Where Investment Banking Came From
In This Chapter
Understanding the history of investment banking
Seeing how modern investment products evolved from the financial innovations of centuries ago
Appreciating the critical role investment banking has played in human history
Comprehending the interwoven history of investment banks and traditional banks
Investment banking may seem like a modern innovation, but that's not the case at all. Many of the financial products and services pitched by investment banks today trace their history back to the days of maritime commerce during the age of the Renaissance.
That's right: Investment banking existed even before the high-speed computers and cellphones that the profession is so closely associated with today. The profession of investment banking arose out of the long-standing need of investors to find interesting opportunities to get a return on their money, and dreamers and merchants to get money to make their businesses a reality.
Understanding the historical background of investment banking may seem like a massive waste of time. ...