Listings boom, trading frenzy fuel record 2020 for investment banks

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A surge in blank-cheque investment vehicle fundraising and frantic pandemic-related trading in 2020 boosted investment banks' income by a record 28% from the year before, a report showed on Friday.

LONDON - A surge in blank-cheque investment vehicle fundraising and frantic pandemic-related trading in 2020 boosted investment banks’ income by a record 28% from the year before, a report showed on Friday.

The trading bonanza showed how Wall Street and European banks benefited as the COVID-19 pandemic sparked global government and central bank action, upending asset prices and sending investors scrambling for safe havens. Fixed income, currency and commodities income rose 41% year-on-year, the Coalition report said, with commodities revenues hitting record levels as investors sought safe havens in precious metals and as oil prices surged later in the year.

 

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