Small is bountiful

By:
Peter Koh
Published on:

In 2004 equity deals for smaller companies were much more lucrative for investment banks than large block trades, which were often disasters from a profit point of view. Heavy competition for deals, with league table positions strongly in mind, helped kept discounts tight. In volatile markets, banks proved willing to cut their own throats in pursuit of ill-paid privatization transactions. Peter Koh reports