ) 12,740 (12,358 ) 382 (a) Includes securities-for-securities lending agreements of $2.9 billion and $3.3 billion at June 30, 2019 and December 31, 2018 , respectively, accounted for at fair value, where the Firm is acting as lender. These amounts are presented within accounts payable and other liabilities in the Consolidated balance sheets. (b) Includes securities financing agreements accounted for at fair value. At June 30, 2019 and December 31, 2018 , included securities purchased under resale agreements of $14.0 billion and $13.2 billion , respectively; securities sold under repurchase agreements of $981 million and $935 million , respectively; and securities borrowed of $5.7 billion and $5.1 billion , respectively. There were no securities loaned accounted for at fair value in either period. (c) In some cases, collateral exchanged with a counterparty exceeds the net asset or liability balance with that counterparty. In such cases, the amounts reported in this column are limited to the related net asset or liability with that counterparty. (d) Includes securities financing agreements that provide collateral rights, but where an appropriate legal opinion with respect to the master netting agreement has not been either sought or obtained. At June 30, 2019 and December 31, 2018 , included $9.6 billion and $7.9 billion , respectively, of securities purchased under resale agreements; $31.9 billion and $30.3 billion , respectively, of securities borrowed; $20.2 billion and $21.5 billion , respectively, of securities sold under repurchase agreements; and $18 million and $25 million , respectively, of securities loaned and other.
Schedule of types of assets pledged in secured financing transactionsThe tables below present as of June 30, 2019 , and December 31, 2018 the types of financial assets pledged in securities financing agreements and the remaining contractual maturity of the securities financing agreements. Gross liability balance June 30, 2019 December 31, 2018 (in millions) Securities sold under repurchase agreements Securities loaned and other Securities sold under repurchase agreements Securities loaned and other Mortgage-backed securities U.S. government agencies $ 25,607 $ — $ 28,811 $ — Residential - nonagency 1,675 — 2,165 — Commercial - nonagency 1,654 — 1,390 — U.S. Treasury and government agencies 382,199 10 323,078 69 Obligations of U.S. states and municipalities 1,509 — 1,150 — Non-U.S. government debt 190,950 1,912 154,900 4,313 Corporate debt securities 13,151 1,301 13,898 428 Asset-backed securities 2,476 — 3,867 — Equity securities 16,637 30,185 12,328 28,890 Total $ 635,858 $ 33,408 $ 541,587 $ 33,700 Remaining contractual maturity of the agreements Overnight and continuous Greater than 90 days June 30, 2019 (in millions) Up to 30 days 30 – 90 days Total Total securities sold under repurchase agreements $ 342,097 $ 163,805 $ 64,822 $ 65,134 $ 635,858 Total securities loaned and other 29,654 1,228 514 2,012 33,408 Remaining contractual maturity of the agreements Overnight and continuous Greater than 90 days December 31, 2018 (in millions) Up to 30 days 30 – 90 days Total Total securities sold under repurchase agreements $ 247,579 $ 174,971 $ 71,637 $ 47,400 $ 541,587 Total securities loaned and other 28,402 997 2,132 2,169 33,700

Loans (Tables)

