Provision for credit losses The managed provision for credit losses includes amounts related to credit card securitizations.
For the year ended December 31, 2008, the increase in the provision for credit losses was due to year-over-year increase in the allowance for credit losses largely related to the home equity, subprime mortgage, prime mortgage and credit card loan portfolios in the consumer businesses as well as in the allowance for credit losses related to the wholesale portfolio.
The increase in the allowance for credit losses related to the wholesale provision for loan losses from the prior year was due to the weakening credit environment, loan growth and the transfer of $4.9 billion of funded and unfunded leveraged lending commitments to retained loans from held-for-sale.
The decrease in provision for lending-related commitments from the prior year benefited from reduced balances of lending-related commitments.
## Table 0 ##
(a) Includes accounting conformity provisions related to the Washington Mutual transaction in 2008.
(b) Includes provision expense related to loans acquired in the Bear Stearns merger in the second quarter of 2008.
(c) Includes amounts related to held-for-investment prime mortgages transferred from AM to the Corporate/Private Equity segment.
(d) In November 2008, the Firm transferred $5.8 billion of higher quality credit card loans from the legacy Chase portfolio to a securitization trust previously established by Washington Mutual (“the Trust”).
As a result of converting higher credit quality Chase-originated on-book receivables to the Trust's seller's interest which has a higher overall loss rate reflective of the total assets within the Trust, approximately $400 million of incremental provision expense was recorded during the fourth quarter.
This incremental provision expense was recorded in the Corporate segment as the action related to the acquisition of Washington Mutual's banking operations.
For further discussion of credit card securitizations, see Note 16 on pages 180–188 of this Annual Report.
MARKET RISK MANAGEMENT Market risk is the exposure to an adverse change in the market value of portfolios and financial instruments caused by a change in market prices or rates.
Market risk management Market risk is identified, measured, monitored, and controlled by Market Risk, a corporate risk governance function independent of the lines of business.
Market Risk seeks to facilitate efficient risk/return decisions, reduce volatility in operating performance and make the Firm’s market risk profile transparent to senior management, the Board of Directors and regulators.
Market Risk is overseen by the Chief Risk Officer and performs the following functions: ?
Establishment of a comprehensive market risk policy framework ?
Independent measurement, monitoring and control of business segment market risk ?
Definition, approval and monitoring of limits ?
Performance of stress testing and qualitative risk assessments Risk identification and classification Market Risk works in partnership with the business segments to identify market risks throughout the Firm and define and monitor market risk policies and procedures.
All business segments are responsible for the comprehensive identification and verification of market risks within their units.
Risk-taking businesses have functions that act independently from trading personnel and are responsible for verifying risk exposures that the business takes.
In addition to providing independent oversight for market risk arising from the business segments, Market Risk is also responsible for identifying exposures which may not be large within individual business segments but which may be large for the Firm in the aggregate.
Regular meetings are held between Market Risk and the heads of risk-taking businesses to discuss and decide on risk exposures in the context of the market environment and client flows.
Positions that expose the Firm to market risk can be classified into two categories: trading and nontrading risk.
Trading risk includes positions that are held by the Firm as part of a business segment or unit, the main business strategy of which is to trade or make markets.
Unrealized gains and losses in these positions are generally reported in principal transactions revenue.
Nontrading risk includes securities and other assets held for longer-term investment, mortgage servicing rights, and securities and derivatives used to manage the Firm’s asset/liability exposures.
Unrealized gains and losses in these positions are generally not reported in principal transactions revenue.
Notes to consolidated financial statements 174 JPMorgan Chase & Co.  / 2008 Annual Report card-related asset-backed securities, mortgage-backed securities issued by private issuers and commercial and industrial asset-backed securities.
Of the $2.0 billion of unrealized losses related to credit card-related asset-backed securities, $1.7 billion relates to purchased credit card-related asset-backed securities, and $304 million relates to retained interests in the Firm’s own credit card receivable securitizations.
The credit card-related asset-backed securities include “AAA”, “A” and “BBB” ratings.
Based on the levels of excess spread available to absorb credit losses, and based on the value of interests subordinate to the Firm’s interests where applicable, the Firm does not believe it is probable that it will not recover its investments.
Where applicable under EITF 99-20, the collateral and credit enhancement features are at levels sufficient to ensure that an adverse change in expected future cash flows has not occurred.
Of the remaining unrealized losses as of December 31, 2008, related to securities that have been in an unrealized loss position for less than 12 months, $2.7 billion relates to mortgage-backed securities issued by private issuers and $820 million relates to commercial and industrial asset-backed securities.
