2 Responses to “Trends in Investment Banking Q1 2011”

  • As you say, the trend is towards more competition from small boutiques- and as in other parts of the banking industry, the big players are leveraging their access to legislative bodies to secure market share through regulation and fee-fixing. This would limit then the middle-size players. Who is left in the long-term future? What does this mean for the evolution of start-ups and entrepreneurship?
    -Matthew from Copenhagen

  • Matthew,

    Thanks for the comment! You hit a nerve – this is one of the bigger issues. FINRA, SEC and other regulatory bodies have become very burdensome, if not completely obstructive, to capital formation. The original intent of most of the regulations was to limit fraud; however, it has become a mechanism to keep small players out of the market. There was a congressional hearing on crowdfunding last week. I hope that trends and technologies like P2P lending will disrupt the status quo so we can get a fresh start and break away from antiquated laws and regulations.