An investment bank is a financial services company or corporate division that engages in advisory-based financial transactions on behalf of individuals and governments. Traditionally associated with corporate finance, such a bank might assist in raising financial capital by underwriting or acting as the client's agent in the issuance of securities. An investment bank may assist companies involved in mergers and acquisitions and provide ancillary services such as market making, trading of derivatives and equity securities, FICC services. Most investment banks maintain prime brokerage and asset management departments in conjunction with their investment research businesses; as an industry, it is broken up into the Bulge Bracket, Middle Market, boutique market. Unlike commercial banks and retail banks, investment banks do not take deposits. From the passage of Glass–Steagall Act in 1933 until its repeal in 1999 by the Gramm–Leach–Bliley Act, the United States maintained a separation between investment banking and commercial banks.
Other industrialized countries, including G7 countries, have not maintained such a separation. As part of the Dodd–Frank Wall Street Reform and Consumer Protection Act of 2010, the Volcker Rule asserts some institutional separation of investment banking services from commercial banking. All investment banking activity is classed as either "sell side" or "buy side"; the "sell side" involves trading securities for cash or for other securities, or the promotion of securities. The "buy side" involves the provision of advice to institutions. Private equity funds, mutual funds, life insurance companies, unit trusts, hedge funds are the most common types of buy-side entities. An investment bank can be split into private and public functions with a Chinese wall separating the two to prevent information from crossing; the private areas of the bank deal with private insider information that may not be publicly disclosed, while the public areas, such as stock analysis, deal with public information. An advisor who provides investment banking services in the United States must be a licensed broker-dealer and subject to U.
S. Securities and Exchange Commission and Financial Industry Regulatory Authority regulation; the Dutch East India Company was the first company to issue bonds and shares of stock to the general public. It was the first publicly traded company, being the first company to be listed on an official stock exchange; the Dutch helped lay the foundations of the modern practice of investment banking. Investment banking has changed over the years, beginning as a partnership firm focused on underwriting security issuance, i.e. initial public offerings and secondary market offerings and mergers and acquisitions, evolving into a "full-service" range including securities research, proprietary trading, investment management. In the 21st century, the SEC filings of the major independent investment banks such as Goldman Sachs and Morgan Stanley reflect three product segments: investment banking, asset management, trading and principal investments. In the United States, commercial banking and investment banking were separated by the Glass–Steagall Act, repealed in 1999.
The repeal led to more "universal banks" offering an greater range of services. Many large commercial banks have therefore developed investment banking divisions through acquisitions and hiring. Notable large banks with significant investment banks include JPMorgan Chase, Bank of America, Credit Suisse, Deutsche Bank, UBS, Barclays. After the financial crisis of 2007–08 and the subsequent passage of the Dodd-Frank Act of 2010, regulations have limited certain investment banking operations, notably with the Volcker Rule's restrictions on proprietary trading; the traditional service of underwriting security issues has declined as a percentage of revenue. As far back as 1960, 70% of Merrill Lynch's revenue was derived from transaction commissions while "traditional investment banking" services accounted for 5%. However, Merrill Lynch was a "retail-focused" firm with a large brokerage network. Investment banking is split into front office, middle office, back office activities. While large service investment banks offer all lines of business, both "sell side" and "buy side", smaller sell-side investment firms such as boutique investment banks and small broker-dealers focus on investment banking and sales/trading/research, respectively.
Inns issuing securities and investors buying securities. For corporations, investment bankers offer information on when and how to place their securities on the open market, an activity important to an investment bank's reputation. Therefore, investment bankers play a important role in issuing new security offerings. Front office is described as a revenue-generating role. There are two main areas within front office: investment banking and markets Investment banking involves advising organizations on mergers and acquisitions, as well as a wide array of capital raising strategies. Markets is divided into "sales and trading", "research". Corporate finance is the aspect of investment banks, which involves helping customers raise funds in capital markets and giving advice on mergers and acquisitions
Haiti the Republic of Haiti and called Hayti, is a country located on the island of Hispaniola, east of Cuba in the Greater Antilles archipelago of the Caribbean Sea. It occupies the western three-eighths of the island. Haiti is 27,750 square kilometres in size and has an estimated 10.8 million people, making it the most populous country in the Caribbean Community and the second-most populous country in the Caribbean as a whole. The region was inhabited by the indigenous Taíno people. Spain landed on the island on 5 December 1492 during the first voyage of Christopher Columbus across the Atlantic; when Columbus landed in Haiti, he had thought he had found India or China. On Christmas Day 1492, Columbus's flagship the Santa Maria ran aground north of what is now Limonade; as a consequence, Columbus ordered his men to salvage what they could from the ship, he created the first European settlement in the Americas, naming it La Navidad after the day the ship was destroyed. The island was claimed by Spain, which ruled until the early 17th century.
