As a result of Britain’s exit from the European Union (EU), JPMorgan Chase & Co. is moving around 200 billion euros of assets — or around $230 billion — from the United Kingdom to Germany.
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While the type of assets being moved was not specified, Reuters reported Wednesday that similar transferrals usually include cash and financial securities like stocks and bonds.
In January, the bank had announced it would significantly expand its Paris-based location as part of plans to relocate services from London.
Other large banks in Britain have made similar moves, as regulators in Germany and Ireland urge banks to book their assets locally.
Barclays has moved its European headquarters and almost 200 billion euros in assets to Dublin.
A shift in assets opens a window into how banks are planning for the future after the “Brexit” officially transpires, and they will likely no longer be able to book entire trading operations for the continent out of London.
Instead of trading with the U.K.-based subsidiary, clients of the European banks will now trade with the lenders’ local banking entities.
The EU’s banking watchdog said in July that banks using Britain as a gateway to the union must fully execute their plans for serving EU customers before the transition period ends in December.
The U.K. withdrew from the European Union’s political institutions on Jan. 31, but remains in a tariff-free transition period until the conclusion of 2020 while negotiators try to work out a future trade relationship.
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JPMorgan plans to complete the migration of assets to its Frankfurt-based subsidiary by the end of the year, according to Bloomberg News.
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