More than half (55%) of investment banks and advisory firms expect increased cost pressure this year compared to 2022, according to Acuity Knowledge Partners.
Despite this, investment banks and advisory firms are cautiously optimistic that markets will modestly revive through the second half of 2023, despite the current economic uncertainty.
Acuity's research was conducted among 75 senior executives that represent 65 boutique advisory firms, mid-market investment banks, corporate and investment banks, and independent advisory firms worldwide. Out of these firms, 40% have headquarters in Europe, including the UK.
The findings also revealed that 58% of the senior executives of leading investment banks and advisory firms surveyed expect only a mild dip in business opportunities.
Additionally, 70%+ forecast that their firms' revenue will marginally increase or remain flat over the next 12 months.
