According to Bloomberg, the transfer of assets will make the bank one of the largest in Germany based on the size of its balance sheet.
The transfer of assets is due to be completed by the end of this year, The Times reports.

International banks based in London are increasing their European operations as prospects for an accord on financial services between Britain and the EU fade. Lenders expect to lose “passporting” rights when the Brexit transition period ends in 2020. These rights allow them to operate in any EU country without being subject to further authorisation.

Earlier this year, JP Morgan said that financial services firms in the UK have shifted almost £800bn in assets out of the country since the referendum in 2016. EY said that the figure was “modest” given that the combined assets of the UK banking sector were about £8 trillion, but it “may become larger as we move towards Brexit”.

JP Morgan is seeking to book more European transactions in Frankfurt, mainly on behalf of trading clients, after the UK leaves the EU permanently next year. It is understood that the bank is adding capital to its German operations for that reason, similar to other banks that have kept their European headquarters in London.

JP Morgan had €44 billion in assets in Germany at the end of 2019, meaning that an additional €200 billion would make it the sixth largest bank in the country by that measure. Deutsche Bank, the largest lender in Germany, had about €1.3 trillion assets at the end of 2019.

JP Morgan declined to comment.

In 2016, Jamie Dimon, chairman and chief executive of JP Morgan, said that the bank could cut up to 4,000 UK jobs as a result of Brexit. According to Bloomberg, Last week, the bank told 200 staff that they were being transferred out of London.