JP Morgan fared better than rival Citigroup as its investment bank shrugged off a further $1.3bn (€874m) of sub-prime writedowns to remain in the black for the fourth quarter and full year.

Unlike Citigroup, JP Morgan’s investment banking unit remained profitable in the final three months of last year, although net profits plunged 88% to $124m from $1bn a year earlier, the Wall Street bank said today in its quarterly results statement.