JPMORGAN CHASE & COJPM
JPMORGAN CHASE & CO Debt Disclosure
Long-term debt
JPMorgan Chase issues long-term debt denominated in various currencies, predominantly U.S. dollars, with both fixed and variable interest rates. Included in senior and subordinated debt below are various equity-linked or other indexed instruments, which the Firm has elected to measure at fair value. Changes in fair value are recorded in principal transactions revenue in the Consolidated statements of income, except for unrealized gains/(losses) due to DVA which are recorded in OCI. The following table is a summary of long-term debt carrying values (including unamortized premiums and discounts, issuance costs, valuation adjustments and fair value adjustments, where applicable) by remaining contractual maturity as of December 31, 2021.
| By remaining maturity at December 31, (in millions, except rates) | 2021 | 2020 | |||||||||||||||||||||||||||||||||
| Under 1 year | 1-5 years | After 5 years | Total | Total | |||||||||||||||||||||||||||||||
| Parent company | |||||||||||||||||||||||||||||||||||
| Senior debt: | Fixed rate | $ | 9,900 | $ | 71,001 | $ | 121,469 | $ | 202,370 | $ | 180,208 | (h) | |||||||||||||||||||||||
| Variable rate | 845 | 9,106 | 3,392 | 13,343 | 11,877 | (h) | |||||||||||||||||||||||||||||
Interest rates(a) | 2.93 | % | 2.22 | % | 3.00 | % | 2.67 | % | 2.97 | % | |||||||||||||||||||||||||
| Subordinated debt: | Fixed rate | $ | — | $ | 8,168 | $ | 10,101 | $ | 18,269 | $ | 19,255 | ||||||||||||||||||||||||
| Variable rate | — | — | — | — | 9 | ||||||||||||||||||||||||||||||
Interest rates(a) | — | % | 4.21 | % | 4.28 | % | 4.24 | % | 4.24 | % | |||||||||||||||||||||||||
| Subtotal | $ | 10,745 | $ | 88,275 | $ | 134,962 | $ | 233,982 | $ | 211,349 | |||||||||||||||||||||||||
| Subsidiaries | |||||||||||||||||||||||||||||||||||
Federal Home Loan Banks advances: | Fixed rate | $ | 8 | $ | 45 | $ | 57 | $ | 110 | $ | 123 | ||||||||||||||||||||||||
| Variable rate | — | 11,000 | — | 11,000 | 14,000 | ||||||||||||||||||||||||||||||
Interest rates(a) | 5.53 | % | 0.19 | % | 6.14 | % | 0.23 | % | 0.34 | % | |||||||||||||||||||||||||
| Senior debt: | Fixed rate | $ | 775 | $ | 4,701 | $ | 10,028 | $ | 15,504 | $ | 16,227 | (h) | |||||||||||||||||||||||
| Variable rate | 11,248 | 19,896 | 7,003 | 38,147 | 37,642 | (h) | |||||||||||||||||||||||||||||
Interest rates(a) | 4.55 | % | 4.92% | 1.64 | % | 2.09 | % | 2.28 | % | ||||||||||||||||||||||||||
| Subordinated debt: | Fixed rate | $ | — | $ | 287 | $ | — | $ | 287 | $ | 309 | ||||||||||||||||||||||||
| Variable rate | — | — | — | — | — | ||||||||||||||||||||||||||||||
Interest rates(a) | — | % | 8.25 | % | — | % | 8.25 | % | 8.25 | % | |||||||||||||||||||||||||
| Subtotal | $ | 12,031 | $ | 35,929 | $ | 17,088 | $ | 65,048 | $ | 68,301 | |||||||||||||||||||||||||
| Junior subordinated debt: | Fixed rate | $ | — | $ | — | $ | 678 | $ | 678 | $ | 738 | ||||||||||||||||||||||||
| Variable rate | — | — | 1,297 | 1,297 | 1,297 | ||||||||||||||||||||||||||||||
Interest rates(a) | — | % | — | % | 3.20 | % | 3.20 | % | 3.26 | % | |||||||||||||||||||||||||
| Subtotal | $ | — | $ | — | $ | 1,975 | $ | 1,975 | $ | 2,035 | |||||||||||||||||||||||||
Total long-term debt(b)(c)(d) | $ | 22,776 | $ | 124,204 | $ | 154,025 | $ | 301,005 | (f)(g) | $ | 281,685 | ||||||||||||||||||||||||
Long-term beneficial interests: | |||||||||||||||||||||||||||||||||||
| Fixed rate | $ | 748 | $ | 999 | $ | — | $ | 1,747 | $ | 2,369 | |||||||||||||||||||||||||
| Variable rate | 650 | — | 179 | 829 | 2,784 | ||||||||||||||||||||||||||||||
Interest rates(a) | 1.39 | % | 1.53 | % | 3.24 | % | 1.57 | % | 1.30 | % | |||||||||||||||||||||||||
Total long-term beneficial interests(e) | $ | 1,398 | $ | 999 | $ | 179 | $ | 2,576 | $ | 5,153 | |||||||||||||||||||||||||
(a)The interest rates shown are the weighted average of contractual rates in effect at December 31, 2021 and 2020, respectively, including non-U.S. dollar fixed- and variable-rate issuances, which excludes the effects of the associated derivative instruments used in hedge accounting relationships, if applicable. The interest rates shown exclude structured notes accounted for at fair value.
