Shocked, Shocked!! Jamie Dimon Backs Away From Climate Goals; Bank Made $430 Billion In FF Investments Since 2016 [View all]

JPMorgan Chase, the world’s biggest investor in fossil fuels, may have misled investors and the public by backtracking on its already weak climate and environmental commitments, six US senators have warned in a letter to the CEO Jamie Dimon. Although a climate-disrupted world demands stronger action by the financial sector to reduce emissions and protect nature, the Wall Street firm is heading in the opposite direction, say the upper chamber legislators, who include Senate banking committee member Elizabeth Warren.

They have demanded clarification about the intentions of the world’s biggest bank. Senator Warren said: “If JPMorgan Chase has misled investors and the public, both Congress and regulators have a range of tools to respond as necessary.” They have given the bank until 24 July to reply. The letter, shared exclusively with the Guardian, reflects growing concern that JPMorgan Chase is watering down public commitments it has made over decades. Campaigners say this poses a structural risk because short-term interests are taking precedence over long-term climate – and financial – stability.

JPMorgan Chase, which has $4tn in assets, has been criticised for making profits while the world burns. The letter notes that the company has financed over $430bn in fossil fuel projects since 2016, more than any other institution on the planet. Concerns rose earlier this year when Dimon announced a shift in policy that suggested JPMorgan Chase would dilute its environmental goals. In an 8 April letter to shareholders, he indicated the company was “going to use the word ‘commitment’ much more reservedly in the future, clearly differentiating between aspirations we are actively striving toward and binding commitments”.

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Concerns are also growing that other major US banks are sliding away from their promises of climate and biodiversity action. Citi, Bank of America and Wells Fargo also quit the Equator Principles earlier this year, a move that climate groups condemned as “shocking” and “cowardly”. At a time of record temperatures and deadly storms, this has led to a public backlash. On the streets, the climate finance movement has staged protests outside several Wall Street institutions, including Citi, Bank of America and major insurers. Pressure also came in the annual banking on climate chaos report, produced by a coalition of environmental groups, which details the investments of JPMorgan Chase and other majors bankers in climate destabilising projects. BlackRock also limited its involvement.

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https://www.theguardian.com/business/article/2024/jul/10/jpmorgan-jamie-dimon-climate-change-us-senator