(Sharecast News) - JPMorgan Chase upped its annual forecast for net interest income on Monday, following its acquisition of failed lender First Republic Bank.
In a presentation for its investor day, the Wall Street lender said it now expected annual net interest income, excluding corporate and investment banking, to come in around $84bn, compared to previous guidance for $81bn.
The US banking sector has endured a torrid few months, sparked by the failure of Silicon Valley Bank in March. First Republic became the second-biggest bank failure in America's history after US regulators stepped in to shutter the Californian lender at the start of May. Most of its assets were then sold to JP Morgan, which paid the Federal Deposit Insurance Corporation $10.6bn as part of the deal.
It has taken on $173bn of First Republic's loans, $30bn of securities and $92bn of deposits earlier this month.
JPMorgan, America's largest lender, expects to take around 12 months to fully integrated First Republic.
