Is UBS no longer a Global Bulge Bracket bank? (M&A Deals in 2024 Averaging less than $1bn in size per FactSet)

$134bn Transaction Volume on 136 deals globally per FactSet (https://go.factset.com/hubfs/mergerstat_em/quarte…)

UBS now joins tier of banks with at least 50 global deals in 2024 with an average deal size between $750mm and $1bn:

  • UBS
  • Jefferies
  • Moelis & Co.
  • BNP Paribas SA
  • The Toronto-Dominion Bank
  • Macquarie Group

Does UBS still carry BB Presitge or is it now more of an UMM Firm?

Buldge Bracket Presitge
41% (69 votes)
Upper Middle-Market Presitge
59% (101 votes)
Total votes: 170
22 Comments
 

Based on the most helpful WSO content, UBS has experienced fluctuations in its M&A deal flow and overall market position. Here are some key points:

  • M&A Deal Flow: UBS has been noted for its lumpy M&A deal flow, with a single good year not necessarily indicating a wider trend. In revenue terms, UBS has been smaller than Deutsche Bank, Wells Fargo, and even Jefferies.
  • Recent Performance: UBS has been consistently in the top 10 for global M&A in certain years, working on a variety of mandates including SPACs and high-profile RX mandates.
  • Regional Strengths: UBS has shown stronger results in EMEA and APAC regions, while its performance in the US has been less significant in recent years.
  • League Table Rankings: UBS has been ranked in the top 6/7 for overall M&A deal flow in recent league table rankings, indicating some growth.

Given this information, while UBS has shown some positive trends and growth in certain areas, it has also faced challenges and competition from other banks. The bank's position as a global bulge bracket bank may not be as strong as it once was, but it remains a significant player in the industry.

Sources: Growth of UBS??, Growth of UBS??, What's up with the European banks and SA 2020? (UBS, DB, Barclays), is DB a BB?, 2020s Investment Banking Outlook

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 
Most Helpful

Ye this is just further proof that WSO isn't fully reflective of recruiting or the wider street. The BBs were decided in the 2000s and the only change in recent years has just been CS + UBS merger. Headhunters still consider UBS a BB, and the wider prestige is just going to be pragmatically higher than banks like WF or RBC. Sucks for kids at those firms, but it is just what it is. Same thing for DB(but DB deal flow is even worse).

Edit: if you're defining criteria consider Moelis or even UBS at the same tier as TD and Macquarie Group, your criteria is simply not worth looking at.

 

"The end of Credit Suisse in 2023 means that it’s no longer on this list.

It also means that UBS, which acquired CS, is more firmly in the “bulge bracket bank” category, even though people sometimes debate its status."

From M&I:

image-20241022200640-1

https://mergersandinquisitions.com/bulge-bracket-banks/

UBS recent performance suggests it is behind RBC in volume and average deal size...

image-20241022200721-2

 

Look across 23-4, UBS still ranks higher. UBS was ranked higher than Barclays in M&A revenue last year, but we don't see people ranking it above Barclays for good reason. One-off years happen, and UBS remains stronger than RBC. Also important to note, that a lot of the deals that are out rn were the ones where the mandate was given in 2023 while UBS was actively restructuring/figuring out the acquisition of CS, and RBC had its strongest year, this is the equivalent of comparing a bank at it's best vs worst. The clients deciding who to give deals to didn't know if their UBS coverage banker would be there a year from now when deal would close, so 2024 numbers are heavily skewed against UBS. If we see a similar trend in 2025, I would give it more credence.  

image-20241023162808-1

2023 data from WSJ for reference. UBS was above RBC and Barclays, but I think nobody (correctly so) was arguing UBS>Barclays because again looking at only a single year ignores a lot of context. 

 

Official Poll Announcement:

UBS Now Officially Classified as an Upper Middle Market (UMM) Firm

After a thorough and democratic process, the votes have spoken! With the poll surpassing the decisive 60% threshold, UBS is now officially recognized as an Upper Middle Market (UMM) firm. The community has made its stance clear, and as per our guidelines, this classification is now binding.

All further references to UBS should reflect this updated status, effective immediately. Congratulations to UBS for its new title and to everyone who participated in this monumental decision. Let the record show that the power of WSO democracy is real!

Poll Results:

  • Bulge Bracket Prestige: 34%
  • Upper Middle-Market Prestige: 66%

Total votes: 47

Poll closed at 10:30PM on 10/23/2024. Note that no late votes will be counted.

Thank you for your engagement and participation. Please adjust your future discussions accordingly.

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2025 the year they lost it. 2026 the year someone else gets a chance to lose it

 

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