Loans (Tables)6 Months Ended
Jun. 30, 2019
Receivables [Abstract]
Loan portfolio segment descriptionsThe Firm’s loan portfolio is divided into three portfolio segments, which are the same segments used by the Firm to determine the allowance for loan losses: Consumer, excluding credit card; Credit card; and Wholesale. Within each portfolio segment the Firm monitors and assesses the credit risk in the following classes of loans, based on the risk characteristics of each loan class. Consumer, excluding credit card (a) Credit card Wholesale (f) Residential real estate – excluding PCI • Residential mortgage (b) • Home equity (c) Other consumer loans (d) • Auto • Consumer & Business Banking (e) Residential real estate – PCI • Home equity • Prime mortgage • Subprime mortgage • Option ARMs • Credit card loans • Commercial and industrial • Real estate • Financial institutions • Governments & Agencies • Other (g) (a) Includes loans held in CCB, prime mortgage and home equity loans held in AWM and prime mortgage loans held in Corporate . (b) Predominantly includes prime loans (including option ARMs). (c) Includes senior and junior lien home equity loans. (d) Includes certain business banking and auto dealer risk-rated loans that apply the wholesale methodology for determining the allowance for loan losses; these loans are managed by CCB, and therefore, for consistency in presentation, are included with the other consumer loan classes. (e) Predominantly includes Business Banking loans. (f) Includes loans held in CIB, CB, AWM and Corporate. Excludes prime mortgage and home equity loans held in AWM and prime mortgage loans held in Corporate. Classes are internally defined and may not align with regulatory definitions. (g) Includes loans to: individuals and individual entities (predominantly consists of Wealth Management clients within AWM and includes exposure to personal investment companies and personal and testamentary trusts), SPEs and Private education and civic organizations. For more information on SPEs, refer to Note 14 of JPMorgan Chase ’s 2018 Form 10-K .
Schedule of loans by portfolio segmentThe following tables summarize the Firm’s loan balances by portfolio segment. June 30, 2019 Consumer, excluding credit card Credit card (a) Wholesale Total (in millions) Retained $ 351,692 $ 157,568 $ 438,468 $ 947,728 (b) Held-for-sale 1,030 8 3,814 4,852 At fair value — — 4,309 4,309 Total $ 352,722 $ 157,576 $ 446,591 $ 956,889 December 31, 2018 Consumer, excluding credit card Credit card (a) Wholesale Total (in millions) Retained $ 373,637 $ 156,616 $ 439,162 $ 969,415 (b) Held-for-sale 95 16 11,877 11,988 At fair value — — 3,151 3,151 Total $ 373,732 $ 156,632 $ 454,190 $ 984,554 (a) Includes accrued interest and fees net of an allowance for the uncollectible portion of accrued interest and fee income. (b) Loans (other than PCI loans and loans for which the fair value option has been elected) are presented net of unamortized discounts and premiums and net deferred loan fees or costs. These amounts were not material as of June 30, 2019 , and December 31, 2018 . The following table provides information about retained consumer loans, excluding credit card, by class. (in millions) June 30, December 31, Residential real estate – excluding PCI Residential mortgage $ 214,744 $ 231,078 Home equity 26,017 28,340 Other consumer loans Auto 62,073 63,573 Consumer & Business Banking 26,616 26,612 Residential real estate – PCI Home equity 8,149 8,963 Prime mortgage 4,343 4,690 Subprime mortgage 1,857 1,945 Option ARMs 7,893 8,436 Total retained loans $ 351,692 $ 373,637
Schedule of retained loans purchased, sold and reclassified to held-for-saleThe following tables provide information about the carrying value of retained loans purchased, sold and reclassified to held-for-sale during the periods indicated. Reclassifications of loans to held-for sale are non-cash transactions. The Firm manages its exposure to credit risk on an ongoing basis. Selling loans is one way that the Firm reduces its credit exposures. Loans that were reclassified to held-for-sale and sold in a subsequent period are excluded from the sales line of this table. 2019 2018 Three months ended June 30, Consumer, excluding credit card Credit card Wholesale Total Consumer, excluding credit card Credit card Wholesale Total Purchases $ 234 (a)(b) $ — $ 359 $ 593 $ 532 (a)(b) $ — $ 532 $ 1,064 Sales 6,856 — 5,400 12,256 2,391 — 4,943 7,334 Retained loans reclassified to held-for-sale 948 — 924 1,872 — — 392 392 2019 2018 Six months ended June 30, Consumer, excluding credit card Credit card Wholesale Total Consumer, excluding credit card Credit card Wholesale Total Purchases $ 785 (a)(b) $ — $ 588 $ 1,373 $ 1,603 (a)(b) $ — $ 1,630 $ 3,233 Sales 15,514 — 10,845 26,359 2,872 — 8,632 11,504 Retained loans reclassified to held-for-sale 5,061 — 1,425 6,486 36 — 1,260 1,296 (a) Purchases predominantly represent the Firm’s voluntary repurchase of certain delinquent loans from loan pools as permitted by Government National Mortgage Association (“Ginnie Mae”) guidelines. The Firm typically elects to repurchase these delinquent loans as it continues to service them and/or manage the foreclosure process in accordance with applicable requirements of Ginnie Mae, FHA, RHS, and/or VA. (b) Excludes purchases of retained loans sourced through the correspondent origination channel and underwritten in accordance with the Firm’s standards. Such purchases were $4.3 billion and $5.3 billion for the three months ended June 30, 2019 and 2018 , respectively, and $7.5 billion and $8.9 billion for the six months ended June 30, 2019 and 2018 , respectively.
Schedule of financing receivable credit quality indicatorsThe following table provides information by class for retained residential real estate – excluding PCI loans. Residential real estate – excluding PCI loans (in millions, except ratios) Residential mortgage Home equity Total residential real estate – excluding PCI Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Loan delinquency (a) Current $ 211,426 $ 225,899 $ 25,423 $ 27,611 $ 236,849 $ 253,510 30–149 days past due 1,788 2,763 365 453 2,153 3,216 150 or more days past due 1,530 2,416 229 276 1,759 2,692 Total retained loans $ 214,744 $ 231,078 $ 26,017 $ 28,340 $ 240,761 $ 259,418 % of 30+ days past due to total retained loans (b) 0.46 % 0.48 % 2.28 % 2.57 % 0.66 % 0.71 % 90 or more days past due and government guaranteed (c) $ 1,422 $ 2,541 $ — $ — $ 1,422 $ 2,541 Nonaccrual loans 1,691 1,765 1,209 1,323 2,900 3,088 Current estimated LTV ratios (d)(e) Greater than 125% and refreshed FICO scores: Equal to or greater than 660 $ 19 $ 25 $ 5 $ 6 $ 24 $ 31 Less than 660 10 13 2 1 12 14 101% to 125% and refreshed FICO scores: Equal to or greater than 660 35 37 73 111 108 148 Less than 660 36 53 23 38 59 91 80% to 100% and refreshed FICO scores: Equal to or greater than 660 4,528 3,977 764 986 5,292 4,963 Less than 660 227 281 236 326 463 607 Less than 80% and refreshed FICO scores: Equal to or greater than 660 198,687 212,505 21,178 22,632 219,865 235,137 Less than 660 6,110 6,457 2,969 3,355 9,079 9,812 No FICO/LTV available 866 813 767 885 1,633 1,698 U.S. government-guaranteed 4,226 6,917 — — 4,226 6,917 Total retained loans $ 214,744 $ 231,078 $ 26,017 $ 28,340 $ 240,761 $ 259,418 Geographic region (f) California $ 71,176 $ 74,759 $ 5,327 $ 5,695 $ 76,503 $ 80,454 New York 26,684 28,847 5,276 5,769 31,960 34,616 Illinois 14,236 15,249 1,937 2,131 16,173 17,380 Texas 12,678 13,769 1,694 1,819 14,372 15,588 Florida 10,450 10,704 1,429 1,575 11,879 12,279 Washington 7,937 8,304 802 869 8,739 9,173 Colorado 7,801 8,140 467 521 8,268 8,661 New Jersey 6,608 7,302 1,504 1,642 8,112 8,944 Massachusetts 6,195 6,574 219 236 6,414 6,810 Arizona 4,074 4,434 1,042 1,158 5,116 5,592 All other (g) 46,905 52,996 6,320 6,925 53,225 59,921 Total retained loans $ 214,744 $ 231,078 $ 26,017 $ 28,340 $ 240,761 $ 259,418 (a) Individual delinquency classifications include mortgage loans insured by U.S. government agencies as follows: current included $1.9 billion and $2.8 billion ; 30 – 149 days past due included $1.2 billion and $2.1 billion ; and 150 or more days past due included $1.1 billion and $2.0 billion at June 30, 2019 , and December 31, 2018 , respectively. (b) At June 30, 2019 , and December 31, 2018 , residential mortgage loans excluded mortgage loans insured by U.S. government agencies of $2.3 billion and $4.1 billion , respectively, that are 30 or more days past due. These amounts have been excluded based upon the government guarantee. (c) These balances, which are 90 days or more past due, were excluded from nonaccrual loans as the loans are guaranteed by U.S government agencies. Typically the principal balance of the loans is insured and interest is guaranteed at a specified reimbursement rate subject to meeting agreed-upon servicing guidelines. At June 30, 2019 , and December 31, 2018 , these balances included $623 million and $999 million , respectively, of loans that are no longer accruing interest based on the agreed-upon servicing guidelines. For the remaining balance, interest is being accrued at the guaranteed reimbursement rate. There were no loans that were not guaranteed by U.S. government agencies that are 90 or more days past due and still accruing interest at June 30, 2019 , and December 31, 2018 . (d) Represents the aggregate unpaid principal balance of loans divided by the estimated current property value. Current property values are estimated, at a minimum, quarterly, based on home valuation models using nationally recognized home price index valuation estimates incorporating actual data to the extent available and forecasted data where actual data is not available. These property values do not represent actual appraised loan level collateral values; as such, the resulting ratios are necessarily imprecise and should be viewed as estimates. Current estimated combined LTV for junior lien home equity loans considers all available lien positions, as well as unused lines, related to the property. (e) Refreshed FICO scores represent each borrower’s most recent credit score, which is obtained by the Firm on at least a quarterly basis. (f) The geographic regions presented in the table are ordered based on the magnitude of the corresponding loan balances at June 30, 2019 . (g) At June 30, 2019 , and December 31, 2018 , included mortgage loans insured by U.S. government agencies of $4.2 billion and $6.9 billion , respectively. These amounts have been excluded from the geographic regions presented based upon the government guarantee. The table below provides information for other consumer retained loan classes, including auto and business banking loans. (in millions, except ratios) Auto Consumer & Business Banking Total other consumer Jun 30, 2019 Dec 31, 2018 Jun 30, 2019 Dec 31, 2018 Jun 30, 2019 Dec 31, 2018 Loan delinquency Current $ 61,562 $ 62,984 $ 26,289 $ 26,249 $ 87,851 $ 89,233 30–119 days past due 511 589 215 252 726 841 120 or more days past due — — 112 111 112 111 Total retained loans $ 62,073 $ 63,573 $ 26,616 $ 26,612 $ 88,689 $ 90,185 % of 30+ days past due to total retained loans 0.82 % 0.93 % 1.23 % 1.36 % 0.94 % 1.06 % Nonaccrual loans (a) 108 128 223 245 331 373 Geographic region (b) California $ 8,142 $ 8,330 $ 5,689 $ 5,520 $ 13,831 $ 13,850 Texas 6,524 6,531 3,060 2,993 9,584 9,524 New York 3,690 3,863 4,349 4,381 8,039 8,244 Illinois 3,625 3,716 1,731 2,046 5,356 5,762 Florida 3,256 3,256 1,519 1,502 4,775 4,758 Arizona 2,011 2,084 1,275 1,491 3,286 3,575 Ohio 1,927 1,973 1,210 1,305 3,137 3,278 New Jersey 1,936 1,981 811 723 2,747 2,704 Michigan 1,305 1,357 1,264 1,329 2,569 2,686 Louisiana 1,539 1,587 789 860 2,328 2,447 All other 28,118 28,895 4,919 4,462 33,037 33,357 Total retained loans $ 62,073 $ 63,573 $ 26,616 $ 26,612 $ 88,689 $ 90,185 Loans by risk ratings (c) Noncriticized $ 14,754 $ 15,749 $ 18,707 $ 18,743 $ 33,461 $ 34,492 Criticized performing 407 273 730 751 1,137 1,024 Criticized nonaccrual — — 171 191 171 191 (a) There were no loans that were 90 or more days past due and still accruing interest at June 30, 2019 , and December 31, 2018 . (b) The geographic regions presented in this table are ordered based on the magnitude of the corresponding loan balances at June 30, 2019 . (c) For risk-rated business banking and auto loans, the primary credit quality indicator is the risk rating of the loan, including whether the loans are considered to be criticized and/or nonaccrual. The table below sets forth information about the Firm’s consumer, excluding credit card, PCI loans. Home equity Prime mortgage Subprime mortgage Option ARMs Total PCI Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Carrying value (a) $ 8,149 $ 8,963 $ 4,343 $ 4,690 $ 1,857 $ 1,945 $ 7,893 $ 8,436 $ 22,242 $ 24,034 Loan delinquency (based on unpaid principal balance) Current $ 7,904 $ 8,624 $ 3,922 $ 4,226 $ 1,974 $ 2,033 $ 7,139 $ 7,592 $ 20,939 $ 22,475 30–149 days past due 239 278 256 259 254 286 372 398 1,121 1,221 150 or more days past due 193 242 185 223 105 123 395 457 878 1,045 Total loans $ 8,336 $ 9,144 $ 4,363 $ 4,708 $ 2,333 $ 2,442 $ 7,906 $ 8,447 $ 22,938 $ 24,741 % of 30+ days past due to total loans 5.18 % 5.69 % 10.11 % 10.24 % 15.39 % 16.75 % 9.70 % 10.12 % 8.71 % 9.16 % Current estimated LTV ratios (based on unpaid principal balance) (b)(c) Greater than 125% and refreshed FICO scores: Equal to or greater than 660 $ 15 $ 17 $ 2 $ 1 $ 2 $ — $ 3 $ 3 $ 22 $ 21 Less than 660 10 13 4 7 6 9 6 7 26 36 101% to 125% and refreshed FICO scores: Equal to or greater than 660 105 135 5 6 5 4 20 17 135 162 Less than 660 45 65 19 22 28 35 21 33 113 155 80% to 100% and refreshed FICO scores: Equal to or greater than 660 708 805 67 75 56 54 108 119 939 1,053 Less than 660 304 388 80 112 120 161 137 190 641 851 Lower than 80% and refreshed FICO scores: Equal to or greater than 660 5,241 5,548 2,692 2,689 820 739 5,143 5,111 13,896 14,087 Less than 660 1,678 1,908 1,306 1,568 1,196 1,327 2,165 2,622 6,345 7,425 No FICO/LTV available 230 265 188 228 100 113 303 345 821 951 Total unpaid principal balance $ 8,336 $ 9,144 $ 4,363 $ 4,708 $ 2,333 $ 2,442 $ 7,906 $ 8,447 $ 22,938 $ 24,741 Geographic region (based on unpaid principal balance) (d) California $ 4,942 $ 5,420 $ 2,381 $ 2,578 $ 568 $ 593 $ 4,517 $ 4,798 $ 12,408 $ 13,389 Florida 901 976 306 332 224 234 660 713 2,091 2,255 New York 485 525 350 365 259 268 470 502 1,564 1,660 Illinois 217 233 145 154 119 123 190 199 671 709 Washington 373 419 90 98 40 44 165 177 668 738 New Jersey 191 210 119 134 83 88 230 258 623 690 Massachusetts 59 65 108 113 71 73 226 240 464 491 Maryland 44 48 91 95 93 96 169 178 397 417 Virginia 49 54 84 91 35 37 197 211 365 393 Arizona 149 165 63 69 39 43 103 112 354 389 All other 926 1,029 626 679 802 843 979 1,059 3,333 3,610 Total unpaid principal balance $ 8,336 $ 9,144 $ 4,363 $ 4,708 $ 2,333 $ 2,442 $ 7,906 $ 8,447 $ 22,938 $ 24,741 (a) Carrying value includes the effect of fair value adjustments that were applied to the consumer PCI portfolio at the date of acquisition. (b) Represents the aggregate unpaid principal balance of loans divided by the estimated current property value. Current property values are estimated, at a minimum, quarterly, based on home valuation models using nationally recognized home price index valuation estimates incorporating actual data to the extent available and forecasted data where actual data is not available. These property values do not represent actual appraised loan level collateral values; as such, the resulting ratios are necessarily imprecise and should be viewed as estimates. Current estimated combined LTV for junior lien home equity loans considers all available lien positions, as well as unused lines, related to the property. (c) Refreshed FICO scores represent each borrower’s most recent credit score, which is obtained by the Firm on at least a quarterly basis. (d) The geographic regions presented in the table are ordered based on the magnitude of the corresponding loan balances at June 30, 2019 . Approximately 37% of the home equity portfolio are senior lien loans; the remaining balance are junior lien HELOANs or HELOCs. The following table provides the Firm’s delinquency statistics for junior lien home equity loans and lines of credit as of June 30, 2019 , and December 31, 2018 . Total loans Total 30+ day delinquency rate (in millions, except ratios) Jun 30, Dec 31, Jun 30, Dec 31, HELOCs: (a) Within the revolving period (b) $ 5,611 $ 5,608 0.32 % 0.25 % Beyond the revolving period 9,949 11,286 2.48 2.80 HELOANs 896 1,030 2.68 2.82 Total $ 16,456 $ 17,924 1.76 % 2.00 % (a) These HELOCs are predominantly revolving loans for a 10 -year period, after which time the HELOC converts to a loan with a 20 -year amortization period, but also include HELOCs that allow interest-only payments beyond the revolving period. (b) The Firm manages the risk of HELOCs during their revolving period by closing or reducing the undrawn line to the extent permitted by law when borrowers are experiencing financial difficulty. The following table represents the Firm’s delinquency statistics for PCI junior lien home equity loans and lines of credit based on the unpaid principal balance as of June 30, 2019 , and December 31, 2018 . Total loans Total 30+ day delinquency rate (in millions, except ratios) Jun 30, Dec 31, Jun 30, Dec 31, HELOCs (a)(b) 5,942 6,531 3.69 % 4.00 % HELOANs 250 280 3.60 3.57 Total $ 6,192 $ 6,811 3.68 % 3.98 % (a) In general, these HELOCs are revolving loans for a 10 -year period, after which time the HELOC converts to an interest-only loan with a balloon payment at the end of the loan’s term. Substantially all HELOCs are beyond the revolving period. (b) Includes loans modified into fixed rate amortizing loans. The table below sets forth information about the Firm’s credit card loans. (in millions, except ratios) June 30, December 31, Loan delinquency Current and less than 30 days past due and still accruing $ 154,876 $ 153,746 30–89 days past due and still accruing 1,323 1,426 90 or more days past due and still accruing 1,369 1,444 Total retained loans $ 157,568 $ 156,616 Loan delinquency ratios % of 30+ days past due to total retained loans 1.71 % 1.83 % % of 90+ days past due to total retained loans 0.87 0.92 Geographic region (a) California $ 24,047 $ 23,757 Texas 15,495 15,085 New York 13,676 13,601 Florida 9,867 9,770 Illinois 9,038 8,938 New Jersey 6,721 6,739 Ohio 5,060 5,094 Pennsylvania 4,900 4,996 Colorado 4,477 4,309 Michigan 3,885 3,912 All other 60,402 60,415 Total retained loans $ 157,568 $ 156,616 Percentage of portfolio based on carrying value with estimated refreshed FICO scores Equal to or greater than 660 84.0 % 84.2 % Less than 660 14.7 15.0 No FICO available 1.3 0.8 (a) The geographic regions presented in the table are ordered based on the magnitude of the corresponding loan balances at June 30, 2019 . The following table presents additional information on the real estate class of loans within the Wholesale portfolio for the periods indicated. For further information on real estate loans, refer to Note 12 of JPMorgan Chase ’s 2018 Form 10-K . (in millions, except ratios) Multifamily Other commercial Total real estate