JPMorgan Sees Mixed Results From Silicon Valley Push

A few months after JPMorgan Chase bought the collapsed First Republic Bank last year, Eric Bahn decided he needed a new home for his money.

The general partner and co-founder of Hustle Fund, a $130 million fund that invests in pre-seed and seed companies, had been a First Republic customer for years. He liked its capital call credit lines, which plugged the gap between when investors committed money and when it actually arrived. JPMorgan maintains a huge capital call lines business, but after the acquisition, Bahn said the bank began signaling it wasn’t going to renew some of those lines of credit and “customer service became terrible.”