For many years, investment bankers remained outside of the media spotlight. "Bankers" were typically associated with large commercial and retail banks, but investment bankers were often privately owned and funded, and tended to focus on local rather than international customers. There were some exceptions to this. The same advances in telecommunications and transportation that led to the burgeoning global economy in the last quarter of the twentieth century also affected the financial services industry. Mergers and acquisitions led to consolidations in the industry and companies that once focused on local interests expanded their sights to the international market. This came about both as a reaction to the globalization efforts undertaken by customers of these institutions as well as the recognition that there is a market niche that was underserved. This research considers the Lazard investment banking organization and its current role in the international market.
Investment banks, as their name implies, assist companies and governments to raise capital by issuing debt and equity. This is in contrast with commercial banks that offer a broad range of services, often targeting consumers, including credit cards and deposit accounts. The latter part of the twentieth century saw considerable deregulation in the area of banking, with the result that some commercial banks now use subsidiaries to conduct investment banking transactions. This has led to increased competition for commercial customers. In addition, the economic recovery that has occurred in recent months is driving renewed interest in investment banking activities and companies ("Banking" 1). Today, leading investment banks include subsidiaries of Bank of America, Citigroup and J.P. Morgan Chase, as well as Wachovia and Deutsche Bank. Merrill Lynch and Goldman Sachs also participate in the investment banking market.
Lazard was founded in the mid-1800s in Louisia...