loans Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Real estate retained loans $ 78,643 $ 79,184 $ 36,960 $ 36,553 $ 115,603 $ 115,737 Criticized exposure 548 388 358 366 906 754 % of total criticized exposure to total real estate retained loans 0.70 % 0.49 % 0.97 % 1.00 % 0.78 % 0.65 % Criticized nonaccrual $ 38 $ 57 $ 53 $ 77 $ 91 $ 134 % of criticized nonaccrual loans to total real estate retained loans 0.05 % 0.07 % 0.14 % 0.21 % 0.08 % 0.12 % The table below provides information by class of receivable for the retained loans in the Wholesale portfolio segment. Commercial and industrial Real estate Financial Governments & Agencies Other (d) Total (in millions, except ratios) Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Loans by risk ratings Investment-grade $ 67,490 $ 73,497 $ 100,115 $ 100,107 $ 36,432 $ 32,178 $ 13,431 $ 13,984 $ 119,720 $ 119,963 $ 337,188 $ 339,729 Noninvestment-grade: Noncriticized 54,639 51,720 14,582 14,876 14,779 15,316 258 201 10,756 11,478 95,014 93,591 Criticized performing 3,478 3,738 815 620 198 150 3 2 534 182 5,028 4,692 Criticized nonaccrual 933 851 91 134 10 4 — — 204 161 1,238 1,150 Total noninvestment- grade 59,050 56,309 15,488 15,630 14,987 15,470 261 203 11,494 11,821 101,280 99,433 Total retained loans $ 126,540 $ 129,806 $ 115,603 $ 115,737 $ 51,419 $ 47,648 $ 13,692 $ 14,187 $ 131,214 $ 131,784 $ 438,468 $ 439,162 % of total criticized exposure to total retained loans 3.49 % 3.54 % 0.78 % 0.65 % 0.40 % 0.32 % 0.02 % 0.01 % 0.56 % 0.26 % 1.43 % 1.33 % % of criticized nonaccrual to total retained loans 0.74 0.66 0.08 0.12 0.02 0.01 — — 0.16 0.12 0.28 0.26 Loans by geographic distribution (a) Total non-U.S. $ 31,054 $ 29,572 $ 3,248 $ 2,967 $ 16,632 $ 18,524 $ 2,753 $ 3,150 $ 47,473 $ 48,433 $ 101,160 $ 102,646 Total U.S. 95,486 100,234 112,355 112,770 34,787 29,124 10,939 11,037 83,741 83,351 337,308 336,516 Total retained loans $ 126,540 $ 129,806 $ 115,603 $ 115,737 $ 51,419 $ 47,648 $ 13,692 $ 14,187 $ 131,214 $ 131,784 $ 438,468 $ 439,162 Loan delinquency (b) Current and less than 30 days past due and still accruing $ 125,003 $ 128,678 $ 115,409 $ 115,533 $ 51,377 $ 47,622 $ 13,687 $ 14,165 $ 130,246 $ 130,918 $ 435,722 $ 436,916 30–89 days past due and still accruing 493 109 99 67 31 12 3 18 764 702 1,390 908 90 or more days past due and still accruing (c) 111 168 4 3 1 10 2 4 — 3 118 188 Criticized nonaccrual 933 851 91 134 10 4 — — 204 161 1,238 1,150 Total retained loans $ 126,540 $ 129,806 $ 115,603 $ 115,737 $ 51,419 $ 47,648 $ 13,692 $ 14,187 $ 131,214 $ 131,784 $ 438,468 $ 439,162 (a) The U.S. and non-U.S. distribution is determined based predominantly on the domicile of the borrower. (b) The credit quality of wholesale loans is assessed primarily through ongoing review and monitoring of an obligor’s ability to meet contractual obligations rather than relying on the past due status, which is generally a lagging indicator of credit quality. For a further discussion, refer to Note 12 of JPMorgan Chase ’s 2018 Form 10-K . (c) Represents loans that are considered well-collateralized and therefore still accruing interest. (d) Other includes individuals and individual entities (predominantly consists of Wealth Management clients within AWM and includes exposure to personal investment companies and personal and testamentary trusts), SPEs and Private education and civic organizations. For more information on SPEs, refer to Note 14 of JPMorgan Chase ’s 2018 Form 10-K .
Schedule of impaired financing receivablesThe table below sets forth information about the Firm’s residential real estate impaired loans, excluding PCI loans. These loans are considered to be impaired as they have been modified in a TDR. All impaired loans are evaluated for an asset-specific allowance as described in Note 13 of JPMorgan Chase ’s 2018 Form 10-K . Residential mortgage Home equity Total residential real estate – excluding PCI Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Impaired loans With an allowance $ 3,173 $ 3,381 $ 1,089 $ 1,142 $ 4,262 $ 4,523 Without an allowance (a) 1,208 1,184 865 870 2,073 2,054 Total impaired loans (b)(c) $ 4,381 $ 4,565 $ 1,954 $ 2,012 $ 6,335 $ 6,577 Allowance for loan losses related to impaired loans $ 60 $ 88 $ 17 $ 45 $ 77 $ 133 Unpaid principal balance of impaired loans (d) 5,965 6,207 3,362 3,466 9,327 9,673 Impaired loans on nonaccrual status (e) 1,436 1,459 946 955 2,382 2,414 (a) Represents collateral-dependent residential real estate loans that are charged off to the fair value of the underlying collateral less cost to sell. The Firm reports, in accordance with regulatory guidance, residential real estate loans that have been discharged under Chapter 7 bankruptcy and not reaffirmed by the borrower (“Chapter 7 loans”) as collateral-dependent nonaccrual TDRs, regardless of their delinquency status. At June 30, 2019 , Chapter 7 residential real estate loans included approximately 12% of residential mortgages and 8% of home equity that were 30 days or more past due. (b) At June 30, 2019 , and December 31, 2018 , $2.6 billion and $4.1 billion , respectively, of loans modified subsequent to repurchase from Ginnie Mae in accordance with the standards of the appropriate government agency (i.e., FHA, VA, RHS) are not included in the table above. When such loans perform subsequent to modification in accordance with Ginnie Mae guidelines, they are generally sold back into Ginnie Mae loan pools. Modified loans that do not re-perform become subject to foreclosure. (c) Predominantly all impaired loans in the table above are in the U.S. (d) Represents the contractual amount of principal owed at June 30, 2019 , and December 31, 2018 . The unpaid principal balance differs from the impaired loan balances due to various factors including charge-offs, net deferred loan fees or costs, and unamortized discounts or premiums on purchased loans. (e) At both June 30, 2019 and December 31, 2018 , nonaccrual loans included $2.0 billion of TDRs for which the borrowers were less than 90 days past due. For additional information about loans modified in a TDR that are on nonaccrual status refer to the Loan accounting framework in Note 12 of JPMorgan Chase ’s 2018 Form 10-K . The table below sets forth information about the Firm’s other consumer impaired loans, including risk-rated business banking and auto loans that have been placed on nonaccrual status, and loans that have been modified in TDRs. (in millions) June 30, December 31, Impaired loans With an allowance $ 207 $ 222 Without an allowance (a) 20 29 Total impaired loans (b)(c) $ 227 $ 251 Allowance for loan losses related to impaired loans $ 68 $ 63 Unpaid principal balance of impaired loans (d) 327 355 Impaired loans on nonaccrual status 205 229 (a) When discounted cash flows, collateral value or market price equals or exceeds the recorded investment in the loan, the loan does not require an allowance. This typically occurs when the impaired loans have been partially charged off and/or there have been interest payments received and applied to the loan balance. (b) Predominantly all other consumer impaired loans are in the U.S. (c) Other consumer average impaired loans were $244 million and $277 million for the three months ended June 30, 2019 and 2018 , respectively, and $245 million and $287 million for the six months ended June 30, 2019 and 2018 , respectively. The related interest income on impaired loans, including those on a cash basis, was not material for the three and six months ended June 30, 2019 and 2018 . (d) Represents the contractual amount of principal owed at June 30, 2019 , and December 31, 2018 . The unpaid principal balance differs from the impaired loan balances due to various factors, including charge-offs, interest payments received and applied to the principal balance, net deferred loan fees or costs, and unamortized discounts or premiums on purchased loans. The table below sets forth information about the Firm’s impaired credit card loans. All of these loans are considered to be impaired as they have been modified in TDRs. (in millions) June 30, December 31, Impaired credit card loans with an allowance (a)(b)(c) $ 1,388 $ 1,319 Allowance for loan losses related to impaired credit card loans 472 440 (a) The carrying value and the unpaid principal balance are the same for credit card impaired loans. (b) There were no impaired loans without an allowance. (c) Predominantly all impaired credit card loans are in the U.S. The table below sets forth information about the Firm’s wholesale impaired retained loans. (in millions) Commercial and industrial Real estate Financial institutions Governments & Agencies Other Total retained loans Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Jun 30, Dec 31, Impaired loans With an allowance $ 734 $ 807 $ 78 $ 107 $ 10 $ 4 $ — $ — $ 213 $ 152 $ 1,035 $ 1,070 Without an allowance (a) 244 140 14 27 — — — — 2 13 260 180 Total impaired loans $ 978 $ 947 $ 92 $ 134 $ 10 $ 4 $ — $ — $ 215 $ 165 $ 1,295 (c) $ 1,250 (c) Allowance for loan losses related to impaired loans $ 209 $ 252 $ 22 $ 25 $ 2 $ 1 $ — $ — $ 55 $ 19 $ 288 $ 297 Unpaid principal balance of impaired loans (b) 1,131 1,043 118 203 11 4 — — 228 473 1,488 1,723 (a) When the discounted cash flows, collateral value or market price equals or exceeds the recorded investment in the loan, the loan does not require an allowance. This typically occurs when the impaired loans have been partially charged-off and/or there have been interest payments received and applied to the loan balance. (b) Represents the contractual amount of principal owed at June 30, 2019 , and December 31, 2018 . The unpaid principal balance differs from the impaired loan balances due to various factors, including charge-offs; interest payments received and applied to the carrying value; net deferred loan fees or costs; and unamortized discount or premiums on purchased loans. (c) Based upon the domicile of the borrower, largely consists of loans in the U.S.
Schedule of impaired financing receivables, average recorded investmentThe following tables present average impaired loans and the related interest income reported by the Firm. Three months ended June 30, Average impaired loans Interest income on impaired loans (a) Interest income on impaired (a) 2019 2018 2019 2018 2019 2018 Residential mortgage $ 4,437 $ 5,254 $ 57 $ 66 $ 18 $ 20 Home equity 1,980 2,087 33 33 20 21 Total residential real estate – excluding PCI $ 6,417 $ 7,341 $ 90 $ 99 $ 38 $ 41 Six months ended June 30, Average impaired loans Interest income on impaired loans (a) Interest income on impaired loans on a cash basis (a) 2019 2018 2019 2018 2019 2018 Residential mortgage $ 4,486 $ 5,431 $ 116 $ 136 $ 35 $ 39 Home equity 1,991 2,105 66 65 41 42 Total residential real estate – excluding PCI $ 6,477 $ 7,536 $ 182 $ 201 $ 76 $ 81 (a) Generally, interest income on loans modified in TDRs is recognized on a cash basis until the borrower has made a minimum of six payments under the new terms, unless the loan is deemed to be collateral-dependent. The following table presents average balances of impaired credit card loans and interest income recognized on those loans. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Average impaired credit card loans $ 1,367 $ 1,244 $ 1,353 $ 1,234 Interest income on impaired credit card loans 18 16 35 31 The following table presents the Firm’s average impaired retained loans for the periods indicated. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Commercial and industrial $ 953 $ 1,106 $ 1,087 $ 1,224 Real estate 106 142 118 142 Financial institutions 13 90 13 91 Governments & Agencies — — — — Other 293 208 248 219 Total (a) $ 1,365 $ 1,546 $ 1,466 $ 1,676 (a) The related interest income on accruing impaired loans and interest income recognized on a cash basis were not material for the three and six months ended June 30, 2019 and 2018 .
Troubled debt restructuring on financing receivablesThe following table presents new TDRs reported by the Firm. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Residential mortgage $ 62 $ 100 $ 131 $ 247 Home equity 48 83 114 186 Total residential real estate – excluding PCI $ 110 $ 183 $ 245 $ 433
Troubled debt restructuring on financing receivables nature and extent of modificationsThe following tables provide information about how residential real estate loans, excluding PCI loans, were modified under the Firm’s loss mitigation programs described above during the periods presented. These tables exclude Chapter 7 loans where the sole concession granted is the discharge of debt. Three months ended June 30, Total residential real estate – excluding PCI Residential mortgage Home equity 2019 2018 2019 2018 2019 2018 Number of loans approved for a trial modification 501 977 411 849 912 1,826 Number of loans permanently modified 428 686 816 1,268 1,244 1,954 Concession granted: (a) Interest rate reduction 60 % 37 % 73 % 53 % 68 % 48 % Term or payment extension 92 46 74 59 80 55 Principal and/or interest deferred 29 50 9 27 16 35 Principal forgiveness 6 8 4 10 4 9 Other (b) 45 32 58 57 54 48 Six months ended June 30, Total residential Residential mortgage Home equity 2019 2018 2019 2018 2019 2018 Number of loans approved for a trial modification 1,238 1,276 932 1,309 2,170 2,585 Number of loans permanently modified 871 1,655 1,923 3,066 2,794 4,721 Concession granted: (a) Interest rate reduction 60 % 27 % 79 % 51 % 73 % 42 % Term or payment extension 90 35 66 54 74 48 Principal and/or interest deferred 28 54 8 26 14 36 Principal forgiveness 6 7 5 7 5 7 Other (b) 40 42 65 58 57 53 (a) Represents concessions granted in permanent modifications as a percentage of the number of loans permanently modified. The sum of the percentages exceeds 100% because predominantly all of the modifications include more than one type of concession. Concessions offered on trial modifications are generally consistent with those granted on permanent modifications. (b) Includes variable interest rate to fixed interest rate modifications and forbearances that meet the definition of a TDR for the three and six months ended June 30, 2019 and 2018 . Forbearances suspend or reduce monthly payments for a specific period of time to address a temporary hardship.
Troubled debt restructuring on financing receivables, financial effects of modifications and re-defaultsThe following tables provide information about the financial effects of the various concessions granted in modifications of residential real estate loans, excluding PCI loans, under the loss mitigation programs described above and about redefaults of certain loans modified in TDRs for the periods presented. The following tables present only the financial effects of permanent modifications and does not include temporary concessions offered through trial modifications. These tables also exclude Chapter 7 loans where the sole concession granted is the discharge of debt. Three months ended June 30, Residential mortgage Home equity Total residential real estate – excluding PCI 2019 2018 2019 2018 2019 2018 Weighted-average interest rate of loans with interest rate reductions – before TDR 6.03 % 4.97 % 5.51 % 5.21 % 5.76 % 5.10 % Weighted-average interest rate of loans with interest rate reductions – after TDR 4.47 3.15 3.83 3.31 4.14 3.24 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – before TDR 19 25 20 18 19 23 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – after TDR 39 37 40 37 39 38 Charge-offs recognized upon permanent modification $ 1 $ — $ — $ — $ 1 $ — Principal deferred 5 4 2 3 7 7 Principal forgiven 1 3 1 2 2 5 Balance of loans that redefaulted within one year of permanent modification (a) $ 23 $ 25 $ 16 $ 19 $ 39 $ 44 Six months ended June 30, Residential mortgage Home equity Total residential real estate – excluding PCI 2019 2018 2019 2018 2019 2018 Weighted-average interest rate of loans with interest rate reductions – before TDR 6.28 % 5.03 % 5.59 % 5.16 % 5.86 % 5.11 % Weighted-average interest rate of loans with interest rate reductions – after TDR 4.56 3.28 3.75 3.16 4.06 3.21 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – before TDR 20 25 20 19 20 22 Weighted-average remaining contractual term (in years) of loans with term or payment extensions – after TDR 39 37 40 39 39 38 Charge-offs recognized upon permanent modification $ 1 $ — $ — $ 1 $ 1 $ 1 Principal deferred 8 10 3 5 11 15 Principal forgiven 2 6 2 4 4 10 Balance of loans that redefaulted within one year of permanent modification (a) $ 56 $ 45 $ 31 $ 33 $ 87 $ 78 (a) Represents loans permanently modified in TDRs that experienced a payment default in the periods presented, and for which the payment default occurred within one year of the modification. The dollar amounts presented represent the balance of such loans at the end of the reporting period in which such loans defaulted. For residential real estate loans modified in TDRs, payment default is deemed to occur when the loan becomes two contractual payments past due. In the event that a modified loan redefaults, it is probable that the loan will ultimately be liquidated through foreclosure or another similar type of liquidation transaction. Redefaults of loans modified within the last 12 months may not be representative of ultimate redefault levels. The following table provides information about the financial effects of the concessions granted on credit card loans modified in TDRs and redefaults for the periods presented. (in millions, except weighted-average data) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Weighted-average interest rate of loans – before TDR 19.38 % 18.00 % 19.25 % 17.61 % Weighted-average interest rate of loans – after TDR 4.71 5.06 4.88 5.13 Loans that redefaulted within one year of modification (a) $ 32 $ 25 $ 66 $ 51 (a) Represents loans modified in TDRs that experienced a payment default in the periods presented, and for which the payment default occurred within one year of the modification. The amounts presented represent the balance of such loans as of the end of the quarter in which they defaulted.
Certain loans acquired in transfer accretable yield movement roll forwardThe table below presents the accretable yield activity for the Firm’s PCI consumer loans for the three and six months ended June 30, 2019 and 2018 , and represents the Firm’s estimate of gross interest income expected to be earned over the remaining life of the PCI loan portfolios. The table excludes the cost to fund the PCI portfolios, and therefore the accretable yield does not represent net interest income expected to be earned on these portfolios. Total PCI (in millions, except ratios) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Beginning balance $ 8,043 $ 10,250 $ 8,422 $ 11,159 Accretion into interest income (283 ) (327 ) (569 ) (655 ) Changes in interest rates on variable-rate loans (78 ) (548 ) (94 ) (268 ) Other changes in expected cash flows (a) 17 (653 ) (60 ) (1,514 ) Balance at June 30 $ 7,699 $ 8,722 $ 7,699 $ 8,722 Accretable yield percentage 5.41 % 4.93 % 5.35 % 4.86 % (a) Other changes in expected cash flows may vary from period to period as the Firm continues to refine its cash flow model, for example cash flows expected to be collected due to the impact of modifications and changes in prepayment assumptions.