Competing claims and settlements by the French led to the western portion of the island being ceded to France, which named it Saint-Domingue. Sugarcane plantations, worked by slaves brought from Africa, were established by colonists. In the midst of the French Revolution and free people of color revolted in the Haitian Revolution, culminating in the abolition of slavery and the defeat of Napoleon Bonaparte's army at the Battle of Vertières. Afterward the sovereign state of Haiti was established on 1 January 1804—the first independent nation of Latin America and the Caribbean, the second republic in the Americas, the only nation in the world established as a result of a successful slave revolt; the rebellion that began in 1791 was led by a former slave and the first black general of the French Army, Toussaint Louverture, whose military genius and political acumen transformed an entire society of slaves into an independent country. Upon his death in a prison in France, he was succeeded by his lieutenant, Jean-Jacques Dessalines, who declared Haiti's sovereignty and became the first Emperor of Haiti, Jacques I.
The Haitian Revolution lasted just over a dozen years. The Citadelle Laferrière is the largest fortress in the Americas. Henri Christophe—former slave and first king of Haiti, Henri I—built it to withstand a possible foreign attack, it is a founding member of the United Nations, Organization of American States, Association of Caribbean States, the International Francophonie Organisation. In addition to CARICOM, it is a member of the International Monetary Fund, World Trade Organization, the Community of Latin American and Caribbean States, it has the lowest Human Development Index in the Americas. Most in February 2004, a coup d'état originating in the north of the country forced the resignation and exile of President Jean-Bertrand Aristide. A provisional government took control with security provided by the United Nations Stabilization Mission in Haiti; the name Haiti comes from the indigenous Taíno language, the native name given to the entire island of Hispaniola to mean, "land of high mountains."
The h is silent in French and the ï in Haïti has a diacritical mark used to show that the second vowel is pronounced separately, as in the word naïve. In English, this rule for the pronunciation is disregarded, thus the spelling Haiti is used. There are different anglicizations for its pronunciation such as HIGH-ti, high-EE-ti and haa-EE-ti, which are still in use, but HAY-ti is the most widespread and best-established; the name was restored by Haitian revolutionary Jean-Jacques Dessalines as the official name of independent Saint-Domingue, as a tribute to the Amerindian predecessors. In French, Haiti's nickname is the "Pearl of the Antilles" because of both its natural beauty, the amount of wealth it accumulated for the Kingdom of France. At the time of European conquest, the island of Hispaniola, of which Haiti occupies the western three-eighths, was one of many Caribbean islands inhabited by the Taíno Native Americans, speakers of an Arawakan language called Taino, preserved in the Haitian Creole language.
The Taíno name for the entire island was Haiti. The people had migrated over centuries into the Caribbean islands from South America. Genetic studies show, they originated in Central and South America. After migrating to Caribbean islands, in the 15th century, the Taíno were pushed into the northeast Caribbean islands by the Caribs. In the Taíno societies of the Caribbean islands, the largest unit of political organization was led by a cacique, or chief, as the Europeans understood them; the island of Haiti was divided among five Caciquats: the Magua in the north east, the Marien in the north west, the Xaragua in the south west, the Maguana in the center region of Cibao and the Higuey in the south east. The caciquedoms were tributary kingdoms, with payment consisting of harvests. Taíno cultural artifacts include cave paintings in several locations in the country; these have become national symbols of tourist attractions. Modern-day Léogane started as a French colonial town in the southwest, is beside the former capital of the caciquedom of Xaragua.
Aventura is a planned, suburban city in northeastern Miami-Dade County, United States, 18 miles north of the city of Miami, FL. The city name is from the Spanish word for "adventure", was named "Aventura" after the developers of the original group of condominiums in the area, Eddie Lewis and Don Soffer, remarked "What an adventure this is going to be."According to the U. S. Census estimates of 2010, the city had a population of 35,762. Being referred to as Turnberry, Aventura began to be developed during the early 1970s and became an incorporated city in 1995; the Aventura Police Department was formed in 1997. Aventura is home to the luxury resort Turnberry Isle, where the yacht Monkey Business was docked during the Gary Hart/Donna Rice incident, which contributed to Hart ending his 1988 bid for the presidency. Aventura is home to the Aventura Mall, the fifth-largest shopping mall in the US. Built in 1983, it is a joint venture of Turnberry Associates and Simon Property, brings a major source of income to the city.
