Explain how rulings by the courts and regulators have made the markets served by both commercial...

Explain how rulings by the courts and regulators have made the markets served by both commercial and investment banks more competitive.

Expert Solution

Both the investment banks and commercial banks are those banks which provide different services to the market.

They are the subdivisions of the banking industry.

The rulings of courts and regulations have made the markets be served by both commercial and investment banks more effectively and competitively.

Commercial banks are focussed on providing public loans and hold accounts for business.

while the investment banks accomplish the purchase and sales of bonds, stock and other investments.

The courts and regulators have regulated the commercial banks to maintain and protect the customer account and to provide security of their accounts.

These have given the customers protection and has provided the markets more competitive and has reduced the exposure to risks.

The investment banks have aided markets to make public offerings and allow them to do future investments and invest in current business sectors.

Hope this was helpful!

Rahul Sunny answered 2 years ago

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