Allowance for Credit Losses (Ta

Allowance for Credit Losses (Tables)6 Months Ended
Jun. 30, 2019
Allowance for Credit Losses [Abstract]
Allowance for credit losses on financing receivablesThe table below summarizes information about the allowances for loan losses and lending-related commitments, and includes a breakdown of loans and lending-related commitments by impairment methodology. 2019 2018 Six months ended June 30, Consumer, excluding credit card Credit card Wholesale Total Consumer, excluding credit card Credit card Wholesale Total Allowance for loan losses Beginning balance at January 1, $ 4,146 $ 5,184 $ 4,115 $ 13,445 $ 4,579 $ 4,884 $ 4,141 $ 13,604 Gross charge-offs 471 2,725 150 3,346 539 2,578 241 3,358 Gross recoveries (277 ) (283 ) (22 ) (582 ) (451 ) (244 ) (76 ) (771 ) Net charge-offs 194 2,442 128 2,764 88 2,334 165 2,587 Write-offs of PCI loans (a) 89 — — 89 93 — — 93 Provision for loan losses (204 ) 2,642 131 2,569 90 2,334 (98 ) 2,326 Other — (1 ) 6 5 — — — — Ending balance at June 30, $ 3,659 $ 5,383 $ 4,124 $ 13,166 $ 4,488 $ 4,884 $ 3,878 $ 13,250 Allowance for loan losses by impairment methodology Asset-specific (b) $ 145 $ 472 (c) $ 288 $ 905 $ 226 $ 402 (c) $ 318 $ 946 Formula-based 2,215 4,911 3,836 10,962 2,130 4,482 3,560 10,172 PCI 1,299 — — 1,299 2,132 — — 2,132 Total allowance for loan losses $ 3,659 $ 5,383 $ 4,124 $ 13,166 $ 4,488 $ 4,884 $ 3,878 $ 13,250 Loans by impairment methodology Asset-specific $ 6,562 $ 1,388 $ 1,295 $ 9,245 $ 7,387 $ 1,252 $ 1,327 $ 9,966 Formula-based 322,888 156,180 437,173 916,241 340,223 143,969 419,302 903,494 PCI 22,242 — — 22,242 26,977 — 3 26,980 Total retained loans $ 351,692 $ 157,568 $ 438,468 $ 947,728 $ 374,587 $ 145,221 $ 420,632 $ 940,440 Impaired collateral-dependent loans Net charge-offs $ 19 $ — $ 8 $ 27 $ 14 $ — $ — $ 14 Loans measured at fair value of collateral less cost to sell 2,098 — 83 2,181 2,124 — 300 2,424 Allowance for lending-related commitments Beginning balance at January 1, $ 33 $ — $ 1,022 $ 1,055 $ 33 $ — $ 1,035 $ 1,068 Provision for lending-related commitments — — 75 75 — — 49 49 Other — — (1 ) (1 ) — — — — Ending balance at June 30, $ 33 $ — $ 1,096 $ 1,129 $ 33 $ — $ 1,084 $ 1,117 Allowance for lending-related commitments by impairment methodology Asset-specific $ — $ — $ 136 $ 136 $ — $ — $ 139 $ 139 Formula-based 33 — 960 993 33 — 945 978 Total allowance for lending-related commitments $ 33 $ — $ 1,096 $ 1,129 $ 33 $ — $ 1,084 $ 1,117 Lending-related commitments by impairment methodology Asset-specific $ — $ — $ 465 $ 465 $ — $ — $ 712 $ 712 Formula-based 51,491 633,970 393,836 1,079,297 51,784 592,452 401,045 1,045,281 Total lending-related commitments $ 51,491 $ 633,970 $ 394,301 $ 1,079,762 $ 51,784 $ 592,452 $ 401,757 $ 1,045,993 (a) Write-offs of PCI loans are recorded against the allowance for loan losses when actual losses for a pool exceed estimated losses that were recorded as purchase accounting adjustments at the time of acquisition. A write-off of a PCI loan is recognized when the underlying loan is removed from a pool. (b) Includes risk-rated loans that have been placed on nonaccrual status and loans that have been modified in a TDR. (c) The asset-specific credit card allowance for loan losses is related to loans that have been modified in a TDR; such allowance is calculated based on the loans’ original contractual interest rates and does not consider any incremental penalty rates.

