European banks are gaining new ground as global companies distance themselves from top US investment banks. As President Donald Trump intensifies his trade rhetoric against European partners, corporate clients across the continent are diversifying their financial relationships. This shift is giving major European banks a golden opportunity to win new mandates and strengthen their presence in capital markets. Many firms now see European lenders as more reliable and better suited for the evolving global climate.
Corporates Turn to Local Champions
Several firms in Europe have started shifting their banking ties away from Wall Street giants. They increasingly prefer working with homegrown players like BNP Paribas, Deutsche Bank, and Rothschild. According to Edmond de Rothschild’s corporate finance head Arnaud Petit, many clients now seek advice from European or French banks, especially for financing and M&A transactions. These shifts reflect a growing perception that regional players are better aligned with European corporate goals in today’s fragmented world.
Wall Street Feels the Heat
Data compiled by Bloomberg reveals a steady decline in US banks’ involvement in European deals. So far in 2025, nearly 50% of euro bond deals from non-US firms excluded the five biggest American banks. That marks a 5-point increase from last year. The decline is more severe for sterling bond deals. In 2024, Wall Street banks were left out of 47% of deals. This year, they’ve been excluded from 64%.
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Deutsche Bank CEO Christian Sewing confirmed the shift. He said the bank sees more daily wins through new client proposals and RFPs. UBS chief Sergio Ermotti also acknowledged the trend, citing their readiness to offer competitive advisory services.
Clients Seek Stability and Specialized Advice
The momentum had already begun before Trump’s tariff policies intensified. By April, JPMorgan CEO Jamie Dimon admitted that the bank lost several bond deals due to rising trade uncertainties. He blamed the tariffs for building resentment and damaging US reputation globally.
More recently, Zurich-based insurer Chubb issued an offshore yuan bond with Standard Chartered Plc. The bank secured the mandate because Chubb preferred “regional champions” who offer market-specific insights. Standard Chartered’s CFO Diego de Giorgi said clients increasingly value niche expertise over global dominance.
