Investment Banking
Investment Banking is generally the act of investment banks helping companies and governments issue securities, helping customer purchase securities and advising on mergers and acquisitions. The term investment bank is usually applied to merchant banks that expanded their roles to financing the trading and commercial activities of others. Investment banking can offer services such as corporate finance and advice on securities, raising finance, take-overs etc. They can provide banking for governments and companies and treasury dealing for corporate clients, investment management and securities trading. The term investment banking can now even include trading bonds and shares.

There is a large variety in the nature and complexity of the services provided through investment banking but in comparison with an ordinary bank, investment banks are quite small even though they deal with worldwide financial matters. Investment bankers need to be skilled and experienced in a wide range of areas. They sometimes seek out ideas of deals to pitch to their clients and then provide financial models to simulate possible outcomes before negotiating the terms of the deal. They constantly research market conditions and consider the desirability of various deals. Investment banking does not provide loans to individuals nor does it accept deposits from individuals.

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