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What is the difference between an investment bank and a merchant bank?


What is the difference between an investment bank and a merchant bank?

Investment banking is a division of banking encompassing business entities dealing with creation of capital for other companies. In addition to acting as agents or underwriters for companies in the process of issuing securities, investment banks also advise companies on matters related to the issue and placement of stock.
Merchant banking In the U.S., an investment bank which is well-equipped to handle multinational corporations.

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