Incredible Investment Tips by Martin Lustgarten

Investment banking

An investment bank is a brokerage unit linked to financial-related services for businesses and institutions. Investment banks help in the creation of capital by underwriting new debts or acting as client’s agent in the issuance and placement of stock. They also assist companies involved in restructuring, sales, and mergers and acquisitions. Furthermore, an investment bank may provide ancillary services such as equity securities, derivatives trading, and market making.

Upon the passage of Glass-Steagall Act of 1993, the United States maintains a separation between commercial and investment banking. Nonetheless, industrialized countries such as G7 countries have historically not separated the two entities. Unlike commercial banks, investment banks do not accept deposits. As part of Dodd-Frank Act of 2010, the United States asserts some institutional separation between the two banking sectors.

Investment banking may be subdivided into the sell side and the buy side. The sell side involves the promotion and exchange of securities for cash or other securities. Conversely, the buy side specializes in the provision of advisory services to businesses and institutions involved in investment services. Some of the buy side entities include hedge funds, mutual funds, unit trusts and life insurance.

Investment banking may also be split into public and private units. The public unit deals with publicly disclosed information such as data analysis while the private unit deals with insider information. The United States requires all its investment advisors to be licensed as broker-dealer and subject to FNRA regulations and the Securities and Exchange Commission.

About Martin Lustgarten

Martin Lustgarten is among the world’s smartest experts in investment banking. As a citizen of Venezuela and Austria, Martin leverages his dual citizenship to extend his financial advisory services across the world. Over the years, Martin has always embarked on international investments as they reduce risks such as inflation and tax fluctuation.

As an expert in observing market trends, Martin acts quickly before the market fluctuates. Martin’s capacity to navigate market shifts has been instrumental in his success. He works incredibly smart to find the best possible investment opportunities for his clients. Therefore, investors wishing to retire successfully should implement Martin’s moves, and they will go places.

How Investment Bankers Make Money

If you are like most people, then you are most familiar with one kind of banking. This is retail banking. This is your local bank that you visit to make deposits, withdraw cash and where you may have set up a direct deposit. This is known as retail banking.

Did you know that there is another kind of banking, known as investment banking? This is another side of banking that involves investing money to turn a profit. Investment banks do some things that regular, retail banks do not. Here are a few of them below.

Investment banks can help corporations as well as smaller firms go through mergers and acquisitions. Your local retail bank probably won’t do that. They may have a separate division or company that would be incorporated as an investment bank do that. Other things that investment bankers can do is assist with restructuring of a company. Restructuring involves changing the management, perhaps eliminating some departments or adding a few departments to make a company more productive or profitable.

Investment banks will also invest directly in companies. They can sometimes purchase a company completely and manage it themselves. Other times, they will have ownership but leave management to the company’s previous owners or hire a management firm to oversee their new asset. Investment bankers also love to purchase equity stakes in companies. Unlike retail banks, investment banks are also free to purchase, sell and trade company stocks on the stock market like a stockbroker. They will also trade commodities such as rice, silver, oil and pork bellies. The goal here is to buy when prices are low and then sell them at a higher price, thus making a profit.

 

The Investment Banker, Martin Lustgarten

Martin Lustgarten is an investment banker who hails from Austria, Europe. He has worked in Venezuela for many years as an investment banker and has made a name for himself there. Mr. Lustgarten holds both Austrian citizenship and Venezuelan citizenship. He is fluent in both German, English and Spanish.

Currently, Mr. Lustgarten operates an investment firm known as Lustgarten Martin. He named the company after himself. Working out of Florida, Martin Lustgarten continues to have many dealings in South America, which is a region that he is an expert in.