The mortgage-backed securities and commercial and industrial asset-backed securities are predominantly rated “AAA”.
Based on an analysis of the performance indicators noted above for mortgage-backed securities and asset-backed securities, which have been applied to the loans underlying these securities, the Firm does not believe it is probable that it will not recover its investments in these securities.
The Firm intends to hold the securities in an unrealized loss position for a period of time sufficient to allow for an anticipated recovery in fair value or maturity.
The Firm has sufficient capital and liquidity to hold these securities until recovery in fair value or maturity.
Based on the Firm’s evaluation of the factors and other objective evidence described above, the Firm believes that the securities are not otherthan-temporarily impaired as of December 31, 2008.
The following table presents the amortized cost, estimated fair value and average yield at December 31, 2008, of JPMorgan Chase’s AFS and HTM securities by contractual maturity.
## Table 1 ##
(a) Includes securities with no stated maturity.
Substantially all of the Firm’s mortgage-backed securities and collateralized mortgage obligations are due in ten years or more based upon contractual maturity.
The estimated duration, which reflects anticipated future prepayments based upon a consensus of dealers in the market, is approximately four years for mortgagebacked securities and collateralized mortgage obligations.
(b) The average yield is based upon amortized cost balances at year-end.
Yields are derived by dividing interest income by total amortized cost.
Taxable-equivalent yields are used where applicable.
Note 13 – Securities financing activities JPMorgan Chase enters into resale agreements, repurchase agreements, securities borrowed transactions and securities loaned transactions, primarily to finance the Firm’s inventory positions, acquire securities to cover short positions and settle other securities obligations.
The Firm also enters into these transactions to accommodate customers’ needs.
Resale agreements and repurchase agreements are generally treated as collateralized financing transactions carried on the Consolidated Balance Sheets at the amounts the securities will be subsequently sold or repurchased, plus accrued interest.
On January 1, 2007, pursuant to the adoption of SFAS 159, the Firm elected fair value measurement for certain resale and repurchase agreements.
In 2008, the Firm elected fair value measurement for certain newly transacted securities borrowed and securities lending agreements.
For a further discussion of SFAS 159, see Note 5 on pages 156–158 of this Annual Report.
The securities financing agreements for which the fair value option was elected continue to be reported within securities purchased under resale agreements; securities loaned or sold under repurchase agreements; securities borrowed; and other borrowed funds on the Consolidated Balance Sheets.
Generally, for agreements carried at fair value, current-period interest accruals are recorded within interest income and interest expense, with changes in fair value reported in principal transactions revenue.
However, for financial instruments containing embedded derivatives that would be separately accounted for in accordance with SFAS 133, all changes in fair value, including any interest elements, are reported in principal transactions revenue.
Where appropriate, resale and repurchase agreements with the same counterparty are reported on a net basis in accordance with FIN 41.
JPMorgan Chase takes possession of securities purchased under resale agreements.
On a daily basis, JPMorgan Chase monitors the market value of the underlying collateral, primarily U. S.  and non-U.
S.  government and agency securities, that it has received from its counterparties, and requests additional collateral when necessary.
Transactions similar to financing activities that do not meet the SFAS 140 definition of a repurchase agreement are accounted for as “buys” and “sells” rather than financing transactions.
These transactions are accounted for as a purchase (sale) of the underlying securities with a forward obligation to sell (purchase) the securities.
The forward purchase (sale) obligation, a derivative, is recorded on the Consolidated Balance Sheets at its fair value, with changes in fair value recorded in principal transactions revenue.
Note 24 – Preferred stock JPMorgan Chase is authorized to issue 200 million shares of preferred stock, in one or more series, with a par value of $1 per share.
On April 23, 2008, the Firm issued 600,000 shares of Fixed to Floating Rate Noncumulative Perpetual Preferred Stock, Series I (“Series I”).
On July 15, 2008, each series of Bear Stearns preferred stock then issued and outstanding was exchanged into a series of JPMorgan Chase preferred stock (Cumulative Preferred Stock, Series E, Series F and Series G) having substantially identical terms.
As a result of the exchange, these preferred shares rank equally with the other series of the Firm’s preferred stock.
On August 21, 2008, the Firm issued 180,000 shares of 8.625% Noncumulative Perpetual Preferred Stock, Series J (“Series J”).
On October 28, 2008, pursuant to the U. S.  Department of the Treasury’s (the “U.
