Which of the following is the process by which investment bankers purchase new securities directly from the issuing company and resell them to the public?

Question

Quizplus · Accepted Answer

Underwriting is the process by which investment bankers purchase new securities directly from the issuing company and resell them to the public. This involves the investment banker assuming the risk of purchasing all the securities from the company and then reselling them to the public at a higher price, thus earning a profit on the transaction.

Which of the Following Is the Process by Which Investment