JPMorgan made a bold and unconventional wager — to create a modern, high-performing investment banking operation that would thrive far beyond the confines of Wall Street’s traditional ecosystem. To carry out this ambitious plan, the firm turned to John Richert, entrusting him with the responsibility of building an investment banking powerhouse rooted in regional markets across the United States. Under Richert’s leadership, the business, designed specifically to serve founder-led companies and enterprises closely embedded within their local economies, has transformed remarkably. What started as a small, four-person initiative has expanded into a team of nearly 300 experienced bankers who now collectively generate more than one billion dollars in annual revenue. The group’s model allows aspiring bankers, after completing their formative years as junior analysts—typically spent honing technical and transactional skills in New York—to transition into any of the 13 strategically located offices across the nation.
This organizational design defies the long-held assumption that true investment banking excellence can only be cultivated within Manhattan’s financial core. Instead, it demonstrates that world-class banking operations can flourish in cities such as Atlanta, Dallas, and Chicago, among others. Yet, what often goes unnoticed is the intricate process of establishing and managing an institution of this caliber in regions like the Southeast, where the cultural and economic dynamics differ from Wall Street’s fast-paced concentration of capital. The group’s focus rests on mid-cap transactions—typically encompassing deal values up to approximately $2 billion—with its optimal range falling between $500 million and $1.5 billion. Under Richert’s direction, the practice has steadily broadened its industry coverage, integrating sectors such as industrials, consumer retail, healthcare, media, communications, and additional emerging fields that align with regional strengths and opportunities.
This innovative approach has not escaped the attention of rival firms. Goldman Sachs, recognizing the value of JPMorgan’s decentralization strategy, introduced its own Cross Markets Group in 2019 to target founder-led and mid-sized organizations. Similarly, UBS launched a middle-market initiative during the pandemic, dispatching teams of bankers to operate in the same metropolitan areas where its wealth management businesses already have a significant presence. Furthermore, the connection between capital markets specialists and wealth advisory teams continues to strengthen, generating a symbiotic pipeline of referrals as business founders seek to invest the proceeds from major investment banking transactions into their long-term personal wealth strategies.
Speaking from his Atlanta office, Richert described to *Business Insider* what it means to construct and oversee a truly national investment banking enterprise that operates outside New York’s gravitational pull. He expressed optimism regarding the future of the middle market, particularly moving into 2026, noting that the team currently holds the largest backlog of sell-side mandates it has ever recorded. According to Richert, multiple forces are converging to fuel this momentum: private equity funds face increasing pressure to return capital to their limited partners, requiring them to divest assets; numerous funds will be unable to raise subsequent vehicles, compelling sales of remaining portfolio companies; and a significant segment of baby boomer entrepreneurs must consider selling, as their children choose not to assume leadership of the family business.
On the question of geographical presence, Richert underscored the profound importance of locality in his line of work. Investment banking, he explained, is not only about structuring transactions—it is, at its heart, a relationship-driven enterprise. Being genuinely embedded in the communities where clients live and work facilitates authentic engagement: from spontaneous encounters with CEOs at community events or children’s soccer games to informal dinners that build trust over time. As one CEO once told him candidly, the value of having a local banker stems from the day-to-day visibility in the community. When a banker is merely flying in from New York, it feels transactional. But when that banker is a neighbor, it feels personal. This philosophy underpins Richert’s central credo: his team does not chase immediate fees or deals—they pursue enduring relationships, which, in the long term, form the foundation for mutual success.
Richert also reflected on the appeal of working beyond New York for professionals in his organization. While he endorses beginning one’s career in Manhattan or Los Angeles—where exposure to high-volume deal flow and the pulse of the financial industry is invaluable—he emphasizes that many talented bankers eventually seek a lifestyle that offers equilibrium between personal and professional commitments. Once analysts complete their initial years in major financial centers and are promoted to associate, the firm’s distributed office network allows them to relocate to regions such as the Midwest, Texas, the West Coast, or the Southeast, depending on their roots and personal preferences. This flexibility not only enhances employee satisfaction but also aligns JPMorgan’s presence with the geographic diversity of its clientele.
Recounting the origins of the mid-cap banking group, Richert explained that his recruitment to JPMorgan began with a call from Doug Petno, now the Chief Executive Officer of the firm’s Corporate and Investment Bank. At the time, Richert was at Barclays when Petno presented an opportunity to build something transformational. The idea was to establish a new kind of investment banking franchise in cities outside traditional hubs—beginning with New York, Dallas, Chicago, and Atlanta. The initial motivation, Petno observed, stemmed from a noticeable gap: JPMorgan’s investment banking market share in these regions was in the low single digits, while the firm’s overall penetration across the U.S. was substantially higher. The question was simple yet compelling—why did such a discrepancy exist? Given Richert’s Tennessee roots, the leadership believed he was uniquely positioned to spearhead the initiative in the South, fostering local relationships and market credibility from the ground up.
Building this business, Richert admitted, involved formidable challenges. Finding the right balance of talent required identifying professionals who possessed both technical excellence and the entrepreneurial spirit to create something lasting within a large corporate structure. Recruiting such individuals became, by his own admission, a full-time endeavor. The goal was to assemble a team of pioneers—people who viewed this nascent regional banking model not as a step back from Wall Street, but as an opportunity to innovate and redefine how client relationships are cultivated in the modern era. The process was deeply entrepreneurial, demanding persistence, resilience, and creativity.
In addressing the influence of artificial intelligence on banking operations, Richert noted that JPMorgan has already implemented an internal large language model capable of synthesizing complex information and enhancing the team’s client interactions. Tasks that previously consumed an entire day can now be completed within a single hour. Nonetheless, he acknowledged that this represents only the beginning. He envisions AI being utilized more comprehensively in drafting confidential information memoranda, S-1 registration documents, and client communications—all areas where efficiency gains can meaningfully reduce the burden on analysts and associates. Importantly, Richert rejected the notion that AI would displace human jobs. Instead, he argued that automation will expand capacity: with repetitive tasks streamlined, bankers will have more time to focus on cultivating relationships and strategic thinking. The result, he said, will be not fewer bankers, but more productive ones—with healthier work-life balance.
When asked what keeps him awake at night, Richert responded that his foremost concern lies in guaranteeing that his team remains motivated, supported, and positioned for long-term success. The external environment is filled with macroeconomic uncertainties, from shifting interest rates to geopolitical volatility. Yet, his philosophy emphasizes agility and proactive engagement. For him, the ability to quickly adapt to market changes is what separates leaders from followers in the investment banking landscape.
Finally, Richert’s leadership approach can be distilled into a few guiding principles: lead by example, treat others with genuine respect, and maintain perspective about what truly matters. He repeatedly tells his colleagues that no task is beneath anyone, and no individual contribution is insignificant. Every analyst, associate, and managing director is interdependent, and a thriving culture cannot be transmitted through digital screens—it must be lived and experienced in person. Above all, Richert reminds his team that while their work is important, family and integrity come first. His philosophy, simple yet profound, captures his core view of the business: if you consistently offer thoughtful, trustworthy advice to clients, the rest—including success, recognition, and growth—will naturally follow.
Sourse: https://www.businessinsider.com/jpmorgan-john-richert-middle-market-group-high-backlog-2025-12
