While they now have many similar activities, there are still some differences between an investment bank and a commercial bank. What are the two biggest differences? Explain.
2 Biggest differences between investment and commercial
banks
1. Investment banks do not directly receive deposits of public in
terms of demand deposits and fixed deposits and receive only from
few investors whereas Banks get their funds from deposits by
public.
2. Investment banks are involved in IPO, underwriting , mergers and
acquisitions , etc . Commercial banks primary purpose is to lend
money to business and small retail loans.
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