An investment bank is a special section of banking and financial institution that works mainly in high finance by helping corporations to access the capital markets to increase money. It provides financial consultancy services to them.
Investment banks work as mediators between investors and security issuers and help new companies to go public. They either buy all the accessible shares at an estimated price by their specialists and resell their shares to public on behalf of the issuer and get commission on each share.
Difference b/w Investment Bank and Investment Banking
Sometimes, there can be confusion between an investment bank and the investment banking division. As for as fare is concerned, they offer a broad range of services including M&A, asset management, sales and trading, underwriting, equity research, retail banking, and commercial banking. While the investment banking section of a bank offers M&A advisory and under-watering services only.
Investment Banks in London (UK)
London has long been and still remains the financial capital city of the world. For many Europeans and other investors outside the US, London always seems to be an attractive destination to acquire Investment Banking.
For Americans and from the Asia Pacific too, London is also striking given the calmer lifestyle it offers, and chances to work on deals across European countries.
An Overview of Investment Banks In London (UK)
London has always become dependent on trade and immigration. After the 9/11, the USA wanted visas for everything, employment visits to business trips; visas in the UK for employment opportunities and business were still simply available.
This resulted in immigration of many immigrants from Spain, France, Italy, and Germany into Great Britain and made it the greatest financial market in the world. During that time, various investment banks had emerged in USA and U.K had still been upholding authority in financial markets.
Above all, circumstances have had a great effect on the world’s financial market. London has measured the best environment for doing business and creating value for people.
As a result, now Investment banks in London are the best place to invest and work.
Since investment banking is a vast part of the financial institutes and business deals, it’s fairly clear that London is one of the top places to be an investment banker.
Investment Banking Services in London
Investment Funds
This is amongst the best services offered by Investment Banking in London. Each member of the team is an expert of some sort in sales, corporate finance, and market research. Their responsibility is to provide customized services on different investment funds to their high net-worth and a great client.
Research
It is one of the basic things any investment bank needs to add value to their customers. The investment bankers in London offer a “Research” service to their clients to validate their recommendations about the financial market.
Broking and Corporate Advisory
As you know relationships with the clients and the frequency of recommendations matter a lot in investment. These two things have got maximum importance.
On the basis of these two essentials, investment banks’ broking team and corporate advisory are built. The corporate broking team regularly gives updates to customers about the present market activity plus they also deliver capital market views, regular market intelligence reports, and investors relations services.
IPOs
Any company, whether it is small or big, when they decide to go public, banks support them to take the action with minimum hassle as possible. Investment Bankers help them in enhancing the firm profile, releasing more funds for product development, and helping them cultivate their companies.
Mergers & Acquisitions (M&A)
Market leverage is an important thing in investment banking in London. They provide nonstop monitoring of the market, provide leverage to the clients, offer tailored solutions to them as per their requirements and needs.
Institutional Equities
Almost all bankers give services to long-only funds, hedge funds, investment boutiques, family businesses, retail brokers, and also wealth managers. There are mainly two parts in institutional equities, they help clients build a stronger reputation in-market sales and share trading.
Best Investment Banks in London
According to a survey in the United Kingdom, these are at the top of the list.
JP. Morgan
J.P. Morgan is top of the list. It has headquarters in London and other offices in Glasgow, Bournemouth, and Edinburgh. J.P. Morgan is considered one of the biggest technology employers in Scotland.
Goldman Sachs International
Goldman Sachs International in the
Barclays
It is not actually an investment bank, but it offers services in insurance and financial services.
Morgan Stanley
Morgan Stanley in the
Deutsche Bank
Deutsche Bank takes the 5th spot in the ranking. Its branch office offers underwriting services and investment banking.
Bank of America, Merrill Lynch
Bank of America, Merrill Lynch takes the 6th position. It has the resources, capabilities, and strengths to shape a wonderful future for its investors and employees as well.
BlackRock
BlackRock, one of the biggest in Britain, has the 7th position in the market. It had US$4.59 trillion assets under management as of June 30, 2014.
Credit Suisse
Credit Suisse is on the 8th. In 2008, there are more than 3000 employees full-time in the investment banking team and they were supposed to grow their investment banking ability by 60%.
Citibank
Citibank was at 9th in 2016. Citibank has headquarters in Canary Wharf, London.
UBS
UBS positioned tenth according to a survey. Their head office is in London. They have 31.7 billion pounds assets under management (AUM) in December 2015.
Investment Banking Culture (London)
Let’s have a birds eye view of some investment banks in London and their organizational culture.
J P Morgan
This bank functions in the most European method possible. The worst part of it is pay. As it pays very low and below the market. The best part is the internships. The juniors get the opportunity to train well there.
Goldman Sachs
In Goldman Sachs doing the job is really hectic. You have to works for long hours as it is the culture. The best thing is the pay and incentives if you make it to the highest positions.
Morgan Stanley
The employees in Morgan Stanley are not very contented as the old days were better than the present.
Deutsche Bank
It has a
Credit Suisse
It is one of the great places to work in. Credit Suisse gives the highest pay, and their dealings and behavior make it incredible and happiest places to work in.
Final Words: London is one of the best financial markets for investment bankers. If you want to go into investment, London can be your best choice. Though there are problems within the investment banking cultures in London, they are not so big; are they?
Lisa is a passionate travelers. She spends 3 months every year visiting different places worldwide. She has visited almost every famous place in the world. She herself is an affiliate blogger
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