As we wrote this morning, Chinais the place to be if you want to get ahead in ECM.
It has the world’s biggest share of IPOs, with 222 new listings this year and a fee pool (according to Bloomberg) of around $1.7bn – about the same size asNew York.
Where, therefore, is Goldman Sachs? Nowhere according to Bloomberg. In the past three years, it has worked on only one Chinese IPO and has a market share of 1.2%. Far more impressive is UBS, which has a market share of 6.1%.
Maybe Goldman needs to hire some more Chinese bankers? At the moment it apparently has 80 in Beijing and 20 in Hong Kong. UBS has 150, of whom 100 are dedicated to domestic Chinese business.
Separately, a French bank is making bankers in La Defense redundant. Credit Agricole is eliminating 1,700 jobs from its corporate and investment banking unit, of which 500 will be erased in France. According to our French site, many of the others will go from Credit Agricole’s more obscure international offices: it currently has corporate and investment banking operations in 58 countries and this is seen as excessive.
Banks are fully aware of the points made in this paper, that on any ordinary “true and fair” view they are insolvent (AdamSmithInstitute)
Actually, Asia really needs European banks and capital. (BreakingViews)
Michel Barnier: We built this single market together with the full support of successive British Governments by scrapping national veto powers in European decision-making.(Telegraph)
Goldman Sachs has hired Martine Doyon, a specialist in European markets rules from the FSA. (Bloomberg)
At one point in 2007, a single FSA person was responsible for the investment banking arms of both RBS and Barclays. (Financial Times)
Maybe Commerzbank won’t ask for money from the German government after all. (Telegraph)
Christmas parties are not appropriate at Commerzbank. (Bloomberg)
Nine hedge fund managers spent £71k on their Christmas party. (Evening Standard)
Putting the eurozone crisis in perspective. (Nature)