Investment banking is a set of services that the bank provides to the client, which is primarily related to transactions of securities.
History of investment banking started in Europe. In the mid 19th century the first appeared in Europe Investment Bank. This has enabled the rapid spread of investment banks in the US.
Banks throughout the world have expanded their investment banking. Investment banking today includes wide range of services.
Services related to operations with securities.
These services can be:
• Brokerage services (mediation in securities trading) organization offers the Custody Services
• Analysis of financial markets
• Services in the field of organization of tenders in this case for transfer, including the representation of shareholders in the affairs of the sale of shares
These services offers a large number of banks and thus users get the possibility to use these services.
Banks are not the only beneficiaries of these service, banks are financial institutions, providers of services, companies that see the Bank as their reliable partner.
The most important services from a broad spectrum of products and services that the Bank offers clients in the financial sector are:
• Opening and managing accounts
• Payment transactions in the country and abroad
• Documentary and Guarantee business
Custody services are defined as safekeeping of client's securities
Not so often some banks do not have a license to practice in this case, the custodian bank, so customers are advised that before going to the bank ask or find information to Internet on this service.
While the main obstacle for banks that want to deal with custody operations and business management of investment funds is that the law specifies that the custodian bank can’t be a person connected with the management of investment fund.
• Opening account of custody summary
• Opening of proprietary securities account
• The execution of orders for transfer of rights from securities
• Collection of receivables from the issuers and other rights arising from securities
• Asset balancing through purpose accounts
• Information and representation at meetings of joint stock companies
• Custody services for investment and pension funds
Opening account of custody summary
Services of opening and keeping cumulative custody accounts of securities and preferred this method of management of securities is that what the bank takes care of them for you. The securities are registered at the bank, and in the name of the client for his account are available whenever he wants.
Opening of proprietary securities account
Provides services account opening and management of securities on behalf of customers and for its account. The bank takes care of recording the securities in the Central Registry of Securities on behalf of the owner.
The execution of orders for transfer of rights from securities
If you want to transfer your securities or write pledge on the third person, the bank will take care to carry out all necessary actions and transfer all rights from securities which are the subject of the order.
Collection of receivables from the issuers and other rights arising from securities
Services payment of dividends, interest, etc., as well as the payment of dividends in the securities division of the existent emission or change of nominal value of securities owned by a client of the bank.
Asset balancing through purpose accounts
Process of asset balancing through purpose account for performed trade with valuable papers is completely automated and reliable. Any transactions and submitted requests will receive a certificate of completion of the implementation of trade securities.
Information and representation at meetings of joint stock companies
The Bank may notify about each corporate activity of the joint stock company whose securities are owned by the client, if the client wants to authorize a bank, the bank may represent, and vote according to instructions from the client General Meeting of Shareholders.
Custody services for investment and pension funds
Today a large number of banks perform, managing and registering properties of investment and voluntary pension funds. All processes and tasks as well evaluation of the fund's assets can be automated. And the protection of data provided by the bank.
Specifically in this case, the bank assists companies in projecting, analyzing exchange rates or interest rates. Bank provides the necessary information and minimizes the risks for the development of companies that are exposed to market risk.
The Bank disposes with daily, weekly and monthly analyzes of trading on both the domestic and global financial market. Such analyzes are of benefit to companies because they provide a clear picture of current developments in the market. Such analyzes are of particular benefit to companies in the moment to sell securities or purchase securities.