Investment banks are commonly classified into three categories: boutique banks, middle-market banks, and bulge bracket banks. Boutique banks are often further divided into regional boutiques an▨d elite boutique banks.

Investment banks serve corporations and governments by facilitating complex financial transactions, such as 澳洲幸运5开奖号码历史查询:mergers and acquisitions (M&As). Their classification is primarily based on size. However, "size" can be a relative term; it may refer to the size of the bank in terms of the number of employees or offices or to the average size of M&A deals handled by the bank.

Boutique Banks

Boutique investment banks can be divided into regional boutiques and elite boutiques. Elite boutique banks sometimes have more in common with 澳洲幸运5开奖号码历史查询:bulge bracket banks than regional boutiques.

Regional Boutique Banks

Regional boutique banks are the smallest of the inves෴tment banꦡks, both in terms of firm size and typical deal size. Regional boutiques usually have no more than a handful to a few dozen employees.

Because of their small size, most regional boutiques do not typically offer all the services provided by bulge bꩵracket investment banks, which are the largest investment banks. Regional boutiques may simply specialize in a single area, such as handling mergers and acquisitions in a particular market sector.

As the classification implies, regional boutique banks have offices or operations that are restricted to, or at least concentrated in, a specific region of the country. The bank's offices may even be limited to a single city.

For example, a Texas-based investment bank with a single office and fewer than 20 employees, which solely handles M&A deals for 澳洲幸运5开奖号码历史查询:oil and gas industry companies, would be an example of a re𒆙gional boutique investment bank.

Regional boutiques may have clients that include major corporations based in their operating area, but they more commonly serve smaller firms and organizations. These banks are unlikely to work with governments other than on a local or state basis.

Elite Boutique Banks

Elite boutique investment banks are usually altogether different from regional boutiques. Elite boutiques more closely resemble bulge✅ bracket banks in regard to the dollar value of the deals they manage, which can be more than $1 billion, although they may handle some smaller deals as well.

They are also similar to bulge bracket banks in that they commonly have a sizable nationwide and international presence, operating dozens of offices in multiple countries. However, they typically lack the global presence of a major investment bank such as 澳洲幸运5开奖号码历史查询:JPMorgan Chase (JPM).

Elite boutiques are like regional boutiques in that they usually do not provide a complete range of investment banking services and may limit their operations to handling M&A-related issues. They are more likely than regionals to offer restructuring or 澳洲幸运5开奖号码历史查询:asset management services.

Some elite boutiques, such as Qatalyst Partners, achieve rapid advancement in status due to the investment banking reputation of the company's founders. Examples of well-known elite boutique investment banks are Lazard (LAZ), Evercore Group (EVR), and Moelis & Co.

Middle-Market Banks

Middle-market investment banks occupy the middle ground between smaller regional investment banking firms and the massive bulge bracket 澳洲幸运5开奖号码历史查询:investment banks. Middle-market banks usually work on deals that begin at the regional level and rise to near the bulge bracketꦆ level, typically ranging f♔rom about $50 million to about $500 million or more.

Middle markets are usually also in the middle ground as far as geographic reach, having a 🍸substantially larger pres🌳ence than regional boutiques but falling short of the multinational scope of bulge bracket banks.

Unlike boutique banks, middle-market firms usually provide the same full range of investment banking services as bulge bracket banks, including 澳洲幸运5开奖号码历史🅰查询:equity 💦capital market and debt capital market services, a full complement of financing and asset m𒅌anagement services, M&A, and restructuring deals.

Some middle-market banks resemble regional boutiques in that they s𓆏pecialize in offering services to a particular industry or sector. For example, one of the more recognized middle-market investment🦂 banking firms is KBW, which specializes in working with financial services-sector companies.

Some of the more well-known middle-market firms are Piper Sandler (PIPR), TD Cowen (TD), and Houlihan Lokey (HLI).

Bulge Bracket Banks

The bulge bracket banks are the major international 澳洲幸运5开奖号码历史查询:investment banking firms. They are the largest in terms of the number of offices and employees they have and the size of the deals an🤡d corporate clients they handle.

The overwhelming majority of clients are 澳洲幸运5开奖号码历史查询:Fortune 500, if not Fortune 100, firms. Bulge bracket investment banks regularly handle multibillioဣn-dollar M&A deals, although, depending on the overall state of the economy or the particular client, a bulge bracket bank may sometimes handle deals valued in the low hundreds of millions.

Each of the bulge bracket banks operates internationally and has a large global and domestic presence. The major investment banks provide their clients with the full range of investment banking services, including trading, all types of 澳洲幸运5开奖号码历史查询:financing, asset management services, equity research and issuance, and the bread and butter of investment banking: M&A services.

Most bulge bracket banks also have commercial and 澳洲幸运5开奖号码历史查询:retail banking divisions and generate additional revenue by 澳洲幸运5开奖号码历史查询:cross-selling financial products.

Working at Investment Banks

Because various types of investment 🐼banks provide different types of services, the jobs ava🅺ilable at each type differ, too. If you are interested in working at an investment bank, think about what type of work you want to do before applying to a particular bank.

Keep in mind, boutique banks do not offer all the services of middle-market and bulge bracket firms. So, for example, if you are interested primarily in workinౠg at a trading desk, only the larger firms are likely to offer that opportunity. However, if you are interested in handling M&A deals, smaller banks usually provide a quicker career path to d🌠irectly managing such deals.

Investment banking compensation may not vary much between working for one of the largest bulge bracket banks and a smaller, elite boutique bank. While the larger banks commonly handle larger deals, those deals are few and far between the sma💧ller ones.

Also, the smaller investment banking firms do not have the massive overhead expenses of the bulge bracket banks, and therefore, usually, manage larger 澳洲幸运5开奖号码历史查询:profit margins from which to compensate employees. Looking ahead to future 澳洲幸运5开奖号码历史查询:career opportunities, experience at o⭕ne of the major bulge bracket banks generally looks best on a resume﷽, simply due to the name recognition.

The Bottom Line

The main types of investment bꩲanks include regional and elite boutiq🎐ues, middle-market banks, and bulge bracket banks. Boutique firms typically have a smaller client base, while bulge bracket banks handle huge corporate clients, and middle-market banks operate between the two.

Knowing the difference between different types of investment banks will make it easier for you to choose the right bank for your career, business, or 澳洲幸运5开奖号码历史查询:portfolio.