JP Morgan tops IB fees for eighth year

IFR 2165 7 January to 13 January 2017
9 min read
Americas, EMEA, Asia
Steve Slater

JP Morgan kept its top spot for investment banking fees for the eighth year in a row in 2016, grabbing market share at the expense of rivals including Goldman Sachs, Bank of America Merrill Lynch and Deutsche Bank.

New York-based JP Morgan took in US$5.8bn in fees from completed M&A advisory, capital markets underwriting and syndicated lending last year, down 5% from 2015, according to Thomson Reuters data.

Its market share rose to 6.8% in 2016 from 6.6%, widening its gap over nearest rival Goldman Sachs, whose revenues fell 15% to US$5.1bn, representing a market share of 6%.

Overall fees for M&A advisory, equity and debt capital markets and syndicated lending were US$85bn last year, down 7% from US$91.5bn in 2015, according to the data.

Other banks to show decent gains in market share included Barclays, Mizuho, Lazard and Rothschild.

Banks showing the steepest falls in revenue included Goldman, BAML, Morgan Stanley, Deutsche Bank and UBS, the data show.


The big five US banks retained the top five rankings for M&A, underwriting and syndicated loans. But the five firms’ combined market share of 28% was down from 29.5%, indicating they are not grabbing market share from all European rivals.

The US banks remain dominant in their domestic market, however, and took a combined 36.8% share of fees in the Americas, including a 9.4% share for JP Morgan.

Fees in the Americas totalled US$44.9bn, down 10% from 2015 but still representing 53% of the global fee pool.

Fees in EMEA fell 11% to US$20.4bn, fees in Japan fell 7% to US$3.6bn, but fees in the rest of Asia-Pacific rose 10% to US$16.1bn.

JP Morgan brought in the highest fees in EMEA, where it had a 5.5% market share. In Asia-Pacific, Morgan Stanley topped the rankings with a 4.6% share of the market.


Barclays replaced Deutsche Bank in sixth spot for global fees, with a market share of 3.8%, up from 3.6% in 2015.

Deutsche fell to eighth as its fees tumbled 20% and its market share fell to 3.2% from 3.8% during the year.

Deutsche had a grim 2016, as chief executive John Cryan tries to restructure the bank and tackle concerns about its capital strength, regulatory fines and lacklustre profits in its German retail bank, while trying to cut costs.

Credit Suisse, which also went through substantial restructuring under CEO Tidjane Thiam, ranked seventh for global fees after an 8% drop in revenues.

Its rival UBS saw a steeper 18% fall in fees and slipped outside the top 10 to 11th in global rankings.

Picking up some of that business was Japan’s Mizuho, where fee revenues rose 12% to lift it to 13th.

Boutique advisory and restructuring firms Lazard and Rothschild rose to 15th and 17th in the rankings, respectively, as both saw a 23bp rise in market share.

M&A advisory fees totalled US26.8bn last year, down 3% from 2015, while fees from syndicated loans fell 12% to US$18bn.


JP Morgan ranked first for fees from bonds and equities underwriting last year, while BAML topped the rankings for global loans.

Activity in debt capital markets rose 16% to US$7trn, which was the highest level since records began in 1980, Thomson Reuters said.

Over 21,000 debt offerings were brought to the market last year, a 13% increase on 2015 and also an all-time high.

High-grade corporate debt offerings hit a record US$3.4trn, up 11% from 2015. Issuance of US dollar offerings hit a record US$1.3trn.

The volume of high-yield corporate debt issuance fell 13% from 2015 to US$306bn, the worst year since 2011.

Global equity capital markets activity slumped 25% from 2015 to US$655bn, the lowest level for four years.

IPO activity fell 31% from the year before to US131bn, led by a 39% tumble in the US - the worst year there since 2003 - and a 51% plunge in EMEA.

Asian IPO activity increased 2%. Issuers from China raised US$154bn in ECM markets last year, down 2% from 2015 but representing a record 24% of global ECM activity, according to Thomson Reuters data.

Global Investment Banking Fees: December 2016
Global Investment Banking Fees
Managing bank or groupNo of issuesTotal US$(m)Share (%)
​1JP Morgan4,1345,791.46.8
2Goldman Sachs2,3995,107.76.0
4Morgan Stanley3,3504,488.05.3
7Credit Suisse1,8752,919.43.4
8Deutsche Bank2,4732,755.23.2
9Wells Fargo & Co3,3042,114.22.5
10RBC CM2,2291,786.52.1
13Mizuho Financial3,1321,405.21.7
14BNP Paribas1,9641,350.11.6
16Sumitomo Mitsui2,575974.81.1
17Rothschild & Co343974.11.1
19Mitsubishi UFJ2,420963.81.1
Asia-Pacific & Japan Investment Banking: December 2016
Asia-Pacific & Japan Investment Banking
Managing bank or groupNo of issuesTotal US$(m)Share (%)
1Morgan Stanley1,144903.74.6
2Mizuho Financial2,098800.84.1
5Sumitomo Mitsui1,906566.02.9
6Goldman Sachs450564.42.9
9Bank of China2,071462.92.3
10JP Morgan347432.92.2
EMEA Investment Banking: December 2016
EMEA Investment Banking
Managing bank or groupNo of issuesTotal US$(m)Share (%)
1JP Morgan8691,134.35.5
2Goldman Sachs5571,025.25.0
3Morgan Stanley412872.24.3
5BNP Paribas1,011815.44.0
7Deutsche Bank775768.03.8
10Rothschild & Co240667.83.3
Global Equities: December 2016
Global Equities
Managing bank or groupNo of issuesTotal US$(m)Share (%)
1JP Morgan3721,116.47.2
2Morgan Stanley345905.05.8
3Goldman Sachs288809.55.2
6Credit Suisse242580.83.8
7Deutsche Bank201437.32.8
10RBC CM267330.32.1
Global Loans: December 2016
Global Loans
Managing bank or groupNo of issuesTotal US$(m)Share (%)
2JP Morgan1,3091,129.76.3
5Deutsche Bank601745.84.1
6Wells Fargo & Co1,165654.53.6
7Credit Suisse405644.73.6
8Goldman Sachs423604.93.4
9Mitsubishi UFJ1,601576.53.2
10Mizuho Financial1,155487.52.7
Americas Investment Banking: December 2016
Americas Investment Banking
Managing bank or groupNo of issuesTotal US$(m)Share (%)
1JP Morgan2,9274,224.29.4
2Goldman Sachs1,4033,518.17.8
4Morgan Stanley1,8002,712.16.0
7Credit Suisse1,0952,055.34.6
8Wells Fargo & Co3,1201,985.24.4
9Deutsche Bank1,3341,645.23.7
10RBC CM1,9081,555.23.5
Global Bonds: December 2016
Global Bonds
Managing bank or groupNo of issuesTotal US$(m)Share (%)
1JP Morgan2,1571,673.06.7
4Goldman Sachs1,3851,194.44.8
5Morgan Stanley2,3801,186.54.8
7Deutsche Bank1,519985.44.0
8Wells Fargo & Co1,904932.93.8
9Credit Suisse1,031815.73.3
Top 15 for 2016
Global Investment Banking Fee Trend US$bn