Investment Banking?

Posted by admin on October 25th, 2011

You are currently browsing comments. If you would like to return to the full story, you can read the full entry here: “Investment Banking?”.

Posted in Finance Tags: Banking, investment

« Tax Preparation Las Vegas – Save Money Now

insurance??????? »

Both comments and pings are currently closed.

One Response to “Investment Banking?”

1. blue.financer says:

   October 25, 2011 at 12:27 pm

   An Investment Bank is exactly what you defined. It is a place where professionals connect those who need capital to those who have it.

   IBD refers to the capital raising side of the bank, typically engaging in the financing of IPOs (through underwriting), debt offerings, and M&A advisory work.

   -Underwriting requires the bank to buy all of the issued shares of the client, which are then either held by the firm as an asset, or more typically, sold to institutional investors (mutual funds and pensions funds) or other banks (who typically trade them)

   The trading of securities is handled by the bank’s sales/trading professionals who have representatives on the floor of the major exchanges.

   Managing a [high-net worth] client’s portfolio is referred to as private wealth management.

   Managing a portfolio of investment managers is referred to as asset managment.