- FTSE, DAX, CAC Seen Lower, Greek Deal Delayed
- The Secret Lives of Traders—Seeking the Next Hot Thing
- FBI Investigated Steve Jobs Drug Use
- China January Trade Surplus Soars as Imports Crumble
- Strip Greenspan of His Knighthood: SocGen Strategist
- Markets Finally Get Greek Deal —So Where's the Rally?
- Get All the Latest Out of Europe Here
- Warren Buffett: Stocks Will Outperform Gold and Bonds
- Apple Hits Another All-Time High
- New York Fashion Week Hits the Runway as Colors Pop
- Mulling Buffett's Stock Advice? Get in With REITs: Fund Managers
- LinkedIn Earnings Bode Well for Hiring and Social Media
- Top Five Mistakes to Avoid in Online Dating
- Victor Cruz ‘Understands’ Gisele's Super Bowl Frustrations
- Tamminen: The United States of India
- Unusual Volume: Taleo Jumps After Oracle's $1.9 Billion Offer
- Warren Buffett: Stocks Will Outperform Gold and Bonds .. and They're Safer 'By Far'
- So Now You Can’t Give Microsoft Away?
MOST SHARED
- Tesla Unveils First SUV: Model X
- China January Trade Surplus Soars as Imports Crumble
- Sony's Hirai to Extend PlayStation Strategy, Cut Costs
- China City Raises Cash Subsidies for Home Buyers
- India's Tata Steel Posts First Quarterly Loss in 2 Years
- Lightning Round: Yahoo!, CEC Entertainment, Standard Pacific and More
- Jobs You Can Do Forever
- Steelers' Antonio Brown Spends Super Bowl Week with Twitter Fan Turned BFF
- Alibaba Group Plans to Take Hong Kong Unit Private: Report
- How to Date a Wall Street Man
MOST POPULAR
HOT ON FACEBOOK
Goldman Sachs and JPMorgan Chase Roar Ahead
Text Size 
The trading operations of Goldman Sachs and JPMorgan Chase made money every single business day in the first quarter, a feat that was a first for the companies and underlines the boom in Wall Street’s investment banking revenues.
 |
Getty Images |
Goldman’s [GS
Loading...
()
] trading desk recorded a profit of at least $25 million (£16.8 million) on each of the quarter’s 63 working days, making more than $100 million a day on 35 occasions, according to a regulatory filing issued on Monday.
The result, following a series of regulatory probes into Goldman’s trading activities, could fuel criticism of its business model and market behavior.
 |
However, JPMorgan [JPM
Loading...
()
] also achieved a loss-free quarter in its trading unit — making an average of $118 million a day, nearly $5 million an hour — as it built on the gains made during the financial crisis when rivals faltered or failed.
Goldman’s executives said the trading performance had been due to its robust risk management and booming markets.
The 14 largest global investment banks reported $78.8 billion first-quarter revenues, their best numbers in three years and just 1 percent shy of the record.
Analysts said the resurgence might give ammunition to politicians who want to impose a global banking tax and could strengthen the hand of regulators seeking to force banks to hold more capital and liquid assets against future problems.
“At a time when many individuals are still having to tighten their belts... this increases the attractions of forcing the banks to carry a higher share of the burden,” said Richard Reid, research director at the International Centre for Financial Regulation.
Goldman, which is already facing civil fraud charges from U.S. regulators over a mortgage-backed security, could also face particular calls to rein in its operations.
Morgan Stanley analysts found that Goldman had continued to lead the pack in revenue overall in the first quarter as industry leader in equities and in fixed income, currencies and commodities (FICC).
JPMorgan was top for advisory investment banking work, while UBS and Bank of America [BAC
Loading...
()
] also made strong gains.
The composition of bank revenues has changed significantly since 17 global investment banks set the peak of $80 billion in the first quarter of 2007.
FICC revenues now account for 61 percent of investment banking revenues globally, compared with about half before the crisis.
FICC division revenues rose by 7 percent year on year to $49 billion for the 14 global banks.
The first quarter is traditionally the strongest for investment banks, providing up to one-third of annual profits.
- Many have called to abolish the Federal Reserve. But what would happen if it was dissolved for good?
- Entrepreneurs have increasingly been buying back their companies over the last three years.
- Where are the best city locations for singles to take the online dating plunge?
- A Steelers fan spent a week with wide receiver Antonio Brown- and it was all due to tweeting.
- Here’s a look at the woman behind the newest collectible toy that kids love.
- Grab a brew—or not—and click ahead to experience the world’s most highly rated beers.
Data is a real-time snapshot *Data is delayed at least 15 minutes
