JPMorgan Chase & Co Q3 2023 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Erika Najarian - UBS Investment Bank, Research Division - Analyst : Jeremy, my first question is for you. Again, sort of maybe reasking the question a different way. Your new guide for net interest income for this year would imply an exit run rate of $22.9 billion in the fourth quarter. As we think about the dynamics in higher for longer, on one hand, your fixed rate assets will continue to reprice. On the other, you've been asked a lot about the deposit dynamics that could continue to creep higher. How do we think about those puts and takes as we think about that relative to that exit rate of $22.9 billion in the fourth quarter?

Question: Erika Najarian - UBS Investment Bank, Research Division - Analyst : And my second question is on maybe zooming out on the Basel III endgame impacts. It's clearly complex, overly complex. And I completely agree with you that it is unnecessary at this point and very backward-looking. I guess what is not complex is the fact that you generated 75 basis points of CET1 this quarter while your RWAs are down. And I guess my question here is, is that I understand that we're in the public advocacy process. I hear you loud and clear in terms of how this could have harm in terms of pricing for Main Street and dislocating the pipes in American capital markets. But for JPMorgan, this change your natural return profile of 17%. Jamie, I know you lingered a little bit on 14% when you were at Barclays in September. But at the end of the day, it feels like for your -- for the portfolio managers that own JPMorgan through the cycle, does Basel III endgame really harm your natural earnings power and returns?