What JPMorgan's results say about where JPMorgan might be hiring

JPMorgan plays its cards close to its chest when it comes to recruitment. While other banks are happy to proclaim their strategic plans, JPMorgan isn't. Last Friday's results and call were no different.

However, there were a few, bleary, indications of where the action might be in 2011. They include:

Commodities

JPMorgan had a difficult year in commodities in 2010. This does not appear to have dented its urge to expand.

"We are still building the commodities side [of the business]," said Dimon during last week's call. "We are going to continue to build [in 2011."

This hiring may not happen in Europe. One London commodities headhunter says JPM still looks a bit overstaffed in commodities following the Sempra purchase. "I can see them expanding their customer business to compensate for the loss of prop trading, but they have too many people for the trading seats they have already."

Asia

Most expansion is likely to be in Asia, where investment banking revenues rose 14% last year and fees hit record levels. By comparison, revenues in EMEA fell 25%.

One analyst asked Dimon whether trading revenues were being slowed in Europe and elsewhere by the lingering impact of concerns about the European Union. He responded they weren't, that changes were just the "ebbs and flows of trading" and that trading 2011 has started, "pretty good." But there was no mention of hiring.

Asset Management

Last year JPMorgan hired 500 into front office asset management roles, with 40% of them hired outside the US.

The bank's asset management business had record revenues in the fourth quarter, up 20% y-o-y and q-o-q, driven by inflows of assets under management. Further inflows can be expected to encourage further hiring in 2011.

Litigation

JPMorgan's investment bank needs lawyers. Much of the $700m increase in non-personnel expenses between the third and fourth quarter was down to an increased litigation reserve.

Dimon said there is still a lot of 'detritus from the storm' - that litigation related to the early stages of the subprime crisis is still working through the system.

Corporate bankers

Middle market lending is expected to be a big revenue driver in 2011. Expect to see more emphasis on relationship bankers and people to help build JPMorgan's corporate banking presence internationally. In London, the bank is already

hiring for a 'Global Corporate Bank international expansion and country build out' team.

Technologists

JPMorgan and other US banks can be expected to hire technologists to work on the adaption of trading systems to meet the requirements of the Dodd Frank legislation. This isn't suggested by the bank's results, but it's hiring here already.