1. Market-making business: Investment banks create markets for securities trading and create liquidity for the securities market by quoting prices for securities trading.
2. Proprietary trading business: the business of investment banks trading with their own or raised funds in the secondary market through their own accounts to obtain the price difference. At this time, investment banks are called traders or traders.
Extended data:
Proprietary trading conditions:
It is qualified as a legal person in the securities industry, abides by securities laws and regulations, has a certain scale of operation, its registered capital reaches the statutory standard, its securities business personnel and management personnel reach the prescribed number, and it has a fixed business place and necessary facilities.
trait
First of all, investment banks must invest a certain amount of money to meet the needs of capital turnover.
Second, the main purpose is to obtain the bid-ask price difference.
3. There is no handling fee.
Fourth, bear the trading risks yourself.
Baidu encyclopedia-proprietary trading