Which large investment bank earns the highest fees across its investment banking division (IBD) in Europe? It looks like...JPMorgan.
Financial News reports that the fees earned by JPMorgan's IBD business in Europe, the Middle East and Africa (EMEA) rose an impressive 20% year-on-year in the first six months of 2014, even though fees across the EMEA market increased only 9% over the same period. JPM is now the EMEA market leader, with $823m of fees versus $818m of fees for second place Deutsche Bank.
JPMorgan's ascendancy marks a change from the established order. Financial News says the last time Deutsche was displaced from the leadership slot was 2009. On a business area basis, JPMorgan ranks first in EMEA for equity capital markets (ECM), and second for debt capital markets (DCM), syndicated loans and M&A. Deutsche ranks first for DCM and syndicated loans, but only fourth for M&A.
Across EMEA IBD, Goldman Sachs and Morgan Stanley ranked third and fourth respectively. Barclays had a good six months; the British investment bank is putting more emphasis on its IBD business and went from 7th place in the first half of 2013 to 5th place in the first half of 2014.
Separately, Goldman Sachs has been doing some senior fixed income currencies and commodities (FICC) hiring. The firm has finally replaced Nick Bhuta, the former head of EuroGovernments bond trading whose departure we were first to report in February, when he left for hedge fund Tudor Capital. Bhuta's replacement is Garry Naughton, Deutsche's ex-European head of government bond trading, whose departure we also reported from Deutsche in March. Goldman's also hired Andrea Casulli, who was previously head of linear rates at UBS. The new hires confirm Goldman's commitment to FICC despite lacklustre revenues. In May, Goldman chief executive Lloyd Blankfein said the bank planned to maintain its FICC presence. Nonetheless, COO Gary Cohn subsequently bemoaned a lack of volatility and in June the firm was said to be engaged in some FICC trimming.
Like Goldman Sachs, Morgan Stanley received 90,000 applications for summer jobs and only accepted 2% of them. (Businessweek)
BNP Paribas wants to reinforce its primary dealer role, even as other banks pull out. (Bloomberg)
David Higgs, a London-based Credit Suisse trader who worked with the now-jailed Kareem Serageldin, has been fined $900k for artificially inflating the price of his book by $100m during the banking crisis. (BBC)
26 junior bankers have left Deutsche Bank in Asia this year, whilst the bank recruited nine senior people. (Bloomberg)
How to handle your interview body language. (GetajobwithTom)
When you fly British Airways, you can now watch a 7 hour minute-by-minute recording of a train journey through the countryside from the city of Bergen to Oslo, which is intended to make you sleep. (CityAm)
What it’s really like to work 100 hours a week in banking. 14,000 applications for bureaucratic finance jobs
Beware hedge funds dangling unattainable pay packages. Last man standing promoted at Citi
Ex-trader who couldn’t stand his commute makes £450m. The hypocrisy of former-JPM favourite