In early 2001, Former US President Bill Clinton delivered one of his first speeches after leaving the White House at Aventura-Turnberry Jewish Center. Aventura News is Aventura's own newspaper, published weekly and is part of the Miami Community Newspapers, The Voice of the Community. Aventura is served by the Miami–Ft. Lauderdale market for local television; the city has a magazine named Aventura Magazine and is served by The Miami Herald and El Nuevo Herald. Aventura is located at 25°57′52″N 80°08′09″W. According to the United States Census Bureau, the city has an area of 3.5 square miles. Of that, 2.7 sq mi is land and 0.8 sq mi of it is water. Hallandale Beach Hallandale Beach Hallandale Beach Ojus Golden Beach, Sunny Isles Beach North Miami Beach Sunny Isles Beach North Miami Beach Aventura has a tropical monsoon climate with hot and humid summers and short, warm winters, with a marked drier season in the winter; the city sees most of its rain in the summer and is dry in winter. The wet season, hot and humid, lasts from May to September, when it gives way to the dry season, which features mild temperatures with some invasions of colder air, when the little winter rainfall occurs-with the passing of a front.
The hurricane season coincides with the wet season. In addition to its sea-level elevation, coastal location and position just north of the Tropic of Cancer, the area owes its warm, humid climate to the Gulf Stream, which moderates climate year-round. A typical summer day does not see temperatures below 75 °F. Temperatures in the high 80s to low 90s accompanied by high humidity are relieved by afternoon thunderstorms or a sea breeze that develops off the Atlantic Ocean, which allow lower temperatures, although conditions still remain muggy. During winter, humidity is lower, allowing for cooler weather to develop. Average minimum temperatures during that time are around 59 °F dipping below 40 °F, the equivalent maxima range between 65 and 75 °F. Hurricane season begins June 1 and is over November 30. Aventura was hit by Hurricane Wilma on October 24, 2005 and was still undergoing recovery as of November 2011; the library has been rebuilt. Terraces flew off of high-rises and condos on high floors were flooded with many of their walls exploding into next-door apartments and adjacent hallways.
Countless high-rise windows exploded and electricity stopped. In 2010, there were 26,120 households out; as of 2000, 11.3% had children under the age of 18 living with them, 39.6% were married couples living together, 6.2% had a female householder with no husband present, 52.2% were non-families. 45.3% of all households were made up of individuals and 23.2% had someone living alone, 65 years of age or older. The average household size was 1.79 and the average family size was 2.45. In 2000, the city population was spread out with 10.1% under the age of 18, 4.6% from 18 to 24, 26.5% from 25 to 44, 23.6% from 45 to 64, 35.2% who were 65 years of age or older. The median age was 53 years. For every 100 females, there were 80.2 males. For every 100 females age 18 and over, there were 77.9 males. As of 2000, the median income for a household in the city was $44,526, the median income for a family was $59,507. Males had a median income of $50,791 versus $37,682 for females; the per capita income for the city was $41,092.
About 5.6% of families and 9.1% of the population were below the poverty line, including 8.5% of those under age 18 and 8.5% of those age 65 or over. As of 2000, speakers of English as their first language accounted for 59.92% of the population, while Spanish accounted for 22.63% of residents. It has a Jewish population. Other languages spoken include Portuguese 2.65%, French 2.40%, Russian 1.75%, German at 1.46% of city residents. As of 2000, Aventura had the seventeenth-highest percentage of Brazilian residents in the US, with 1.9% of the US populace. The thirtieth-highest percentage of Colombian residents in the US, at 4.25% of the city's population, the ninety-second-highest percentage of Cuban residents in the US, at 2.89% of the city's population. It had the twelfth-most Israelis in the US, at 2.4%, while it had the thirteenth-highest percentage of Romanians at 1.8% of all residents. Aventura's Russian community had the twenty-fifth-highest percentage of residents, at 12.4%, while it was the thirteenth-highest Venezuelan community
A bank is a financial institution that accepts deposits from the public and creates credit. Lending activities can be performed either indirectly through capital markets. Due to their importance in the financial stability of a country, banks are regulated in most countries. Most nations have institutionalized a system known as fractional reserve banking under which banks hold liquid assets equal to only a portion of their current liabilities. In addition to other regulations intended to ensure liquidity, banks are subject to minimum capital requirements based on an international set of capital standards, known as the Basel Accords. Banking in its modern sense evolved in the 14th century in the prosperous cities of Renaissance Italy but in many ways was a continuation of ideas and concepts of credit and lending that had their roots in the ancient world. In the history of banking, a number of banking dynasties – notably, the Medicis, the Fuggers, the Welsers, the Berenbergs, the Rothschilds – have played a central role over many centuries.
