Notes From All Over, Part 2; JPMorgan Moving Some Assets To Dallas Area -- October 29, 2019

Nothing about the Bakken in this post.

JPMorgan prepares for next recession by shifting jobs from NYC to Texas; link here;

A new report via Bloomberg details how JPMorgan Chase & Co. is preparing for the next economic downturn by weighing the option to relocate its Manhattan headquarters to lower-cost financial hubs such as ones in Plano, Texas; Columbus, Ohio; and Wilmington, Delaware.

JPM spokesman Joe Evangelisti told Bloomberg the bank's new headquarters (likely to be in Texas), will house twice the number of employees than its Manhattan office.
Sources told Bloomberg that hundreds of credit-risk employees have already transferred to Texas. Other sources have said Manhattan will no longer be the location for the bank's compliance.

Much, much more at the zerohedge link. 

Of the three sites mentioned, only Plano makes sense. Not much to gain moving to Wilmington, DE. Columbus, OH? Are you kidding? Had North Carolina been in the mix that might have been different, but with North Carolina out of the mix, Dallas/Plano is the likely choice. 

Report at Bloomberg here.

I might have posted this article regardless but what caught my attention:

• moving to Texas; but, even better, 
• moving to Plano

Plano is about 15 minutes up the road from where we live. 

Plano is a major destination for companies moving to Texas. I would assume the #1 metropolitan area in Texas attracting out-of-state companies: DFW -- Dallas-Ft Worth area

• In that area, the north side of the DFW airport is probably the biggest area attracting out-of-state business
• and, in that area: Plano

Headline bullets over at Bloomberg:

• JPMorgan mulls selling Manhattan tower inherited from Bear Stearns
• company is reining in costs ahead of possible economic slump

The lede:

Despite more than two centuries of history in a city synonymous with the global financial industry, JPMorgan is quietly shrinking its workforce there. The bank has been building up its presence in other locations and is now considering relocating several thousand New York-based employees out of th area to help rein in costs ahead of a possible economic downturn.

My thoughts: Give me a break. Jamie Dimon would be doing this regardless of an economic downtown. An economic downtown lasts a few months at most; a major relocation lasts decades, perhaps longer.

Good for Jamie Dimon.

On a side note, it is interesting to see how various municipalities in Texas managed their growth. San Antonio pretty much absorbs neighboring towns, expanding its geographical footprint and tax basis. Dallas is constrained; not growing in geographic area. Cities to the north will stay independent: Plano, Frisco, McKinney.