L'investissement des banques -étude en anglais

A financial intermediary that performs a variety of services. Investment banks specialize in large and complex financial transactions such as underwriting, acting as an intermediary between a securities issuer and the investing public, facilitating mergers and other corporate reorganizations, and acting as a broker and/or financial adviser for institutional clients. Major investment banks include Barclays, BofA Merrill Lynch, Warburgs, Goldman Sachs, Deutsche Bank, JP Morgan, Morgan Stanley, Salomon Brothers, UBS, Credit Suisse, Citibank and Lazard. Some investment banks specialize in particular industry sectors. Many investment banks also have retail operations that serve small, individual customers.

Essentially, investment banks provide advice and funding to corporate and other clients, and engage in trading activities for their clients and sometimes their own behalf.

Investment banks were historically distinguished from retail banks, that is, banks which take deposits from consumers and provide them with services such as loans, mortgages and credit cards. However, many financial services institutions today, such as Citi, Barclays and UBS, operate in both markets and are known as "universal" banks.

As well as the large universal banks, other types of institution found within the sector include elite pure investment banks, "boutique" advisory-only investment banks, and banks which focus on mid-market deals or on particular geographies.

Who are an investment bank’s main clients?

An investment bank’s main clients are:

• Corporates: operating companies in sectors including energy, retail, construction, technology, media, healthcare, food and drink and chemicals – and other financial services organisations.

• Funds: investment vehicles which pool investors’ assets and follow a particular investment strategy, including pension funds, hedge funds, and private equity funds.

• Sovereigns: governments, but also quasi-governmental institutions such as export credit agencies and sovereign wealth funds.

• High net worth individuals: usually defined as those with investable assets worth over $1 million.

• The bank itself: some of a bank’s trading and investment activities are conducted not for an external client but to make profits for itself, or to protect the bank against risks.

An investment bank’s main activities are as follows:

• Giving advice: advising clients on buying and selling companies, the structuring of their financial affairs, raising money, economic risk management and the purchase of financial products.

• Investment management: advising on and managing the investment of assets for corporates and individuals.

• Providing financing: making loans to and purchasing the shares of corporates, and assisting corporates in finding other parties to do so.

• Trading: buying and selling shares, debt products, commodities, derivatives and related products on behalf of clients and to make money for the bank.

• Research: Monitoring industry trends and economic developments for the bank’s own

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