Assignment – Memo
The purpose of this assignment is to help you learn how to analyze data. It will require you to apply knowledge of investments in a real example.
Write a three-page memo (double-spaced) to the Chairman of U.S. Federal Reserve System, Jerome Powell, describing your findings with regard to the lesson we have learned in the U.S. subprime mortgage crisis (2007-2010). Specifically, make the comparison of sub-prime mortgage investments by JP Morgan Chase versus other large banks (e.g., Citigroup). You should also make the inferences regarding these financial institutions’ business or risk strategies before and during the crisis.
You can download JP Morgan Chase’s 2009 annual report on the following link:
Note 11 on Page 195 provides the relevant information.
You can find similar information for other large banks on their web pages of investor-relations.