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INVESTMENT BANKING
Page 1
CHAPTER 1
INTRODUCTION
Investment banking is a particular form of banking which finances capital
requirements of an enterprise. Investment banking assists as it performs IPOs, private
placement and bond offerings, acts as broker and carries through mergers and
acquisitions. Investment banking is a field of banking that aids companies in
acquiring funds. In addition to the acquisition of new funds, investment banking also
offers advice for a wide range of transactions a company might engage in.
Traditionally, banks either engaged in commercial banking or investment
banking. In commercial banking, the institution collects deposits from clients and
gives direct loans to businesses and individuals.
Through investment banking, an institution generates funds in two different
ways. They may draw on public funds through the capital market by selling stock in
their company, and they may also seek out venture capital or private equity in
exchange for a stake in their company.
An investment banking firm also does a large amount of consulting.
Investment bankers give companies advice on mergers and acquisitions, for example.
They also track the market in order to give advice on when to make public offerings
and how best to manage the business' public assets. Some of the consultative activities
investment banking firms engage in overlap with those of a private brokerage, as they
will often give buy-and-sell advice to the companies they represent.
The line between investment banking and other forms of banking has blurred
in recent years, as deregulation allows banking institutions to take on more and more
sectors. With the advent of mega-banks which operate at a number of levels, many of
the services often associated with investment banking are being made available to
clients who would otherwise be too small to make their business profitable.
At a very macro level, Investment Banking as term suggests, is concerned with
the primary function of assisting the capital market in its function of capital intermediation,
i.e., the movement of financial resources from those who have them (the Investors), to
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those who need to make use of them for generating GDP (the Issuers). Banking and
financial institution on the one hand and the capital market on the other are the two broad
platforms of institutional that investment for capital flows in economy. Therefore, it could
be inferred that investment banks are those institutions that are counterparts of banks in the
capital markets in the function of intermediation in the resource allocation.
DEFINITIONS:
capital,
primarily for established firms. Investment banks generally take an equity stake in
the borrower firm to exercise some influence on its direction and operations. They
also act (often
jointly)
as financial
new securities.
INVESTOPEDIA EXPLAINS 'INVESTMENT BANK - IB'
The advisory divisions of investment banks are paid a fee for their services,
while the trading divisions experience profit or loss based on their market
performance. Professionals who work for investment banks may have careers as
financial advisers, traders or salespeople. An investment banker career can be very
lucrative, but it typically comes with long hours and significant stress.
Because investment banks have external clients but also trade their own accounts, a
conflict of interest can occur if the advisory and trading divisions dont maintain their
independence (called the Chinese Wall). Investment banks clients include
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CHAPTER 1.1
BASICS OF INVESTMENT BANKING
The banking sector is one of the biggest contributors to anRation's
economy, provided it is managed in an innovative and professional
environment. Investment banking is one rapidly growing form of
banking.
An investment bank is a type of financial intermediary that performs a variety
of functions such as underwriting, facilitating mergers and acquisitions or brokerage
services for institutions. The work of an investment bank begins right from the
counseling before the underwriting sessions, and stretches right till the securities are
properly handled and distributed. Investment banks play a very crucial role in market
transactions on behalf of, or for private and public investors, government and
corporations. There are a number of investment banks that also provide highly
professional services in assisting their clients with industrial know-how on various
parameters.
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CHAPTER 1.2
FUNCTIONS OF INVESTMENT BANKING
Investment banks have multilateral functions to perform. Some of the most
important functions of investment banking can be jot down as follows:
1. Investment banking help public and private corporations in issuing securities
in the primary market, guarantee by standby underwriting or best efforts
selling and foreign exchange management. Other services include acting as
intermediaries in trading for clients.
2. Investment banking provides financial advice to investors and serves them by
assisting in purchasing securities, managing financial assets and trading
securities.
3. Investment banking differs from commercial banking in the sense that they
don't accept deposits and grant retail loans. However the dividing line between
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the two fraternal twins has become flimsy with loans and securities becoming
almost substitutable ways of raising funds.
4. Small firms providing services of investment banking are called boutiques.
These mainly specialize in bond trading, advising for mergers and
acquisitions, providing technical analysis or program trading.