S.  Treasury”) Capital Purchase Program (the “Capital Purchase Program”), the Firm issued to the U. S.  Treasury, in exchange for total proceeds of $25.0 billion, (i) 2.5 million shares of the Firm’s Fixed Rate Cumulative Perpetual Preferred Stock, Series K, par value $1 per share and liquidation preference $10,000 per share (the “Series K Preferred Stock”), and (ii) a warrant to purchase 88,401,697 shares of the Firm’s common stock at an exercise price of $42.42 per share (the “Warrant”).
The $25.0 billion proceeds were allocated to the Series K Preferred Stock and the Warrant based on the relative fair value of the instruments.
The difference between the initial carrying value of $23.7 billion that was allocated to the Series K Preferred Stock and its redemption value of $25.0 billion will be charged to retained earnings (with a corresponding increase in the carrying value of the Series K Preferred Stock) over the first five years of the contract as an adjustment to the dividend yield using the effective yield method.
The Series K Preferred Stock is nonvoting, qualifies as Tier 1 capital and ranks equally with the Firm’s other series of preferred stock.
In the event of a liquidation or dissolution of the Firm, JPMorgan Chase’s preferred stock then outstanding takes precedence over the Firm’s common stock for the payment of dividends and the distribution of assets.
Generally, dividends on shares of outstanding series of preferred stock are payable quarterly.
Dividends on the shares of Series I preferred stock are payable semiannually at a fixed annual dividend rate of 7.90% through April 2018, and then become payable quarterly at an annual dividend rate of three-month LIBOR plus 3.47%.
Dividends are payable quarterly on the Series K Preferred Stock at a fixed annual dividend rate of 5% for the first five years, and a fixed annual dividend rate of 9% thereafter.
The effective dividend yield of Series K Preferred stock is 6.16%.
The following is a summary of JPMorgan Chase preferred stock outstanding as of December 31, 2008.
There was no preferred stock outstanding at December 31, 2007.
## Table 2 ##
(a) Represented by depositary shares.
(b) Redemption price includes amount shown in the table plus any accrued but unpaid dividends.
(c) Represents the carrying value as of December 31, 2008.
The redemption value is $25.0 billion.
(d) Subject to Series K Preferred Stock restrictions, which are discussed below.
(e) Generally, the Firm may not redeem Series K Preferred Stock prior to the first dividend payment date falling on or after October 28, 2011.
However, prior to this date, the Firm may redeem the securities up to the amount of the aggregate gross proceeds from a “qualified equity offering” if it has received aggregate gross proceeds from such offerings above an amount agreed with the U. S.  Treasury and received approval from the applicable federal banking agencies.
of $1.0 billion and is also required to notify the Securities and Exchange Commission (“SEC”) in the event that tentative net capital is less than $5.0 billion in accordance with the market and credit risk standards of Appendix E of the Net Capital Rule.
As of December 31, 2008, JPMorgan Securities had tentative net capital in excess of the minimum and the notification requirements.
On October 1, 2008, J. P.  Morgan Securities Inc.  merged with and into Bear, Stearns & Co.  Inc. , and the surviving entity changed its name to J. P.  Morgan Securities Inc.  J. P.  Morgan Clearing Corp. , a subsidiary of JPMorgan Securities provides clearing and settlement services.
At December 31, 2008, J. P.  Morgan Clearing Corp. ’s net capital, as defined by the Net Capital Rule, of $4.7 billion exceeded the minimum requirement by $3.3 billion.
Dividends On February 23, 2009, the Board of Directors reduced the Firm's quarterly common stock dividend from $0.38 to $0.05 per share, effective for the dividend payable April 30, 2009, to shareholders of record on April 6, 2009.
JPMorgan Chase declared quarterly cash dividends on its common stock in the amount of $0.38 for each quarter of 2008 and the second, third and fourth quarters of 2007, and $0.34 per share for the first quarter of 2007 and for each quarter of 2006.
The Firm’s common stock dividend policy reflects JPMorgan Chase’s earnings outlook, desired dividend payout ratios, need to maintain an adequate capital level and alternative investment opportunities.
The Firm’s ability to pay dividends is subject to restrictions.
For information regarding such restrictions, see page 84 and Note 24 and Note 29 on pages 205–206 and 211, respectively, of this Annual Report and for additional information regarding the reduction of the dividend, see page 44.
The following table shows the common dividend payout ratio based upon reported net income.
Common dividend payout ratio
## Table 3 ##
Issuance The Firm issued $6.0 billion and $1.8 billion of noncumulative perpetual preferred stock on April 23, 2008, and August 21, 2008, respectively.
