J.P. Morgan Chase & Co. has reshuffled the office responsible for a trading fiasco that cost the bank more than $6 billion.
Craig Delany, who took over as head of the Chief Investment Office following the 2012 episode, now has the additional title of treasurer as the bank combines the CIO and its treasury unit into one organization, according to a memo reviewed by The Wall Street Journal. The former treasurer, Sandie O'Connor, was promoted to the job of chief regulatory officer for the firm, a prominent post that involves interactions with J.P. Morgan's federal overseers.
The job of the CIO was to invest the bank's excess cash, but a series of bets made by a trader nicknamed the "London whale" backfired and led to the resignation of CIO head Ina Drew in early 2012. The job of the treasurer was to manage the firm's balance sheet, capital, funding and liquidity.
The changes were announced in a March 31 memo from the firm's chief operating officer, Matt Zames. Mr. Delany and Ms. O'Connor will report to Mr. Zames.
The 47-year-old Ms. O'Connor replaces the 68-year-old Tim Ryan, who will become vice chairman of regulatory affairs.
The Financial Times previously reported the new appointments.
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