Jamie Dimon has just put one of his “closest lieutenants” in charge of JP Morgan’s US mortgage business, FT reports.Frank Bisignano, who’s currently tlhe bank’s chief administrative officer, will also become the head of its home lending unit.
Bisignano and Dimon have known each other for decades.
They met in the 1980s, when they were both working for Sandy Weil.
According to Dealbook,
A trusted lieutenant since their days at Citigroup, Mr. Dimon… tasked [Bisignano] with consolidating the bank’s real estate and finding other cost-savings.
But with Mr. Bisignano, Mr. Dimon is installing one of his strongest managers with long history overseeing the operations of several banks. He also comes from a family of veterans, which will be crucial to smoothing relations with lawmakers, regulators and military brass.
Bisignano once said, “I’d rather play second base on a championship team than shortstop on a team that doesn’t make it to the World Series.”
He’d just left Citi (and a $1 billion business under his governorship) to follow Dimon to JP Morgan, for “a staff role (albeit a big one),” Fortune reported.
According to the FT, a memo sent to employees from Dimon and the head of the retail bank, Charlie Scharf “acknowledged that the home lending business had ‘gone through a period of enormous challenge and change.'”
Bisignano joined JP Morgan in 2005 and “is credited with upgrading its technology while keeping a tight lid on costs.” He ran Citi’s enormous cash payment unit for four years in the early 2000s, and under his leadership, the unit’s earnings increased from $500m to $1.6 billion.
Dave Lowman, the current head of the mortgage business, will report to Bisignano.