Investment bankers are financial advisors to corporations and, in some cases, to governments. They help their clients raise money by issuing stock, floating a bond, negotiating the acquisition of a rival company, or arranging the sale of the company itself. They facilitate flows of funds and allocations of capital, making the capital markets more efficient by matching the highly specific profiles of myriad issuers and investors. Investment bankers may be involved in any of the following financial advisory activities for corporate clients:
- Capital Raising
- Book Building
- Prospectus Drafting
- Initial Public Offerings (IPOs)
- “Roadshow” Investment Meetings
- Issuing & Selling Securities
- Private Placement of Capital
- Mergers, Acquisitions & Divestitures
- Corporate Restructuring
- Debt & Equity Advisory Services
- Bond Issuance & Pricing on Bond Markets
- Hedge Fund, Mutual Fund, & Pension Fund Advisory Services
Investment banking is a dynamic industry characterized by flux and transformation. Financial instruments have grown more complex as financial intermediaries have become more competitive. Investment banking has expanded dramatically in past decades, beyond its more traditional work in underwriting, to include teams supporting clients with mergers and acquisition, risk management, wealth management, and proprietary trading. Investment banking is a highly-paid but also highly-stressful profession.