The oldest existing retail bank is Banca Monte dei Paschi di Siena, while the oldest existing merchant bank is Berenberg Bank. The concept of banking may have begun in ancient Assyria and Babylonia, with merchants offering loans of grain as collateral within a barter system. Lenders in ancient Greece and during the Roman Empire added two important innovations: they accepted deposits and changed money. Archaeology from this period in ancient China and India shows evidence of money lending. More modern banking can be traced to medieval and early Renaissance Italy, to the rich cities in the centre and north like Florence, Siena and Genoa; the Bardi and Peruzzi families dominated banking in 14th-century Florence, establishing branches in many other parts of Europe. One of the most famous Italian banks was the Medici Bank, set up by Giovanni di Bicci de' Medici in 1397; the earliest known state deposit bank, Banco di San Giorgio, was founded in 1407 at Italy. Modern banking practices, including fractional reserve banking and the issue of banknotes, emerged in the 17th and 18th centuries.
Merchants started to store their gold with the goldsmiths of London, who possessed private vaults, charged a fee for that service. In exchange for each deposit of precious metal, the goldsmiths issued receipts certifying the quantity and purity of the metal they held as a bailee; the goldsmiths began to lend the money out on behalf of the depositor, which led to the development of modern banking practices. The goldsmith paid interest on these deposits. Since the promissory notes were payable on demand, the advances to the goldsmith's customers were repayable over a longer time period, this was an early form of fractional reserve banking; the promissory notes developed into an assignable instrument which could circulate as a safe and convenient form of money backed by the goldsmith's promise to pay, allowing goldsmiths to advance loans with little risk of default. Thus, the goldsmiths of London became the forerunners of banking by creating new money based on credit; the Bank of England was the first to begin the permanent issue of banknotes, in 1695.
The Royal Bank of Scotland established the first overdraft facility in 1728. By the beginning of the 19th century a bankers' clearing house was established in London to allow multiple banks to clear transactions; the Rothschilds pioneered international finance on a large scale, financing the purchase of the Suez canal for the British government. The word bank was taken Middle English from Middle French banque, from Old Italian banco, meaning "table", from Old High German banc, bank "bench, counter". Benches were used as makeshift desks or exchange counters during the Renaissance by Jewish Florentine bankers, who used to make their transactions atop desks covered by green tablecloths; the definition of a bank varies from country to country. See the relevant country pages under for more information. Under English common law, a banker is defined as a person who carries on the business of banking by conducting current accounts for his customers, paying cheques drawn on him/her and collecting cheques for his/her customers.
In most common law jurisdictions there is a Bills of Exchange Act that codifies the law in relation to negotiable instruments, including cheques, this Act contains a statutory definition of the term banker: banker includes a body of persons, whether incorporated or not, who carry on the business of banking'. Although this definition seems circular, it is functional, because it ensures that the legal basis for bank transactions such as cheques does not depend on how the bank is structured or regulated; the business of banking is in many English common law countries not defined by statute but by common law, the definition above. In other English common law jurisdictions there are statutory definitions of the business of banking or banking business; when looking at these definitions it is important to keep in mind that they are defining the business of banking for the purposes of the legislation, not in general. In particular, most of the definitions are from legislation that has the purpose of regulating and supervising banks rather than regulating the actual business of banking.
