The World's Top 10 Investment Banks

The World's Top 10 Investment Banks

Personal Finance  

Investment banking is a stream of banking that primarily focuses on capital financing for global and local businesses, individuals and even governments. These diversified finance requirements can be in the form of equity/debt IPO, bonds offering, mergers and acquisitions, portfolio management, etc. (See Related: Information and Advice on Investment Banking)



How are investments banks ranked? While there can be several criteria, the easy ones to look at are the revenue numbers, global reach, employee headcount, income, etc.

This article lists the top 10 full service global investment banks, with a brief introductory description and recent income details of each, based on a combination of the above-mentioned parameters. Although investment banks have a lot more functions (like retail banking) which may not necessarily fall within investment banking space, the list below indicates the top rated banks and their numbers as a whole. Details specific to investment banking division are included, based on available data.

· Goldman Sachs (GS): One of the oldest banking firms founded in 1869 and headquartered in New York, GS offers a wide range of services spread across four divisions - investment banking, institutional client services, investing and lending and investment management. Goldman Sachs reported net revenues of $34.210 billion for 2013, of which investment banking division contributed $6 billion. Other divisions’ revenues were higher, but maximum percentage growth was in the investment banking space (around 20% - compared to 2012). Earnings per share (EPS) were $16.34.

· JP Morgan Chase (JPM): One of the largest investment banks, JPM Chase reported net revenues of $96,606 million, of which investment banking revenue contributed $1,700 million. EPS was $4.39. “The firm has $2.4 trillion in assets and $211.2 billion in stockholders’ equity” and operates in 60 countries with more than 260,000 employees with a diversified set of services. Apart from investment banking, it also operates in small business finance, international banking, transaction processing and private equity.

· Barclays (BCS): Founded in 1896, the London, UK based investment bank hit the recent headlines for allegations about rigging of London interbank rates and news about huge number of job cuts globally. Backed by a strong workforce of 139,600 employees globally, reports indicate total income of £28,444 million of which the investment banking segment contributed to £10,733 million – a segment decline of 9% compared to previous year. Overall, EPS was 3.8 pence. Along with investment banking, it has a strong presence in retail and commercial banking and card processing business.

· Bank of America Merrill Lynch (BofA-ML): The large entity formed by erstwhile Merrill Lynch being taken over by Bank of America following the 2008 financial crisis, offers a wide array of banking services including investment banking, mortgage, trading, brokerage and card services. Operating in 40 countries across the globe with total revenue of $89,801 million, the investment banking division contributed $6,126 million (up from $5,299 of 2012). The overall EPS was $0.94 for 2013. (Report)

· Morgan Stanley (MS): Founded in 1935 and headquartered in New York USA, the global firm employs 55,794 employees spread across multiple countries. It reported net revenue of $32,417 million, of which the investment banking segment contributed $5,246 million. EPS was $1.42. Apart from the usual capital raising, M&A, corporate restructuring services, the firm also offers diversified services like prime brokerage, custodian, settlement and clearing, etc.

· Deutsche Bank (DB): Based in Germany and listed on XETRA stock exchange, Deutsche Bank reported a net revenue of EUR 31,915 million. One of the largest financial services firms of Europe, DB specializes in the cross border payments, international trade financing, cash management, card services, mortgage, insurance and the usual investment banking stream. Deutsche has a global presence with operations in 71 countries.

· Citigroup: Tracing its roots back to the origin of Citibank in 1812, Citi today has 251,000 employees with business and operations in 160 countries. Of the total revenues of $76,366 million reported for 2013, contributions from investment banking rose 8% from the prior year to $4,000 million. EPS was $4.35. The bank has a strong presence in investment banking, investment management, private banking and card processing streams.

· Credit Suisse (DHY): With a net income of CHF 2,131 million and EPS of 1.22 in year 2013 (report), the Zurich Switzerland based Credit Suisse group founded in 1856 today employs 46,000 members across the globe in over 50 countries. Apart from the regular investment banking business, it also has presence in taxation and advisory, structural lending, real estate leasing and investment research services.

· UBS: Another Swiss investment firm founded in 1862 and headquartered in Zurich, UBS had a net income of CHF 27,732 million and EPS of 0.83 CHF in the year 2013 (report). The firm has a strong workforce of more than 60,000 employees across the globe with majority of them in US and Switzerland. The firm specializes in services to high net worth and ultra-high net worth individuals, in addition to the investment banking, private, retail and commercial banking streams.