CHAPTER 1.3
CORE INVESTMENT BANKING ACTIVITIES
Front Office:
Investment banking is the traditional aspect of the investment banks which
also involves helping customers raise funds in the capital markets and giving
advice on M&A's aka mergers and acquisitions. Investment banking may
involve subscribing investors to a security issuance, coordinating with bidders,
or negotiating with a merger target. Another term for the investment banking
division is corporate finance, and its advisory group is often termed mergers
and acquisitions (M&A). The investment banking division (IBD) is generally
divided into industry coverage and product coverage groups. Industry
coverage groups focus on a specific industry such as healthcare, industrials, or
technology, and maintain relationships with corporations within the industry to
bring in business for a bank.
Sales and trading: On behalf of the bank and its clients, the primary function
of a large investment bank is buying and selling products. In market making,
traders will buy and sell financial products with the goal of making an
incremental amount of money on each trade. Sales is the term for the
investment banks sales force, whose primary job is to call on institutional and
high-net-worth investors to suggest trading ideas and take orders. Strategists
advise external as well as internal clients on the strategies that can be adopted
in various markets. Ranging from derivatives to specific industries, strategists
place companies and industries in a quantitative framework with full
consideration of the macroeconomic scene. This strategy often affects the way
the firm will operate in the market, the direction it would like to take in terms
of its proprietary and flow positions, the suggestions salespersons give to
clients, as well as the way structures create new products.
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Research is the division which reviews companies and writes reports about
their prospects, often with "buy" or "sell" ratings. While the research division
may or may not generate revenue, its resources are used to assist traders in
trading, the sales force in suggesting ideas to customers, and investment
bankers by covering their clients. Research also serves outside clients with
investment advice in the hopes that these clients will execute suggested trade
ideas through the Sales & Trading division of the bank, thereby bringing in
revenue for the firm. There is a potential conflict of interest between the
investment bank and its analysis in that published analysis can affect the
profits of the bank.
Other businesses that an investment bank may be involved in:
Global transaction banking is the division which provides cash
management, custody services, lending, and securities brokerage services
to institutions. Prime brokerage with hedge funds has been an especially
profitable business.
Investment management is the professional management of various
securities (shares, bonds, etc.) and other assets (e.g. real estate), to meet
specified investment goals for the benefit of the investors. Investors may
be institutions (insurance companies, pension funds, corporations etc.) or
private investors (both directly via investment contracts and more
commonly via collective investment schemes e.g. mutual funds). The
investment management division of an investment bank is generally
divided into separate groups, often known as Private Wealth Management
and Private Client Services.
Merchant bankingis a private equity activity of investment banks.
Commercial banking sees article commercial bank.
Middle Office:
Risk management involves analyzing the market and credit risk that
traders are taking onto the balance sheet in conducting their daily trades,
and setting limits on the amount of capital that they are able to trade in
order to prevent 'bad' trades having a detrimental effect to a desk overall.
Another key Middle Office role is to ensure that the above mentioned
economic risks are captured accurately, correctly and on time. In recent
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years the risk of errors has become known as "operational risk" and the
assurance Middle Offices provide now includes measures to address this
risk.
Corporate treasury is responsible for an investment bank's funding,
capital structure management, and liquidity risk monitoring.
Financial control tracks and analyzes the capital flows of the firm; the
Finance division is the principal adviser to senior management on
essential areas such as controlling the firm's global risk exposure and the
profitability and structure of the firm's various businesses.
Corporate strategy, along with risk, treasury, and controllers, often falls
under the finance division as well.
Compliance areas are responsible for an investment bank's daily
operations' compliance with government regulations and internal
regulations. Often also considered a back-office division.
Back Office:
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CHAPTER 1.4
ADVANTAGES OF INVESTMENT BANKING
CHAPTER 1.5
DISADVANTAGES OF INVESTMENT BANKING
(Scams and Frauds)
Conviction of Deutsche Bank, JPMorgan Chase & co. and Depfa Bank Plc by Milan
judge for their role in overseeing fraud by their bankers in the sale ofderivatives to the
City of Milan raised hundreds ofquestions regarding the prevailing governancesystem
in these investment banks in the currentscenario.