Pursuant to the Capital Purchase Program, on October 28, 2008, the Firm issued to the U. S.  Treasury $25.0 billion of cumulative preferred stock and a warrant to purchase up to 88,401,697 shares of the Firm’s common stock.
For additional information regarding preferred stock, see Note 24 on pages 205–206 of this Annual Report.
On September 30, 2008, the Firm issued $11.5 billion, or 284 million shares, of common stock at $40.50 per share.
For additional information regarding common stock, see Note 25 on pages 206–207 of this Annual Report.
Stock repurchases During the year ended December 31, 2008, the Firm did not repurchase any shares of its common stock.
During 2007, under the respective stock repurchase programs then in effect, the Firm repurchased 168 million shares for $8.2 billion at an average price per share of $48.60.
The Board of Directors approved in April 2007, a stock repurchase program that authorizes the repurchase of up to $10.0 billion of the Firm’s common shares, which superseded an $8.0 billion stock repurchase program approved in 2006.
The $10.0 billion authorization includes shares to be repurchased to offset issuances under the Firm’s employee stock-based plans.
The actual number of shares that may be repurchased is subject to various factors, including market conditions; legal considerations affecting the amount and timing of repurchase activity; the Firm’s capital position (taking into account goodwill and intangibles); internal capital generation; and alternative potential investment opportunities.
The repurchase program does not include specific price targets or timetables; may be executed through open market purchases or privately negotiated transactions, or utilizing Rule 10b5-1 programs; and may be suspended at any time.
A Rule 10b5-1 repurchase plan allows the Firm to repurchase shares during periods when it would not otherwise be repurchasing common stock – for example, during internal trading “black-out periods.
” All purchases under a Rule 10b5-1 plan must be made according to a predefined plan that is established when the Firm is not aware of material nonpublic information.
As of December 31, 2008, $6.2 billion of authorized repurchase capacity remained under the current stock repurchase program.
For a discussion of restrictions on stock repurchases, see Capital Purchase Program on page 84 and Note 24 on pages 205–206 of this Annual Report.
For additional information regarding repurchases of the Firm’s equity securities, see Part II, Item 5, Market for registrant’s common equity, related stockholder matters and issuer purchases of equity securities, on page 17 of JPMorgan Chase’s 2008 Form 10-K.

<table><tr><td>Year ended December 31,</td><td colspan="3">Provision for loan losses</td><td colspan="3">Provision for lending-related commitments</td><td colspan="3">Total provision for credit losses</td></tr><tr><td>(in millions)</td><td> 2008</td><td>2007</td><td>2006</td><td>2008</td><td>2007</td><td>2006</td><td> 2008</td><td>2007</td><td>2006</td></tr><tr><td>Investment Bank</td><td>$2,216</td><td>$376</td><td>$112</td><td>$-201</td><td>$278</td><td>$79</td><td>$2,015</td><td>$654</td><td>$191</td></tr><tr><td>Commercial Banking</td><td>505</td><td>230</td><td>133</td><td>-41</td><td>49</td><td>27</td><td>464</td><td>279</td><td>160</td></tr><tr><td>Treasury & SecuritiesServices</td><td>52</td><td>11</td><td>-1</td><td>30</td><td>8</td><td>—</td><td>82</td><td>19</td><td>-1</td></tr><tr><td>Asset Management</td><td>87</td><td>-19</td><td>-30</td><td>-2</td><td>1</td><td>2</td><td>85</td><td>-18</td><td>-28</td></tr><tr><td>Corporate/PrivateEquity<sup>(a)(b)</sup></td><td>676</td><td>—</td><td>-1</td><td>5</td><td>—</td><td>—</td><td>681</td><td>—</td><td>-1</td></tr><tr><td> Total Wholesale</td><td>3,536</td><td>598</td><td>213</td><td>-209</td><td>336</td><td>108</td><td>3,327</td><td>934</td><td>321</td></tr><tr><td>Retail Financial