search   Knowledge Bank printable version
 News
 Knowledge Bank
 Deal Information
 International
 Software
 Publications
 Industry Events
 Advocacy Forums
 Links
 Site Utilities
 Contributors
 Free Offers
 Home

Click here to
Update Registration
Information

Please be advised that the use of Securitization.net ®
is subject to the
Terms & Conditions

of use and the
Privacy Policy

Download

Best viewed in

Knowledge Bank > Financial > General
Select an area


FREE Three-week trial of Asset-Backed Alert's newsletter

Rivals Close Gap, But Lehman Keeps Lead
Asset Backed Alert, Harrison Scott Publications Inc. (December 22, 2006)

Lehman Brothers has nailed down its second straight victory as the world's most active underwriter of securitized products, but with its smallest market share in years.

Heading into the final weeks of 2006, the bank has run the books on around $195 billion of asset-backed securities, collateralized debt obligations and residential and commercial mortgage bonds around the world. That works out to a 7.6% share of the $2.5 trillion of deals that have priced this year, according to preliminary figures from Asset-Backed Alert's ABS Database.

When it won the same contest in 2005, Lehman laid claim to 8.3% of all bookrunning mandates. Even in 2004, when it finished a narrow second to Bear Stearns, the bank controlled 8.4% of the market. The same held true in 2003, when its 8.6% piece of the pie was good for second place behind Credit Suisse.

The slide comes partly because increases in Lehman's own bookrunning volume have come slower than overall growth in the market, which figures to total more than 15% this year. Some of that action has trickled down beyond the top-10 underwriters, but a nice chunk also went to three of Lehman's top rivals: Citigroup, Deutsche Bank and Royal Bank of Scotland. Those banks were able to post far larger underwriting-volume gains, in overall dollar terms, than Lehman.

Citi and Deutsche lead those players, each with about $190 billion of league-table credit, and each with a 7.4% slice of the business. A year ago, Citi was in sixth place with a 6.7% market share. Deutsche was barely ahead in the number-five position, at 6.8%.

Royal Bank of Scotland and its Greenwich Capital affiliate, meanwhile, have sealed up fourth place for 2006. While that's actually a step backward from the bank's third-place standing a year ago, it reflects a slight increase in its market share, now around 7%.

For Lehman's part, it can be difficult for banks with such huge underwriting volumes to post massive year-over-year jumps in their business, in percentage terms.
Credit Suisse is in fifth place, down from fourth at yearend 2005.
Asset-Backed Alert will publish its final yearend rankings on Jan. 12.

 

 

© Copyright 2014. The Mayer Brown Practices. All rights reserved.

Mayer Brown is a global legal services provider comprising legal practices that are separate entities (the “Mayer Brown Practices”). The Mayer Brown Practices are: Mayer Brown LLP and Mayer Brown Europe – Brussels LLP, both limited liability partnerships established in Illinois USA; Mayer Brown International LLP, a limited liability partnership incorporated in England and Wales (authorized and regulated by the Solicitors Regulation Authority and registered in England and Wales number OC 303359); Mayer Brown, a SELAS established in France; Mayer Brown JSM, a Hong Kong partnership and its associated entities in Asia; and Tauil & Chequer Advogados, a Brazilian law partnership with which Mayer Brown is associated. “Mayer Brown” and the Mayer Brown logo are the trademarks of the Mayer Brown Practices in their respective jurisdictions.

Legal Notices | Attorney Advertising | Site Index | Contact Webmaster

*The site links listed on this web site are for reference use only.
The firm does not necessarily sponsor, endorse or verify the accuracy of the content contained in any of these sites.