Credit Suisse First Boston (CSFB) predicts the brightest spot in investment banking this year will be a 10% rise in M&A fees on the back of an increase in buy-out activity.

Marc Rubinstein, a banking analyst at CSFB, said in the bank's European Wholesale Banks Outlook for 2003: "Private buy-out firms are taking advantage of market dislocations and valuations at a time when many potential trade buyers are sidelined by internal issues and/or capital constraints. We believe this could represent a precursor for corporate-driven M&A."