Variable Interest Entities (Tab

Variable Interest Entities (Tables)6 Months Ended
Jun. 30, 2019
Variable Interest Entities [Abstract]
Schedule of significant types of variable interest entities by business segmentThe following table summarizes the most significant types of Firm- sponsored VIEs by business segment. Line of Business Transaction Type Activity Form 10-Q page reference CCB Credit card securitization trusts Securitization of originated credit card receivables 138 Mortgage securitization trusts Servicing and securitization of both originated and purchased residential mortgages 138-140 CIB Mortgage and other securitization trusts Securitization of both originated and purchased residential and commercial mortgages, and other consumer loans 138-140 Multi-seller conduits Assist clients in accessing the financial markets in a cost-efficient manner and structures transactions to meet investor needs 140 Municipal bond vehicles Financing of municipal bond investments 140
Firm-sponsored mortgage and other consumer securitization trustsThe following table presents the total unpaid principal amount of assets held in Firm-sponsored private-label securitization entities, including those in which the Firm has continuing involvement, and those that are consolidated by the Firm. Continuing involvement includes servicing the loans, holding senior interests or subordinated interests (including amounts required to be held pursuant to credit risk retention rules), recourse or guarantee arrangements, and derivative contracts. In certain instances, the Firm’s only continuing involvement is servicing the loans. Refer to Securitization activity on page 142 of this Note for further information regarding the Firm’s cash flows associated with and interests retained in nonconsolidated VIEs, and pages 142–143 of this Note for information on the Firm’s loan sales to U.S. government agencies. Principal amount outstanding JPMorgan Chase interest in securitized assets in nonconsolidated VIEs (c)(d)(e) June 30, 2019 (in millions) Total assets held by securitization VIEs Assets Assets held in nonconsolidated securitization VIEs with continuing involvement Trading assets Investment securities Other financial assets Total interests held by JPMorgan Securitization-related (a) Residential mortgage: Prime/Alt-A and option ARMs $ 61,838 $ 3,053 $ 49,625 $ 424 $ 512 $ — $ 936 Subprime 15,664 — 14,441 19 — — 19 Commercial and other (b) 101,785 — 80,511 785 792 215 1,792 Total $ 179,287 $ 3,053 $ 144,577 $ 1,228 $ 1,304 $ 215 $ 2,747 Principal amount outstanding JPMorgan Chase interest in securitized assets in nonconsolidated VIEs (c)(d)(e) December 31, 2018 (in millions) Total assets held by securitization VIEs Assets held in consolidated securitization VIEs Assets held in nonconsolidated securitization VIEs with continuing involvement Trading assets Investment securities Other financial assets Total interests held by JPMorgan Chase Securitization-related (a) Residential mortgage: Prime/Alt-A and option ARMs $ 63,350 $ 3,237 $ 50,679 $ 623 $ 647 $ — $ 1,270 Subprime 16,729 32 15,434 53 — — 53 Commercial and other (b) 102,961 — 79,387 783 801 210 1,794 Total $ 183,040 $ 3,269 $ 145,500 $ 1,459 $ 1,448 $ 210 $ 3,117 (a) Excludes U.S. government agency securitizations and re-securitizations, which are not Firm-sponsored. Refer to pages 142–143 of this Note for information on the Firm’s loan sales to U.S. government agencies. (b) Consists of securities backed by commercial loans (predominantly real estate) and non-mortgage-related consumer receivables purchased from third parties. (c) Excludes the following: retained servicing (refer to Note 14 for a discussion of MSRs); securities retained from loan sales to U.S. government agencies; interest rate and foreign exchange derivatives primarily used to manage interest rate and foreign exchange risks of securitization entities (Refer to Note 4 for further information on derivatives); senior and subordinated securities of $215 million and $77 million , respectively, at June 30, 2019 , and $87 million and $28 million , respectively, at December 31, 2018 , which the Firm purchased in connection with CIB’s secondary market-making activities. (d) Includes interests held in re-securitization transactions. (e) As of June 30, 2019 , and December 31, 2018 , 56% and 60% , respectively, of the Firm’s retained securitization interests, which are predominantly carried at fair value and include amounts required to be held pursuant to credit risk retention rules, were risk-rated “A” or better, on an S&P-equivalent basis. The retained interests in prime residential mortgages consisted of $895 million and $1.3 billion of investment-grade, and $41 million and $16 million of noninvestment-grade at June 30, 2019 , and December 31, 2018 , respectively. The retained interests in commercial and other securitizations trusts consisted of $1.2 billion of investment-grade retained interests at both June 30, 2019 and December 31, 2018 , and $593 million and $623 million of noninvestment-grade retained interests at June 30, 2019 , and December 31, 2018 , respectively.
Schedule of re-securitizationsThe following table presents the principal amount of securities transferred to re-securitization VIEs. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Transfers of securities to VIEs Agency $ 2,564 $ 3,995 $ 7,067 $ 8,781 The following table presents information on nonconsolidated re-securitization VIEs. Nonconsolidated re-securitization VIEs (in millions) June 30, 2019 December 31, 2018 Firm-sponsored private-label Assets held in VIEs with continuing involvement (a) $ 22 $ 118 Interest in VIEs — 10 Agency Interest in VIEs 2,192 3,058 (a) Represents the principal amount and includes the notional amount of interest-only securities.
Information on assets and liabilities related to VIEs that are consolidated by the FirmThe following table presents information on assets and liabilities related to VIEs consolidated by the Firm as of June 30, 2019 , and December 31, 2018 . Assets Liabilities June 30, 2019 (in millions) Trading assets Loans Other (b) Total assets (c) Beneficial interests in VIE assets (d) Other (e) Total liabilities VIE program type Firm-sponsored credit card trusts $ — $ 28,230 $ 412 $ 28,642 $ 9,302 $ 8 $ 9,310 Firm-administered multi-seller conduits 3 22,575 335 22,913 14,734 36 14,770 Municipal bond vehicles 1,304 — 3 1,307 1,281 2 1,283 Mortgage securitization entities (a) 2 3,078 55 3,135 267 146 413 Other 113 — 182 295 1 99 100 Total $ 1,422 $ 53,883 $ 987 $ 56,292 $ 25,585 $ 291 $ 25,876 Assets Liabilities December 31, 2018 (in millions) Trading assets Loans Other (b) Total assets (c) Beneficial interests in VIE assets (d) Other (e) Total liabilities VIE program type Firm-sponsored credit card trusts $ — $ 31,760 $ 491 $ 32,251 $ 13,404 $ 12 $ 13,416 Firm-administered multi-seller conduits — 24,411 300 24,711 4,842 33 4,875 Municipal bond vehicles 1,779 — 4 1,783 1,685 3 1,688 Mortgage securitization entities (a) 53 3,285 40 3,378 308 161 469 Other 134 — 178 312 2 103 105 Total $ 1,966 $ 59,456 $ 1,013 $ 62,435 $ 20,241 $ 312 $ 20,553 (a) Includes residential and commercial mortgage securitizations. (b) Includes assets classified as cash and other assets on the Consolidated balance sheets. (c) The assets of the consolidated VIEs included in the program types above are used to settle the liabilities of those entities. The assets and liabilities include third-party assets and liabilities of consolidated VIEs and exclude intercompany balances that eliminate in consolidation. (d) The interest-bearing beneficial interest liabilities issued by consolidated VIEs are classified in the line item on the Consolidated balance sheets titled, “Beneficial interests issued by consolidated variable interest entities.” The holders of these beneficial interests generally do not have recourse to the general credit of JPMorgan Chase . For conduits program-wide credit enhancements, refer to note 14 of JPMorgan Chase’s 2018 Form 10-K. Included in beneficial interests in VIE assets are long-term beneficial interests of $9.6 billion and $13.7 billion at June 30, 2019 , and December 31, 2018 . (e) Includes liabilities classified as accounts payable and other liabilities on the Consolidated balance sheets.
Securitization activitiesThe following table provides information related to the Firm’s securitization activities for the three and six months ended June 30, 2019 and 2018 , related to assets held in Firm -sponsored securitization entities that were not consolidated by the Firm, and where sale accounting was achieved at the time of the securitization. Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 (in millions) Residential mortgage (e) Commercial and other (f) Residential mortgage (e) Commercial and other (f) Residential mortgage (e) Commercial and other (f) Residential mortgage (e) Commercial and other (f) Principal securitized $ 2,125 $ 1,974 $ 3,129 $ 2,181 $ 3,907 $ 2,738 $ 4,459 $ 5,172 All cash flows during the period (a) : Proceeds received from loan sales as financial instruments (b)(c) $ 2,188 $ 2,041 $ 3,122 $ 2,196 $ 4,010 $ 2,823 $ 4,460 $ 5,187 Servicing fees collected (d) 73 1 80 — 150 1 161 — Cash flows received on interests 114 98 137 84 199 149 229 131 (a) Excludes re-securitization transactions. (b) Predominantly includes Level 2 assets. (c) The carrying value of the loans accounted for at fair value approximated the proceeds received upon loan sale. (d) The prior period amounts have been revised to conform with the current period presentation. (e) Includes prime mortgages only. Excludes loan securitization transactions entered into with Ginnie Mae, Fannie Mae and Freddie Mac. (f) Includes commercial mortgage and other consumer loans.
Summary of loan sale activitiesThe following table summarizes the activities related to loans sold to the U.S. GSEs, and loans in securitization transactions pursuant to Ginnie Mae guidelines. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Carrying value of loans sold $ 23,138 $ 8,076 $ 38,317 $ 16,836 Proceeds received from loan sales as cash 2 — 70 — Proceeds from loan sales as securities (a)(b) 22,823 7,959 37,660 16,578 Total proceeds received from loan sales (c) $ 22,825 $ 7,959 $ 37,730 $ 16,578 Gains on loan sales (d)(e) $ 104 $ 9 $ 153 $ 23 (a) Includes securities from U.S. GSEs and Ginnie Mae that are generally sold shortly after receipt or retained as part of the Firm’s Investment securities portfolio. (b) Included in level 2 assets. (c) Excludes the value of MSRs retained upon the sale of loans. (d) Gains on loan sales include the value of MSRs. (e) The carrying value of the loans accounted for at fair value approximated the proceeds received upon loan sale.
Schedule options to repurchase delinquent loansThe following table presents loans the Firm repurchased or had an option to repurchase, real estate owned, and foreclosed government-guaranteed residential mortgage loans recognized on the Firm’s Consolidated balance sheets as of June 30, 2019 and December 31, 2018 . Substantially all of these loans and real estate are insured or guaranteed by U.S. government agencies. (in millions) Jun 30, Dec 31, Loans repurchased or option to repurchase (a) $ 5,214 $ 7,021 Real estate owned 56 75 Foreclosed government-guaranteed residential mortgage loans (b) 277 361 (a) Predominantly all of these amounts relate to loans that have been repurchased from Ginnie Mae loan pools. (b) Relates to voluntary repurchases of loans, which are included in accrued interest and accounts receivable.
Information about delinquencies, net charge-offs, and components of off-balance sheet securitized financial assetsThe table below includes information about components of nonconsolidated securitized financial assets held in Firm -sponsored private-label securitization entities, in which the Firm has continuing involvement, and delinquencies as of June 30, 2019 , and December 31, 2018 . Net liquidation losses (a) Securitized assets 90 days past due Three months ended June 30, Six months ended June 30, (in millions) Jun 30, Dec 31, Jun 30, Dec 31, 2019 2018 2019 2018 Securitized loans Residential mortgage: Prime / Alt-A & option ARMs $ 49,625 $ 50,679 $ 2,900 $ 3,354 $ 171 $ 168 $ 328 $ 271 Subprime 14,441 15,434 2,076 2,478 167 140 311 (462 ) Commercial and other 80,511 79,387 131 225 24 21 165 48 Total loans securitized $ 144,577 $ 145,500 $ 5,107 $ 6,057 $ 362 $ 329 $ 804 $ (143 ) (a) Includes liquidation gains as a result of private label mortgage settlement payments during the first quarter of 2018, which were reflected as asset recoveries by trustees.

