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what is the difference between commercial banking and 
investment banking?
 Question Submitted By :: Finance
I also faced this Question!!     Answer Posted By  
# 1
An investment banker arranges for financing a business by
selling its stock to the public, arranging a merger, or
taking a business public whereas Commercial banking can
refer to a bank or a division of a bank that mostly deals
with deposits and loans from corporations or large
businesses, as opposed to normal individual members of the
public (retail banking).
Is This Answer Correct ?    48 Yes 6 No
# 2
Is This Answer Correct ?    37 Yes 6 No
Shaik Bajivali
# 3
Investment banks profit from companies and governments by
raising money through issuing and selling securities in the
capital markets (both equity and bond), as well as
providing advice on transactions such as mergers and
acquisitions. Until the late 1980s, the United States and
Canada maintained a separation between investment banking
and commercial banks.
Is This Answer Correct ?    18 Yes 5 No
Sonal Sondhi
# 4
Investment bank is a financial institution that work as an
intermediary in the capital market, thereby aiding in the
issue of securities and managing the corporate mergers and
aquisition. so they are not working as a part of bank. They
perform thier role as a separate enitity.

Commercial Banks are those banks which are involved mainly
in accepting and lending of deposits, basically all the
banking activities.
Is This Answer Correct ?    10 Yes 1 No
Shubham Agarwal
# 5
Commercial banking deals basically in 5 things.

1.Taking the deposits from retail investors ,companies and other non profit organization.

2. Making loan and advancement to the above mentioned entities.
3. Offering the services to people for running their business by offering different account facilities like current ac, saving ac, bill discounting.
4. Help the society by giving education loan or loan to weaker sections.
5. To help the economy by offering guarantees like letter of credit and investing in the government securities and giving loan to government at the time of crisis.

But I am not sure about the investment banking if somebody knows then please post here.

with regards,
ankit dabda
Mba 2nd year
Jaypee Business School

But I am not sure about the
Is This Answer Correct ?    4 Yes 4 No
Ankit Dabda
# 6

Investment banking comprises of underwriting,an
intermediary between an issuer of securities and the
investing public, facilitating mergers and other corporate
restructuring, and also acting as a broker for
institutional clients. The basic work of investment banker
is to allot and receive the application form and money,and
refund the same as if there is partial allotment of shares.

Commercial Banking-
Commercial banks are what people typically refer to
as “banks.” A commercial bank can provide loans to
individuals and small businesses. It raises funds by
collecting deposits from these same groups of people, as
well as from interest charged on loans. It also purchases
bonds from governments and corporate entities.

The banks described above are the most common definition of
commercial banks. Commercial banking is also sometimes
defined as the provision of banking services such as
checking and loans to large businesses, as distinguished
from individual citizens. In this case, banking provided to
individuals is referred to as retail banking to
differentiate it from the second definition of commercial

Commercial banking and merchant banking both involve the
provision of financial services and advice.

Merchant banking and Investemnt Banking both are same as
they invest depositor's assets in finance portfolio and
managing these investments.

I think u all guyz r now clear......
thank you.....
Laxman S. Rathore
JIMS college-Jaipur
Is This Answer Correct ?    4 Yes 6 No
Laxman Singh Rathore
# 7
Commercial banking is also known as business banking. It is a bank that provides checking accounts, savings accounts, and money market accounts and that accepts time deposits.Unlike coom,banks I.banks dont accept and lend deposits,,,they are financial institutions that raise capital for corporates or govt.bodies and managing coporate Merger& Acquistions. 
Is This Answer Correct ?    6 Yes 9 No
Kush Sinha
# 8
Commercial Banking is nothing but making daily transactions
like depositing withdrawal and making regular course of
actions is to be known as commercial banking
Investment banking is the place where the process of
investments and analysings takes place
Is This Answer Correct ?    6 Yes 15 No

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