Top 10 Global Investment Banks of 2012

The revenues of investment banks come from their products broadly classified under four categories such as Equity Capital Market (ECM), Debt Capital Market (DCM), Merger and Acquisition (M & A), Syndicated Loans and Fees. These banks provide a wide variety of specialized services related to these categories of investment management that include risk diversification, buying and selling, portfolio management and research.

Table No: 1 shows total revenues collected by the 10 top global banks in 2012.  The first ten ranks have been awarded on the basis of maximum total revenue earned collectively from all four sources such as Bonds, Merger and Acquisition, Loans and Equity. JP Morgan tops the chart followed by Bank of America Merrill Lynch, Goldman Sachs   and others.

Table No: 1

Total Revenue Earned By 10 Top Investment Banks in 2012

Rank Name of the Investment Bank Fees Collected 
In 2012 Increase over Previous
1 J.P. Morgan 5,505.42 (-) 1%
2 Bank of America Merrill Lynch 4,695.86 (-) 7%
3 Goldman Sachs  4,171.14 7%
4 Morgan Stanley 3,738.53 (-) 8%
5 CITI 3,622.18 13%
6 Credit Suisse 3,476.67 0%
7 Deutsche Bank 3,342.76 4%
8 Barclays PLC 3,256.05 15%
9 UBS 2,193.81 (-) 7%
10 Wells Fargo 1,997.40 22%
  Total 77,650.76 (-) 2%
Percentage of Fees Collected From
Bonds Merger & Acquisition Loans Equity 
23 23 25 18
19 19 28 19
41 41 11 21
32 32 11 24
19 19 22 19
32 32 20 17
22 22 20 20
27 27 22 15
28 28 13 26
10 10 36 14
33 33 22 17

 

Now, we are going to list the maximum revenues collected by investment banks product-wise in 2012. The four more tables mentioned in the following will illustrate in detail how the maximum revenues come from different categories of sources by top 10 investment banks. Since income earned from different sources by different banks are not consistent with their overall rankings, we will notice that some of the banks that managed rooms in top ten on overall ranking is absent or displaced in some of the following tables representing incomes from different products. For example, although in Table No: 1 “Wells Fargo” got berth in the overall ranking at 10th place, is displaced in Table: 2 by “Lazard”, a section of Lazard Group LLC, with Operational headquartered in New York.

The following table shows the top 10 Investment Banks as per revenues collected from M & A operations.

Table No: 2

The Top 10 Investment Banks in Collecting Fees from M & A operations, 2012

Name of the Investment Bank Rank Fees collected in 2012(In Million US Dollars) Fees Increase over Previous Year’s Collection
Goldman Sachs 1

1,709.52

(-) 4%
JP Morgan 2

1,265.89

(-) 21%
Morgan Stanley 3

1,211.30

(-) 27%
Credit Suisse 4

1,124.29

(-) 5%
Bank of America Merrill Lynch 5

902.27

(-) 21%
Barclays 6

877.83

+14%
Deutsche Bank 7

746.83

(-) 12%
Lazard 8

715.09

0%
CITI 9

684.00

(-) 9%
UBS 10

606.04

(-) 40%
Total  

25,300.80

(-) 11%
Merger & Acquisition Fees Collected Region wise, Expressed in Percentage, during 1 January 2012 to 31 December 2012
Americas Europe Asia Pacific (ex
Central Asia
Africa/
Middle East/
Central Asia
Japan
64 22 10 2 2
72 18 6 1 3
61 22 8 0 8
73 15 10 1 1
72 17 4 2 5
75 19 3 2 1
53 36 7 1 3
62 28 6 4 0
63 17 14 2 5
42 31 25 1 2
59 26 10 2 4

 

The table mentioned below shows the top 10 Investment Banks as per revenues collected from Equity Related Transactions. At Table No 3, Lazard is again displaced by RBC Capital Market, a Canadian investment bank, part of the Royal Bank of Canada.

