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Even though we’ve covered industry groups vs. product groups and teams such as M&A , ECM , DCM , and Leveraged Finance , we continue to get questions about capitalmarkets vs. investment banking. The questions usually go like this: Are capitalmarkets teams (ECM, DCM, and LevFin) “real” investment banking?
I spent the first 20 years of my career at the global bulgebracket banks, first in investment banking and then on the institutional equity desks, in a cross-asset and special situations role. I was there through 2015, then Bank of America, before I joined Conversant Capital in early 2021. What does your role involve?
I never expected to revisit the topic of bulgebracket banks so quickly because the full list changes slowly, and we updated it a few years ago. What is a “BulgeBracket Bank”? The name “bulgebracket” (BB) comes from the prospectus for an IPO or debt issuance, which lists all the banks underwriting the deal.
based bulgebrackets (GS, MS, JPM, Citi, and BofA) are the strongest international banks, and Avendus, Kotak, JM Financial, ICICI, and Axis are the strongest domestic firms. Among the bulgebrackets, the U.S.-based Of the middle-market banks , only Jefferies seems to have much of a presence.
After an initial slowdown when the pandemic first struck in early 2020, banks have generated record-high fees from M&A and capitalmarkets deals. Meanwhile, Goldman Sachs paid quite well, with many Associates in the $400K – $500K total compensation range, and various other bulgebracket and middle market firms followed suit.
He then worked for what are called bulgebracket investment banks, mostly in the capitalmarket space. This prompted Richard to apply to law school and he graduated from law school while working at the investment bank. In 2000, Richard's partner left and he left for Bear Stearns.
On the topic, Rieb-Smith adds: “We’re in an environment where you’ve seen the macro community morph into multi-strats (because they’ve gone into equity strategies whether that be volume, capitalmarkets and ultimately quant). Then you’ve got the quants who have started to look at fixed income products.
Do something else in finance first , such as corporate banking , capitalmarkets , or a credit rating agency role (any job with the “ Credit Analyst ” title works). It can be a nice “second step” after a role like corporate banking, capitalmarkets, or a credit rating agency if you want to improve your profile for buy-side roles.
The basic difference is that the international bulgebracket banks tend to be stronger in M&A advisory and weaker in equity and debt capitalmarkets. Among the elite boutiques , Evercore has the strongest presence in Singapore, and Rothschild also works on many deals, mostly in the middle-market space.
While perhaps not one of the most exciting aspects of the trade lifecycle, settlement is a central process that acts as a pillar for the capitalmarkets. Usually hosted by bulgebracket banks, SIs are an internalising mechanism that allow banks to execute flow over the counter or off exchange.
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