Martin Lustgarten on investment banking. He discusses some of the basic fundamentals of this field and how they pertain to his specific business endeavors.

1. INVESTMENT BANKING AND EVERYTHING THAT IT ENTAILS
Let's first start off with the definition of investment banking. Investment banking is
defined as "creating capital." Banks do this for all sorts of groups. They do this for
government entities and other business corporations.
Investment banks and bankers deal in underwriting debts and other securities. Investment
banks and bankers provide advice on securities and stock options. No stone is left
unturned with investment banking.
Now let's break it down some more for you guys.
How many of you are familiar with the following?
1)Merrill Lynch
2)Goldman Sachs
3)JP Morgan
These are all examples of an investment bank. These companies offer advice on things
like how much your company is worth. They also deal in properly structuring your
company of you intend to merge or sell it.
What happens if a group decides to go public about a sale or something else? Companies
like these supply the documentation to be able to do this. They also help raise money to
be able to do this. Helping any kind of company to go public is not an easy thing to do.
This is why you need an investment banker to help out. Everything has to be done at the
precise time and in the precise way.
What happens when a company is looking to issue stocks to its investors?
This is precisely why you need to have an investment bank or banker. These guys act as a
middleman during the situation. Say you want to issue certain stocks to the public or a
specific investor? The banker is there to be a go-between for the company and the
investor. This guy is there in case something goes wrong and to prevent things from
going wrong.
Investment banks are constantly in competition with one another to score the best
IPOdeal. In fact, sometimes the price will be raised, depending on when it goes public
and how much someone is willing to pay.
This is why banks and the individual investors need to be careful when they do this.

2. Sometimes, in an effort to gain an edge on the competition, a bank will overvalue you the
price and worth of an investment. Which is why all investment bankers need to be careful
when acquiring an asset. Sometimes there is a major risk involved, sometimes not. Either
way, investment banking requires a great deal of skill, experience and expertise.
You can find out more about investment banking right here.