Answer to Question #154515 in Management for Prabhdeep

Question

investment management is the value added service for the customers. how it creates the revenue for the bank

Answer 1

 Investment banks manage their customers’ investment portfolios and are in return paid through fees and commissions. These customers could be the government, private companies, and investment funds. Investment management is necessary to ensure short and long-term strategies are formulated for buying and selling portfolio holdings, budgeting, tax services, and banking. The profit generated is beneficial to both the bank and its customers.