JPMorgan and Goldman are still the best in investment banking, but business contracts significantly in 2022


According to Dealogic, JPMorgan Chase & Co. and Goldman Sachs Group Inc. retained their top spot in investment banking revenue rankings in 2022, while Bank of America Corp.

In total, Wall Street’s top 10 investment banks recorded $56.4 billion in revenue in 2022 as of September 14, down nearly 39% from $92 billion in 2021 as of the same date. and about 8% lower than the 2020 tally of $61.3 billion. .

Figures reveal falling investment bank revenue that could force Wall Street firms to impose layoffs this year as the firm lags behind a lack of initial public offerings and other mobilization activity of capital.

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With the pie now smaller than last year, the market share of the four major components of investment banking has changed. Mergers and acquisitions, which have remained fairly healthy this year, now account for 45% of all investment banking revenue, up from around 32% in 2021.

Equity capital markets now represents approximately 15% of investment banking revenue, up from nearly 28% in 2021. Debt capital markets revenue remained stable with a revenue share of 25% in 2022 and 2021, while syndicated loans also remained stable at around 15%.

JPMorgan Chase JPM,
took $4.55 billion in investment banking fees year-to-date to Sept. 14, compared to $8.52 billion in 2021 and a year ago and $5.86 billion in 2020 , on the same date. (See table)

Goldman SachsGS,
totaled $4.2 billion in investment banking revenue year-to-date, compared to $8.1 billion in 2021 and $4.9 billion in 2020.

BofA Securities, the investment banking arm of Bank of America BAC,
rose to No. 3 from fourth place with year-to-date investment banking revenue of $3.49 billion, up from $5.7 billion in 2021 and $4.26 billion dollars in 2020.

Morgan Stanley MS,
ranks fourth with investment banking revenue of just under $3 billion in 2022, compared to $5.3 billion in 2021 and $3.95 billion in 2020, all as of September 14 .

Citigroup Inc. C,
remains in fifth place overall in 2022 with $2.36 billion in investment banking revenue, compared to $4.59 billion in 2021 and $3.3 billion in 2020.

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