Remember last week, when we talked about the sweep of margin out of an FCM and into a more traditional account as a means of protection? And how the legalities of the situation may well complicate the situation? Well, it looks like an unlikely player may just be stepping up to the plate and dancing around the legal concerns. Via Bloomberg:

JPMorgan Chase & Co. (JPM) will allow futures and swaps customers to house excess collateral in a separate bank account as it seeks to reassure investors after losses at MF Global Holdings Ltd. (MFGLQ) and Peregrine Financial Group Inc.

The new service will allow clients to automatically aggregate excess margin at JPMorgan Chase Bank N.A., the firm’s insured deposit-taking unit, Emily Portney, head of agency clearing, collateral and execution at the New York-based bank, said in a telephone interview.

“It’s certainly in response to client queries and more emphasis on safekeeping of client money,” she said. “The key is safety, operational efficiency and more choice for clients” in how their funds are protected and invested, Portney said.

We’ll be further researching the options, but we know, for former investors in MFGlobal, in particular, trusting JPM could be an issue. Nonetheless, it’s good to see at least ONE institution offering some kind of solution. Now, where are the rest of ’em?