Investor related frauds include Letter of Credit Fraud,Prime Bank Note Fraud,
Pyramid Schemes, MarketManipulation or Pump and Dump Fraud. There are
certain techniques where an investor couldbe invited for a seminar, promising an
investment
expert to advice on the management of personalfunds. But, the fact is these seminars
or managementinstitutions make money by charging attendance fees,selling overpriced reports or books and sellingproperty and investments without letting you
getindependent advice. They often make misleading ordeceptive claims or pressure
you to buy intoinvestments that will end up with you losing yourmoney. Share
promotions and hot tips, also known as shareramping, are scams that usually come
in the form ofan email or a message on an internet forum. Themessages usually
encourage the investors to buyshares in a company that they predict is about
toincrease in value. The person offering this advice isusually the fraudulent
advisor.Cold calling is an unexpected or unsolicitedtelephone call offering
investments or financialadvice. The investments they offer usually guaranteehigh
returns or encourage you to invest in overseascompanies. The scams sound
professional and mayhave other resources to support their claims. Coldcallers often
claim to be stock-brokers or portfoliomanagers. Superannuation scams are schemes
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which offer togive you early access to your superannuation (earlyrelease), often
through a self-managed super fund,for a fee.
As per CNBC, published by Reuters:
1. In February, the SEC won a freeze on a Swissaccount linked to suspicious trading
in H.J. Heinz Cocall options before the ketchup maker was boughtby Warren Buffett's
Berkshire Hathaway Inc and Brazilian firm 3G Capital.
2. On 1st July 2013 Scott London, a former seniorpartner with accounting firm
KPMG whose clientsincluded Herbalife Ltd and Skechers USA, pleadedguilty before
a federal judge in Los Angeles to acharge of securities fraud arising from
hisinvolvement in insider trading. Investment banks since time immemorial have
beenaccused of being fraudulent and involved in anti-money laundering cases.But
these frauds, rising YOYhaveleft the investors in trance. What is botheringeveryone is
why these frauds are occurring?
According to David Petterson, a forensic accountantwith the NZ chapter of the
Association of CertifiedFraud Examiners, building a strong team spirit andpublic
praise for staff helps reduce fraud. A stronginternal audit system can lower
opportunity levels.With internet banking on the rise, frauds are just aclick away.
It is possible that the scrupulously honest man maynot grow rich as fast as the
unscrupulous anddishonest one; but the success will be of a truer kind,earned without
fraud or injustice. And even though aman should, for a time be unsuccessful, still he
mustbe honest: better lose all and save character. Forcharacter is itself a fortune...
- Samuel Smiles
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CHAPTER 2
OVERVIEW OF INVESTMENT BANKING AREAS
Corporate Finance :
Raises capital for businesses typically by underwriting stocks and bonds, or other
equity and fixed income securities, and re-selling them in the public markets or as
private placements to large investors.
Mergers &Acquisitions :
Negotiate corporate mergers and acquisitions, advise companies on assessing the
value of their businesses.
Public Finance :
Raises capital for state and local governments, school districts, and other tax-exempt
entities.
Syndicate :
Coordinates efforts of investment banking, sales and trading to move new securities
issues to market.Organizes underwriting and sales syndicates. Prices, sells, and
generates interest in, new securities.
Institutional Sales :
Sell securities and investment recommendations, investment management capabilities,
and services to large investors typically referred to as institutional investors.
Retail Sales :
Sell stocks, bonds, mutual funds and other investments to the general public and small
businesses. Provide investment advice and financial planning services.
Trading :
Specialists are market makers on the floor of a stock exchange required to buy and
sell to maintain fair and orderly markets in the securities they are assigned by the
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exchange. Floor Traders execute buy and sell orders for clients of the firms and
individuals that they work for as agents.
Research :
Equity Researchers review companies and write reports about their prospects, often
with "buy" or "sell" ratings. While the research division generates no revenue, its
resources are used to assist traders in trading, the sales force in suggesting ideas to
customers, and investment bankers by covering their clients.
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CHAPTER 3
INVESTMENT BANKS
CHAPTER 3.1
TYPES OF INVESTMENT BANKS
INVESTMENT BANKS
SELL SIDE
BUY SIDE
There are two major types of investment banks based on their function. This might be
more relevantly referred to as branches of operation in investment banking. The first
is the sell side that includes functions such as trading securities and includes the
facilitation of transactions through market-making, and the promotion and marketing
of securities through research and underwriting. On the other hand, the buy side
refers to institutions that give guidance and advice as it pertains to buying investment
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services. Common entities on the buy side include insurance companies, hedge funds,
unit trusts, mutual funds and private equity funds.
Investment banks are further divided by their private and public functions. This
creates a boundary, preventing information crossing between the two sectors. This
gives rise to two distinct types of investment banks which includes; boutique or
private investment banks and full-service or bulge bracket investment banks.
Private or boutique investment banks are concerned with private and confidential
information and transactions that might not be revealed to the public. They are usually
smaller banking entities that specialize in one or more areas of investment products.
