Investment: Concept and its Variables

Investment

Investment is an economic concept linked to the placement of capital to achieve a future profit . This means that the investor resigns an immediate benefit for a future that is unlikely but that, in principle, should be greater than the current one.

The Investment Includes three main Variables:

  • the expected return (how much money is expected to be earned)
  • the risk (what is the probability of obtaining the expected profit)
  • the time (when that gain would be achieved).

Among the activities of the investment bank is the sale of complete divisions among companies , the issuance of bonds, mergers, taking out companies on the Stock Exchange, the design and execution of the Public Offering (OPA) and the trading operations in large-scale financial markets. It should be mentioned that, unlike the previous one, it does not have many small branches, but with a few of considerable dimensions.

Investment banking has much less stable benefits. To make this difference in perspective, during the good times of the economy , their earnings are much greater than those of commercial banks, but this situation is reversed considerably in times of slowdown, to the point of causing sharp falls and losses. The latter, it should be noted, is not an indication of the overall economic health of a country, but is normal phenomena throughout the life cycle of investment banking.

  • Transactions, mergers and acquisitions: They advise you on financial transactions such as:
  • Mergers and Acquisitions: Focusing on the continuity of the transaction, from strategy, through execution and to post-transaction integration, including operational and financial due diligence, access to capital markets and valuation, negotiation and structuring of transactions.
  • Strategic assessment and assessment: They provide expert assessment advice to companies. Mark Attanasio Toronto evaluate the financial implications of, for example: corporate debt, restructuring, investments, mergers and joint ventures. They advise on better managing assets and capital investments in competitive environments or in times of uncertainty. They evaluate the technical, operational, market and financial risks.
  • Growth or decrease and development of exit strategies: The professionals of Mark Attanasio Hillcrest help you complete and extract the maximum value of transactions.

Equity Capital Markets:

The team of Donato Sferra advises in all stages of the IPO process through the Alternative Stock Market (MAB) and continuous market that need to expand their business obtaining new financing.

Corporate Broker:

  • Consulting in the relationship with investors.
  • Institutional stock market analysis, committing themselves to the recurrent elaboration of quality and depth reports.

Debt Capital Markets:

They have national and international experience in advising capital portfolios with deep knowledge of the structuring of balance sheets.

They have a group of specialists like Donato Sferra Toronto in the debt market who, since independence, advises their clients on bond issues, evaluating the viability of the issue and, among others:

  • Advising on the most appropriate placement market (including private placements).
  • Preparing the issue, selection and coordination of placement banks.
  • Supporting the processes of obtaining ratings, etc.

Trading:

They have an experienced team of fixed income and variable income professionals like Donato Sferra Hillcrest. The placement of bonds, promissory notes and other debt instruments in the capital market, especially in MARF and AIAF, as well as placement of shares in IPOs in MAB and in the Continuo and the purchase / sale of emissions already in circulation.

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