COURSEWORK ASSIGNMENT

Coursework Assignment

Table of Contents

INTRODUCTION2

DISCUSSION2

Main Characteristics Of Investment Banking Market2

Financial Features Of Goldman Sachs Investment Bank4

Products And Services Of Goldman Sachs Investment Bank5

Past And Future Strategies6

Information On Investment Banking Market8

Review Of Literature9

Environmental Factors Driving Strategies11

CONCLUSION12

References14

Coursework Assignment

Introduction

This paper intends to discuss the recent performance of Goldman Sachs investment banking firm. This paper will focus on the main industrial characteristics of the market, main financial features of the investment bank, overview of products and services it offers and the past and future strategies of the bank. Moreover, this paper will also explore about the industrial characteristics of the market, its main players, market shares and size of market. A literature review will be presented examining various dimensions of past and future prospects for the investment banking market. Lastly, significant environmental factors that are currently driving the bank's strategy and its impact on the bank performance will be analyzed. The purpose of this paper is to make the readers aware, who are already familiar with banking business in general, about the investment banking issues.

Discussion

Main Characteristics of Investment Banking Market

In order to discuss the recent performance of Goldman Sachs investment bank, there is a need to explore about the characteristics of the investment banking market firstly. Investment banks are known for raising funds to help governments and businesses. Investment banks meet their objectives by registering and issuing debt or equity to be sold in the market. The main characteristic of investment bank is that they only get involved in underwriting and selling large chunks of securities. Moreover, investment banks also provide facilitations in mergers and acquisitions. Investment banks are known for selling shares and providing financial and research consultancies to big companies. Another feature related to investment banks is that they also do not deal with the general public (Giuliano, 2010, Pp. 105-125).

The investment banking sector contributes a lot to economic growth provided it depicts the ability to derive the profits out of business securitization. Investment banks are always needed to establish long term relationships with large organizations. The nature of the investment banking industry tends to be oligopolistic. There are various characteristics that define the nature of the investment banking market. The first characteristic depicts that investment banks need to conduct extensive research for the companies they opt to provide securitization services (www.researchandmarkets.com).

Investment banks needs to perform a research that is significant enough to support the viability of the services. Investment banks must realize that strong reputation is needed to promote the securities which create the basis of private placements. Investment banks put its own reputation at risk while searching for potential buyers for any stock. Investment banks need to create high standards for due diligence and due care while formulating financial statements for investors that help them review the company's performance (Giuliano, 2010, Pp. 105-125).

Investment banks like every other bank are always in a need to create a relationship that fosters trust. Investment banks need to be very careful while providing opinions for the future prospects of any ...