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Capital Markets and Investment Banking Process - Essay Example

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Summary

CAPITAL MARKETS AND INVESTMENT BANKING PROCESS Table of Contents Table of Contents 2 Investment Banking Process for an IPO 3 Asset Class Selection for an Investment Portfolio 4 Capital Market Instruments Used in Portfolio Construction 5 Conclusion and Recommendations 6 References 7 Investment banking plays a vital role in today’s economy…

Extract of sample
Capital Markets and Investment Banking Process

The different types of capital instruments that constitute an investment portfolio have also been described. Lastly, recommendations have been provided regarding the selection of assets for the construction of an effective and efficient portfolio. Investment Banking Process for an IPO Initial Public Offering (IPO) refers to the process of issuing shares by a company to the public for the first time in its history. It is mainly done to raise capital or funds in the form of share capital to be utilized by the company in its business processes. An IPO process typically consists of three key steps. They are: a) Preparation; b) Market approaching strategies; and c) Going public. Investment bankers are selected by the company for the purpose of coordinating the whole process of IPO. Hence, investment bankers form an important part of the IPO process and perform various functions during the whole process. The investment bankers give valuable advice to the company regarding how to go about the whole process of IPO. The underwriting functions related to the IPO are also performed by the investment bankers. ...
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