Others in this sector focus their services on one type or one specific group of
industries. These private entities carry out a variety of functions. Some may act as
investment advisors while others specialize in the trade of certain assets and
commodities. There are also those that offer services to specific social groups and
industries. Examples of private investment banks include; Almeida Capital, AtlanticPacific Capital, J.P. Morgan Cazenove, Triago, China International Capital
Corporation and CITIC Securities.
The more public, full-service or bulge bracket investment banks enlist a wider variety
of market activities that include research, underwriting, mergers and acquisitions,
trading, merchant banking, investment management and securities trading services.
These bulge bracket banks are enormous investment institutions that cover all or most
industries. They serve a wide variety of client types and offer most if not all possible
types of investment banking services in their portfolio. Major institutions that fall
under this umbrella today are Bank of America Merrill Lynch, Barclays Capital,
Citigroup, JPMorgan Chase and Morgan Stanley.
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CHAPTER 3.2
CHALLENGES FACED BY INVESTMENT BANKS
Investment banking is one of the most global industries and is hence continuously
challenged to respond to new developments and innovation in the global financial
markets. Throughout the history of investment banking, it is only known that many
have theorized that all investment banking products and services would be
commoditized. New products with higher margins are constantly invented and
manufactured by bankers in hopes of winning over clients and developing trading
know-how in new markets. However, since these can usually not be patented or
copyrighted, they are very often copied quickly by competing banks, pushing down
trading margins.
For example, trading bonds and equities for customers is now a commodity
business structuring and trading derivatives retains higher margins in good times - and
the risk of large losses in difficult market conditions, such as the credit crunch that
begin in 2007. Each over-the-counter contract has to be uniquely structured and could
involve complex pay-off and risk profiles.
In addition, while many products have been commoditized, an increasing
amount of profit within investment banks has come from proprietary trading, where
size creates a positive network benefit. The fastest growing segments of the
investment banking industry are private investments into public companies. Such
transactions are privately negotiated between companies and accredited investors.
CHAPTER 3.3
COMPANY FINANCES AND OTHER BUSINESSES
Company finance
The investment banker serves multiple roles as an adviser to a company. The banker
must understand the current situation of the company and help it move in the direction
it wishes to go. This means assisting the company to improve its competitive standing
while adding and subtracting assets and liabilities in order to strengthen the position
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of the company. Bankers do this by finding takeover candidates, leading sales of stock
and bonds or suggesting new investment techniques. The ability of the banker to
understand the thinking of a corporate client is key to his or her success.
Achieving Strategic Objectives :
Investment bankers meet regularly with management to discuss what objectives the
company is strategically focusing on. The banker also needs to provide an outside
view of what competitor companies are doing and what, if any, strategic
complications this provides. Bankers must provide solutions for achieving objectives
and have the financial strength to lead bond and stock offerings on behalf of the
company.
Due diligence :
If a company has made a bid for another company an outside third party such as the
investment banker will need to supply an opinion regarding the careful study and
decision making that went into acquiring the company. This is called a due diligence
report. The due diligence report is a necessary document and requires that the
investment banker ask probing questions and ascertain that the company did
everything in its power to uncover problems that might arise later.
Fairness Opinions :
Another document necessary for the purchase of one company by another is the
fairness opinion. The fairness opinion is written by the investment banker and
provides detailed determinations, often using several investment metrics, to
demonstrate that the company did not overpay for the acquired company. Fairness
opinions allow management to show that substantial effort was used to get the best
price possible for investors. An investment banker may be sued by shareholders if it is
later learned that his opinion was incorrect.
Managing Debt Offerings :
Investment bankers suggest ways to finance or refinance financial obligations. In a
period of low interest rates a banker may demonstrate cost savings by redeeming
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outstanding debt at higher interest rates and substituting a new, lower interest cost
issue. The banker earns fees for the underwriting while guiding the company's efforts
to choose the proper size and maturity of the offering as well as handling negotiations
with the debt rating agencies.
Managing Stock Offerings :
Investment bankers are responsible for bringing new companies to the public markets
for the first time (also called an IPO or initial public offering), raising capital for
privately held companies, or improving the capital strength of existing public
companies by redeeming debt with additional stock offerings. Taking a company
public is a difficult task as the stock offering may not be received well if it is
overpriced or will rise greatly in value if it is under-priced.
