Banking and Capital Markets Financial Benchmarking

Gauge provides an objective benchmark to compare an organization against its closest peers at a level that provides actionable results. We take revenue, expenses, and headcount by location and compare performance against peers at a granular business level, allowing firms to allocate resources in the most efficient and productive way possible.

Global, Focused Expertise

Gauge has a demonstrated track record of delivering significant value to the world's leading financial institutions, including the top bulge bracket investment banks, by drawing out the key points and conclusions, then working with clients to interpret and take action on the results.

Our reports include headcount and location strategy development, performance dashboards, and gap and opportunity analyses.

Quantitative Measures for Decision Making

Our Gauge service provides quantitative measures that matter and insights needed for decision making. We provide the market intelligence, data, and insights to assess the likely impact of a range of issues.

  • Business Planning: How big / concentrated is the market and which client / product segments are critical drivers of results? Are our targets appropriate given the current franchise and how do we accelerate progress toward our goals? What are the costs and resources necessary to build out a new market / product?
  • Market Position and Competitive Landscape: How is our business positioned within the competitive landscape for revenues, costs, capital, and heads? What are the gaps and opportunities in the market overall and by segment given our business mix? How does our current operating model compare with peers? How do we scale / model the impact of a change to heads, costs, or revenue?
  • Business Mix: How does our revenue mix by product and type impact results relative to peers? Is our staffing mix / geographic footprint optimized for productivity? What is the impact of current coverage model on costs and productivity, by product?
  • Productivity: How productive / profitable are we on a per banker basis versus our peers? Are our resources and capital allocated to the best client revenue opportunities? How can we improve capital and operational productivity?
  • Performance and Reward: What are our competitors earning and spending on a per capita basis across product lines? How is banker pay aligned to performance? What is our ratio of compensation to revenue / profit to market? How should our compensation strategy be structured to reflect market practice, while being internally aligned?

Our Methodology

We use data taken directly from the general ledger and map it into a standard structure to ensure an apples-to-apples comparison. This objectivity and unique process ensures that our clients can garner value and key market insight that will help shape the budgeting and planning process and ultimately flow through to enhancing the bottom line.

Some of the key performance indicators and statistics that we provide our clients include:

  • Cost by Detailed Expense Line: Compensation & Non-Compensation
  • Cost of Support and Scaling Metrics
  • Location Strategy and Trends / Cost
  • Outsourcing
  • Payout Ratios
  • Revenue and Productivity Analysis
  • Staffing Levels and Grade Pyramid
  • Trends