Energy Storage Report’s Post

Deutsche Bank’s dealmaking unit surged by 54% in the first quarter of 2024, as a boom in debt underwriting fuelled a rapid bounce back in fees. The German lender hiked compensation costs within its investment bank by 12% to €686m during the period as it added front office staff, with both dealmaking and trading revenue increasing during the period. Its fixed income and currencies unit, which accounted for 32% of its €7.8bn revenue, helped fuel a jump in overall profit to €1.5bn, which Deutsche said was its best first quarter since 2013 and was above analyst expectations. Deutsche Bank is the first European bank to report its numbers after a positive Q1 for Wall Street’s biggest lenders. Bank of America, Citigroup, Goldman Sachs, JPMorgan and Morgan Stanley all reported sharp increases in dealmaking fees, fuelled by a jump in equity and debt underwriting revenue while M&A remained subdued. https://lnkd.in/dkdHKcPP

A useful piece from the FT on how private credit originated by PE players is looking to move into low-risk lending and on the wider structural shift away from the traditional commercial banking model. Interesting, for instance, how the increasing displacement is most obvious in the case of lending to infrastructure, renewable energy and digital communications projects. This has limited relevance in Central Eastern Europe for now but remains a space to watch. If the trend will start to permeate #CEE over time, it wouldn’t be the first one to do so. Link in comments👇

As institutional and non-traditional finance continue to increase their presence, traditional banks continue to dominate financing of global infrastructure. Realfin rankings of the top lenders to greenfield, brownfield and secondary transactions include MUFG, BNP Paribas, Sumitomo Mitsui Financial Group, Crédit Agricole CIB, Societe Generale, ING, Santander, RBC, Groupe BPCE, BBVA. Find more comprehensive rankings of infrastructure finance market participants on RealfinX Platform.

https://lnkd.in/dASa-KHT UBS | Credit Suisse will increase lending to the shipping sector and decrease loans to fossil fuels - the biggest test yet of a mega-merger's impact on banks' sustainability commitments. #shippingindustry #maritimesector #sustainability

📈 Private Credit Jumps $45 Billion in Five Years 📈 We are pleased to be mentioned in this article in the The Australian Financial Review on the rapidly growing private credit sector. As risk-averse banks pull back, private credit is stepping up, offering significant opportunities for both investors seeking higher returns and borrowers in need of flexible financing solutions. Our co-founder, Steven Sher, emphasises the importance of transparency and integrity in managing investor capital. At GCI, we ensure all fees are clearly explained, with no hidden charges. This commitment to openness is crucial for maintaining investor trust and long-term success. Read the full article here: https://lnkd.in/gkt3Rtg5 #GCI #transformationalcredit #assetbackedfinance #NonBankLenders #privatedebt #privatecredit #realestate #strategiccapital #scaleupfinance #resourcesandrenewables #transparency

As demonstrated by the AFR yet again, Private Credit is the hottest investment topic now, but not all Private Credit is equal. Register here: https://lnkd.in/gm7qSfEk to join Jonathan Ng, head of investments at Reach Alternative Investments for insights into the world of private credit, and discover the difference between Global Private Credit and opportunities generally available in Australia.

Our team recently partnered with a UK-based client to delve into the private debt market, which now boasts $1.6 trillion in AUM globally. This sector's remarkable growth is driven by borrowers' preference for tailored funding solutions and the decreased availability of bank credit. Our research highlighted significant trends, such as North America's longstanding dominance and the exponential rise in direct lending allocations over the past decade. This collaboration has enriched our understanding of the private debt market, enabling us to provide even more strategic advice in this evolving sector. Here are a few insights. #PrivateDebt #Finance #InvestmentBanking #AUM #DirectLending #MarketTrends #StrategicAdvice #FinancialResearch #DebtMarket #InvestmentTrends #ClientPartnership #FinancialServices #PrivateDebtMarket #BusinessFinance #GlobalFinance

🏦 𝗔𝗿𝗲 𝗺𝗮𝗷𝗼𝗿 𝗯𝗮𝗻𝗸𝘀 𝘀𝘁𝗶𝗹𝗹 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗻𝗴 𝗳𝗼𝘀𝘀𝗶𝗹 𝗳𝘂𝗲𝗹? Christopher Caldwell’s analysis uncovers a critical discrepancy in major banks' commitments to halt new oil and gas funding. Despite high-profile announcements from banks like HSBC and Barclays, a closer examination reveals they only restrict direct project financing. This leaves a backdoor open for other extensive financial supports such as equity arrangements and general corporate loans. For a deeper dive into how banks are navigating their climate pledges versus their actions, check out the full analysis on illuminem Voices: https://lnkd.in/e4fH5wpP #Sustainability #FossilFuelDivestment #Banking #GreenFinance

The worst banks in the UK. The latest Banking on Climate Chaos report is out. And there are some shocking results. 1/ Barclays increased its investments in fossil fuels last year. And that’s after announcing their policy to stop investing in new fossil fuel projects. Is this not the epitome of greenwashing? 2/ Santander increased funding for fossil fuels by 77%. In fact, Santander put more into oil & gas in 2023 than in any other year since the Paris Agreement (2016). 3/ HSBC has been steadily decreasing its investment in fossil fuels. From a peak of $32bn to a low of $12bn last year. This is good progress. But they need to get this to $0 at a far quicker pace. Time to ditch the dirty banks.

Interesting takeaway from Wells 'Q1 Investor Presentation. Wells has an 11% reserve on its Corporate and Investment Banking (CIB), 2.1% on all other CRE Office, and 1.2% on all other CRE. I suspect the CIB Corporate and Investment Banking is comprised of larger, CBD office buildings than its other group. This is another example of recourse borrowers behaving better (or more strategically), depending on your point of view.