Investment now days is recognized as one of the most profitable field in

financial field in financial industry, investment banks usually buy bonds from
government, helping the government in building their project by financing
them, after purchasing it they sell it to private investor for profits.
8)
Implication of macroeconomic factors on investment banking are: GDP,
Inflation, national income, unemployment levels. So, if we talk about GDP
which is Gross Domestic Product, it is stated if the GDP of a country is high its
economy is healthy same is the case with the national income, so if the GDP is
high that would mean there is no shortage of liquidity in the market so there
would be a whole lot of investors looking for opportunities to invest which
would help. If GDP and national income is high, the country can do exports and
bring in foreign investors and can have trade agreement with different countries
at a decent exchange rate. Medium and small size enterprises to grow as they
would get financial support that at a low interest rate because there is no
investors shortage, further government will be largely profited as they will get
as many funding as required by investment banking. Overall, everyone will be
profited may it be investment banking, government, investors, borrowers.
Further it will help country to grow economically and in terms of infrastructure
and technology as well, it would further help in renewable energy revolution,
alternative energy projects would get the funding so there would be less
pollution in the country which would further increase the life span of the people
in the country. The implications of inflation on investment banking are as
followed, as price rises, the spending power of the bond owner income reduces.
This also affects their value. So, the investors in the market become very less
due to that investor demand high interest, to make matter worse, higher inflation
is accompanied with higher central bank rates, which leads to increased rates on
issued bonds, so the interest rate for borrowers increases which results in
subprime borrowers failing to pay back loans and thus resulting in bankruptcy,
due to this in very short time span economy also get crushed. Implications of
unemployment rates on investment banking sector, an increase in the
unemployment rates can be translated into an increasing of non-performing
loans and thus lowering bank liquidity. An increase in public deficit will
involve increasing bank loans and thus will decrease liquidity, since the non-
performing loans increase, it hits the economy of the country.
HSBC during covid-19 supported various commodities and has also won
recognition for pioneering green finance.
Investment Bank named HSBC was awarded the Year for Sustainability.

HSBC bank was also named:

Investment Bank of the Year for Green/Climate Action Bonds

Investment Bank of the Year for Sustainable Sovereigns, Supranational and
Agencies Financing

Investment Bank of the Year for Islamic Finance

9)
Bonds are like between IOU between lenders and borrowers. Investing banking
provides support to huge companies and high-risk startup acting as a bridge
between companies and investors. Investment bank supports commercial banks
by buying old loans or subprime loans of commercial banks, making a room for
new investor. Investment banking have a major prime factor which is interest
rate, if interest rates start rising, suddenly subprime borrowers could not afford
to pay back loans and started falling for bankruptcy, in the space of few months
the economy has been crushed by the collapse. Investment banking helped
countries build first railroads, mines, IT companies which would not progress as
much if investment bank would not support them, if we look towards
environmentally sustainable future and sustainable development goals. The
global investment banking market is expected to grow from 102.84 billion
dollar in 2020 to 111.45 billion dollar in 2021.We will need investment banking
to rebuild country, investment banking is key for renewable energy revolution,
the world so desperately need investment banking has already poured billions of
dollars into alternative energy projects of course it is not only just renewable
energy projects that stand to benefit ,we can expect investment banking to play
a role in every world changing innovations in future, companies will always
need large investors and investors would always be on the look up for
opportunities that’s why investment banking is here to stay. Investment banks
for following investor are:
1) security-issuing corporations
2) securities-buying investors
It is stated that the global investment banking and trading services market cap
was valued at 267.86 billion dollar in 2019, and is projected to reach 520.02
billion dollar by 2027, therefore growing at a CAGR of 5.8% from 2020 to
2027, According to a report published in Allied Market Research

Rising equity capital and debt capital, ensuring bonds, and engaging in
proprietary trading are some of the major investment banking solutions in the
market. Along with this, investment bankers provide additional data for
positioning their securities in the open market for companies having an
operation with lower capital.

FEW FACT0RS ARE AS C0NTINI0US improvement in business

Environment, surge in demand for fundamental advisory from corporate
companies, and increase in need for capital requirements and business
expansion among firms, are the major factors that drive the investment banking
and trading services market growth.