Subtle shifts in how the largest investment banks structure their worldwide reach may say more about wealth accumulation in the developing world, than faulty business strategies. We took note of industry news that Credit Suisse is scaling back its equity-related activities in both Johannesburg and Dubai. Cyclical issues aside, the firm—and others—is being impacted by a major shift in how cross-border investors implement local-market and regional strategies. Institutional clients increasingly favor home-grown investment banks over the international heavyweights; the local firms offer a robust mix of aggressive fees and world-class execution. The irony here is that the big players often refer to burgeoning emerging-market affluence in support of their own business. Yet that very trend is now taking them out of the game. ■
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