JPMorgan Chase & Co. (NYSE:JPM) Has Fared Well
JPMorgan Chase & Co. (NYSE:JPM)’s stock is trading 33.8% above its 52 week low of $41.64, if we take into consideration its previous close of $55.72. The stock has delivered 26.7% returns year to date. The bank is now shifting its focus from Brazil to Mexico, Colombia and Peru with more offices and accelerated hiring.
The Brazilian Concern
Amidst the political and economic concerns, Brazilian investment-banking fees declined to a record low, dragging its revenue share in the region to mere 41% from the high of 63% in 2007 and around 51% during the last year. London-based research company, Dealogic estimates total of $1.89 billion revenue in the region, so far this year. The revenue takes into account advising on mergers and acquisitions as well as underwriting debt and equity.
The Brazilian concern seem to be helping the second-biggest market for investment-banking fees in Latin America – Mexico, which increased its revenue share to a high of 34% this year from 21% in 2012. Moreover investment-banking revenue in Mexico surged 64% as compared to 17% decline in Brazil, according to Dealogic.
The Banking Peers
JPMorgan Chase & Co. (NYSE:JPM) which top the ranking list in 2008 and 2009 for investment-banking fees in Latin America outside Brazil, is No. 3 through Dec. 16th, according to Dealogic. Latin America region including Brazil, with $2.5 billion in revenue in 2012 represents 5% of the JPMorgan Chase & Co. (NYSE:JPM)’s wholesale business.
New York based Citigroup Inc. (NYSE:C) generates the highest investment-banking fees on an annual basis in Latin America region excluding Brazil since 2010. In FY13, through Dec. 16th, the bank has earned 11% share which is down from 14% share in 2012.
Bank of America Corp (NYSE:BAC) also ranks above JPMorgan Chase & Co. (NYSE:JPM) at No. 3 in fees from Latin America outside Brazil in the current fiscal, according to Dealogic.