Investment Bank Fees: Glass Half Full?
Investment bankers have run out of ways to describe the rich revenue potential in LatAm. Those with other products to offer are chasing a much bigger pot.
by James Crombie
Senior investment bankers talk a bigger game than Diego Maradona when forecasting potential for LatAm revenue magnification. Balance sheet deployment and frenzied hiring by the leading firms suggest that global management is buying the pitch. However, for institutions with nothing else to sell, the region may have trouble living up to the hype.
Rather like the ebullience that accompanied the arrival of six LatAm teams in the last 16 of the soccer World Cup, it is easy to get carried away. However, even Brazil might fail to impress, and some bankers privately worry that it may become something of a bubble.
Despite lack of scale, the last remaining pure investment banks are redoubling LatAm efforts. They are convinced of the trend and its sustainability.
"Today, just about every investor out there wants to understand whats going on in Brazil, and theyre even starting to think about Mexico,...
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