Merchant Banking is a term referring to a financial organization (such as commercial bank) taking a temporary position in non-financial firm (e.g., Apple Computer) with the intent to later resell the position at a profit.
a. true
b. false
Merchant banking financial organizations to provide fundraising service to the larges corporation and high net worth clients. Marchante banking does underwriting and financial advisory. Merchant bank are not commercial bank. Commercial provide all banking facilities common public but merchant bank provide fundraising service to the large corporation.
