Investment Banking

Investment Banking: We assist in capital raising and M&A transactions for corporate and government clients. We also offer intermediating, advising and arranging finance; risk-management services to institutional investor clients; performing research and participating in investment banking activities. For institutional investing clients, we aid in effective asset management along with equity, fixed income, alternative investments and money market investment products and services.
Although each investment bank takes a somewhat different approach, the principal businesses of most large investment banks include (a) investment banking business managed by the Investment Banking Division, which focuses on capital raising and M&A transactions for corporate clients and capital raising for government clients; (b) sales and trading business managed by the Trading Division, which provides investing, intermediating, and risk-management services to institutional investor clients, performs research, and also participates in nonclient-related investing activities; and (c) asset management business managed by the Asset Management Division, which is responsible for managing money for individual and institutional investing clients.

Principal Businesses of Investment Banks

  • Investment Banking Business
  • Arranges financing for corporations and governments
  1. Debt
  2. Equity
  3. Convertibles
  • Advises on mergers and acquisitions (M&A) transactions
  • Tradings Business
  • Client Trading
  1. Sells and trades securities and other financial assets as intermediary on behalf of investing clients
  2. Operates in two business units: (1) Equity and (2) Fixed Income, Currency & Commodities (FICC)*
  3. Research is provided to investing clients
  • Proprietary Trading and Principal Investing**
  1. Investment activity by the firm that affects the firm's accounts, but does not involve investing clients
  2. Focuses on investments in equity (public and private), bonds, convertibles and derivatives in a manner similar to the investment activities of hedge funds and private equity funds
  • Asset Management Business
  1. Offers equity, fixed income, alternative investments, and money market investment products and services to individual and institutional clients
  2. For alternative investment products, the firm co-invests with clients in hedge fund, private equity and real estate funds

    Note 1*: Fixed income refers to an investment such as bond that yields a regural (or fixed) periodic return; currency refers to foreign exchange (FX); Commodities refers principally to energy and metals based commodities.
    Note 2**: At some firms, Principal investing is included within the Investment Banking