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Companies are raising more than $ 12tn a year in the blockbuster market in major global markets

Companies raised $ 12.1tn in 2021 by selling stocks, lending and borrowing new loans, such as the central bank stimulus stream and the rapid recovery of the epidemic boosted many global markets.

Just a few days before the end of the year, lending has already risen nearly 17 percent since 2020, which was a year, with nearly a quarter of what happened in 2019 before the coronavirus crisis, according to a study by the Financial Times. on Refinitiv data.

The risk of money laundering proves the same financial hardship are located in many parts of the world, especially in the US, where more than $ 5tn has been raised.

“It’s been a very difficult year,” said Chris Blum, a BNP Paribas banker who helps raise funds for the purchase. “We expect it to continue until next year. Every year you think the markets will go down for a lot of reasons but remain strong.”

Gargantuan funds raised as companies such as Rivian electric car manufacturers and South Korean ecommerce business Coupang went public.

Most of the 10 and 11 bills were signed, plus some to help Discovery integration and AT&T’s WarnerMedia unit and freight forwarder Capture of the Canadian Pacific of the Kansas City Southern competition. And investors in the US $ 10tn market have made a lot of money after the deal.

Bond-buying programs established by central banks including the Federal Reserve and the European Central Bank during the Great Depression have helped raise lending rates to a much lower level. Combined with more money operating in the economy, the environment was ideal for companies to invest in new currencies and lenders, banks said.

As high-end corporate sales in Europe and the US – many blue-chip groups increased their profits by 2020 – an increase in low-income companies means total sales are down by 3 percent to $ 5.5 tn.

This was reinforced by major secret events, as shopping malls such as KKR, Blackstone and Apollo borrowed through mortgage markets to pay off purchases worth $ 1.1tn this year.

Year in debt and credit markets

$ 10tn

The US business market in 2021 was expanded for the first time


Number of corporate bond sales of more than $ 10bn completed this year

$ 41.5 billion

Credit unions have signed up to support the merger of WarnerMedia and Discovery

Retail sales rose 17 percent from last year to less than $ 650bn, while new mortgage lending – lending to more debtors – doubled to $ 614bn, according to Refinitiv and S&P Global’s Leveraged Commentary & Data service.

“Whether you think accounting has gone up or not, the reality is that there is a lot of money on the machine and the spirits of the animals in conjunction with the consumer market are alive,” said Kevin Foley, chief executive of JPMorgan Chase who is accused of writing information. corporate alliance than anyone else in the world, according to the Bloomberg league tables.

Global interest rates have dropped dramatically in 2020, driven by the number of items people first offered in each major market. Total disbursements hit $ 1.44tn, up 24 percent a year.

Chart of Payments for International Monetary Funds ($ bn) shows that Wall Street has benefited the most from the monetary bonanza.

In the US in particular, the number of IPOs almost doubles compared to what already existed in 2020, with corporate startups such as chipmaker. GlobalFoundries, app dating Bomb and Nubank, a Brazilian financial analyst that considers Warren Buffett and Tencent as investors.

“We have not just broken history, we have broken history,” said Jim Cooney, head of American financial markets at Bank of America. “It wasn’t even close.”

Despite the strong growth and strong growth in the major stock market, however, many floating companies where they did very well have written off. The Renaissance IPO index, which follows recent US trends, fell by 8 percent this year, the worst performance of the S&P 500 since its inception in 2009.

Year in equity capital markets

$ 1.4tn

Records obtained through equity trades

$ 13.7 billion

How Rivian was promoted in the 2021 largest IPO

$ 162 billion

All the money that Spacs has earned around the world

For the first time, more money was made by private equity firms in the US than in old IPOs. Output has been steadily declining since the first quarter, but a number of non-check companies – who earn money from investors and then look for a company to buy – have come to market in the last months of the year, raising collectively more than $ 152bn. this year.

Brad Miller, head of major US markets at UBS, said the Spac market “would not be surprising”. As a result, he added, there were “many companies looking for M&A opportunities”.

More than 550 Spacs are currently looking for a target, according to Dealogic, and about 200 have a deadline to find one before the end of 2022. Their successes or failures will help determine whether Spac events continue or fade into niche products. it was before 2020.

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