NEW YORK — In a move that sends shockwaves through the corporate governance landscape, J.P. Morgan Asset & Wealth Management has officially severed ties with third-party proxy advisory firms for its U.S. equities business. As of January 2026, the financial titan—overseeing more than $7 trillion in assets—is shifting its shareholder voting operations entirely in-house, powered by a sophisticated new artificial intelligence platform dubbed Proxy IQ.
The transition, confirmed via an internal memo first reported on January 7, 2026, makes JPMorgan the first major global investment manager to fully eliminate its reliance on external giants like Institutional Shareholder Services (ISS) and Glass Lewis.
The Engine of Independence: Proxy IQ
At the heart of this pivot is Proxy IQ, an AI-driven tool integrated into JPMorgan’s broader Spectrum investment data infrastructure. The platform is designed to handle the staggering scale of modern stewardship by automating the most labor-intensive aspects of the proxy season.
- Massive Scale: The AI aggregates and analyzes proprietary data from more than 3,000 annual company meetings each year.
- Deep Analysis: Proxy IQ processes complex governance documents, financial reports, and regulatory filings at speeds unattainable by human teams, generating tailored vote recommendations for portfolio managers.
- Client Alignment: By bringing the process in-house, JPMorgan argues it can ensure that every vote is cast strictly in the best interests of its clients, rather than following the “one-size-fits-all” recommendations often attributed to external firms.
Strategic Context: The Battle Over ‘Politicized’ Investing
The shift comes at a moment of extreme regulatory and political pressure on the proxy advisory industry, which has historically been dominated by a duopoly controlling over 90% of the market.
| Key Influencer | Stance / Action |
| Jamie Dimon (CEO) | Long-time critic; has previously labeled external advisors as “incompetent.” |
| The White House | Issued a December 2025 Executive Order targeting proxy firms for “politicized” agendas. |
| Paul Atkins (SEC Chair) | Warned against the “weaponization” of shareholder proposals by activists. |
| ISS & Glass Lewis | Pivot underway: Glass Lewis plans to stop offering singular “benchmark” advice by 2027. |
The timing suggests JPMorgan is moving to insulate itself from the growing “anti-ESG” campaign in the U.S. By internalizing the analysis, the firm gains a “stewardship shield”—reducing its exposure to regulatory investigations into whether it is outsourcing its fiduciary duty to third parties with potentially divergent political or social agendas.
Analyst Outlook: A Domino Effect in Banking?
Market analysts are watching closely to see if other industry leaders, such as BlackRock or Vanguard, will follow suit. The disintermediation of proxy advisors represents a significant cost-saving opportunity—potentially millions in annual fees—but the primary value lies in the information advantage.
“JPMorgan is signaling that AI is no longer just a support tool; it is a primary engine for corporate judgment,” says a senior fintech analyst at the ongoing J.P. Morgan Healthcare Conference. “By controlling the data pipeline from end to end, they aren’t just voting on boards—they’re owning the narrative of corporate governance.”
The Bottom Line: Precision Over Outsourcing
As the 2026 proxy season approaches, Proxy IQ represents a high-tech bet on institutional autonomy. For the corporations in JPMorgan’s massive portfolios, the change means they will no longer be pleading their cases to a handful of external advisors; instead, they will be facing an AI-informed stewardship team that has brought the “art” of the vote entirely under its own roof.
JPMorgan Chase Tower, Dallas, Texas Photo by Joe Mabel
