FINC 350 Chapter 15, Investment Banking: Public and Private Placement Compiled Q & A.

Chapter 15 Investment Banking: Public and Private Placement True / False Questions 1. The investment banker is someone who buys large new issues of stocks and then sells them to the public after their price has risen. True False 2. The whole area of investment banking is becoming more competitive. True False 3. An investment banker acts as a middleman between a corporation needing funds and investors with funds. True False 4. As a middleman, the investment banker is responsible for designing and packaging a security offering and selling it to the public. True False 5. The years 2008 and 2009 are likely to go down in history as one of the worst environments for companies wishing to go public. True False