Financial Markets and Institutions (2-downloads)

1. What was the motivation behind legislation separat-

ing commercial banking from investment banking?

2. What law separated investment banking from com-

mercial banking?

3. What does it mean to say that investment bankers

underwrite a security offering? How is this differ-

ent from a best-efforts offering?

4. What are the primary services that an investment

banker will provide a firm issuing securities?

5. Does the fact that a security has passed an SEC

review mean that investors can buy the security

without having to worry about taking a loss on the

investment?