Why the Themes GSIB Banks ETF is Outperforming in 2026

The Themes Global Systemically Important Banks ETF (GSIB) has performed well in 2026. As of July 27, the ETF had registered a year-to-date price gain of 21%¹ – a return well above that of the broader market.

In this article, we are going to look at the key drivers of this outperformance. From soaring investment banking fees to shifting market dynamics, here’s what’s pushing bank stocks, and the GSIB ETF, higher in 2026.

Multiple Growth Drivers in 2026

The GSIB ETF provides exposure to 28 large-scale “systemically important” banks. And for these types of companies – which are typically highly diversified in terms of their operations – the backdrop has been favorable in 2026.

One major source of revenue for these institutions has been investment banking fees. These have soared as a result of IPO activity, equity and debt raisings in the artificial intelligence space, and M&A activity.

Zooming in on the “Big Six” US banks, these firms delivered an average year-over-year increase of nearly 50%² in their investment banking fees in Q2. Overall, fees amounted to around $14 billion².

Outside the US, investment banking revenues have seen growth too. European banks have experienced an increase in activity, driven by a pickup in cross-border M&A and debt issuance while Asian banks have also prospered, supported by a revival in equity capital markets and regional deals.

A second standout area for global banks in 2026 has been equities trading. Here, volatile markets, index rebalancing, and strong client engagement have led to a surge in revenues.

In Q2, the Big Six US banks delivered an average 48%² increase in their equities trading revenues. Globally, Q2 equities trading revenues rose 71% year-over-year to near-record levels, according to Fitch Ratings³.

Additionally, wealth management revenues have fueled growth for the big banks. With major stock market indexes hitting new all-time highs, assets under management have climbed.

In Q2, one major US bank saw its wealth management revenue rise 19% year-over-year to $6.9 billion⁴. Another saw its wealth management revenue jump 14% to $8.9 billion⁵.

As for the lending market, 2026 has been defined by resilience in both the corporate credit and consumer markets. While elevated borrowing costs and geopolitical uncertainty have weighed on sentiment, loan portfolios have generally expanded.

Note that in Q2, many banks reported solid year-over-year increases in net interest income. So overall, banks have had many different sources of revenue in 2026.

Market Forces Supporting the GSIB Bank ETF

Looking beyond the underlying performances of the big banks, a range of market forces have contributed to the gains generated by the GSIB ETF in 2026. A broadening out of the market has been one such force.

Following a strong rally in tech stocks, investors have increasingly been deploying capital into other sectors to reduce portfolio risk. The banking sector has emerged as a primary beneficiary of this rotation.

Note that this hasn’t just been a US market phenomenon. On the global stage, many international bank stocks have delivered strong relative gains as investors have spotted the opportunity.

Like US banks, international banks are performing well in 2026. In Japan, institutions continue to benefit from the BoJ’s policy normalization while in Hong Kong, firms are capitalizing on attractive net interest spreads and expanding cross-border wealth management channels across the Asia-Pacific region.

Another factor has been the growing focus on value and income. Today, many banks are trading at very reasonable valuations, well below market averages.

Meanwhile, many offer attractive dividend yields and are engaged in significant stock buyback programs. These shareholder returns can act as a stabilizer during periods of broader equity volatility.

Investors may also be realizing that large-scale banks are becoming more tech-focused. After years of experimenting with AI technology, many institutions are now seeing significant benefits across areas such as research, risk management, fraud detection, and customer service.

One major US bank, for example, has been aggressively rolling out proprietary generative AI tools to thousands of employees for research, operations, and coding⁶. Another has an AI-powered virtual assistant that has already exceeded three billion client interactions⁷.

Capturing the Opportunity in Bank Stocks

In conclusion, the strong performance of the Themes Global Systemically Important Banks ETF in 2026 is no accident – it’s the result of a powerful combination of fundamental operational strength and favorable market dynamics.

At present, large-cap banks are firing on all cylinders, with investment banking, equities trading, wealth management, and lending activity leading to record revenues. Meanwhile, broader market forces – including sector rotation out of mega-cap tech and the search for value and income – have drawn in investor capital.

For investors seeking globally diversified exposure to the world’s most important financial institutions, the GSIB ETF has proven to be a standout vehicle for capturing the opportunity in 2026.

Footnotes:

¹Google Finance, as of July 27, 2026

²Themes ETFs analysis, data from JP Morgan, Morgan Stanley, Citi, Bank of America, Wells Fargo, Goldman Sachs, as of July 17, 2026

³FitchRatings, U.S. Banks Post Strong 2Q26 Results on Capital Markets Strength, as of July 22, 2026

⁴JPMorgan Chase & Co., 2Q26 Earnings Press Release, as of July 14, 2026

⁵Morgan Stanley, Morgan Stanley Second Quarter 2026 Earnings Results, as of July 15, 2026

⁶CNBC, JPMorgan Chase is giving its employees an AI assistant powered by ChatGPT maker OpenAI, as of August 9, 2026

⁷Bank of America, A Decade of AI Innovation: BofA’s Virtual Assistant Erica Surpasses 3 Billion Client Interactions, as of August 20, 2025