JPMorgan has expanded its investment banking team in India
Mumbai:
India could be among the three fastest-growing markets in the Asia-Pacific region for JPMorgan next year, alongside Australia and Japan, a top Wall Street bank official said.
“People are starting to get excited about all of China plus one element, and while other countries have benefited from this, India could be the biggest beneficiary,” JPMorgan Asia Pacific CEO Filippo Gori told Reuters, referring to a strategy for companies diversifying supply chains. beyond China.
This is because India has the scale to take over part of the supply chain that many companies around the world are looking to move, he said in an interview in Mumbai.
Global companies such as Apple Inc have ramped up production from India, while others such as Tesla are in talks to start production in the country.
Asia’s third-largest economy will grow by 6.5 percent in the financial year ending March 31, 2024 – the fastest of any major economy – as it seeks to attract global companies, including by offering tax and other incentives.
“It seems to me that the only part that is missing (in India) is a better organized infrastructure, which is more dispersed and less uniform than in China,” says Filippo Gori, who sees lower-end manufacturing disappearing from China, but not in the higher segment. -not ending production yet.
Transaction volume for JPMorgan, across M&A, equity and debt fundraising, has been weak across the region this year, and India was no exception despite the excitement.
“But the level at which research and activity is increasing in India is substantial,” said Filippo Gori.
JPMorgan has expanded its investment banking team in India with the addition of two senior managing directors in the past twelve months. Over the past five years, it has also expanded its commercial banking division, which focuses on mid-market companies.
In addition, it has expanded its corporate center business, which deals with offshoring-related work, to a workforce of 50,000 today, up from 35,000 in 2018.
Commenting on the impact of the slowdown in China and developments in Chinese markets, Gori said the bank has not yet seen a sharp slowdown in business volumes in the market.
“I think we have to distinguish between the headlines and the day-to-day, because China has actually been exceptionally resilient.”
The bank’s main client base consists of international companies operating offshore in China and those activities are not affected by geopolitics, Gori said.
“I wouldn’t rule out activity coming from China because it’s clear that with an economy undergoing restructuring, there could be some dealmaking activity.”
(Except for the headline, this story has not been edited by DailyExpertNews staff and is published from a syndicated feed.)
