The investment bank league tables for 2020 were recently released by Financial Times, ranking the top global investment banks by fees generated. The rankings saw major changes, with JP Morgan toppling Goldman Sachs from the #1 spot after a record year. Meanwhile, Chinese bank CICC broke into the top equity underwriting ranks. The league tables provide great insights into each bank’s performance across sectors, regions, and divisions – critical data for students considering investment banking careers.
JP Morgan scored record investment banking fees of $7.3B in 2020
According to FT’s 2020 league tables, JP Morgan generated a record $7.3 billion in investment banking fees globally last year, overtaking Goldman Sachs for the top spot. The impressive result comes on the back of strength across JP Morgan’s divisions – M&A, equity capital markets, debt capital markets, and more. Despite economic uncertainty, JP Morgan saw deal volumes hold up well and capital markets remain active. With a strong presence globally across sectors, the bank was able to capitalize through volatile markets.
Goldman Sachs slips to #2 amid struggling trading revenues
Goldman Sachs slipped to #2 in the global investment bank rankings for 2020, a rare fall from its perch. While still strong in M&A, the bank saw major declines in trading revenue that outpaced declines at peers. Litigation issues also cast doubt over management at the storied bank. The relatively poor year will likely renew focus on Goldman’s strategy and ability to drive sustainable growth across cycles. Even so, Goldman Sachs remains a dominant force in investment banking.
Chinese bank CICC breaks through in equity capital markets
An eye-catching result in FT’s 2020 league tables was Chinese investment bank CICC grabbing #6 spot globally for equity underwriting fees. Already a powerhouse in Asia, CICC demonstrated increasing capability to lead large IPOs and follow-ons for Chinese companies listing abroad. Students interested in China investment banking should make note – local Chinese banks are increasingly competitive with the global bulge brackets in high-growth sectors.
League tables showcase bank strengths across products, regions
Beyond the global rankings, FT’s league tables contain a wealth of data on each bank’s performance by product (M&A, ECM, DCM) and region (Americas, APAC, EMEA). This allows students to analyze which banks thrive in their target industries, geographies and product groups. For instance, Citi leads debt capital markets in Asia Pacific, while JP Morgan dominates M&A in the Americas. Matching one’s interests with banks’ proven strengths is crucial.
The 2020 investment bank league tables from FT showcase JP Morgan consolidating its dominance, Goldman Sachs losing some ground, and Chinese banks on the ascent. The granular breakdowns provide students invaluable perspective on the best banks across products, regions and sectors – helping inform target bank lists and industry coverage priorities.