Jamie Dimon supplies a master class in management

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Each year, JPMorgan Chief Jamie Dimon uses his perch as the head of the US largest bank to outline how the world should work through a long letter to shareholders. This year, the main audience is not so much investors as the White House and its new ruler. However, JPMorgan stock owners will also thank him for it.

Smoke 58-page Mrs. This is an exercise in mixing with political wallpaper. This is the new Presidential Administration Donald Trump warm on his back for correcting perceived grievances. According to him, few Joe Biden’s team really understood. Now the red tape is cut; Incorrect policy is ejected.

The fare also avoids the smimon to say something too incendiary. It can be badly in the bride to avoid this topic, given the JPMorgan shares that have fallen about a quarter since mid-February. And he admits they could cause inflation and perhaps the decline. But the message is sweetened, pointing to a likely round of negotiations after tariffs with America’s trading partners and how they can lead to positive effects.

This is much more diplomatic than the Bill Akman Hedge Fund, who, praising Trump for fighting a broken system, warned on Sunday ‘about’self -proclaimed, economic nuclear winter“.

As it happens, JPMorgan is pretty well placed against trading problems. However, global banks work best when goods and services flow freely across the borders. Containr unlikely to bounce as once hoped; The initial public proposals refuse to the left, right and in the center. But the profit related to transactions is only a tenth of JPMorgan’s revenues in the good year.

The recession would definitely be bad for borrowers – and for a $ 233 billion credit card credit card – but the Dimon Bank is quite well laid, providing twice more registered loss rates. And lending and capital raising it facilitates, surprisingly little remains on the balance. In fact, one of his complaints is that the heavy rules of capital made the banks borrow less than they would.

Seeing the White House, thus seeing a greater threat than an economic storm that can explain the change in the tone of the smoke to other subjects. Have disappeared promises fight racial wealth divided. Climate change, once a priority, only receives fleeting mention. Trump did not hide his views on both topics.

Of course, the messages are quite rational. And Trump is really the boss of Dimon, how much the bank’s condition intertwines from the US. A veteran banker may also refer to the fact that the president is more likely to listen to a warning that is covered with sugar than a cry.

In addition, after almost two decades of work, the head of JPMorgan does not really need to win their shareholders. Even with a recent fall, he presented them with an annual profitability of more than 20 percent in five years. If these love letters in America help support this work, investors should allow the smoke to write the content of their heart.

john.foley@ft.com