Blink and you would’ve missed it, but JP Morgan Securities has just changed its legal status, and name.
From the Federal Reserve’s primary dealers update:
The Limited Liability Company label comes with oodles of benefits, such as (surprise) limited personal liability for owners. In that sense it’s rather similar to corporation status, which also has limited liability protection, but it comes with fewer restrictions plus pass-through treatment for tax.
The status switch, which appears to have been trailed to JPM customers as a “name change, ” means the bank now looks to be the second US-based primary dealer with an LLC tag.
(H/T a sharp-eyed Mike Jackson).
Related links:
Limited liability company (LLC) banks – Cuna, 2005
Are LLC banks in the cards? Stay tuned - Fredrikson, 2003