 Table No: 3

The Top 10 Investment Banks in Collecting Fees through Equity Related Transactions, 2012

Name of the Investment Bank Rank Fees collected in 2012(In Million US Dollars) Fees Increase over Previous Year’s Collection
JP Morgan 1

980.12

(-) 8%
Morgan Stanley 2

906.49

(-) 17%
Goldman Sachs 3

886.09

(-) 3 %
Bank of America Merrill Lynch 4

881.74

(-) 12%
CITI 5

688.35

(-) 1%
Deutsche Bank 6

658.05

(-) 8%
Credit Suisse 7

602.53

(-) 25%
UBS 8

572.84

(-) 5%
Barclays 9

503.62

(-) 12%
RBC Capital Markets 10

310.35

+11%
Total  

13,507.24

(-) 18%
to  

 

 
Initial public Offering (IPO) Follow On Convertible  
26 62 12  
39 52 9  
25 66 9  
24 65 11  
27 65 8  
25 59 16  
29 58 14  
20 74 6  
22 69 10  
16 75 8  
30 61 9  

 

The following table shows the top 10 Investment Banks as per revenues collected from Bonds Related Transactions. Here Wells Fargo, the American multinational banking and financial services holding company, has again reappeared with a new member HSBC Holdings. UBS, the Swiss global financial services from UBS AG has disappeared.

Table No: 4

The Top 10 Investment Banks in Collecting Fees From Bonds Related Transactions, 2012

Name of the Investment Bank Rank Fees collected in 2012(In Million US Dollars) Fees Increase over Previous Year’s Collection
JP Morgan 1

1,879.58

+36%
Bank of America Merrill Lynch 2

1,608.44

+25%
CITI 3

1,457.12

+51%
Deutsche Bank 4

1,282.68

+18%
Morgan Stanley 5

1,195.36

+35%
Barclays 6

1,164.04

+33%
Goldman Sachs 7

1,115.29

+34%
Credit Suisse 8

1,050.02

+21%
Wells Fargo 9

801.52

+109%
HSBC Holdings 10

741.25

+50%
   

21,897.98

+31%
   

 

 
    

 

 
Fees Collected From Bonds Related Transactions, Expressed in Percentage, during 1 January 2012 to 31 December 2012
High Yield Invest. Grade MortgageBacked Asset Backed Others
36 44 5 6 10
40 40 5 9 6
35 41 5 9 10
37 36 10 4 13
32 49 6 5 9
36 40 9 6 10
42 37 9 4 8
53 25 7 7 9
43 41 10 6 1
22 56 0 3 19
29 49 5 6 11

 

The table mentioned below shows the top 10 Investment Banks as per revenues collected from Loan Transactions. In the following table, showing earnings from loan transactions, two new names from Japan, viz, Mitsubishi UFJ Financial and Mizuho Financial have appeared. Morgan Stanley is displaced for the first time in this list only; it was present in all other tables including overall ranking table. UBS and HSBC Holdings are displaced here from Table 4.

Table No: 5

The Top 10 Investment Banks in Collecting Fees From Loan Transactions, 2012

Name of the Investment Bank Rank Fees collected in 2012(In Million US Dollars) Fees Increase over Previous Year’s Collection
JP Morgan 1

1,379.83

(-) 10%
Bank of America Merrill Lynch 2

1,303.41

(-) 19%
CITI 3

792.71

(-) 2%
Wells Fargo 4

714.39

(-) 15%
Barclays 5

710.56

+14%
Credit Suisse 6

699.83

+12%
Deutsche Bank 7

655.20

+16%
Mitsubishi UFJ Financial 8

609.35

+17%
Mizuho Financial 9

531.27

+16%
RBC Capital Markets 10

483.54

+39%
Total  

16,944.74

(-) 4%

 

Fees Collected From Loan Transactions, Expressed in Percentage, during 1 January to 31 December 2012
Leveraged Highly Leveraged Investment Grade Near Investment Grade U/D
39 40 11 8 2
38 42 9 10 1
25 46 9 16 4
48 35 6 10 1
23 61 7 6 3
14 82 2 1 2
26 60 3 7 4
16 8 23 13 40
7 7 22 10 54
26 61 6 5 3
27 41 9 9 15

 

Data Source: Thomson Reuters

 

About the Author

Sandra
I am working as Editor in Chief for Financeninvestments.com. Writing on Financial Topics is my passion. You can find me on , Seeking Alpha Instablogs or join our Facebook Community, s. FNI is a great Community for financial bloggers and writers. Get everything you wanted to know about your finance and investment related matters such as mutual funds, banking, retirement, economics and much more.

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