JPMorgan Chase has reached an agreement in principle with the Securities and Exchange Commission to resolve two previously disclosed investigations related to mortgage-backed securities, the company said in a quarterly filing yesterday.
The company did not say how much the settlements could cost. One of the cases is related to disclosures by JPMorgan of delinquencies involving one mortgage-backed securitization. The other case is over multiple securitizations done by Bear Stearns, the failed investment bank that JPMorgan took over in March 2008 during the financial crisis.
The company faces numerous other government investigations and private lawsuits stemming from the financial crisis and from its $6.2 billion trading loss this year on credit derivatives.
JPMorgan Chase also said it plans to buy back as much as $3 billion of stock early next year after U.S. regulators authorized it to buy shares again, the latest sign the largest US bank is healing after big trading losses.
The bank halted share repurchases in May when it said it was going to suffer at least $2 billion of trading losses from bad bets on credit. Those losses ballooned to more than $6 billion.