A company may use merchant banks to:

Question

Quizplus · Accepted Answer

Merchant banks are typically used by companies to act as both a financial agency institution and a financial intermediary. As a financial agency institution, the merchant bank provides services such as underwriting securities, facilitating mergers and acquisitions, and advising on investment decisions. As a financial intermediary, the merchant bank helps to facilitate the flow of capital between borrowers and lenders, often by purchasing and selling securities on behalf of clients.

A Company May Use Merchant Banks To