UNIVERSITY OF MUMBAI

(THIRD SEMESTER)

S.Y.M.COM

A PROJECT ON:

INVESTMENT BANKING

ACADEMIC YEAR:

2017-2018

SUBMITED BY

BHAVESH JADHAV

PROJECT GUIDE:

PROF.MANDIRA KAMBLE

DATE OF SUBMISSION:

18TH JANUARY 2018

L.S. RAHEJA COLLEGE OF ARTS & COMMERCE

RELIEF ROAD, JUHU,

SANTACRUZ (WEST)

MUMBAI – 400 054

 UNIVERSITY OF MUMBAI

(THIRD SEMESTER)

S.Y.M.COM

A PROJECT ON:

INVESTMENT BANKING

ACADEMIC YEAR:

2017-2018

SUBMITED BY

BHAVESH JADHAV

PROJECT GUIDE:

PROF.MANDIRA KAMBLE

DATE OF SUBMISSION:

18TH JANUARY 2018

L.S. RAHEJA COLLEGE OF ARTS & COMMERCE

RELIEF ROAD, JUHU,

SANTACRUZ (WEST)

MUMBAI – 400 054

 DECLARATION
I, JADHAV BHAVESH of L.S. RAHEJA COLLEGE OF ARTS &

COMMERCE, S.Y.M.COM (Semester 3) declare that I have completed this

project on the “ INVESTMENT BANKING” in the academic year 2017–2018.

The information submitted is true and original to the best of my knowledge.

DATE OF SUBMISSION SIGNATURE OF STUDENT

18th JANUARY 2018 (BHAVESH JADHAV)

 CERTIFICATE

This is to certify that JADHAV BHAVESH of L.S. RAHEJA COLLEGE

OF ARTS & COMMERCE, OF S.Y.M.COM (Semester V) has completed

the project on the “INVESTMENT BANKING”, in the academic year 2017–2018.

The information submitted is true and original to the best of my knowledge.

SIGNATURE OF PRINCIPAL SIGNATURE OF PROJECT GUIDE

(DR.MR.DEBAJIT N.SARKAR) (PROF.MANDIRA KAMBLE)

COLLEGE SEAL SIGNATURE OF M.COM CO-ORDINATOR

(PROF.RAJU GOLE)

SIGNATURE OF EXTERNAL EXAMINER

 ACKNOWLEDGEMENT

It has always been my sincere desire as a management student to get an opportunity

to express my views, skills, attitude and talent in which I am proficient. A project is
one such avenue through which a student who aspires to be a future manager does
something creative. This project has given me the chance to get in touch with the
practical aspects of management.
I am extremely grateful to the University of Mumbai for having prescribed this
project work to me as a part of the academic requirement in the Master of
Commerce (Banking & Finance) course.
I wish to appreciate the management and staff of L.S RAHEJA College,
M.COM(B&F) for providing the entire state of the art infrastructure and resources to
enable the completion and enrichment of my project.
I wish to extend a special thanks to my project Guide Prof. MANDIRA KAMBLE
without whose guidance, the project may not have taken shape.
EXECUTIVE SUMMARY

Investment banking includes a wide variety of activities, including underwriting, selling, and
trading securities, providing financial advisory services, and managing assets. Investment banks
cater to a diverse group of stakeholders – companies, governments, non-profit institutions, and
individuals – and help them raise funds on the capital market. They perform the following major
functions for their customers:
 Serve as trading intermediaries for clients
 Lend and invest banks’ assets
 Provide advice on mergers, acquisitions, and other financial transactions
 Research and develop opinions on securities, markets, and economies
 Issue, buy, sell, and trade stocks and bonds
 Manage investment portfolios
Investment banks once contrasted sharply with commercial banks, where people mainly
deposited their money and sought commercial and retail loans. In recent years, though, the two
types of structures have become increasingly similar; commercial banks now offer more
investment banking services as they attempt to corner the market by presenting themselves as one-
stop shops.
Investment banks do differ from brokerages and broker-dealers, though, even though
those three entities are often thought of as one and the same. A brokerage firm takes a commission
for assisting in the purchase and sale of stocks, bonds, and mutual funds. A broker-dealer executes
similar functions, but it also trades for its own account. An investment bank actually is a broker-
dealer that provides corporations with financial services, such as assistance with initial public
offerings, merger and acquisitions advice, and strategic planning.
 TABLE OF CONTENT

SR.NO PARTICULARS PAGE.NO

1. INTRODUCTION 1
2. WHAT IS INVESTMENT BANKING ? 2
3. ORGANIZATIONAL STRUCTURE AND CORE OF AN 10
INVESTMENT BANK
4. CHARACTERISTICS AND STRUCTURE OF INDIAN 16
INVESTMENT BANKING INDUSTRY
5. REGULATORY FRAMEWORK FOR INVESTMENT BANKING 23
6. THE TYPICAL HIERARCHY/LADDER WITHIN AN INVESTMENT 26
BANK
7. SKILL SUGGESTED FOR INVESTMENTBANKERS 32
8. LEADING INDIAN INVESTMENT BANKS. 36
9. RECENT TRENDS IN INVESTMENT BANKING 45
10. CASE STUDY 48
11 CONCLUSION 53