Management’s discussion and analysis ASSET & WEALTH MANAGEMENT Asset & Wealth Management, with client assets of $3.7 trillion, is a global leader in investment and wealth management. The majority of AWM’s client assets are in actively managed portfolios. In the fourth quarter of 2020, the Firm realigned certain wealth management clients from AWM to CCB. Prior-period amounts have been revised to conform with the current presentation, including a decrease to net revenue of $725 million and $649 million for the years ended December 31, 2019 and 2018, respectively. Effective in the first quarter of 2021, the Wealth Management business was renamed Global Private Bank. 80 Noninterest expense was $10.0 billion, an increase of 2%, driven by legal expense, volume- and revenue-related expense as well as investments in the business, partially offset by lower structural expense. The provision for credit losses was $263 million, driven by additions to the allowance for credit losses, predominantly as a result of the impact of the COVID-19 pandemic. Revenue from Wealth Management was $6.6 billion, up 4%, predominantly driven by higher deposit and loan balances, increased brokerage commissions and asset management fees, largely offset by deposit margin compression. Revenue from Asset Management was $7.7 billion, up 6%, predominantly driven by higher asset management fees as a result of net inflows into liquidity products as well as higher performance fees, partially offset by lower net investment valuation gains. Net revenue was $14.2 billion, an increase of 5%. Net interest income was $3.4 billion, up 2%, driven by higher deposit and loan balances as well as loan margin expansion, offset by deposit margin compression. Noninterest revenue was $10.8 billion, up 6%, predominantly driven by higher asset management fees as a result of net inflows into liquidity and long term products, higher performance fees and increased brokerage commissions on higher client-driven volume, partially offset by lower net investment valuation gains. Net income was $3.0 billion, an increase of 4%. 2020 compared with 2019 Offers multi-asset investment management solutions across equities, fixed income, alternatives and money market funds to institutional and retail investors providing for a broad range of clients’ investment needs. Provides retirement products and services, brokerage, custody, trusts and estates, loans, mortgages, deposits and investment management to high net worth clients. Asset Management Wealth Management Year ended December 31, (in millions, except ratios  and headcount) 2020 2019 2018 Revenue Asset management, administration and commissions $ 10,610 $ 9,818  $ 9,808  All other income 212 418  244  Noninterest revenue 10,822 10,236  10,052  Net interest income 3,418 3,355  3,375  Total net revenue 14,240 13,591  13,427  Provision for credit losses 263 59  52  Noninterest expense Compensation expense 4,959 5,028  4,888  Noncompensation expense 4,998 4,719  4,687  Total noninterest expense 9,957 9,747  9,575  Income before income tax expense 4,020 3,785  3,800  Income tax expense 1,028 918  855  Net income $ 2,992 $ 2,867  $ 2,945  Revenue by line of business Asset Management $ 7,654 $ 7,254  $ 7,163  Wealth Management 6,586 6,337  6,264  Total net revenue $ 14,240 $ 13,591  $ 13,427  Financial ratios Return on common equity 28 % 26 % 32 % Overhead ratio 70 72  71  Pre-tax margin ratio: Asset Management 29 26  26  Wealth Management 27 30  30  Asset & Wealth Management 28 28  28  Selected income statement data JPMorgan Chase & Co./2020 Form 10-K