Industry Information:
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Banking
Although commercial and investment banking share many same aspects, they do have fundamental differences.
Commercial Bank is a financial institution that provides services such as accepting deposits and giving business loans. Loans from commercial banks to individuals are structured as private legally binding contracts between two parties – the bank and an individual, or the bank and a company.
Investment banking activities are different from those of commercial banking, which include underwriting, acting as an intermediary which matches buyers and sellers of securities, acting as a broker for institutional clients, facilitating mergers and acquisitions, and providing research services.
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