Other Businesses
Global transaction banking is the division which provides cash management,
custody services, lending, and securities brokerage services to institutions. Prime
brokerage with hedge funds has been an especially profitable business, as well as
risky, as seen in the "run on the bank" with Bear Stearns in 2008.
Investment management is the professional management of various securities
(shares, bonds, etc.) and other assets (e.g., real estate), to meet specified investment
goals for the benefit of investors. Investors may be institutions (insurance companies,
pension funds, corporations etc.) or private investors (both directly via investment
contracts and more commonly via collective investment schemes e.g., mutual funds).
The investment management division of an investment bank is generally divided into
separate groups, often known as Private Wealth Management and Private Client
Services.
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CHAPTER 3.4
LIST OF TOP 10 INVESTMENT BANKS
The top 10 Investment Banks in India offers large number of financial advisory
services by tracking the economic trends, besides providing financial assistance to
corporate and retail customers. Some of them are:
1. Avendus Capital:
An investment bank providing mergers and acquisitions, fixed returns,
controlled finance, calculated advisory facilities and Private Equity
Syndication to its customers ranging from investors to corporates. The bank
has a powerful research competence which it utilizes to close business deals in
hostile circumstances. It presently concentrates on sectors where Indian firms
have strategic expansion advantage namely Healthcare, Pharmaceuticals, IT
Services, Consumer goods, manufacturing, etc.
2. Bajaj Capital
The Bajaj Capital Group is one of the renowned Investment consultant and
Financial Planning firms in India. It is certified under the Category I of
Merchant Bankers by SEBI. Bajaj Capital provides custom-made Fiscal
Planning facilities and investment consultation to the investors, organizational
investors, corporate, high income patrons and Non-Resident Indians (NRIs).
Being one of the biggest distributors of economic goods, Bajaj provides an
extensive range of investment schemes such as general insurance, life
insurance, mutual funds, etc to both public and private institutions.
3. Cholamandalam Investment & Finance Company
A combined fiscal service provider of three firms namely Cholamandalam
DBS Finance Limited (CDFL), DBS Cholamandalam Distribution Limited
and DBS Cholamandalam Securities Limited, Cholamandalam DBS operates
in 16 international markets. DBS provides an extensive range of facilities to
small and medium sized enterprise, corporate, customers and comprehensive
banking activities across Middle East and Asia.
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CHAPTER 4
INVESTMENT BANKER
public. In this sense, underwriting is the insurance function of bearing the risks of
adverse price fluctuation during the period of distribution. Investment bankers take
this risk for a specific amount of underwriting spread or commission. If investment
banker can not sell securities at specified price, the underwriter, not the company,
suffers the loss. Underwriter's gain or loss is computed using the following equation.
Gain or loss to underwriter = Gross proceed- proceed to the company- underwriter's
expenses.
Where, Gross proceed = price to public x number of shares to be issued.
2. Distributing
Once the investment banker owns new securities it must get them into the hands of
ultimate investors. Hence, the second function of investment banker is marketing new
issue of securities. The investment banker is a specialist with a staff and organization
to distribute securities. So, they perform physical distribution functions more
efficiently and more economically than and individual company.
3. Advising
The investment banker, through experience becomes an expert in the issuance and
marketing of new securities. Business firms may take valuable advice and counsel
from the investment bankers. Thus, investment bankers perform an advisory function
by analyzing the firm's financial needs and recommending appropriate means of
financing.
4. Making a Market
In case of a company going public for the first time, the investment banker may be
obliged to maintain a market for the shares after the issue. The investment banker
generally agrees to make a market in the stock and to keep it reasonably liquid. In
making a market, the underwriter maintains an inventory in the stocks, quotes bid and
asked prices, and stands ready to buy and sell it at those prices. Thus, investment
banker also helps to maintain an active secondary market in the stock of small and
newly established company.
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Requirement
People skills:
High
Sales skills:
Medium
Communication skills:
High
Analytical skills:
High
Ability to synthesize:
High
Creative ability:
High
Initiative:
Medium
Work hours:
50-120/week
areas such as stochastic calculus and differential equations), then take some advanced
finance courses in options pricing or bond valuation and apply to a research
department on Wall Street.
Accounting Skills Valuable
The ability to analyze accounting numbers critically is important in most analyst
positions. If you have ambitions too "bail out" someday and become a corporate
financial analyst you might also want to consider the CMA (Certified Management
Accountant) designation.
Traders are Multi-Talented
It's hard to define what makes a good trader. A good understanding of the market,
quick reactions, analytical skills and the ability to bluff help.
