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Investment Banking

Why European banks must compete on Wall Street

Without an American presence, the banks will also be less relevant at home

The trappings of success in the US are too lucrative for European banks to give up
The trappings of success in the US are too lucrative for European banks to give up Photo: iStockPhoto

European pop stars rarely make it big in America—but they must try because the commercial rewards are vastly greater than anywhere else.

It is the same for investment banks. US capital markets remain the biggest, deepest and most lucrative in the world. A good base there is a huge boost not only to a European bank's top line, but also its ability to convince clients back home that it can do deals wherever they want to go.

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