Investment banks are a major player in the economy. They help facilitate the movement of capital or money to businesses and people that need them the most. Investment banks loan out money to people to start businesses or to businesses that are looking to expand operations. For example, an investment bank can give out special loans for a company to purchase additional warehouse space, office space or manufacturing space. This in turn can stimulate the economy, by creating jobs, products and new wealth for an area. The investment bank, is a key player here.
Another way that investment banks help businesses raise capital is by helping them issue company stock and offering it for sale publicly on the stock market or privately to a limited group of investors. Investment bankers are considered experts at appraising the value of company stock and can set the price of company stock that they are offering for sale. Investment banks will also themselves buy company stock and later trade it in order to make a profit. This activity helps businesses raise money they need to hire new workers, expand a facility or launch a new product. Again, the investment bank can be seen as a facilitator and mover of capital from one player of the economy to the other.
The investment banker doesn’t just lend out money, issue stocks, buy stocks and sell stocks. They also offer financial consultation services such as helping companies go through mergers and acquisitions. They often act as middlemen or arbitrators between both parties. Their goal here is to ensure that a fair deal is done for their party and the best possible deal for their clients are reached. An investment bank can also help restructure a company to make it more productive. These are just some examples of the financial consultation services that they do.
Martin Lustgarten is an international investment banker that currently resides in Florida. He is originally from Austria, but has spent the bulk of his career in the South American nation of Venezuela. Martin has lived in Venezuela and speaks fluent Spanish in addition to German and English.
Mr. Lustgarten is the founder of boutique investment banking firm called Lustgarten Martin. It deals almost exclusively with investment in Latin America and provides investors an opportunity to invest in South America’s hottest trends. Martin Lustgarten is married and a father with several kids. His hobbies include collecting items such as luxury watches and spending time with his family.