· HSBC: Another London based financial powerhouse founded in 1865 with operation in 75 countries serving 54 million global customers through 254,000 employees, HSBC offers a wide variety of services ranging from forex, leasing, M&A, card processing, account services, investment banking and private banking. Revenue totaling $ 64,645 for year 2013, EPS was 0.84 USD (report).

50 Best Investment Banks to Work For

50 Best Investment Banks to Work For

Investment  

50 Best Investment Banks to Work For

Today, we release our annual Vault Banking 50, a ranking of the best investment banking firms to work for in North America.

This year, the rankings were based on a survey of more than 3,000 investment banking professionals at all levels, from analysts and associates to managing directors and partners. Our survey asked professionals to rate their peer firms in terms of prestige, as well as their own firms in numerous quality of life categories, including culture, compensation, overall satisfaction, training, work/life balance, hours, and diversity.


To calculate the Vault Banking 50, we used a weighted formula that combines a firm's prestige score and various quality of life ratings, creating an overall "best to work for" ranking. We also compiled rankings in Prestige, Quality of Life, and Diversity.

Noteworthy this year, along with a new No. 1 firm, was the continued rise of the investment banking boutiques. Several boutiques (the relatively smaller banks on Wall Street) had excellent years in our rankings, rising many places in numerous categories. This underscored the smaller firms' continued rise in the investment banking league tables, as well as their successful implentation of various workplace policies.

What follows are this year’s big winners: the top 10 firms of the 2017 Vault Banking 50. All of our new banking rankings can be found here.

10 Great Investment Banks To Work For In 2016

10 Great Investment Banks To Work For In 2016

Investment  

In the world of high finance, not all investment banks are equal. That fact holds true regarding their revenue, of course, but also as work environments.


In such a high-pressure industry, it’s important to know what current and former employees have to say about firms before you choose which you’d like to pursue for a career. To that end, each year career information site, Vault.com, conducts a study of those in the industry to find out which banks are great to work for—their positives as well as their shortcomings.

Recently Vault released the results of its latest survey, ranking the top 50 based on the testimony of some 3,000 bankers. The company asked for feedback on categories like prestige, culture, compensation, business outlook, satisfaction and training. We folded the results of the top 10 into a special slideshow which you can read below.

Karsten Strauss ,  FORBES STAFF
A journalist covering leadership, business, entrepreneurs and careers.

Vault.com recently unveiled its ranking of the best investment banks to work for, based on prestige, culture, compensation and other factors. (Image Credit: Shutterstock)

In the world of high finance, not all investment banks are equal. That fact holds true regarding their revenue, of course, but also as work environments.

In such a high-pressure industry, it’s important to know what current and former employees have to say about firms before you choose which you’d like to pursue for a career. To that end, each year career information site, Vault.com, conducts a study of those in the industry to find out which banks are great to work for—their positives as well as their shortcomings.

Recently Vault released the results of its latest survey, ranking the top 50 based on the testimony of some 3,000 bankers. The company asked for feedback on categories like prestige, culture, compensation, business outlook, satisfaction and training. We folded the results of the top 10 into a special slideshow which you can read below.

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10 Great Investment Banks To Work For In 2016
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According to the results of Vault.com’s survey, the top tier includes some large well-known firms, as well as some relatively new ones.

One firm that cracked the top 3 this year was Centerview Partners. Based in New York City, the decade-old firm was founded by UBS Vice Chairman Blair Effron and former Wasserstein Perella CEO Robert Pruzan. According to the feedback Vault received from employees of the organization, working there offers “great analyst camaraderie and helpfulness; other analysts are smart, hardworking, and happy to help out where possible.” The M&A focus provides ample opportunities to learn about that side of the finance realm and compensation is, according to one employee, the “highest compensation on the Street—by a wide margin.”

On the downside, the work is intense. As one employee was quoted: “Very demanding and unpredictable hours—when things get busy, they get very, very busy.” Also, there are no formal policies surrounding work-life balance and the firm is largely unknown in the broader industry.

Ranking number two on Vault’s list is well known finance power Morgan Stanley. Respondents to the survey lauded the firm’s intelligent workers, top tier clients, development opportunities and prestige. On the downside, they point to the high pressure, long hours, and the office politics and slow-moving decision making that is possibly a side effect of the organization’s size. They also decry the Times Square location.

The top spot on Vault’s list – up from number two last year – is Goldman Sachs. Those in the know spoke out about the firm’s demanding hours, stress-inducing workload and political red tape. On the plus side, one employee said those on the GS team are “working with the brightest, most talented, and hardest working people in the industry—both at the firm and at our clients.” Others pointed out the firm nurtures a “collaborative, inclusive, innovative culture,” and offers great opportunities to learn and advance.