| PARIS, July 24
PARIS, July 24 Rothschild, the independent
investment bank, has posted a fall in annual advisory income,
showing that the 250-year-old banking group is not immune from a
dealmaking slowdown due to the euro zone crisis and global
Annual advisory income stood at 768.1 million euros ($930.70
million) for the year ending in March, a drop of 9 percent,
according to results posted by Rothschild holding company Paris
Orleans. It said staff costs fell 4.5 percent and that
it was targeting 25 million euros in annual savings from
end-March 2013 at its core investment-bank division.
Rothschild's primary focus on corporate finance and M&A
advice has helped the group avoid many of the problems faced by
its bigger rivals in investment banking, which are having to cut
costs and jobs.
Rothschild enjoys a top-three M&A ranking in the core euro
zone countries of France and Germany in the year to date. On a
worldwide basis, Rothschild holds an 11th-place ranking in terms
of deal value and is ranked number 10 by imputed fees, according
to estimates from Thomson Reuters/Freeman Consulting.
The bank's belt-tightening is a sign that even the most
established names in finance are having to adapt to tougher
global financial regulation and euro-zone turmoil.
Rothschild is also restructuring by fully merging its
operations in France and Britain to bolster its finances.
Asked whether the bank might cut jobs, a spokesman declined
($1 = 0.8253 euros)
(Editing by Jane Merriman)