Fees for global Investment Banking services, from M&A advisory to capital markets underwriting, totaled US$20.0billion during the first quarter of 2015, an 8% decrease over last year at this time and the slowest first quarter for fees since 2012. Fees in the Americas totaled US$11.5 billion, flat compared to first quarter 2014 while fees in Europe decreased 14% and Asia Pacific fees decreased 18%. Fees in Japan decreased 28% compared to a year ago, while fees in Middle East/Africa increased 18% compared to 2014 levels.
JP Morgan Takes Top Spot for Global Investment Banking Fees; Morgan Stanley and Citi Pick Up Combined 1.4 Share Points
P Morgan topped the global investment banking league table during first quarter 2015 with US$1.49 billion in fees, or 7.5% of overall wallet-share. Goldman Sachs booked US$1.48 billion in fees during the first quarter of 2015 for second place and an increase of 0.6 wallet-share points. The composition of the top ten banks remained nearly unchanged, with just UBS moving out of the top ten.
Within the top 10, Morgan Stanley and Citi saw the strongest wallet share increases compared to a year ago while Credit Suisse saw a 23% decrease in first quarter fees resulting in a loss of 0.7 wallet share points.
Healthcare IB Fees Register 24% Increase; Strong Double-digit Percentage Declines for Consumer Staples, Industrials and Consumer Products
Investment banking activity in the financials, healthcare and energy & power accounted for 54% of the global fee pool during the first quarter of 2015. JP Morgan topped the fee rankings in four sectors during the year, with double-digit wallet-share in the telecom, consumer products and retail sectors. Fees from deal making in the healthcare sector increased 24% compared to a year ago with Goldman Sachs commanding 14% of all fees booked in the sector during the first quarter. Consumer Staples, Industrials and Consumer Products fees posted strong double-digit percentage declines during the quarter.
Financial Sponsor-related Fees Down 30%; Blackstone Group, Barclays Tops Financial Sponsor Fee Rankings
Investment banking fees generated by financial sponsors and their portfolio companies reached $2.5 billion during the first quarter of 2015, a decrease of 30% compared to 2014. Fees generated from leveraged buyouts accounted for 35% of financial sponsor-related fees during the quarter, while ECM exits accounted for 23% and M&A exits comprised 17% of overall fees. Blackstone Group and related entities generated $168 million in investment banking fees this year, up 79% compared to the first quarter of 2014, while Barclays collected an industry-leading 7.7% of financial sponsor-related fees during the first quarter.
IPOs Pull Equity Capital Markets Fees Down 2%; Debt Capital Markets Fees Up 4%, while M&A Fees Fall Slightly Negative
Dragged down by a 36% decrease in fees from IPOs, equity capital markets underwriting fees totaled US$5.3 billion during first quarter 2014, down 2% from a year ago. Fees from debt capital markets underwriting totaled US$6.3 billion, up 4% compared to last year's tally and accounted for 31% of overall IB fees during the first quarter of 2015. M&A advisory fees totaled US$5.5 billion during first quarter 2015, slightly negative compared to the same period last year, and accounted for 28% of the global fee pool, while fees from syndicated loans decreased 38% compared to the first quarter of 2014.
Global Investment Banking: Top Banks - First Quarter 2015 (US$m)