Investment Banks,

What they do?

By Corporate Finance Institute

 Underwriting Services (e.g. IPO)

Investment banks helps corporation

raise capital (i.e. debt or equity) via
underwriting services.

Investment Banks buy securities from

corporations and then sell them in the
market via its underwriters distribution
network.

This is done to ensure that IPO is fully

subscribed at right price.

By Corporate Finance Institute

 M&A Advisory

Investment banks also provides M&A

services including mergers,
acquisitions, consolidations, assets
purchase.

Its also provides divestment services

and advice.

By Corporate Finance Institute

 Debt Syndication
When two or more lenders come together
to fund one loan for a single borrower, it is
considered as debt sydication.

Syndicates are created when a loan is too

large for one bank to disburse or falls
outside the risk tolerance of a bank.

By Corporate Finance Institute

Restructuring

In Restructuring, bankers advise companies

to restructure their capital structure in case
of distress debt situation, among others.

They also work on bankruptcies, liquidations,

and distressed sales.

By Corporate Finance Institute

Equity Sales and Trading

Institutional clients such as pension

funds, mutual funds, corporations use
investment banks in order to trade
securities.

Investment banks helps in providing

liquidity and prices on securities and
match buyers and sellers.

By Corporate Finance Institute

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Finance Institute to learn
more concepts in a
simplified manner.

By Corporate Finance Institute