merchant bank

Merchant Bank

A bank that deals mostly in (but is not limited to) international finance, long-term loans for companies and underwriting. Merchant banks do not provide regular banking services to the general public.

Investopedia Commentary

Their knowledge in international finances make merchant banks specialists in dealing with multinational corporations.

Related Links

Brokerage Functions: Underwriting And Agency Roles
Uncovering The Securities Firm

See also: Bank, International Banking Facility - IBF, Investment Bank, Private Banking, Retail Banking, Underwriting, Underwriting, Wholesale Banking

merchant bank

An investment bank that commits its own funds by taking a creditor position or equity interest in another firm. For example, a merchant bank may provide temporary financing for a leveraged buyout.