Services</td><td>9,906</td><td>2,620</td><td>552</td><td>-1</td><td>-10</td><td>9</td><td>9,905</td><td>2,610</td><td>561</td></tr><tr><td>Card Services – reported</td><td>6,456</td><td>3,331</td><td>2,388</td><td>—</td><td>—</td><td>—</td><td>6,456</td><td>3,331</td><td>2,388</td></tr><tr><td>Corporate/PrivateEquity<sup>(a)(c)(d)</sup></td><td>1,339</td><td>-11</td><td>—</td><td>-48</td><td>—</td><td>—</td><td>1,291</td><td>-11</td><td>—</td></tr><tr><td> Total Consumer</td><td>17,701</td><td>5,940</td><td>2,940</td><td>-49</td><td>-10</td><td>9</td><td>17,652</td><td>5,930</td><td>2,949</td></tr><tr><td> Total provision for credit losses – reported</td><td>21,237</td><td>6,538</td><td>3,153</td><td>-258</td><td>326</td><td>117</td><td>20,979</td><td>6,864</td><td>3,270</td></tr><tr><td>Credit card – securitized</td><td>3,612</td><td>2,380</td><td>2,210</td><td>—</td><td>—</td><td>—</td><td>3,612</td><td>2,380</td><td>2,210</td></tr><tr><td> Total provision for credit losses – managed</td><td>$24,849</td><td>$8,918</td><td>$5,363</td><td>$-258</td><td>$326</td><td>$117</td><td>$24,591</td><td>$9,244</td><td>$5,480</td></tr></table>
<table><tr><td>By remaining maturity at</td><td colspan="3">Available-for-sale securities</td><td colspan="3">Held-to-maturity securities</td></tr><tr><td> December 31, 2008</td><td rowspan="2">Amortized cost</td><td rowspan="2">Fair value</td><td rowspan="2">Average yield (b)</td><td rowspan="2">Amortized cost</td><td rowspan="2">Fair value</td><td rowspan="2">Average yield<sup>(b)</sup></td></tr><tr><td>(in millions, except ratios)</td></tr><tr><td>Due in one year or less</td><td>$24,163</td><td>$24,056</td><td>2.80%</td><td>$—</td><td>$—</td><td>—%</td></tr><tr><td>Due after one year through five years</td><td>26,115</td><td>25,075</td><td>2.46</td><td>—</td><td>—</td><td>—</td></tr><tr><td>Due after five years through ten years</td><td>13,105</td><td>12,436</td><td>3.78</td><td>31</td><td>32</td><td>6.89</td></tr><tr><td>Due after ten years<sup>(a)</sup></td><td>145,945</td><td>144,342</td><td>5.19</td><td>3</td><td>3</td><td>5.69</td></tr><tr><td> Total securities</td><td>$209,328</td><td>$205,909</td><td>4.49%</td><td>$34</td><td>$35</td><td>6.78%</td></tr></table>
<table><tr><td></td><td>Share value and redemption price per share<sup>(b)</sup></td><td>Shares</td><td colspan="2">Outstanding at December 31, 2008 (in millions)</td><td colspan="2">Earliest redemption date</td><td>Contractual rate in effect at December 31, 2008</td></tr><tr><td>Cumulative Preferred Stock, SeriesE<sup>(a)</sup></td><td>$200</td><td>818,113</td><td>$164</td><td></td><td colspan="2">Any time<sup>(d)</sup></td><td>6.15%</td></tr><tr><td>Cumulative Preferred Stock, SeriesF<sup>(a)</sup></td><td>200</td><td>428,825</td><td>86</td><td></td><td colspan="2">Any time<sup>(d)</sup></td><td>5.72</td></tr><tr><td>Cumulative Preferred Stock, SeriesG<sup>(a)</sup></td><td>200</td><td>511,169</td><td>102</td><td></td><td colspan="2">Any time<sup>(d)</sup></td><td>5.49</td></tr><tr><td>Fixed to Floating Rate NoncumulativePerpetual Preferred Stock, Series I<sup>(a)</sup></td><td>10,000</td><td>600,000</td><td>6,000</td><td></td><td>4/30/2018</td><td></td><td>7.90</td></tr><tr><td>Noncumulative Perpetual PreferredStock, Series J<sup>(a)</sup></td><td>10,000</td><td>180,000</td><td>1,800</td><td></td><td>9/1/2013</td><td></td><td>8.63</td></tr><tr><td>Fixed Rate Cumulative PerpetualPreferred Stock, Series K</td><td>10,000</td><td>2,500,000</td><td>23,787</td><td><sup>(c)</sup></td><td>12/1/2011</td><td><sup>(e)</sup></td><td>5.00</td></tr><tr><td>Total preferred stock</td><td></td><td>5,038,107</td><td>$31,939</td><td></td><td></td><td></td><td></td></tr></table>
<table><tr><td>Year ended December 31,</td><td>2008</td><td>2007</td><td>2006</td></tr><tr><td>Common dividend payout ratio</td><td>114%</td><td>34%</td><td>34%</td></tr></table>

Question: In the year with largest amount of Asset Management, what's the increasing rate of Total Wholesale?