However, in many cases the statutory definition mirrors the common law one. Examples of statutory definitions: "banking business" means the business of receiving money on current or deposit account and collecting cheques drawn by or paid in by customers, the making
Insurance is a means of protection from financial loss. It is a form of risk management used to hedge against the risk of a contingent or uncertain loss. An entity which provides insurance is known as an insurer, insurance company, insurance carrier or underwriter. A person or entity who buys insurance is known as a policyholder; the insurance transaction involves the insured assuming a guaranteed and known small loss in the form of payment to the insurer in exchange for the insurer's promise to compensate the insured in the event of a covered loss. The loss may or may not be financial, but it must be reducible to financial terms, involves something in which the insured has an insurable interest established by ownership, possession, or pre-existing relationship; the insured receives a contract, called the insurance policy, which details the conditions and circumstances under which the insurer will compensate the insured. The amount of money charged by the insurer to the Policyholder for the coverage set forth in the insurance policy is called the premium.
If the insured experiences a loss, covered by the insurance policy, the insured submits a claim to the insurer for processing by a claims adjuster. The insurer may hedge its own risk by taking out reinsurance, whereby another insurance company agrees to carry some of the risk if the primary insurer deems the risk too large for it to carry. Methods for transferring or distributing risk were practiced by Chinese and Babylonian traders as long ago as the 3rd and 2nd millennia BC, respectively. Chinese merchants travelling treacherous river rapids would redistribute their wares across many vessels to limit the loss due to any single vessel's capsizing; the Babylonians developed a system, recorded in the famous Code of Hammurabi, c. 1750 BC, practiced by early Mediterranean sailing merchants. If a merchant received a loan to fund his shipment, he would pay the lender an additional sum in exchange for the lender's guarantee to cancel the loan should the shipment be stolen, or lost at sea. Circa 800 BC, the inhabitants of Rhodes created the'general average'.
This allowed groups of merchants to pay to insure their goods being shipped together. The collected premiums would be used to reimburse any merchant whose goods were jettisoned during transport, whether due to storm or sinkage. Separate insurance contracts were invented in Genoa in the 14th century, as were insurance pools backed by pledges of landed estates; the first known insurance contract dates from Genoa in 1347, in the next century maritime insurance developed and premiums were intuitively varied with risks. These new insurance contracts allowed insurance to be separated from investment, a separation of roles that first proved useful in marine insurance. Insurance became far more sophisticated in Enlightenment era Europe, specialized varieties developed. Property insurance as we know it today can be traced to the Great Fire of London, which in 1666 devoured more than 13,000 houses; the devastating effects of the fire converted the development of insurance "from a matter of convenience into one of urgency, a change of opinion reflected in Sir Christopher Wren's inclusion of a site for'the Insurance Office' in his new plan for London in 1667."
A number of attempted fire insurance schemes came to nothing, but in 1681, economist Nicholas Barbon and eleven associates established the first fire insurance company, the "Insurance Office for Houses," at the back of the Royal Exchange to insure brick and frame homes. 5,000 homes were insured by his Insurance Office. At the same time, the first insurance schemes for the underwriting of business ventures became available. By the end of the seventeenth century, London's growing importance as a center for trade was increasing demand for marine insurance. In the late 1680s, Edward Lloyd opened a coffee house, which became the meeting place for parties in the shipping industry wishing to insure cargoes and ships, those willing to underwrite such ventures; these informal beginnings led to the establishment of the insurance market Lloyd's of London and several related shipping and insurance businesses. The first life insurance policies were taken out in the early 18th century; the first company to offer life insurance was the Amicable Society for a Perpetual Assurance Office, founded in London in 1706 by William Talbot and Sir Thomas Allen.
Edward Rowe Mores established the Society for Equitable Assurances on Lives and Survivorship in 1762. It was the world's first mutual insurer and it pioneered age based premiums based on mortality rate laying "the framework for scientific insurance practice and development" and "the basis of modern life assurance upon which all life assurance schemes were subsequently based."In the late 19th century "accident insurance" began to become available. The first company to offer accident insurance was the Railway Passengers Assurance Company, formed in 1848 in England to insure against the rising number of fatalities on the nascent railway system. By the late 19th century governments began to initiate national insurance programs against sickness and old age. Germany built on a tradition of welfare programs in Prussia and Saxony that began as early as in the 1840s. In the 1880s Chancellor Otto von Bismarck introduced old age pensions, accident insurance and medical care that formed the basis for Germany's welfare state.
In Britain more extensive legislation was introduced by the Liberal government in the 1911 National Insurance Act. This gave the British working classes the first contributory system of insurance against illness and unemployment; this system was expanded after the Second World War under the inf