Goodwill and Mortgage Servici_2

Goodwill and Mortgage Servicing Rights (Tables)6 Months Ended
Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill attributed to the business segmentsThe following table presents goodwill attributed to the business segments. (in millions) June 30, December 31, Consumer & Community Banking $ 30,991 $ 30,984 Corporate & Investment Bank 6,769 6,770 Commercial Banking 2,860 2,860 Asset & Wealth Management 6,857 6,857 Total goodwill $ 47,477 $ 47,471 The following table presents changes in the carrying amount of goodwill. Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Balance at beginning of period $ 47,474 $ 47,499 $ 47,471 $ 47,507 Changes during the period from: Other (a) 3 (11 ) 6 (19 ) Balance at June 30, $ 47,477 $ 47,488 $ 47,477 $ 47,488 (a) Primarily relates to foreign currency remeasurement.
Mortgage servicing rights activityThe following table summarizes MSR activity for the three and six months ended June 30, 2019 and 2018 . As of or for the three months As of or for the six months (in millions, except where otherwise noted) 2019 2018 2019 2018 Fair value at beginning of period $ 5,957 $ 6,202 $ 6,130 $ 6,030 MSR activity: Originations of MSRs 424 157 756 333 Purchase of MSRs 2 79 106 146 Disposition of MSRs (a) (217 ) (104 ) (328 ) (399 ) Net additions/(dispositions) 209 132 534 80 Changes due to collection/realization of expected cash flows (247 ) (187 ) (446 ) (347 ) Changes in valuation due to inputs and assumptions: Changes due to market interest rates and other (b) (540 ) 103 (841 ) 485 Changes in valuation due to other inputs and assumptions: Projected cash flows (e.g., cost to service) (350 ) (e) — (350 ) (e) — Discount rates 153 — 153 24 Prepayment model changes and other (c) (89 ) (9 ) (87 ) (31 ) Total changes in valuation due to other inputs and assumptions (286 ) (9 ) (284 ) (7 ) Total changes in valuation due to inputs and assumptions (826 ) 94 (1,125 ) 478 Fair value at June 30, $ 5,093 $ 6,241 $ 5,093 $ 6,241 Change in unrealized gains/(losses) included in income related to MSRs held at June 30, $ (826 ) $ 94 $ (1,125 ) $ 478 Contractual service fees, late fees and other ancillary fees included in income 437 446 857 911 Third-party mortgage loans serviced at June 30, (in billions) 527 534 527 534 Servicer advances, net of an allowance for uncollectible amounts, at June 30, (in billions) (d) 2.2 3.3 2.2 3.3 (a) Includes excess MSRs transferred to agency-sponsored trusts in exchange for stripped mortgage backed securities (“SMBS”). In each transaction, a portion of the SMBS was acquired by third parties at the transaction date; the Firm acquired the remaining balance of those SMBS as trading securities. (b) Represents both the impact of changes in estimated future prepayments due to changes in market interest rates, and the difference between actual and expected prepayments. (c) Represents changes in prepayments other than those attributable to changes in market interest rates. (d) Represents amounts the Firm pays as the servicer (e.g., scheduled principal and interest, taxes and insurance), which will generally be reimbursed within a short period of time after the advance from future cash flows from the trust or the underlying loans. The Firm’s credit risk associated with these servicer advances is minimal because reimbursement of the advances is typically senior to all cash payments to investors. In addition, the Firm maintains the right to stop payment to investors if the collateral is insufficient to cover the advance. However, certain of these servicer advances may not be recoverable if they were not made in accordance with applicable rules and agreements. (e) The decrease in projected cash flows was largely related to default servicing assumption updates.
CCB mortgage fees and related incomeThe following table presents the components of mortgage fees and related income (including the impact of MSR risk management activities) for the three and six months ended June 30, 2019 and 2018 . Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 CCB mortgage fees and related income Net production revenue $ 353 $ 93 $ 553 $ 188 Net mortgage servicing revenue: Operating revenue: Loan servicing revenue 417 441 821 954 Changes in MSR asset fair value due to collection/realization of expected cash flows (247 ) (187 ) (446 ) (347 ) Total operating revenue 170 254 375 607 Risk management: Changes in MSR asset fair value due to market interest rates and other (a) (540 ) 104 (841 ) 486 Other changes in MSR asset fair value due to other inputs and assumptions in model (b) (286 ) (9 ) (284 ) (7 ) Change in derivative fair value and other 582 (118 ) 872 (485 ) Total risk management (244 ) (23 ) (253 ) (6 ) Total net mortgage servicing revenue (74 ) 231 122 601 Total CCB mortgage fees and related income 279 324 675 789 All other — — — — Mortgage fees and related income $ 279 $ 324 $ 675 $ 789 (a) Represents both the impact of changes in estimated future prepayments due to changes in market interest rates, and the difference between actual and expected prepayments. (b) Represents the aggregate impact of changes in model inputs and assumptions such as projected cash flows (e.g., cost to service), discount rates and changes in prepayments other than those attributable to changes in market interest rates (e.g., changes in prepayments due to changes in home prices).
Key economic assumptions used to determine FV of MSRsThe table below outlines the key economic assumptions used to determine the fair value of the Firm’s MSRs at June 30, 2019 , and December 31, 2018 , and outlines hypothetical sensitivities of those fair values to immediate adverse changes in those assumptions, as defined below. (in millions, except rates) Jun 30, Dec 31, Weighted-average prepayment speed assumption (constant prepayment rate) 11.58 % 8.78 % Impact on fair value of 10% adverse change $ (216 ) $ (205 ) Impact on fair value of 20% adverse change (414 ) (397 ) Weighted-average option adjusted spread (a)(b) 7.84 % 7.87 % Impact on fair value of a 100 basis point adverse change $ (183 ) $ (235 ) Impact on fair value of a 200 basis point adverse change (353 ) (452 ) (a) Includes the impact of operational risk and regulatory capital. (b) The prior period amount has been revised to conform with the current period presentation.

Deposits (Tables)

Deposits (Tables)6 Months Ended
Jun. 30, 2019
Deposits [Abstract]
Noninterest-bearing and interest-bearing depositsAt June 30, 2019 , and December 31, 2018 , noninterest-bearing and interest-bearing deposits were as follows. (in millions) June 30, December 31, 2018 U.S. offices Noninterest-bearing (included $26,673 and $17,204 at fair value) (a)(b) $ 394,237 $ 386,709 Interest-bearing (included $2,530 and $2,487 at fair value) (a)(b) 841,397 813,881 Total deposits in U.S. offices 1,235,634 1,200,590 Non-U.S. offices Noninterest-bearing (included $2,445 and $2,367 at fair value) (a)(b) 20,419 21,459 Interest-bearing (included $1,276 and $1,159 at fair value) (a)(b) 268,308 248,617 Total deposits in non-U.S. offices 288,727 270,076 Total deposits $ 1,524,361 $ 1,470,666 (a) Includes structured notes classified as deposits for which the fair value option has been elected. For a further discussion, refer to Note 3 of JPMorgan Chase’s 2018 Form 10-K . (b) In the second quarter of 2019, the Firm reclassified balances related to certain structured notes from interest-bearing to noninterest-bearing deposits as the associated returns are recorded in principal transactions revenue and not in net interest income. This change was applied retrospectively and, accordingly, prior period amounts were revised to conform with the current presentation.

Leases (Tables)

Leases (Tables)6 Months Ended
Jun. 30, 2019
Leases [Abstract]
Schedule of information related to operating leasesThe following tables provide information related to the Firm’s operating leases: As of June 30, (in millions, except where otherwise noted) 2019 Right-of-use assets $ 8,118 Lease liabilities 8,404 Weighted average remaining lease term (in years) 8.7 Weighted average discount rate 3.75 % Supplemental cash flow information Cash paid for amounts included in the measurement of lease liabilities - operating cash flows $ 778 Supplemental non-cash information Right-of-use assets obtained in exchange for operating lease obligations $ 587 (in millions) Three months ended June 30, 2019 Six months ended June 30, 2019 Rental expense Gross rental expense $ 506 $ 1,020 Sublease rental income (42 ) (88 ) Net rental expense $ 464 $ 932
Schedule of future payments under operating leasesThe following table presents future payments under operating leases as of June 30, 2019: Year ended December 31, (in millions) 2019 (excluding six months ended June 30, 2019) $ 787 2020 1,535 2021 1,356 2022 1,161 2023 988 After 2023 4,180 Total future minimum lease payments 10,007 Less: Imputed interest (1,603 ) Total $ 8,404
Schedule of carrying value of assets subject to leasesThe following table presents the carrying value of assets subject to leases reported on the Consolidated balance sheets: (in millions) June 30, 2019 December 31, 2018 Carrying value of assets subject to operating leases, net of accumulated depreciation $ 22,406 $ 21,428 Accumulated depreciation 5,643 5,303
Schedule of operating lease income and related depreciation expenseThe following table presents the Firm’s operating lease income and the related depreciation expense on the Consolidated statements of income: Three months ended June 30, Six months ended June 30, (in millions) 2019 2018 2019 2018 Operating lease income $ 1,327 $ 1,112 $ 2,643 $ 2,159 Depreciation expense 988 852 1,985 1,663
Schedule of future receipts under operating leasesThe following table presents future receipts under operating leases as of June 30, 2019: Year ended December 31, (in millions) 2019 (excluding six months ended June 30, 2019) $ 2,107 2020 3,381 2021 1,866 2022 386 2023 69 After 2023 136 Total future minimum lease payments $ 7,945

Preferred Stock (Tables)

Preferred Stock (Tables)6 Months Ended
Jun. 30, 2019
Stockholders' Equity Note [Abstract]
Schedule of stock by classThe following is a summary of JPMorgan Chase’s non-cumulative preferred stock outstanding as of June 30, 2019 and December 31, 2018, and the quarterly dividend declarations for the three and six months ended June 30, 2019 and 2018. Shares Carrying value (in millions) Contractual rate in effect at June 30, 2019 Earliest redemption date (b) Floating annual rate of three-month LIBOR plus: Dividend declared per share (c) June 30, 2019 (a) December 31, 2018 (a) June 30, 2019 December 31, 2018 Issue date Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Fixed-rate: Series P 90,000 90,000 $ 900 $ 900 2/5/2013 5.450 % 3/1/2018 NA $ 136.25 $136.25 $272.50 $272.50 Series T — 92,500 — 925 1/30/2014 — 3/1/2019 NA NA 167.50 167.50 335.00 Series W 88,000 88,000 880 880 6/23/2014 6.300 9/1/2019 NA 157.50 157.50 315.00 315.00 Series Y 143,000 143,000 1,430 1,430 2/12/2015 6.125 3/1/2020 NA 153.13 153.13 306.26 306.26 Series AA 142,500 142,500 1,425 1,425 6/4/2015 6.100 9/1/2020 NA 152.50 152.50 305.00 305.00 Series BB 115,000 115,000 1,150 1,150 7/29/2015 6.150 9/1/2020 NA 153.75 153.75 307.50 307.50 Series DD 169,625 169,625 1,696 1,696 9/21/2018 5.750 12/1/2023 NA 143.75 NA 287.50 NA Series EE 185,000 — 1,850 — 1/24/2019 6.000 3/1/2024 NA 211.67 NA 211.67 NA (d) Fixed-to-floating-rate: Series I 430,375 430,375 $ 4,304 $ 4,304 4/23/2008 LIBOR + 3.47% 4/30/2018 LIBOR + 3.47% $ 153.00 $147.34 $308.51 $344.84 (e) Series Q 150,000 150,000 1,500 1,500 4/23/2013 5.150 5/1/2023 LIBOR + 3.25 128.75 128.75 257.50 257.50 Series R 150,000 150,000 1,500 1,500 7/29/2013 6.000 8/1/2023 LIBOR + 3.30 150.00 150.00 300.00 300.00 Series S 200,000 200,000 2,000 2,000 1/22/2014 6.750 2/1/2024 LIBOR + 3.78 168.75 168.75 337.50 337.50 Series U 100,000 100,000 1,000 1,000 3/10/2014 6.125 4/30/2024 LIBOR + 3.33 153.13 153.13 306.25 306.25 Series V 250,000 250,000 2,500 2,500 6/9/2014 5.000 7/1/2019 LIBOR + 3.32 125.00 125.00 250.00 250.00 Series X 160,000 160,000 1,600 1,600 9/23/2014 6.100 10/1/2024 LIBOR + 3.33 152.50 152.50 305.00 305.00 Series Z 200,000 200,000 2,000 2,000 4/21/2015 5.300 5/1/2020 LIBOR + 3.80 132.50 132.50 265.00 265.00 Series CC 125,750 125,750 1,258 1,258 10/20/2017 4.625 11/1/2022 LIBOR + 2.58 115.63 115.63 231.25 231.25 Total preferred stock 2,699,250 2,606,750 $ 26,993 $ 26,068 (a) Represented by depositary shares. (b) Fixed-to-floating rate notes convert to a floating rate at the earliest redemption date. (c) Dividends are declared quarterly. Dividends are payable quarterly on fixed-rate preferred stock. Dividends are payable semiannually on fixed-to-floating-rate preferred stock while at a fixed rate, and payable quarterly after converting to a floating rate. (d) Dividends in the amount of $211.67 per share were declared on April 12, 2019 and include dividends from the original issue date of January 24, 2019 through May 31, 2019. (e) Prior to April 30, 2018, the dividend rate was fixed at 7.90% .

