There is a great deal of confusion among people about exactly what investment banking is. To make things clear, no - it has nothing to do with savings and fixed deposits. It is not something that the average people use on a daily basis. It is more commonly used by either investors or by those seeking investors and raise capital for their business. The investment banks simply help these two categories of people find their way to each other. There are always people who want to invest their money and make more of it than what they already have. One of the best ways to make idle money useful is through investing it. But the question of where to invest comes up. And to answer this question, they start looking for places and companies to invest in. This research is made a lot easier when they approach investment banks.
Similarly, there are businessmen on the lookout for money. Whether the businessman is looking to start-up a new business from scratch or just seeking to expand an existing business, he needs money. And this money is something he can get from investors. Looking alone, he might not be as successful in finding investors. But if he were to approach an investment bank, he would have access to a multitude of investors, with different needs. His chances of getting capital get higher. So basically, investment banking services include facilitating investors find potential investments and investments find potential investors. But These are not the whole and sole function of such banks - they do a lot more. They tend to take on matters like asset management, estate management and investment advisory. They help you to manage your finances smoothly and with little amount of trouble possible.
From figuring out specific aspects of business management to deciding where to invest in equity capital markets - these banks offer available services. They can act on your behalf or simply give advice, if you prefer to act on your own. The thing to remember is what they think is the best decision might not always be the best for you. Also remember that you will have to give away some personal and sensitive information to these banks for them to function well. You need to make sure you keep a keen eye on their actions, so that you do not end up with your trade secrets being leaked, leaving you the loser. You should also make note of their practices, so that you can pull out before something happens where you stand to lose more than you gain.
