Bloomberg Markets Reveals the World's Best-Paid Investment Banks
New York (ots/PRNewswire)
- The Bloomberg 20 Issue Ranks the Banks and Bankers Who Generate Top Results
Bloomberg Markets, the leading magazine for financial experts, today unveiled the Bloomberg 20, which ranks investment banks by deal fees instead of volume. The April issue of Bloomberg Markets, on newsstands mid-March, also identifies the people who make it happen -- five key individual M&A advisers, bond underwriters and equity underwriters to watch in 2005.
The Bloomberg 20 was compiled by Bloomberg Markets based on the total fees investment banks collected in 2004 for underwriting securities and advising on mergers and acquisitions worldwide. The data is based on disclosed commissions and Bloomberg's calculations.
Bloomberg 20 Top Investment Banks
The first annual Bloomberg 20 ranking is as follows:
All Figures in US Dollars
Company Total Fees, In Millions
1. Citigroup $3,655.7
2. Goldman Sachs 3,605.0
3. Morgan Stanley 3,305.9
4. JPMorgan Chase 2,977.2
5. Merrill Lynch 2,705.5
6. UBS 2,351.8
7. Credit Suisse 2,113.4
8. Deutsche Bank 1,843.0
9. Lehman Brothers 1,607.4
10. Bank of America 981.4
11. ABN Amro Bank 913.6
12. Nomura Securities 743.6
13. RBC Capital Markets 699.9
14. HSBC 673.4
15. Rothschild 618.1
16. Daiwa Securities 602.2
17. Lazard 535.1
18. Wachovia 472.6
19. Bear Stearns 438.3
20. BNP Paribas 424.4Also in the April issue, Bloomberg Markets identifies those bankers who are responsible for overseeing much of the fees collected for 2004 and who are poised for another great year in 2005.
Top 5 M&A Bankers
According to Bloomberg Markets, M&A activity dramatically increased in 2004 to near 2000 levels, and the trend is clearly continuing in early 2005. Thus far in 2005, there are already over US$220 billion of acquisitions in the works, says Bloomberg Markets, with new deals being announced almost daily. As M&A activity continues its torrid pace, the April issue of Bloomberg Markets names the top five M&A bankers to watch in 2005:
All Figures in US Dollars
Individual Company 2004 Fees Earned, In Millions
1. Jack Levy, Gene Sykes Goldman Sachs $1,517.1
2. Robert Kindler JPMorgan Chase 1,406.6
3. Stephen Munger Morgan Stanley 1,247.2
4. Frank Yeary Citigroup 1,231.6
5. Steven Baronoff Merrill Lynch 839.4According to Bloomberg Markets, all of the top four M&A adviser firms in the Bloomberg 20 -- Goldman Sachs, JPMorgan, Morgan Stanley and Citigroup --collected roughly twice as many fees in 2004 as they did in 2003. Bloomberg Markets states that JPMorgan saw the greatest increase in market share to 8.6 percent in 2004 from 6.2 percent in 2003, and saw its fees increase to US$1.406 billion from US$677 million.
Top 5 Equity Underwriters
The IPO returned in 2004, with US133 billion of new stocks underwritten worldwide, more than doubling 2002's total, says Bloomberg Markets. Although the recent slump in global equities leaves a question about the continued strength for the coming year, Bloomberg Markets identified the top five equity underwriters to watch in 2005:
All Figures in US Dollars
Individual Company 2004 Fees Earned, In Millions
1. David Solomon Goldman Sachs $1,596.4
2. Tyler Dickson Citigroup 1,427.6
3. Walid Chammah Morgan Stanley 1,390.2
4. James Birle Merrill Lynch 1,317.2
5. James Garvin, Lucinda Riches UBS 1,020.9According to Bloomberg Markets, Goldman Sachs, the No. 1 firm in global equity underwriting fees, roughly doubled its 2003 total to nearly US$1.6 billion in 2004 from US$872.5 million in 2003. It also increased its market share to 10.9 percent in 2004 from 10.2 percent in 2003, says Bloomberg Markets. Merrill Lynch, fourth in global equity underwriting fees, also saw tremendous gains in 2004. Its fees and market share rose to US$1.317 billion and a 9.0 percent markets share from US$642.4 in fees and a 7.5 percent market share in 2003, according to Bloomberg Markets.
Top 5 Bond Underwriters
Sales of new debt securities rose 10.9 percent to US$2.86 trillion worldwide in 2004, and yet underwriting fees actually declined by 9.2 percent to US$11.6 billion, says Bloomberg Markets. Since 1999 and the repeal of the 1933 Glass-Steagall Act separating banks, securities firms and insurers, large lenders have flooded into the business, resulting in a reduction of fees, the April issue states. In this challenging environment, Bloomberg Markets identifies the top five bond underwriters to watch in 2005:
All Figures in US Dollars
Individual Company 2004 Fees Earned, In Millions
1. Chad Leat, Marwan Marshi Citigroup $996.6
2. Carlos Hernandez JPMorgan Chase 809.2
3. Jim Healy Credit Suisse First Boston 713.2
4. Zoe Cruz Morgan Stanley 668.5
5. Richard Byrne Deutsche Bank 576.4According to Bloomberg Markets, all of the top five global debt underwriters -- Citigroup, JPMorgan Chase, Credit Suisse, Morgan Stanley and Deutsche Bank -- collected significantly fewer fees in 2004 than they did in 2003. Citigroup remained No. 1 in this category but also saw the greatest falloff in fees, dropping to 8.6% market share and US$996.6 million in fees in 2004 from 11% of market share and US$1.427 billion in fees in 2003.
The entire report on investment banking fees can be found in the April issue of Bloomberg Markets.
About Bloomberg Markets
Bloomberg Markets is a monthly magazine providing insight into financial executives, the firms where they work and the companies in which they invest. Bloomberg Markets has a worldwide circulation of 300,000. Bloomberg Markets is available for sale at Borders and Barnes & Noble bookstores as well as at selected newsstands. All users of the Bloomberg Professional service also receive Bloomberg Markets.
About Bloomberg
Bloomberg is the leading global provider of data, news and analytics. The BLOOMBERG(R) TERMINAL and Bloomberg's media services provide real-time and archived financial and market data, pricing, trading, news and communications tools in a single, integrated package to corporations, news organizations, financial and legal professionals and individuals around the world. Bloomberg's media services include BLOOMBERG NEWS(R), the global news service that includes more than 1,600 journalists in 103 bureaus worldwide; BLOOMBERG TELEVISION(R), the 24-hour business and financial network produced and distributed worldwide on 10 separate channels in seven languages; and BLOOMBERG RADIO(SM), which provides up-to-the-minute news on XM, Sirius and WorldSpace satellite radio around the world and on WBBR 1130AM in New York. In addition, Bloomberg Magazine Group and Bloomberg Press publish magazines and books for investment professionals. For more information please visit http://www.bloomberg.com.
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