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Functions of Investment Banking: Capital Raising through Debt Financing.

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Introduction Investment banking is a cornerstone of the financial markets, enabling companies, governments, and institutions to raise capital for growth, operations, or refinancing. One of the core functions of investment banks is debt financing — assisting organizations in raising money by issuing debt instruments like bonds, debentures, and commercial papers. This blog post explores how investment banks facilitate debt financing, the types of debt instruments involved, and why companies prefer debt over equity at times.   What is Debt Financing? Debt financing involves raising capital by borrowing money that must be repaid over time with interest. Unlike equity financing, where investors buy shares of a company, debt financing creates an obligation for the issuer to pay back the principal amount along with periodic interest to the lenders or bondholders.   Role of Investment Banks in Debt Financing Investment banks act as intermediaries between the issuing com...

Functions of Investment Banking: Capital Raising through Equity Financing.

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Introduction Investment banking plays a pivotal role in the global financial ecosystem. It serves as an essential intermediary between companies seeking capital and investors looking to deploy funds. One of the core functions of investment banking is capital raising, particularly through equity financing. In this blog post, we will explore how investment banks assist companies in raising money through Initial Public Offerings (IPOs) and Follow-on Public Offers (FPOs), breaking down each concept for a clear understanding.   1. What is Investment Banking? Investment banking is a specialized segment of banking that focuses on helping individuals, corporations, and governments raise capital. Investment banks also offer advisory services for mergers, acquisitions, and other financial transactions. Their primary roles include underwriting new debt and equity securities, facilitating sales of securities, and guiding issuers regarding the placement and pricing of their financi...

What is Investment Banking

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Career in Investment Banking – Your Gateway to Global Finance Author: Ashim Banerjee Blog: Finance with Ashim Company: Ashcons Unisers Consultancy & Marketing 🔍 What is Investment Banking? Investment Banking is a specialized division of banking that helps individuals, corporations, and governments raise capital and provide financial consultancy services. It involves underwriting new debt and equity securities, facilitating mergers & acquisitions (M&A), and providing financial advisory services for high-value transactions. 📊 Role of an Investment Banker An Investment Banker plays a critical role in the financial markets. They act as intermediaries between companies and investors, offering strategic guidance in: Raising funds via IPOs or private equity Mergers & Acquisitions (M&A) Corporate restructuring Asset management and financial risk management Valuation and due diligence of companies 🎓 Qualifications Needed to Become an Inve...