What Is The Difference Between An "Investment Banker" And An "Investment Manager"???

Answer 1

Investment Banker -

A broker of stocks who acts as an underwriter of securities. The investment banker can act as principal by buying the entire issue from the selling corporation or from selling shareholders, or as agent by selling the offering on a "best-efforts" basis. In either event, the investment banker sells the issue to other dealers who together with the lead banker have formed an underwriting syndicate. Members of the syndicate in turn sell the shares to the investing public and to institutional investors such as pension funds (see retirement plan) or mutual funds. Investment banking is not banking as generally defined, and investment banking activities are illegal for commercial banks.

Now-a-days firms making assesment for raising funds for new companies are also called investment Banker.


INVESTMENT MANAGER OR ADVISOR -

Person or firm supplying buy-sell recommendations and market information to investment clients. Investment advisors are required to register with the Securities and Exchange Commission, and, under the Investment Advisors Act of 1940, disclose any conflicts of interest in recommendations they offer. In general, banks may give limited amounts of investment advice to retail customers, but there are few legal restrictions on investment advice to institutional accounts, such as pension funds, investment management firms and also corporate accounts.

Bank trust departments provide advice and make investments for pension and profit-sharing plans, individual estates, and others. Banks are also active as investment advisors for open-end investment companies-mutual funds-sold to retail and institutional investors, making investment recommendations and managing the securities held in a mutual fund's portfolio.-

Answer 2

Depends how you look at it. Basically, not much. The casino does not have a great edge, but about 97% of the money goes back to its customers. The trick is that it goes to about 2-3% of the gamblers. So if you have a good trading system you will do well at the casino, you need to calculate the odds. Investing is betting that a stock, or futures contract, or commodity, or FOREX currency pair, or bonds will go up or down depending on which way you are betting. You put on an asset that you think has the odds in your favour. The truth is, people think it is all fun and games and its easy to make money in investing/trading. It's not. Look at the DOW Jones IA, over 10 years we have returned an amazing ZERO PER CENT! The Dow was 10k in 1999. It is just a little over that. Now take inflation at 5%+ a year (don't believe 3% or whatever, just look at the price of meat, petrol/gasoline, and other everyday goods and services), and you have lost money. Then out of the 30 stocks that were around in 1999, not all are in there now, in fact many have been taken out over 10 years, due to major losses, and in some cases bankruptcy. In other words after inflation and index adjustments, you would have actually been down over 10 years. Point is, it is all about timing. You can make money in either form!

Answer 3

They're 2 really broad titles as each general position is much more specialized.

Investment bankers facilitate with buying/selling of businesses as well as raising capital. They are paid by how many deals they do and the fees the firm earns because of such deals

Investment managers allocate assets in different investments. They are paid a tiny % of the asset under management and sometimes a bonus if certain performance targets are met