In an "underwriting" the investment banker guarantees the firm selling the securities a specified amount.

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In an underwriting, the investment banker guarantees the firm selling the securities a specified amount, which means that they will purchase the securities from the firm and resell them to the public. This provides the firm with assurance that they will receive the amount they are looking to raise through the sale of the securities.

In an "Underwriting" the Investment Banker Guarantees the Firm Selling