European Investment Banks Fit To Vie For Bigger Share Of Business In 2024

Market observers suggest that European investment banks are poised to vie for a larger portion of sector revenues in 2024, following substantial advancements in key markets over recent years. Although bulge-bracket US firms are expected to maintain their status as global market leaders, European counterparts are now in a favorable position to reclaim sector market share lost since 2008. This resurgence is attributed to extensive restructuring and repositioning efforts undertaken by European investment bank divisions over the years.

European banks are now "leaner, stronger, higher-returning and much more focused on areas of competitive advantage," Ronan O'Kelly, Head of Corporate and Institutional Banking in Europe for Oliver Wyman, said in an interview. "We think that gives them a good platform for growth."

US banks remain "formidable competitors," with scale, reach and balanced business models, yet the current environment, with higher interest rates and more stringent capital rules coming in the US, presents an interesting opportunity for European banks to gain market share and the good return levels achieved in recent years, O'Kelly said.

Read the full article here.