ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

Investment Banking: The Role of Investment Banking In The Society

Updated on December 14, 2013

Investment banking is a particular banking system that allows customers to invest their money directly or indirectly and also helps companies, government and individual raise fund by means of bond selling, security sales, mergers and acquisitions and issuing of IPO. Investment banking gives both the learned and the novice in the investment industry the opportunity to maximize better dividend of their business or property by way of mergers and acquisitions.

Investment banking Online

 

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 an investment banking.

DUTIES, SERVICES AND FUNCTIONS OF INVESTMENT BANKING

The investment bank is a financial institution that helps corporate organizations, company and individual persons to raise enough capital to invest in their projects. Investment banking is all about money and security trading, turning the paper works into real money. They also helps to advice you on the proper kind of investment to invest your money into at the right time, in other words they give professional advice on when to issue a sell or buy request for stocks, bonds and securities, or better still invest the money for you if given the veto power.

Investment banking duties and functions

These are some of the services of an investment bank in the investment industry;

Invest your money: Unlike the commercial banks that helps you to invest your money directly where you deposit and withdraw money; the investment banks indirectly helps you invest your money in a chosen market, though this may not be done directly but you would surely get a maximum returns on your securities. After Gramm-Leach-Bliley Act in 1999, the investment bank and commercial bank in the US can be incorporated thereby giving them more rooms for many services. Though the major duties of the investment bank is to offer viable and reliable advice on how to invest your money properly, buying and selling of acquisitions and trading on stocks and bonds.

Sales of company stocks: Another duty of investment banking is the sales of company shares and bond in order to raise funds and capital for government, corporations, companies and individuals. This is to aid the corporation to raise enough capital funds for the executions of projects and acquire more property for business.

Buy securities: They also help corporate bodies to buy shares which they believe have a good value and have a ready and standby buyer whom would make a higher bargain. They act more or less like the stockbroker when it comes to buying and selling of shares. These securities when traded could help the company in raising more capital.

Managing assets and investment portfolios: Investment banking also helps to manage your assets. As a corporate body or even a business man, you need the services of an investment bank to help you in the management of your assets, properties and finance. In a growing business where more of the finance comes from either the public or banks, there is a higher need of an investment banks to do the proper management of both the assets and finance.

Offer good financial advice: One of the functions of a good investment banker is to offer a good and profitable financial advice to clients. This professional advice requires proper research on when to issue shares to the public in order to raise funds, when not to issue public shares and also when to acquire a merger. All these and more are the professional duties of an investment banker. Though there is no 100% assurance that with an investment bank you would get the best deal, but they would actually help to aid you in getting a better and fairer deal especially on merger acquisitions.

List of investment banks

J.P Morgan & co

Morgan Stanley

Citigroup

Barclays Capital

Credit Suisse

Lazard

Goldman Sachs & Co

Deutsche Banks & Co

UBS

Bank of America/Merrill Lynch

Allianz

CIBC

BlackRock

Unicredit

Standard Bank

Societe Generale

Noble Bank

HSBC

Piper Jaffray

Lincoln Partners

Royal bank Of Canada

Toronto Dominion

Robertson Stephens

OCBC

Bank of Montreal

Bank of Nova Scotia

Close Brothers Group

Fidelity International

Greenhill & Co

M&G Investments

Employment opportunity in investment banks

There are so many job opportunities in the investment banks industry due to its wide range of services and product. You can apply to any investment bank around you if you have the required qualifications. This includes the following:


Education: The investment industry is a very competitive field of and anyone who wish to get a job as an investment banker or other job positions in the investment must at least have university degree, this will give you added advantage over other persons pursuing the same career opportunity, you can also increase your chances of employment in the job market by going for other higher career program.


Good with mathematics: Another added would be having additional knowledge of statistics and mathematics to secure a job in the investment banking industry.


Know your spreadsheet: This would be very important especially if you are not a degree holder, but it would be advisable to get an MBA certificate after your internship in the industry.


Be ready to move to NY: If you’re considering a career in the investment bank and you are residing in America, be ready to move to NY as most of the major investment banks are in NY.


Experience: Having an experience at least with any other financial institutions would be a great advantage. Most of the big names in the investment banking sectors prefer to offer job post to people whom they think are already trained in the financial sector.


Skills: Most investment banking jobs would take a substantial amount of your time and effort, so a proficient skills knowing what you’re doing and liking what you do would take you a long way in the sector.


Communications: Having strong communication ability is another skill that the investment banks do look out for when hiring someone for an employment.


Pursuing Career as an investment banker could be very lucrative if the economy is on the good side, but you could be unemployed if there is a slum in the economy. But this is actually a very good career to pursue because it pays high.


How To Apply For Jobs In An Investment Banks



You can apply as any of the following in an investment bank; marketer, receptionist, IT professional, Banker or even a sales representative the list is endless depending on the services of the particular investment bank. But it could be very difficult to get a job in the investment bank. But you can send your application through networking or on-campus recruitment. In the case where you are able to secure an interview be sure to read and grab all you can in quantitative and increase your communication ability to a higher level.


When you want to apply for job in the investment bank here are few steps to take

  • Search for available positions of jobs online at the online investment banking sectors.
  • Apply for the job through their career sector online or through mail.
  • Write a very good and attractive CV
  • Prepare yourself for possible interviews if called upon.


With these few steps you can get a very good and lucrative job in the investment banking sector.



Comments

    0 of 8192 characters used
    Post Comment

    • profile image

      tuyambeka 

      19 months ago

      the information was clear and understandable thank you so much I know the difference now

    • profile image

      Sameexa Rajput 

      2 years ago

      Hello klaboy can you please send me a YOY growth of IB as a industry ?? in my email id sameexa.rajput@mancerconsulting.com I require it for my project

    • profile image

      shs 

      3 years ago

      this one is so helpful!

      thx!

    • profile imageAUTHOR

      klaboyy 

      4 years ago

      Thanks for dropping by, would love to share more knowledge.

    • profile image

      Emmanuel 

      7 years ago

      Clear but full of significant knowledge, you have opened my brains. Thank you

    working

    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, hubpages.com uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at: https://hubpages.com/privacy-policy#gdpr

    Show Details
    Necessary
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the googleapis.com or gstatic.com domains, for performance and efficiency reasons. (Privacy Policy)
    Features
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Marketing
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Statistics
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)