Industrial analysis presentation Ivana Siako Kwemo Investment banking and securities 523110

Industry Overview The banking industry is composed of companies and individuals that provide a range of securities services, including investment banking and security trading services. They also offer banking and wealth management services and engage in proprietary trading to varying degrees. Investment banking services include securities underwriting and corporate financial services while trading services include market making and broker-dealer services. This industry has a revenue of over 282 billion dollars in the united states. JP Morgan & Co, which is the biggest and the largest investment institution grosses about 92 billion, in other words 23% of the industry. Bank of America Merrill Lynch makes over 85 billion, which is about 20% of the industry and finally the Goldman Sachs Group Inc. making around 41 billion dollars, about 11% of the industry. Even though these 3 companies kind of governs the investment sector, we could find other institutions such as Citi group bank, Morgan Stanley, Vanguard growing rapidly.

Trends and Novelties It is no news hat digitalization and new technologies has become the major issue today. Everything could be done in a matter of seconds. Computers, IPad and phones are the new trends today and the investment sector is no exception. Stock rates and securities could be seen on our phones and computers at any given time. Investing, wiring money and keeping on, on the day to day activities of the stock market is easier and definitely more practical. People will tend to read their stocks at home or at work by themselves, getting alerts from their phones is anything happens, than making any call to the stock brokers and bankers. Eventually, this has brought some problems too. Bankers, brokers and managers looses their points and clients as they tend to have limited use now that their clients could get information and get things done from the comfort of their houses.

Market target As previously said, the new trend is technology and only the youths do keep up with these novelties. There are applications created everyday to ease and facilitate transactions and transfer of information. For example; Apple Pay which basically facilitate the purchase of an item by using your phone instead of a credit card. In general, the size of the population that is targeted is the active population ageing from 16 years old to 66 years old because they are the one capable to invest money. Most these investors could be already working individuals, that is those with full time jobs. Certain investment entities actually centers around men between 24-55 years old, as they are more liable to invest than women.

Competitors Europe banking economy has been growing a lot faster these recent years, making hundreds of billions. The credit Suisse in Switzerland has revenues of more than 32 millions euros, UBS which is not a bank but an actual investment company specialized in real estates and securities makes over 27 million euros and the Deutsche bank in Germany, generating around 32 million euros. These investment entities may have not welcomed the innovations overnight but are certainly trying to keep up with the trends. They still prefer and prioritize client to banker interaction than technology. Even if this does not enhance or decrease their efficiency. Their economy is booming and is fast growing.