QUESTION 2. COVID-19 has generated significant instability and high volatility in global capital markets. The financial

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answerhappygod
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QUESTION 2. COVID-19 has generated significant instability and high volatility in global capital markets. The financial

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QUESTION 2.
COVID-19 has generated significant instability and high volatility
in global capital
markets. The financial sector has been one of the most affected,
with bank valuations
dropping in all countries around the world. Banking stocks were
impacted during
COVID-19. In the period from 01 December 2019 to 30 April 2020 --
most banks saw
a price slump in mid-March. European banks were adversely impacted
as the Euro
STOXX banks index saw a massive decline of 40.18 percent followed
by STOXX
North America 600 banks index (31.23 percent) and STOXX
Asia/Pacific 600 Banks
Index (26.09 percent) for the given period.
Answer each of the following questions in detail, using the
information given
above to illustrate your answers.
a) List 10 investment banking activities.
[10 Marks]
b) List one example of conflict of interest in investment banking.
What type of
investment bank is least likely to be suffering from this
problem?
[10 Marks]
c) What are the differences between commercial and investment
banking?
[15 Marks]
d) How can the combination of investment banking and commercial
banking
affect banking industry?
[15 Marks]
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