I have held JPM for several years based on fundamentals - I bought it as part of Beat the DOW 10 strategy (it was actually in the Beat the DOW 5) and I have almost a 100% gain and have been collecting 3% to %5 dividend as well. Still in the DOW 10 group (currently #10).
as far as Asia goes, you have to consider that as you would any other type of bad news. That is to say, if you want to buy low and sell high, you have to be ready to buy on bad news and to sell on good news. The trick of course, is being able to gauge how well a stock will perform if the news continues to be bad. In this respect, dividend yield and PE are important, since dividend provides some downside cushion and about 50 years of data shows that low P/E stocks fall less on bad news and market downturns than do high PE stocks. Right now Yahoo tells me JPM has a trailing P/E of 13.7, which is well below market. I also do not indications that JPM has lost its management edge; rather it continues to diversify and expand its ability to generate income from new sources (such as trading); however, this has also occurred at the cost of having less revenue predictability.
I think if you have a long-term perspective and are willing to ride out some bumps, you will be well-rewarded vis-a-vis S&P. If you can't take short-term volatility and Asia gives you heartburn, then by all means switch to a more traditional bank without Asian exposure where you will be more comfortable.
I agree with you about maintaining a financial services weighting in the portfolio; I think JPM is a good one to own