As a financial services organization or division, an investment bank acts as a counselor to people, companies, and governments when it comes to making financial decisions on their behalf. You can also become an investment banker by enrolling in an executive program in investment management. Investment banks are useful for a wide range of businesses and endeavours. They aid companies in the issuance of stock in an initial public offering (IPO) or in a subsequent offering of stock.
Corporations may also use their services to raise capital via the sale of bonds to institutional investors. Additionally, they work as advisors on issues, which include lending money to businesses in order to acquire assets and settle acquisitions, as well as restructuring, which requires upgrading corporate structures in order to increase a business's efficiency and profitability.
What are Capital Markets?
The phrase "capital market" is used to describe both the physical and virtual places in which financial products are traded by diverse parties.
These platforms may include the share market, the bond market, the currency and forex markets, as well as other financial institutions. Financial goods, such as stocks and debt securities, are the primary focus of the capital markets. Stocks, the ownership units of a corporation, are what we refer to as "equities". Bonds and other debt instruments are essentially interest-bearing promissory notes.
Capital markets can be of two types:
- Primary Market
- Secondary Market
Shares are generated in the main market. In this market, new stocks and bonds are floated for the first time to the general public. It is a primary market when an initial public offering (IPO) is made available to the public. As a result of these exchanges, investors may acquire shares from the bank that originally financed the stock. IPOs are defined as the first time a privately held corporation sells shares to the general public.
A company's initial public offering (IPO) provides investors with their first chance to participate in the business by purchasing its shares. The equity capital of a corporation is derived via the selling of shares on the primary market.
A secondary market is a place where previously issued shares are exchanged between investors under the supervision of a regulatory authority like the SEBI. The secondary market does not include any of the issuing businesses.
Investment Banking and Capital Marketing Course from IIMC
In order to achieve professional goals in the financial business, candidates should enrol in Imarticus’ Executive Program in Investment Banking and Capital Markets in collaboration with the Indian Institute of Management Calcutta. This IIM investment banking and capital market course will provide you with the practical knowledge and technical abilities you need to succeed in the field of finance.
You will learn about investment banking and the global capital markets, meet industry professionals and complete a capstone project as part of the programme. This course is built for financial professionals having at least two years of experience in the domain of finance.
Savings and investment are stimulated by investment banks, which reduce the shortage of capital. Investment in profitable businesses is made possible by bringing together the community's tiny and dispersed funds. As the economy grows, investment banks invest more.
As time goes on, the amount of money investment banks earn grows and contributes to GDP growth. All you need to do is hop on board with this programme by IIM Calcutta and you will get vast knowledge of investment banking, capital markets, and even a capital market certification.