In a surprising revelation during JP Morgan's investor day, CEO Jamie Dimon hinted at his impending retirement, indicating that it would occur in approximately two to three years, after he turns 70 years old. Dimon's announcement has sent ripples across the financial markets, with shares experiencing a significant drop of approximately 4% and struggling to recover.

Throughout his tenure, Dimon has established himself as one of the most successful investment executives of our generation. Despite a few regulatory challenges such as the London Whale incident and the bank's association with figures like Bernie Madoff and Jeffrey Epstein, the absence of major scandals has contributed to JP Morgan's impressive growth, with shares up 89% over the past five years.

Describing Dimon's work ethic, a JPM executive emphasized his unwavering commitment, stating that he works seven days a week, actively participates in major meetings, and diligently manages risk. As retirement nears, the executive expressed uncertainty about Dimon's future plans and speculated on who could possibly fill the CEO's shoes.

While Dimon has established a strong succession process, with three possible contenders emerging, including consumer-banking chief Marianne Lake, co-head of JPM's investment and commercial bank Jennifer Piepszak, and Troy Rohrbaugh, co-CEO of the commercial and investment bank, investors are apprehensive about the prospects. Among the front-runners, Lake is considered the favored choice due to her prior experience as JPM's CFO and her reputed skill in managing risk.

Several factors are believed to have instigated Dimon's decision to reveal his retirement timeline. The success of James Gorman, former CEO of Morgan Stanley, and his carefully orchestrated succession process may have influenced Dimon. Observing Gorman's strategy of allowing top executives to demonstrate their abilities without lobbying, Dimon appears impressed and seeks a similar smooth transition.

Dimon's own career trajectory, starting with a tumultuous departure from Citigroup and subsequent resurrection at JPMorgan, has given him firsthand experience of the consequences of overstaying one's welcome in a leadership role. With a desire to leave while still at the top and with the opening of JP Morgan's new Midtown Manhattan headquarters in the next two years, Dimon may opt to retire as CEO while remaining as chairman to guide the bank's strategic direction.

As the markets eagerly await Dimon's next move, speculation about his post-retirement plans abounds. Some insiders believe he may pursue teaching at the university level, while acquaintances from his Citigroup days suggest that he still entertains aspirations for national office, following his earlier comments about being a potential better president than Donald Trump.

For now, Dimon's focus remains on the upcoming transition and ensuring a seamless handover to the next generation of leaders at JP Morgan. As the countdown to his retirement begins, the financial world will closely monitor developments within the bank, eager to witness the next chapter in Dimon's remarkable career.