JPMorgan Chase & Co is disbanding its stand-alone Principal Investment Management Group's hedge-fund business and private-equity division and shifting staff from this unit to sit within existing businesses, according to a person familiar with the reorganization.

The main goal is to better align principal investing with JPMorgan's traditional investment banking business lines, the person said.

JPMorgan's commodities group, for example, already has a principal investment management team attached to it -- and more businesses will be set up this way after the reorganization.

The bank's Asia-based private equity team will be incorporated into its global emerging markets and credit trading unit, the person said.

JPMorgan declined comment.

(Reporting by Elinor Comlay in New York, with additional reporting by Ajay Kamalakaran in Bangalore; editing by Simon Jessop and Gerald E. McCormick)