Earnings per Share (Tables)

Earnings per Share (Tables)6 Months Ended
Jun. 30, 2019
Earnings Per Share [Abstract]
Schedule of earnings per share basic and dilutedThe following table presents the calculation of basic and diluted EPS for the three and six months ended June 30, 2019 and 2018 . (in millions, except per share amounts) Three months ended Six months ended 2019 2018 2019 2018 Basic earnings per share Net income $ 9,652 $ 8,316 $ 18,831 $ 17,028 Less: Preferred stock dividends 404 379 778 788 Net income applicable to common equity 9,248 7,937 18,053 16,240 Less: Dividends and undistributed earnings allocated to participating securities 56 57 108 121 Net income applicable to common stockholders $ 9,192 $ 7,880 $ 17,945 $ 16,119 Total weighted-average basic shares outstanding 3,250.6 3,415.2 3,274.3 3,436.7 Net income per share $ 2.83 $ 2.31 $ 5.48 $ 4.69 Diluted earnings per share Net income applicable to common stockholders $ 9,192 $ 7,880 $ 17,945 $ 16,119 Total weighted-average basic shares outstanding 3,250.6 3,415.2 3,274.3 3,436.7 Add: Employee stock options, SARs, warrants and unvested PSUs 9.1 19.5 9.6 20.4 Total weighted-average diluted shares outstanding 3,259.7 3,434.7 3,283.9 3,457.1 Net income per share $ 2.82 $ 2.29 $ 5.46 $ 4.66

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income/(Loss) (Tables)6 Months Ended
Jun. 30, 2019
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated other comprehensive income/(loss)AOCI includes the after-tax change in unrealized gains and losses on investment securities, foreign currency translation adjustments (including the impact of related derivatives), fair value changes of excluded components on fair value hedges, cash flow hedging activities, net loss and prior service costs/(credit) related to the Firm’s defined benefit pension and OPEB plans, and on fair value option-elected liabilities arising from changes in the Firm’s own credit risk (DVA). As of or for the three months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at April 1, 2019 $ 2,616 $ (751 ) $ (159 ) $ 29 $ (2,272 ) $ (21 ) $ (558 ) Net change 1,093 99 86 97 41 256 1,672 Balance at June 30, 2019 $ 3,709 $ (652 ) $ (73 ) $ 126 $ (2,231 ) $ 235 $ 1,114 As of or for the three months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit pension and DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at April 1, 2018 $ 1,826 $ (720 ) (94 ) $ 19 $ (1,914 ) $ (180 ) $ (1,063 ) Net change (227 ) 88 (68 ) (166 ) 38 260 (75 ) Balance at June 30, 2018 $ 1,599 $ (632 ) $ (162 ) $ (147 ) $ (1,876 ) $ 80 $ (1,138 ) As of or for the six months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at January 1, 2019 $ 1,202 $ (727 ) $ (161 ) $ (109 ) $ (2,308 ) $ 596 $ (1,507 ) Net change 2,507 75 88 235 77 (361 ) 2,621 Balance at June 30, 2019 $ 3,709 $ (652 ) $ (73 ) $ 126 $ (2,231 ) $ 235 $ 1,114 As of or for the six months ended Unrealized Translation adjustments, net of hedges Fair value hedges Cash flow hedges Defined benefit pension and DVA on fair value option elected liabilities Accumulated other comprehensive income/(loss) Balance at January 1, 2018 $ 2,164 $ (470 ) $ — $ 76 $ (1,521 ) $ (368 ) $ (119 ) Cumulative effect of changes in accounting principles (a) 896 (277 ) $ (54 ) 16 (414 ) (79 ) 88 Net change (1,461 ) 115 (108 ) (239 ) 59 527 (1,107 ) Balance at June 30, 2018 $ 1,599 $ (632 ) $ (162 ) $ (147 ) $ (1,876 ) $ 80 $ (1,138 ) (a) Represents the adjustment to AOCI as a result of the accounting standards adopted in the first quarter of 2018, refer to Note 1 of JPMorgan Chase’s 2018 Form 10-K.
Changes of the components of accumulated other comprehensive income (loss)The following table presents the pre-tax and after-tax changes in the components of OCI. 2019 2018 Three months ended June 30, (in millions) Pre-tax Tax effect After-tax Pre-tax Tax effect After-tax Unrealized gains/(losses) on investment securities: Net unrealized gains/(losses) arising during the period $ 1,491 $ (365 ) $ 1,126 $ (376 ) $ 88 $ (288 ) Reclassification adjustment for realized (gains)/losses included in net income (a) (44 ) 11 (33 ) 80 (19 ) 61 Net change 1,447 (354 ) 1,093 (296 ) 69 (227 ) Translation adjustments (b) : Translation 123 72 195 (1,056 ) 208 (848 ) Hedges (128 ) 32 (96 ) 1,227 (291 ) 936 Net change (5 ) 104 99 171 (83 ) 88 Fair value hedges, net change (c) : 112 (26 ) 86 (89 ) 21 (68 ) Cash flow hedges: Net unrealized gains/(losses) arising during the period 101 (24 ) 77 (199 ) 47 (152 ) Reclassification adjustment for realized (gains)/losses included in net income (d) 26 (6 ) 20 (19 ) 5 (14 ) Net change 127 (30 ) 97 (218 ) 52 (166 ) Defined benefit pension and OPEB plans: Net gain/(loss) arising during the period (1 ) — (1 ) 2 — 2 Reclassification adjustments included in net income (e) : Amortization of net loss 41 (7 ) 34 26 (6 ) 20 Amortization of prior service cost/(credit) 1 (1 ) — (6 ) 2 (4 ) Foreign exchange and other 9 (1 ) 8 31 (11 ) 20 Net change 50 (9 ) 41 53 (15 ) 38 DVA on fair value option elected liabilities, net change: 338 (82 ) 256 340 (80 ) 260 Total other comprehensive income/(loss) $ 2,069 $ (397 ) $ 1,672 $ (39 ) $ (36 ) $ (75 ) 2019 2018 Six months ended June 30, (in millions) Pre-tax Tax effect After-tax Pre-tax Tax effect After-tax Unrealized gains/(losses) on investment securities: Net unrealized gains/(losses) arising during the period $ 3,366 $ (816 ) $ 2,550 $ (2,234 ) $ 525 $ (1,709 ) Reclassification adjustment for realized (gains)/losses included in net income (a) (57 ) 14 (43 ) 325 (77 ) 248 Net change 3,309 (802 ) 2,507 (1,909 ) 448 (1,461 ) Translation adjustments (b) : Translation 164 36 200 (667 ) 143 (524 ) Hedges (166 ) 41 (125 ) 838 (199 ) 639 Net change (2 ) 77 75 171 (56 ) 115 Fair value hedges, net change (c) : 115 (27 ) 88 (141 ) 33 (108 ) Cash flow hedges: Net unrealized gains/(losses) arising during the period 242 (57 ) 185 (243 ) 58 (185 ) Reclassification adjustment for realized (gains)/losses included in net income (d) 65 (15 ) 50 (71 ) 17 (54 ) Net change 307 (72 ) 235 (314 ) 75 (239 ) Defined benefit pension and OPEB plans: Net gain/(loss) arising during the period 2 (2 ) — 25 (6 ) 19 Reclassification adjustments included in net income (e) : Amortization of net loss 83 (16 ) 67 52 (12 ) 40 Amortization of prior service cost/(credit) 2 (1 ) 1 (12 ) 3 (9 ) Foreign exchange and other 1 8 9 12 (3 ) 9 Net change 88 (11 ) 77 77 (18 ) 59 DVA on fair value option elected liabilities, net change: $ (469 ) $ 108 $ (361 ) $ 690 $ (163 ) $ 527 Total other comprehensive income/(loss) $ 3,348 $ (727 ) $ 2,621 $ (1,426 ) $ 319 $ (1,107 ) (a) The pre-tax amount is reported in Investment securities gains/(losses) in the Consolidated statements of income. (b) Reclassifications of pre-tax realized gains/(losses) on translation adjustments and related hedges are reported in other income/expense in the Consolidated statements of income. During the three and six months ended June 30, 2019, the Firm reclassified net pre-tax gains of $6 million to other income and $1 million to other expense, respectively. These amounts, which related to the liquidation of certain legal entities, are comprised of $5 million related to net investment hedge gains and $2 million related to cumulative translation adjustments. During the three and six months ended June 30, 2018, the Firm reclassified a net pre-tax loss of $174 million to other expense related to the liquidation of a legal entity, comprised of $23 million related to net investment hedge losses and $151 million related to cumulative translation adjustments. (c) Represents changes in fair value of cross-currency swaps attributable to changes in cross-currency basis spreads, which are excluded from the assessment of hedge effectiveness and recorded in other comprehensive income. The initial cost of cross-currency basis spreads is recognized in earnings as part of the accrual of interest on the cross currency swap. (d) The pre-tax amounts are predominantly recorded in noninterest revenue, net interest income and compensation expense in the Consolidated statements of income. (e) The pre-tax amount is reported in other expense in the Consolidated statements of income.

Restricted Cash and Other Res_2

Restricted Cash and Other Restricted Assets (Tables)6 Months Ended
Jun. 30, 2019
Cash and Cash Equivalents [Abstract]
Components of restricted cashThe following table presents the components of the Firm’s restricted cash: (in billions) June 30, December 31, 2018 Cash reserves – Federal Reserve Banks $ 24.9 $ 22.1 Segregated for the benefit of securities and futures brokerage customers 16.7 14.6 Cash reserves at non-U.S. central banks and held for other general purposes 3.9 4.1 Total restricted cash (a) $ 45.5 $ 40.8 (a) Comprises $44.2 billion and $39.6 billion in deposits with banks, and $1.3 billion and $1.2 billion in cash and due from banks on the Consolidated balance sheets as of June 30, 2019 and December 31, 2018 , respectively.

