JP Morgan remains top but loses fee share
JP Morgan has continued its run on the top of the global investment banking fees league tables, though its closest rivals gained ground in some parts of the world in what was a busy month for dealmaking across the globe.
Coming back from the lull in the summer months, investment banks earned fees of more than US$8.6bn in September. The figure was a dramatic improvement on August’s US$5.71bn haul.
As usual, JP Morgan dominated its usual categories of Americas, global bonds and Europe, Middle East and Africa investment banking. However its market share in the Americas and EMEA fell by 10bp, which contributed to its overall loss of global market share.
JP Morgan was a joint runner in Alibaba’s US$25bn IPO, but so were its rivals Citigroup, Goldman Sachs, Credit Suisse and Deutsche Bank.
Bank of America Merrill Lynch held on to its top spot in global loans, while Morgan Stanley did the same in global equities.
Continuing to shake up the top 10 banks was RBC, which held on to its top 10 position after breaking through in August. RBC was helped along by its entry into the top 10 in global equities. The firm was involved in Nyrstar’s €251.6m capital raising.
Out in Asia-Pacific and Japan, leader Morgan Stanley’s share held steady for the month, but has fallen by 40bp since July. Nomura picked up 20bp of market share after losing 40bp the previous month. Also taking some share from the leader were Citigroup and Sumitomo Mitsui.
The busy month puts the industry ahead of where it was this time last year in terms of fees. Year-to-date there have been US$67.6bn worth of investment banking fees, US$7.6bn more than 2013. Jefferies has seen its fee haul grow most from a year earlier, up 31%. HSBC’s haul has grown by 24%.
The growth however has proved less helpful to BofA Merrill, Wells Fargo, Nomura, Mizuho and Sumitomo, all of which are worse off than a year ago.