What is 'Capital Markets Group'

A capital markets group is a division within a larger company that uses its expertise in financial markets to provide financial services to specific types of clients. Capital markets groups can help companies meet a wide variety of financial goals such as raising equity of issuing debt. A capital markets group may provide investment management services, lending services, equity sales and trading, research, consulting services or any number of other types of financial services.

BREAKING DOWN 'Capital Markets Group'

The types of services that may be provided by a capital markets group vary widely and depend on the focus of the company as a whole and on its customers' needs. Examples include helping a healthcare company to lease or finance expensive equipment, helping a young company find investors, helping an existing company expand its operations or even providing financing for a company's customers and other operational tasks such as corporate restructuring.

In order to help companies that face increasingly complex sets of challenges and opportunities, capital markets groups effectively provide assistance to help them operate their business and stay competitive amid changing or uncertain conditions. The resulting alliance provides an enhanced ability for a company to navigate the sophisticated economic and business landscape, providing analysis, advice and high-quality execution that helps propel a company's growth. Capital markets teams focus on building on these types of strategic relationships in order to build deep understanding of clients' needs that will enable them to deliver advice and solutions that will make a significant difference.

Capital Markets Groups Services and Expertise

  • Investment banking services: From syndicated loans to import solutions and integrated receivables, capital markets groups offer universal, strategic advice and solutions that make a significant difference in our clients' futures.
  • Mergers and acquisitions: Capital markets groups help clients with their most critical and complex business issues, such as mergers and acquisitions. Typically, this sort of expertise comes from seasoned, senior bankers that are able to leverage their long-established industry relationships and specialized insights to help ensure that every merger or acquisition transaction is executed flawlessly.
  • Debt capital markets: Capital markets groups help companies raise capital and assemble financing through a broad range of sophisticated solutions. Usually spearheaded by senior-level bankers with long-standing industry, these groups help companies structure and execute financing solutions.
  • Equity capital markets: Capital markets groups help companies develop the origination and execution of equity offerings, such as IPOs, follow-ons, and convertible notes. Capital markets groups provide potential issuers with advice and education on transaction size, timing, structure, execution alternatives and selection of underwriters.
RELATED TERMS
  1. Capitalization Structure

    Capitalization structure refers to the proportion of debt and ...
  2. Cost of Capital

    Cost of capital is the required return necessary to make a capital ...
  3. Capital

    Capital is a term for financial assets or their financial value, ...
  4. Capital Structure

    Capital structure is how a firm funds its operations and growth, ...
  5. Incremental Cost of Capital

    Incremental cost of capital is a capital budgeting term that ...
  6. Capitalization Of Profits

    The capitalization of profits is the process of converting a ...
Related Articles
  1. Investing

    Ares Capital (ARCC) to Buy Rival for $3.4 bln (ARCC, ACAS)

    Private equity firm Ares Capital inks deal to acquire smaller rival American Capital for $3.4 bln in stock and cash.
  2. Personal Finance

    What do investment bankers really do?

    Investment bankers are essentially corporate financial advisors who help companies manage the process of raising financing for their activities. Check out more on their roles in banking industry.
  3. Investing

    The Optimal Use Of Financial Leverage In A Corporate Capital Structure

    The amount of debt and equity that makes up a company's capital structure has many risk and return implications.
  4. Managing Wealth

    Issued share capital versus subscribed share capital

    Learn the difference between issued share capital versus subscribed share capital. Get information about various types of capital.
  5. Investing

    What's the role of an investment bank?

    Investment banks provide financial advice to businesses and governments and help them raise capital through the sale of stocks, bonds and other products.
  6. Investing

    Target Corp: WACC Analysis (TGT)

    Learn about the importance of capital structure when making investment decisions, and how Target's capital structure compares against the rest of the industry.
  7. Tech

    Understanding Facebook's Capital Structure (FB)

    Facebook's strong revenue and earnings have allowed solid expansion of the company's equity capitalization, resulting in little debt in its capital structure.
  8. Financial Advisor

    Capital Group: Investment Manager Highlight

    Discover Capital Group, one of the largest but least-known global asset managers. Learn about Capital Group's 85-year history of steady returns to investors.
  9. Financial Advisor

    Career Advice: Investment Banking vs. Wealth Management

    Take a comparative look at two of the most popular career choices in the financial sector, wealth management and investment banking.
  10. Investing

    How The Big Boys Buy

    Learn what those in-the-know look for when acquiring a company.
RELATED FAQS
  1. What does the 'FIG' at an investment bank refer to?

    The 'FIG' at an investment bank usually refers to the financial institutions group - a group of professionals that provides ... Read Answer >>
  2. How is working capital different from fixed capital?

    Understand the differences between working capital and fixed capital, including definitions and examples of how businesses ... Read Answer >>
  3. How does a company's capitalization structure affect its profitability?

    Learn about capitalization structure and how the combination of debt and equity a company uses to fund operations can affect ... Read Answer >>
  4. How do interest rates influence a corporation's capital structure?

    Learn about how changing interest rates can affect a corporation's capital structure because of their impact on the cost ... Read Answer >>
  5. What is the difference between market capitalization and equity?

    Understand the difference between market capitalization and equity, two primary measurements used to evaluate the worth of ... Read Answer >>
  6. What are some roles of an investment bank?

    Explore the world of investment banking and discover the various functions investment bankers serve, such as handling IPOs ... Read Answer >>
Hot Definitions
  1. Enterprise Value (EV)

    Enterprise Value (EV) is a measure of a company's total value, often used as a more comprehensive alternative to equity market ...
  2. Relative Strength Index - RSI

    Relative Strength Indicator (RSI) is a technical momentum indicator that compares the magnitude of recent gains to recent ...
  3. Dividend

    A dividend is a distribution of a portion of a company's earnings, decided by the board of directors, to a class of its shareholders.
  4. Inventory Turnover

    Inventory turnover is a ratio showing how many times a company has sold and replaces inventory over a period.
  5. Watchlist

    A watchlist is list of securities being monitored for potential trading or investing opportunities.
  6. Hedge Fund

    A hedge fund is an aggressively managed portfolio of investments that uses leveraged, long, short and derivative positions.
Trading Center