Regulatory Capital (Tables)

Regulatory Capital (Tables)6 Months Ended
Jun. 30, 2019
Banking and Thrift [Abstract]
Reconciliation of the Firm's regulatory capital, assets and risk-based capital ratiosThe following table represents the minimum and well-capitalized ratios to which the Firm and its IDI subsidiaries were subject as of June 30, 2019 . Minimum capital ratios Well-capitalized ratios BHC (a)(e)(f) IDI (b)(e)(f) BHC (c) IDI (d) Capital ratios CET1 10.5 % 7.0 % N/A 6.5 % Tier 1 12.0 8.5 6.0 8.0 Total 14.0 10.5 10.0 10.0 Tier 1 leverage 4.0 4.0 N/A 5.0 SLR 5.0 6.0 N/A 6.0 Note: The table above is as defined by the regulations issued by the Federal Reserve, OCC and FDIC and to which the Firm and its IDI subsidiaries are subject. (a) Represents the minimum capital ratios applicable to the Firm under Basel III. The CET1 minimum capital ratio includes a capital conservation buffer of 2.5% and GSIB surcharge of 3.5% . (b) Represents requirements for JPMorgan Chase’s IDI subsidiaries. The CET1 minimum capital ratio includes a capital conservation buffer of 2.5% that is applicable to the IDI subsidiaries. The IDI subsidiaries are not subject to the GSIB surcharge. (c) Represents requirements for bank holding companies pursuant to regulations issued by the Federal Reserve. (d) Represents requirements for IDI subsidiaries pursuant to regulations issued under the FDIC Improvement Act. (e) For the period ended December 31, 2018 , the CET1, Tier 1, Total and Tier 1 leverage minimum capital ratios applicable to the Firm were 9.0% , 10.5% , 12.5% , and 4.0% and the CET1, Tier 1, Total and Tier 1 leverage minimum capital ratios applicable to the Firm’s IDI subsidiaries were 6.375% , 7.875% , 9.875% , and 4.0% , respectively. (f) Represents minimum SLR requirement of 3.0% , as well as, supplementary leverage buffers of 2.0% and 3.0% for BHC and IDI, respectively. The following tables present the risk-based and leverage-based capital metrics for JPMorgan Chase and JPMorgan Chase Bank, N.A. under both the Basel III Standardized and Basel III Advanced Approaches. As of June 30, 2019 and December 31, 2018 , JPMorgan Chase and JPMorgan Chase Bank, N.A. were well-capitalized and met all capital requirements to which each was subject. June 30, 2019 Basel III Standardized Fully Phased-In Basel III Advanced Fully Phased-In JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. Regulatory capital CET1 capital $ 189,169 $ 217,622 $ 189,169 $ 217,622 Tier 1 capital 215,808 217,622 215,808 217,622 Total capital 244,490 235,208 234,507 225,403 Assets Risk-weighted 1,545,101 1,452,055 1,449,211 1,302,719 Adjusted average (a) 2,692,225 2,325,199 2,692,225 2,325,199 Capital ratios (b) CET1 12.2 % 15.0 % 13.1 % 16.7 % Tier 1 14.0 15.0 14.9 16.7 Total 15.8 16.2 16.2 17.3 Tier 1 leverage (c) 8.0 9.4 8.0 9.4 December 31, 2018 Basel III Standardized Transitional Basel III Advanced Transitional JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. (d) JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. (d) Regulatory capital CET1 capital $ 183,474 $ 211,671 $ 183,474 $ 211,671 Tier 1 capital 209,093 211,671 209,093 211,671 Total capital 237,511 229,952 227,435 220,025 Assets Risk-weighted 1,528,916 1,446,529 1,421,205 1,283,146 Adjusted average (a) 2,589,887 2,250,480 2,589,887 2,250,480 Capital ratios (b) CET1 12.0 % 14.6 % 12.9 % 16.5 % Tier 1 13.7 14.6 14.7 16.5 Total 15.5 15.9 16.0 17.1 Tier 1 leverage (c) 8.1 9.4 8.1 9.4 (a) Adjusted average assets, for purposes of calculating the Tier 1 leverage ratio, includes total quarterly average assets adjusted for on-balance sheet assets that are subject to deduction from Tier 1 capital, predominantly goodwill and other intangible assets. (b) For each of the risk-based capital ratios, the capital adequacy of the Firm and its IDI subsidiaries is evaluated against the lower of the two ratios as calculated under Basel III approaches (Standardized or Advanced). (c) The Tier 1 leverage ratio is not a risk-based measure of capital. (d) On May 18, 2019, Chase Bank USA, N.A. merged with and into JPMorgan Chase Bank, N.A., with JPMorgan Chase Bank, N.A as the surviving entity. The December 31, 2018 amounts reported for JPMorgan Chase Bank, N.A. retrospectively reflect the impact of the merger. June 30, 2019 December 31, 2018 Basel III Advanced Fully Phased-In Basel III Advanced Fully Phased-In (in millions, except ratios) JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. JPMorgan Chase & Co. JPMorgan Chase Bank, N.A. (a) Total leverage exposure $ 3,367,154 $ 2,984,420 $ 3,269,988 $ 2,915,541 SLR 6.4 % 7.3 % 6.4 % 7.3 % (a) On May 18, 2019, Chase Bank USA, N.A. merged with and into JPMorgan Chase Bank, N.A., with JPMorgan Chase Bank, N.A as the surviving entity. The December 31, 2018 amounts reported for JPMorgan Chase Bank, N.A. retrospectively reflect the impact of the merger.

Off-balance Sheet Lending-rel_2

Off-balance Sheet Lending-related Financial Instruments, Guarantees, and Other Commitments (Tables)6 Months Ended
Jun. 30, 2019
Off-Balance Sheet Lending-Related Financial Instruments, Guarantees and Other Commitments [Abstract]
Off-balance sheet lending related financial instruments, guarantees and other commitmentsThe following table summarizes the contractual amounts and carrying values of off-balance sheet lending-related financial instruments, guarantees and other commitments at June 30, 2019 , and December 31, 2018 . The amounts in the table below for credit card and home equity lending-related commitments represent the total available credit for these products. The Firm has not experienced, and does not anticipate, that all available lines of credit for these products will be utilized at the same time. The Firm can reduce or cancel credit card lines of credit by providing the borrower notice or, in some cases as permitted by law, without notice. In addition, the Firm typically closes credit card lines when the borrower is 60 days or more past due. The Firm may reduce or close HELOCs when there are significant decreases in the value of the underlying property, or when there has been a demonstrable decline in the creditworthiness of the borrower. Off–balance sheet lending-related financial instruments, guarantees and other commitments Contractual amount Carrying value (g) June 30, 2019 Dec 31, Jun 30, Dec 31, By remaining maturity Expires in 1 year or less Expires after Expires after Expires after 5 years Total Total Lending-related Consumer, excluding credit card: Home equity $ 549 $ 1,202 $ 2,185 $ 17,263 $ 21,199 $ 20,901 $ 12 $ 12 Residential mortgage (a) 9,477 — — 12 9,489 5,481 — — Auto 7,694 962 95 45 8,796 8,011 2 2 Consumer & Business Banking 10,503 679 104 721 12,007 11,673 19 19 Total consumer, excluding credit card 28,223 2,843 2,384 18,041 51,491 46,066 33 33 Credit card 633,970 — — — 633,970 605,379 — — Total consumer (b) 662,193 2,843 2,384 18,041 685,461 651,445 33 33 Wholesale: Other unfunded commitments to extend credit (c) 61,732 129,593 159,234 8,223 358,782 351,490 883 852 Standby letters of credit and other financial guarantees (c) 14,658 10,552 4,776 2,210 32,196 33,498 554 521 Other letters of credit (c) 3,066 220 37 — 3,323 2,825 3 3 Total wholesale (b) 79,456 140,365 164,047 10,433 394,301 387,813 1,440 1,376 Total lending-related $ 741,649 $ 143,208 $ 166,431 $ 28,474 $ 1,079,762 $ 1,039,258 $ 1,473 $ 1,409 Other guarantees and commitments Securities lending indemnification agreements and guarantees (d) $ 203,868 $ — $ — $ — $ 203,868 $ 186,077 $ — $ — Derivatives qualifying as guarantees 1,594 135 12,394 40,509 54,632 55,271 228 367 Unsettled resale and securities borrowed agreements 113,218 875 71 — 114,164 102,008 — — Unsettled repurchase and securities loaned agreements 122,806 — — — 122,806 57,732 — — Loan sale and securitization-related indemnifications: Mortgage repurchase liability NA NA NA NA NA NA 89 89 Loans sold with recourse NA NA NA NA 1,031 1,019 27 30 Exchange & clearing house guarantees and commitments (e) 164,784 — — — 164,784 58,960 — — Other guarantees and commitments (f) 4,505 2,931 1,537 2,749 11,722 8,183 (79 ) (73 ) (a) Includes certain commitments to purchase loans from correspondents. (b) Predominantly all consumer and wholesale lending-related commitments are in the U.S. (c) At June 30, 2019 , and December 31, 2018 , reflected the contractual amount net of risk participations totaling $193 million and $282 million respectively, for other unfunded commitments to extend credit; $9.5 billion and $10.4 billion , respectively, for standby letters of credit and other financial guarantees; and $682 million and $385 million , respectively, for other letters of credit. In regulatory filings with the Federal Reserve these commitments are shown gross of risk participations. (d) At June 30, 2019 , and December 31, 2018 , collateral held by the Firm in support of securities lending indemnification agreements was $214.6 billion and $195.6 billion , respectively. Securities lending collateral primarily consists of cash and securities issued by governments that are members of the G7 and U.S. government agencies. (e) At June 30, 2019 , and December 31, 2018 , includes guarantees to the Fixed Income Clearing Corporation under the sponsored member repo program and commitments and guarantees associated with the Firm’s membership in certain clearing houses. (f) At June 30, 2019 , and December 31, 2018 , primarily includes letters of credit hedged by derivative transactions and managed on a market risk basis, and unfunded commitments related to institutional lending. Additionally, includes unfunded commitments predominantly related to certain tax-oriented equity investments. (g)
Standby letters of credit, other financial guarantees and other letters of creditThe following table summarizes the contractual amount and carrying value of standby letters of credit and other financial guarantees and other letters of credit arrangements as of June 30, 2019 , and December 31, 2018 . Standby letters of credit, other financial guarantees and other letters of credit June 30, 2019 December 31, 2018 (in millions) Standby letters of Other letters of credit Standby letters of Other letters of credit Investment-grade (a) $ 25,041 $ 2,181 $ 26,420 $ 2,079 Noninvestment-grade (a) 7,155 1,142 7,078 746 Total contractual amount $ 32,196 $ 3,323 $ 33,498 $ 2,825 Allowance for lending-related commitments $ 210 $ 3 $ 167 $ 3 Guarantee liability 344 — 354 — Total carrying value $ 554 $ 3 $ 521 $ 3 Commitments with collateral $ 17,373 $ 768 $ 17,400 $ 583 (a) The ratings scale is based on the Firm’s internal ratings which generally correspond to ratings as defined by S&P and Moody’s.
Derivatives qualifying as guaranteesThe following table summarizes the derivatives qualifying as guarantees as of June 30, 2019 , and December 31, 2018 . (in millions) June 30, 2019 December 31, 2018 Notional amounts Derivative guarantees $ 54,632 $ 55,271 Stable value contracts with contractually limited exposure 28,843 28,637 Maximum exposure of stable value contracts with contractually limited exposure 2,958 2,963 Fair value Derivative payables 228 367 Derivative receivables — —

Pledged Assets and Collateral (

Pledged Assets and Collateral (Tables)6 Months Ended
Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Schedule of pledged assetsThe following table presents the Firm ’s pledged assets. (in billions) June 30, 2019 December 31, 2018 Assets that may be sold or repledged or otherwise used by secured parties $ 155.0 $ 104.0 Assets that may not be sold or repledged or otherwise used by secured parties 93.6 83.7 As