If the award for best short-term debt house was given on the basis of strength in the ECP and EMTN market, Deutsche Bank would come out top, although in Europe, Citigroup gives Deutsche a run for its money. But Deutsche does not have the same dominance in the far larger US money markets, or the global strength in origination and trading and reputation for product innovation that Goldman Sachs has.
The fact that the bank has over $200 billion outstanding in the CP market globally, despite the contraction of the USCP market in 2002 and 2003, where it is the top- ranked dealer and arranger, is testament to the bank's global might. But as members of the Goldman team are quick to point out, CP is now only one part of the short-term debt story, which they now define as CP, MTNs or more structured products of three years' maturity and under. "The question is how can I put a platform in place that gives me the issuer the broadest access to investors globally?" says John Delaney, head of European money markets.
The two-tranche deal Goldman sole lead managed for BP Capital in February is a good example of the broader scope of short-term debt products.