BarCap exec: Chinese banks growing in Asian investment banking markets
Traditionally dominated by Western investment banks, Chinese banks are now becoming a force to be reckoned with for M&A deals and equity issuance in Asia. They are competing both for deals, squeezing margins, and for the bankers, driving up compensation costs. Quoting Barclays Capital’s head for Asia:
“They’re very real competition; they absolutely win deals and in many cases, they win deals that we would love to be in,” said Matthew Ginsburg, Hong Kong-based head of investment banking at Barclays in Asia, in an Aug. 16 interview. “On the cost side, are they starting to be competitive for talent? In many cases, they are absolutely.”
There is also a shortage of well-trained bankers, but they need to speak Mandarin…
