Evolution of the Concept of Investment Banking: A Performance Evaluation of the Investment Banking Practice in Bangladesh

Abstract

This paper takes note of the progresses of operationalization of the 'Investment Banking (IB) practice in Bangladesh adopting ICB as the case for study purpose. Prior to this, a thorough study has been made on the evolution of IBS in the arena of world financial system for a better critical analysis on Bangladeshi perspective. This study offers constructive proposals for strengthening ICB, refinement of ICB's activities and improvement in the quality of service to the clients. This paper endeavors to frame an optimistic view that Investment Banking' (ICB and the subsidiary companies) practice possesses the capability to contribute strongly in ensuring a vibrant capital market in Bangladesh. The article ends with some proposals so that government of Bangladesh might play a serious role in order to ensure the shallowness of our capital market which is found conspicuous in comparison with those in our close neighbors. Unless the implementation of the policy reforms (of the kinds as suggested in this study) is expedited, the capital market will accelerate no real growth with no multiplier effect on the industrial growth process of the country.