JPMorgan executives say they are increasingly confident about delivering more initial public offerings (IPOs) and mergers and acquisitions (M&A) this year, pointing to a strong pipeline and improving market conditions.
The bank’s investment banking activity has accelerated meaningfully, following a sharp rebound in global dealmaking momentum over the past year.
Deal Pipeline Described as “Very Robust”
According to Matthieu Wiltz, JPMorgan’s pipeline for both IPOs and M&A is “very robust,” reflecting renewed corporate confidence and sustained investor demand.
Equity capital markets activity has picked up notably, with issuers taking advantage of supportive valuations, improved market stability, and a stronger appetite for risk among investors.
Global M&A Volumes Rebound Sharply
The optimism is backed by data showing that global M&A volumes surged 41% year-over-year in 2025, marking a significant recovery from prior-year slowdowns. JPMorgan executives see this momentum continuing as companies pursue strategic transactions amid favorable financing and liquidity conditions.
Macro and Structural Tailwinds
JPMorgan attributes the improved outlook to several reinforcing factors, including a resilient global economy, strong corporate earnings, and a build-up of liquidity seeking productive deployment.
Expectations that major central banks are nearing the end of their easing cycles have also improved visibility for dealmakers. In parallel, the AI supercycle is emerging as a major catalyst, driving record capital expenditures and rapid earnings expansion across multiple industries.
Cautious Optimism Remains
Despite the constructive backdrop, JPMorgan is maintaining a disciplined approach. Executives noted heightened caution around private market risks, emphasizing that the bank has, in some cases, declined transactions where adequate covenants or protections were not in place.
This more selective stance reflects lessons learned from recent market cycles and a focus on preserving deal quality over volume.
Sector Focus for M&A Activity
Looking ahead, JPMorgan expects M&A activity to concentrate on de-conglomeration strategies and buy-and-build models, with particular interest in sectors tied to long-term structural growth.
Key areas of focus include artificial intelligence, infrastructure, cooling technologies, and power supply, all of which are benefiting from rising investment needs and technological transformation.
Overall, JPMorgan’s outlook suggests a constructive but disciplined environment for dealmaking, with momentum building across IPOs and M&A as market confidence continues to improve.
