Yesterday, I wrote how the annual letters to shareholders of Jeff Bezos, founder and CEO of Amazon (AMZN) , should be required reading for any investor (Amazon is part of the Growth Seeker portfolio). Today we go in a different direction with the writings of JPMorgan Chase (CEO) Jamie Dimon.
To say there is a better banker on Wall Street today than Jamie Dimon most likely would be a falsehood. No doubt there are great CEOs in the industry, but Jamie Dimon stands out. Dimon lives and breathes JP Morgan. But, more importantly, he clearly demonstrates that banking is both good for Wall Street, Main Street and shareholders mutually, not exclusively. J Morgan made money in 2008 and that wasn't because it did anything different or special that year, but because it kept doing the same things.
Indeed, banks such as JPMorgan stepped up during the financial crisis and supported community banks, which in turn supported middle-class America. Jamie Dimon proves that big banks aren't harmful to ordinary Americans, but rather are very desirable.
Each year Dimon lays out his thoughts in his annual letter to shareholders. No less than Warren Buffett insists that Dimon's letter should be read by all serious executives. If you want to understand the Great Recession, read Dimon's letters. If you want to understand how post Great Recession regulation has affected the banking industry, read Dimon. If you want to learn about the economy, read Dimon. If you want to learn about banking, read Dimon.
Perhaps now more than ever, reading Jamie Dimon's annual letters is absolutely essential. After nearly a decade of never-before -een low interest rates, the stage is for change. With Trump's election, the monetary approach that has been used since the recession is likely to change. That change is going to have a tremendous impact on the economy and the banking industry. Bank equity prices have surged over the past two months based on the premise that higher rates and less regulation are in order. What this all means is crucial for investors to understand.
Jamie Dimon's annual shareholder letters will help investors understand. I would start at the beginning from the first letter that Dimon wrote and read them all. Go to the JPMorgan investor relations website and they are at your fingertips. Read them carefully and thoughtfully. You will come away with a more intelligent framework and understanding of what is happening in the world around you.