IBD in banking refers to the Investment Banking Division.
The Investment Banking Division (IBD) plays a crucial role within an investment bank. Its primary functions revolve around assisting governments, corporations, and institutions in two key areas:
- Raising Capital: Helping organizations secure funding through the issuance of stocks, bonds, or other financial instruments.
- Completing Mergers and Acquisitions (M&A): Advising and facilitating corporate transactions where companies merge, acquire, or sell parts of their businesses.
IBDs are often further divided into specialized industry groups. For example:
- The TMT (Technology, Media, and Telecommunications) investment banking group focuses specifically on companies within these sectors.
In short, the IBD is the part of the investment bank responsible for capital raising and M&A advisory.