Investing and Financial Markets
Investment Banking

How do banks generate revenue?


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Wiki User
2007-12-06 20:29:41
2007-12-06 20:29:41

The primary way is through lending money to their customers. A second way would be to issue bonds. A third way would be to sell stock


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Banks also generate revenue from such services as asset management, investment sales, and mortgage loan maintenance

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Investment banks generate revenue for the financial services they provide to their customers by means of fee, commission, brokerage etc. for every service a customer gets out of an investment bank, he/she is charged a fee based on the type of service and the amount that is being transacted. So the more customers they have and more business they make, the more revenue they generate.

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It earns through the advertising- supported revenue model

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