MS is no longer a Tier 1 bank.

http://dealbook.blogs.nytimes.com/2010/01/20/morg…

Morgan Stanley isn't a sinking ship -- it's a sunk ship. Yeah, their IBD is decent (with M&A quite strong) but a global financial services firm can't survive with one strong group. They're horrendous in everything but IBD -- how is that any different from DB, who is sub-par in everything but fixed income? The top banks (GS/JPM) are strong across the board. This isn't bank bashing, it's fact stating.

Tier 1:
GS
(still a significant gap)
JPM

Tier 2:
BoA-ML/MS
CS
DB

Tier 3:
UBS/Citi

Will MS continue to place well because of its huge alum base in PE? Yes. Is it losing prestige and respect and losing it quickly? YES.

 

"Seriously how did you come up with this?"

I am talking about winners versus loser instead of purely BBs. BoA/ML is definitely a loser instead of a winner, but some posters have different opinions about this, because they refer purely to the leauge tables as of today instead of looking at the long term. MS has a lot of reputational damage these days, so please do not compare it with GS or JPM. There is a clear separation, therefore my previous post. And DB, CS and BarCap are much better positioned and therefore have more potential compared to UBS, Citi and BoA/ML.

Btw stop with dude dude dude. RBS can be mentioned with UBS or Citi based on their problems and restructuring requirements. It is not only about comparing BBs with each other, there are more aspects which you have to consider.

 
dagobert_duck:
"Seriously how did you come up with this?"

I am talking about winners versus loser instead of purely BBs. BoA/ML is definitely a loser instead of a winner, but some posters have different opinions about this, because they refer purely to the leauge tables as of today instead of looking at the long term. MS has a lot of reputational damage these days, so please do not compare it with GS or JPM. There is a clear separation, therefore my previous post. And DB, CS and BarCap are much better positioned and therefore have more potential compared to UBS, Citi and BoA/ML.

Btw stop with dude dude dude. RBS can be mentioned with UBS or Citi based on their problems and restructuring requirements. It is not only about comparing BBs with each other, there are more aspects which you have to consider.

This has got to be one of the most delusional posts I've seen on here, and with such confidence. Get a clue.

Btw, Marcus is right.

 

Through Q3 of this year:

League Table of Financial Advisers to Global M&A (Value):

  1. GS
  2. MS
  3. JPM
  4. C
  5. BAML
  6. CS
  7. BarCap
  8. DB
  9. UBS
  10. LAZ

(RBS is #19 lol)

League Table of Financial Advisers to Global M&A (Volume):

  1. JPM
  2. GS
  3. MS
  4. CS
  5. UBS
  6. Rothschild
  7. C
  8. BAML
  9. PWC
  10. LAZ

That's a crude way to look at tiers, but given that MS is either #2 or #3 in M&A worldwide (depending on how you want to look at it), they're definitely still tier 1.

I'd put it this way (just a combination of the two rankings):

  1. GS
  2. JPM
  3. MS
  4. CS
  5. C
  6. BAML
  7. UBS
  8. Rothschild
  9. DB
  10. LAZ
 
Best Response

You obviously have no clue how deal mandates are given, if you think anyone gives a shit about what banks are considered "Tier 1" by college Sophomores. As if anyone is going to give their M&A business to Goldman over Deutsche Bank because Goldman's prop desk killed it last year.

These "rankings" are used by incoming analysts to feel good about themselves. The league tables serve the same function but for people already employed at such firms. No business is given out based on where the firm falls in the league table.

Its primarily based on the relationship and specifics of the deal. If you don't know that, than you probably don't work in the industry. Or you're footnoting league tables and dropping them into pitchbooks all day and all night and don't want to come to terms with the fact that your work is meaningless.

 
[Comment removed by mod team]
 

this question is directed at marcus, or anybody else who can comment. i agree with the relationship aspect of winning a mandate, but if that's a large factor in determining deal flow, how can a bank improve its advisory business? meaning, if BB 1, hasn't made significant senior hires in a 5 year period, how can their jump from, say #8 in league tables to #5, be explained? i understand a bank can become more liberal with their lending or financing or approach or whatever, but if generally speaking, the same bankers are running the same teams, how can they "improve" their client relationships and win business that was once BB 2's?

 

If it's the same bankers and the same teams, all things equal, the advisory business is likely won by BB 2 into infinity. In reality, things never remain equal.

BB 1 might take over a banking relationship if the incumbent BB 2 doesn't step up to a credit ask. When someone like Citi runs themselves into the ground, they aren't exactly stepping up to new credit committments. GS, JPM, MS, BAML or anyone else might be able to step in to the relationship.

Also, there are conflicts of interest (except for GS - they don't have conflicts...ever). I've seen M&A mandates lost because one of our clients pursued a target that had fallen into our credit workout group. Our legal/compliance teams didn't feel comfortable with us advising a potential buyer (in a Machiavellian world, a distressed creditor would say any price that made them whole was "fair").

Also, keep in mind industry cyclicality when thinking about overall M&A league tables. If BB 1 has an amazing Energy group, they might leap several spots in the league tables if they lead all the large deals in the industry.

 
1styearBanker:
Probably since you don't have a job and will end up going to a 100th league table boutique where you get 0 experience and pitch all day and enjoy your 5k year end bonus while living in poverty.
LOL. League tables are just numbers, dude. As someone mentioned, noone chooses an advisor based on the league tables. The only people who care about league tables are wide eyed insecure college students, for whom the rank of their “future employers” makes up for something else in life. It's all “ha my bank is higher up than yours”. Fuck that bullshit.
 

Your paycheck is "just numbers" too. So is the price of a 3 million dollar house. It's just numbers right? What a dipshit, I would expect this response from a loser canadian kid.

//www.wallstreetoasis.com/forums/official-canadian-ib-thread

"Waiting. by useless (Monkey, 59 Points) on 10/4/09 at 7:15pm

Credits scott_ten wrote: bmo ibd gave offers yesterday and bmo s&t gave offers today sorry longrho Shitt... Still waitin on ARC Financial, Gateway Capital, CS Canada.. "

 

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