The Efficiency of “Smart” Client Selection

Recently, The Wall Street Journal reported that J.P. Morgan Chase & Co.’s private banking group went through another layoff as it shifted its business strategy and increased its minimum investible assets from $5 million to $10 million. The rationale, as explained in the article, is that wealthy clients require much more attention, generate more fees, and have less risk than less lower income, middle class clients. The article continues:  Wealthy clients also typically generate a[…]