Executive Summary

Investment bank spending: A careful balance of run, grow and innovate

The corporate and investment banking (CIB) business, which includes origination & advisory, equities, fixed income, trade finance, cash management, securities lending, and securities services, is highly competitive. Firms compete for league table positioning, operate in some low-margin businesses where scale is vital, and navigate an ever-changing regulatory environment. Banks want to manage costs to protect margins, but they also need to keep pace with evolving client expectations and the changing technology landscape. How they allocate investment dollars helps determine their ability to protect existing franchises and prepare for the CIB of the future.

Methodology

Crisil Coalition Greenwich maintains submission-based, normalized proprietary benchmarks and is the leading provider of strategic quantitative and qualitative analytics and insights.

Note: The CIB Index comprises BofA, Barclays, BNP Paribas, Citi, Deutsche Bank, Goldman Sachs, HSBC, JPMorgan, Morgan Stanley, Société Générale, UBS, and Wells Fargo. Analysis is presented on a producer-view basis to improve functional comparability across banks and excludes goodwill impairment, one-off regulatory fines and legal settlements, BCE, and restructuring expenses. Figures may not sum due to rounding.