Teamwork Crucial
A crucial success factor in investment banking is teamwork. Being able to pull
together persons with large egos to get a presentation together for a client is a
challenge and is likely to be rewarded highly.
Scientists and Lawyers Wanted
There's definitely an interest in people with backgrounds in science and law. Scientist
types can work on everything from derivatives algorithms to biotech banking.
Lawyers can help design new securities, sell leasing business and use their analytical
prowess to talk to clients. This said, you have to sell yourself. It often doesn't hurt to
go back and get an MBA from a top school, and then try to repurpose your career into
investment banking.
Contacts are Everything
The key to breaking into investment banking is a good network of contacts. You may
already be blessed with such a network, but if you don't have one, you can start to
develop one by going on informational interviews, attending industry conferences,
finding alumni from your school in the business etc. Our contact lists may be helpful
in this process. Keep in mind that your network might not really "pay off" for some
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time. If you are young and haven't gone for an MBA degree, try to get into the best
possible school and then go for quantitative and analytical coursework.
Qualification
A Masters in Business Administration with 2 years of post-graduate study is essential
to grow up in this particular area.
Jobs in entry-level for analyst programs are obtainable to those graduate
undergoes who require experience in investment banking profession.
Analysts are essential in making proposals in finance and travel in order to sit
with the clients during meetings and sessions where senior bankers discuss
ideas to potential customers.
After this comes the requirement of MBA degree holder investment banker.
CHAPTER 5
INVESTMENT BANKING SCENARIO IN INDIA
Investment banking India has always been very crucial for the smooth flow of
market transactions between various investors, companies, firms and the government.
These banks will have a role to play even in the future, irrespective of the economic
conditions in the country.
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fad and will lose its sheenwhen the big boys bounce back, once theeconomy starts
improving and the mammoth Investment bankswill find it lucrative to enter the fray.
Industry believes that the changes in the I-banking space are part of the slowdown.
Also, boutique banks have limitations in the IPO domain, where they will not be able
to handle the distribution, while they can manage the valuations.
However, co- existence of investment bankingadvisory with a supermarket approach
byoffering broking and asset management services is passe. But it is needless to say
that big balance sheet investment banks (essentially for funding needs of clients) and
boutiques (real advice to clients) will co- exist. However, players in themiddle,
running super markets in India are likelyto shut down.
CHAPTER 6
NEW TRENDS AND CONCERNS IN INVESTMENT BANKING
Investment banking industry is growing very fast followed by these companies. After
what happened in Europe and in a scenario where the world economy is sluggish, low
scope of growth, many of investment banking clients which are mainly the big
companies under pressure (since their main objective is to grow their business and
somehow make acquisitions which are transformative) are backing out. In this
scenario, investment banker plays an important role. Companies like Goldman Sachs,
being the main player of the industry helps them in their biggest concern; that is fund
management.
Initially it was only in the CFOs domain to manage the funds but it is more of a
strategic decision now, to be made for the company for which investment bankers are
paid big money. Nearly, 70% funding in US companies comes from the capital
market as opposed to banking institutions. In Europe, the trend is reversed. Today, if
you look at Germany, for example, only 10% of funding comes from capital market
and 90% from banks. While banks have added enough of capital, their balance sheets
are under pressure to shrink. As size is shrinking, a significant amount offunding
made to these corporates have to be pushed to the capital markets. Taking all these
things into consideration, scope of the future investment banking trend canbe captured
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CHAPTER 7
CONCLUSION
Investment banking helps to boost the economy of the commercial sections of the
society in other words they create more opportunity for both the employed and
unemployed ones to raise capital and make profit.
They also help boost the financial security of a country from possible financial drop
down. Every economy that wants to have a growing financial status must require the
services of investment banking.
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BIBLOGRAPHY
http://accountlearning.blogspot.in/2013/01/investment-bankers-and-theirfunctions.html
file:///H:/financial%20services/Advantages%20of%20investment%20banking.htm
http://www.christuniversity.in/uploadimages/Nishka-%20September2013.pdf
http://www.accenture.com/us-en/blogs/accenturetradingblog/archive/2013/01/08/five-observationsfor-investment-banks-in-2013.aspx
http://www.valuewalk.com/2013/04/deutsche-bankinvestigated-for-12bfraud/
http://flatrock.org.nz/topics/money_politics_law/fraud_occurs_when_this_e
xists.htm
http://www.scamwatch.gov.au/content/index.phtm
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