(b)Included long-term debt of $14.1 billion and $17.2 billion secured by assets totaling $170.6 billion and $166.4 billion at December 31, 2021 and 2020, respectively. The amount of long-term debt secured by assets does not include amounts related to hybrid instruments.
(c)Included $74.9 billion and $76.8 billion of long-term debt accounted for at fair value at December 31, 2021 and 2020, respectively.
(d)Included $15.8 billion and $16.1 billion of outstanding zero-coupon notes at December 31, 2021 and 2020, respectively. The aggregate principal amount of these notes at their respective maturities is $46.4 billion and $45.3 billion, respectively. The aggregate principal amount reflects the contractual principal payment at maturity, which may exceed the contractual principal payment at the Firm’s next call date, if applicable.
(e)Included on the Consolidated balance sheets in beneficial interests issued by consolidated VIEs. Also included $12 million and $41 million accounted for at fair value at December 31, 2021 and 2020, respectively. Excluded short-term commercial paper and other short-term beneficial interests of $8.2 billion and $12.4 billion at December 31, 2021 and 2020, respectively.
(f)At December 31, 2021, long-term debt in the aggregate of $185.0 billion was redeemable at the option of JPMorgan Chase, in whole or in part, prior to maturity, based on the terms specified in the respective instruments.
(g)The aggregate carrying values of debt that matures in each of the five years subsequent to 2021 is $22.8 billion in 2022, $32.6 billion in 2023, $36.4 billion in 2024, $26.1 billion in 2025 and $29.1 billion in 2026.
(h)Prior-period amounts have been revised to conform with the current presentation.
The weighted-average contractual interest rates for total long-term debt excluding structured notes accounted for at fair value were 2.67% and 2.89% as of December 31, 2021 and 2020, respectively. In order to modify exposure to interest rate and currency exchange rate movements, JPMorgan Chase utilizes derivative instruments, primarily interest rate and cross-currency interest rate swaps, in conjunction with some of its debt issuances. The use of these instruments modifies the Firm’s interest expense on the associated debt. The modified weighted-average interest rates for total long-term debt, including the effects of related derivative instruments, were 1.43% and 1.59% as of December 31, 2021 and 2020, respectively.
JPMorgan Chase & Co. has guaranteed certain long-term debt of its subsidiaries, including structured notes. These guarantees rank on parity with the Firm’s other unsecured and unsubordinated indebtedness. The amount of such guaranteed long-term debt and structured notes was $16.4 billion and $13.8 billion at December 31, 2021 and 2020, respectively.
The Firm’s unsecured debt does not contain requirements that would call for an acceleration of payments, maturities or changes in the structure of the existing debt, provide any limitations on future borrowings or require additional collateral, based on unfavorable changes in the Firm’s credit ratings, financial ratios, earnings or stock price.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2021 | Feb 22, 2022 | Showing above |
| 2020 | Feb 23, 2021 | |
| 2019 | Feb 25, 2020 | |
| 2018 | Feb 26, 2019 | |
| 2016 | Feb 28, 2017 | |
| 2015 | Feb 23, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.