JPMorgan Said to Disband Principal Investment Unit

JPMorgan Chase & Co. is disbanding an investment-banking unit that wagers the company’s money on hedge funds, leveraged buyouts and real estate, two people familiar with the plan said.

The second-largest U.S. bank by assets will shut the principal investment management group’s hedge-fund business and its private-equity division, except for a team that focuses on Asia, said the people, who asked not to be named because the decision hasn’t been publicly disclosed. Most of the group’s 150 employees will move to other parts of the New York-based bank.