They may lose another three points this year.
Moreover, the quarter ought to have been especially lucrative this year given the brisk pace of corporate-bond issuance as creditworthy companies tried to lock in low borrowing rates.
Huw van Steenis, an analyst at Morgan Stanley, reckons Europes leading investment banks gave up about five percentage points of market share in ficc to the three leading American banks last year.
In 2013 alone revenues from pokken tournament shadow mewtwo op ficc fell by almost.Banks everywhere are now required to hold more capital to underpin their trading.There is all slots casino review also a global push to shift derivative-trading to central clearing houses.Trading volumes may pick up again as central banks slow and eventually halt their bond-buying, particularly if the retreat from quantitative easing leads to jumps in interest rates.And the precipitous descent is continuing.In 2009 the worlds big investment banks earned nearly 142 billion from ficc63 of their total revenue, according to Coalition, a data firm.Analysts expect Europes big banks to report even sharper drops in trading sac sport roulette decathlon income than their American rivals.On April 11th JPMorgan Chase, the worlds largest investment bank by revenue, posted a 21 fall in income from ficc in the first three months of 2014 compared with a year earlier.It is probably safe to side with the pessimists.The disappointing numbers are rekindling an argument within the industry over whether ficcs decline is merely cyclical or the start of a long-term slump in the profitability of banks trading businesses.Central banks strenuous efforts to keep long-term interest rates low are depressing bond trading.The latest drops are all the more surprising since the first quarter of the year tends to be particularly profitable for banks.It is an awkward reminder of the former docks outside the windows, which bear names such as Canada Wharf or West India Quay, after the places from which they used to welcome ships.Get our daily newsletter, upgrade your inbox and get our Daily Dispatch and Editor's Picks.But it is being felt most acutely in London, which is home to the bulk of European investment banking.Analysts at Citigroup, for instance, reckon that about two-thirds of the impact has already been absorbed, leaving revenues to decline by another 6-7.The tides of finance have almost certainly turned.
The trend towards falling trading revenues is a global one, afflicting New York and Hong Kong too.
The buying and selling of bonds (fixed income in the argot currencies and commodities have been the main source of profits for investment banks in recent years.