Can booming M&A offset trading slowdown?

Global M&A deals in H1 totaled $1.571T, according to Mergermarket, up 56% over the same period in 2013, and up 29.8% from last year's 2nd half. in the U.S., $694.6B of deals in H1 nearly doubled that of one year prior. European deals of $453.6B gained 35.5%, and Asian deals of $286.7B rose 56.8%.

The M&A boom could help offset at least some of the widely expected continued trading slowdown this quarter (banks begin reporting their Q2s in about 10 days), and Goldman (GS +0.1%) tops the advisor tables with $533.8B in deals in H1, up 112% from a year ago. With $495.6M (up 180.4% Y/Y), Morgan Stanley (MS +0.5%) in in 2nd place. In third place, Bank of America (BAC +2.3%) deals grew 141.7%, and in fifth place, Citigroup (C +1.5%) saw a 177.2% boost in deals. JPMorgan (JPM -1.1%) took 4th place with $324.8B in deals, but saw just a 25.3% rise.


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Comments (3)
  • starcorral
    , contributor
    Comments (1633) | Send Message
    When I figure out what this article is about I will likely roll over and tan the other side. M&As can only be judged on their particular merits. Otherwise we are asking "does it help our company when we make sales and purchases.


    I say leave the "market" out of this. OH excuse me please I hear two guys down the hall at the water fountain arguing about Citibank / Banamex. I'll get back t'y'all.
    2 Jul 2014, 02:43 PM Reply Like
  • gwynfryn
    , contributor
    Comments (6458) | Send Message
    It seems to me that the "merit" of most acquisitions is measured by how many new layers are added to the joint management pyramid, thus "justifying" the new CEO's ever higher salary and bonuses. Whatever happened to the "flat" management theory?
    3 Jul 2014, 11:31 AM Reply Like
  • Blue Beetle
    , contributor
    Comments (7) | Send Message
    Trading is 47% of Goldman´s revenues. It will take a herculean improvement in M&A during the quarter to offset a decline in 1/2 of a company´s revenues. In addition, M&A fees tend to be more volatile than Trading revenues. I would not hang my hat on this theory.
    2 Jul 2014, 05:00 PM Reply Like
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