Investment banks mainly assist clients raise funds via debt and equity offerings. This comprises methods such as credit facilities with the bank, Initial Public Offerings (IPOs), issuing and selling bonds on behalf of the client or selling shares to investors via private placements. There are three principal areas of investment banks namely asset management, sales and trading (S&T) and investment banking division (IBD). Large investment banks usually provide all the three services while smaller ones deal with the investment banking division side and mergers and acquisitions (M&A). The investment banking sector is at times known as corporate finance and is divided into two: industries and products. They all offer advice on ways of financing transactions and mergers and acquisitions.
Investment banks are classified into a “bulge bracket” bank, regional bank, and a boutique. The bulge bracket comprises of larger banks and provides a complete service line to clients. Boutique banks depend on the size and range from small held shops to big enterprises. They usually deal with an industry or a particular product. A boutique is often started by a banker who has a passion for being his/her own boss. They specialize in one or more products and industries. They also specialize in small or mid-sized deals and clients.
If an investor is interested in a financial partner to take them through the intricate path of financing a business or managing assets they go for an investment banking connection. Investment bankers provide high profile persons with strategic planning advice. They usually advise such people about the excellent opportunies of making a public offering or in asset management. Jim Dondero, a Portfolio Manager of NexPoint Credit Strategies Fund, the Co-founder and President of Highland Capital Management is a successful investment manager who has over the years given investors prudent advice on their portfolios. James Dondero has over 30 years of experience in investment banking. As the founder of Highland Capital Management, an alternative asset manager dealing with high-yield fixed income investments, Mr. Dondero is an expert in identifying the right investments and the excellent time to invest in them. The firm is superb in providing high-quality investment banking that meets the expectations of all investors that deal with the fund.
James Dondero is a competent investment banker who over the years has brought investment bank’s access to investors, provided expertise in valuation and prowess in merging companies and markets. They also undertake riskier processes such as underwriting of assets beyond just advising clients. James Dondero has extensive skills that had its foundation from the University of Virginia where he pursued accounting and finance. He is also a Certified Management Accountant (CMA) and has been credited with the right to use Chartered Financial Analyst (CFA) designation.