Investment banking league tables are annual rankings that track market share and deal volume for investment banks by sector and geography. They serve as a scorecard for dealmaking prowess and help firms showcase their achievements. League tables track deal volume in areas like M&A, equity issuance, debt issuance, syndicated loans, and more, segmenting by industry verticals like TMT, healthcare, financial services, etc. Higher league table rankings can boost a bank’s reputation and help them win more business. Banks compete fiercely to climb the rankings each year. Top-ranked banks tend to advise on more complex, higher-profile deals. League tables are compiled by data providers like Dealogic, Refinitiv, and Bloomberg. Factors weighed include deal value, number of deals advised on or underwritten, and overall wallet share. Banks may be ranked globally, by region, and by country and industry. Top-tier global banks like Goldman Sachs, JP Morgan, and Morgan Stanley dominate the upper ranks, but niche firms can also shine in specific sectors.
Global investment banks dominate the top of the league tables
The top of the global investment banking league tables is dominated by bulge bracket banks like Goldman Sachs, Morgan Stanley, JP Morgan, Bank of America, Citi, Credit Suisse and Barclays. These banks have the scale, resources and global footprint to consistently rank near the top across products, regions and industries. Their deal teams encompass top talent and they tend to get roles on the largest, most complex M&A deals and IPOs worldwide. While they are powerful generalized advisors, they also develop reputations over time for expertise in certain verticals like TMT, healthcare, energy, and financial services. Mid-tier banks like Lazard and Evercore have carved out solid positioning in the league tables through sector specialization in areas like healthcare and power & utilities.
Niche banks can compete through industry expertise
While global banks dominate the top rankings overall, focused boutique banks can break through in specific sectors where they have cultivated top-tier expertise. For example, Moelis & Company has become a formidable advisor in real estate through senior talent acquisition. Other specialists like FT Partners (fintech) and Duff & Phelps (financial services) effectively compete for deals in their sectors against much larger firms. Aspiring boutiques must deepen their capabilities to gain league table visibility – for example, by hiring senior bankers with strong client relationships or former industry executives.
Rankings in Asia and EMEA differ from US
The league tables reveal some different competitive dynamics in Asia and EMEA compared to the US. Asian firms such as UBS, Credit Suisse, and Citi have long held strong positions in Equity Capital Markets in the region. Meanwhile, Chinese banks like CICC and Citic Securities are climbing in the greater China league tables. In EMEA, local powerhouses like Barclays and Deutsche Bank capture more share versus US banks. Beyond this, Swiss bank UBS posts strong IB results in Europe, reflecting its roots there. Though globalization has linked the markets, regional expertise still confers advantages.
League tables drive competition between banks
Investment banks obsess over league table rankings because they confer prestige and can directly boost business momentum. Banks use strong league table positions to market themselves to clients and recruits. Bankers receive special recognition for contributions to standout league table performance. However, critics argue that league table goals sometimes drive bad incentives around deal selection and execution. For example, banks may be tempted to work on unprofitable deals to increase volume. Some also argue that advisors occasionally rush through inadequately diligenced deals before year-end to boost league table rankings.
Investment banking league tables provide annual rankings and market share data on top deal advisors globally and by sector. They confer prestige but also drive fierce competition between banks, sometimes creating bad incentives. Global banks dominate, but focused boutiques can break through in sectors of expertise.