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	Role of a Merchant Banker

	Merchant Banker plays the role of a promoter, rehabilitator and an agent or intermediary for corporate enterprises. He translates the ideas into ventures by providing a number of promotional services such as identification of projects, preparing feasibility reports, obtaining Government approvals, raising funds for the project etc.

Latha Xaviour


	After the project is promoted, a merchant Banker acts as a corporate advisor and renders a number of services for the successful running of the enterprise. His expert advice on certain issues such as financial planning, tax planning, issue management, credit syndication, investment management etc. is of immense help to the entrepreneurs.

	As a management economist, he guides the client on the aspects of organizational goals, locational factors, choice of a product and market survey, cost reduction and cost analysis, pricing method and marketing strategy, capital management and expenditure control.

	A Merchant banker also the role of a rehabilitator at the time of acquisition, merger, takeover, amalgamation. Many Merchant banks act as agents for their client companies for maintaining registers of shareholders and debenture holders and also act as transfer agents and paying agents for interest and dividend.

	As thing stand today merchant bankers are masters in a trading activities. They ride the high horse in the capital market. To provide large variety of services, the merchant banker has to possess a number of qualities. He should be an expert in the financial market and well versed with the activities involved in the promotion of an enterprise. Merchant banker should possess high integrity to inspire trust and confidence. He should have large resources to meet the requirements of the customers.