Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial Crisis
Investment banks play a vital role in the economic development of a country through their impact on capital and money markets. In developing countries, they promote and support business investors in bringing about economic stability. The investment banking industry faced significant challenges as a...
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| Format: | Article |
| Language: | English |
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Lahore School of Economics
2014-05-01
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| Series: | The Lahore Journal of Business |
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| Online Access: | https://journals.lahoreschool.edu.pk/LJB/LJB/article/view/19 |
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| _version_ | 1850035327916310528 |
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| author | Mirza Asjad Baig Muhammad Ali Usman Mirza Owais Baig |
| author_facet | Mirza Asjad Baig Muhammad Ali Usman Mirza Owais Baig |
| author_sort | Mirza Asjad Baig |
| collection | DOAJ |
| description |
Investment banks play a vital role in the economic development of a country through their impact on capital and money markets. In developing countries, they promote and support business investors in bringing about economic stability. The investment banking industry faced significant challenges as a result of the financial crisis in 2008. This study presents a detailed financial analysis of the recent performance of seven investment banks in Pakistan for the period 2007–11 with the help of financial ratios. The banks were assessed across several perspectives: profitability, efficiency, liquidity, leverage, and other financial measures such as institution size. Our findings show that all banks faced a significant squeeze on profitability, although the smaller banks performed better overall. This implies that successful performance does not necessarily depend on economies of scale.
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| format | Article |
| id | doaj-art-7dcd84e6b67c42db8a37a522fa22918f |
| institution | DOAJ |
| issn | 2223-0025 2791-3139 |
| language | English |
| publishDate | 2014-05-01 |
| publisher | Lahore School of Economics |
| record_format | Article |
| series | The Lahore Journal of Business |
| spelling | doaj-art-7dcd84e6b67c42db8a37a522fa22918f2025-08-20T02:57:32ZengLahore School of EconomicsThe Lahore Journal of Business2223-00252791-31392014-05-0122Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial CrisisMirza Asjad Baig0Muhammad Ali Usman1Mirza Owais Baig2The author is based at the Economics Department, Institute of Business Management, Karachi.The author is based at the Finance Department at Middlesex University in the UKThe author is based at the Finance Department at GBC, Karachi. Investment banks play a vital role in the economic development of a country through their impact on capital and money markets. In developing countries, they promote and support business investors in bringing about economic stability. The investment banking industry faced significant challenges as a result of the financial crisis in 2008. This study presents a detailed financial analysis of the recent performance of seven investment banks in Pakistan for the period 2007–11 with the help of financial ratios. The banks were assessed across several perspectives: profitability, efficiency, liquidity, leverage, and other financial measures such as institution size. Our findings show that all banks faced a significant squeeze on profitability, although the smaller banks performed better overall. This implies that successful performance does not necessarily depend on economies of scale. https://journals.lahoreschool.edu.pk/LJB/LJB/article/view/19Investment banksfinancial ratiosfinancial crisiseconomic instability |
| spellingShingle | Mirza Asjad Baig Muhammad Ali Usman Mirza Owais Baig Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial Crisis The Lahore Journal of Business Investment banks financial ratios financial crisis economic instability |
| title | Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial Crisis |
| title_full | Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial Crisis |
| title_fullStr | Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial Crisis |
| title_full_unstemmed | Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial Crisis |
| title_short | Assessing the Financial Performance of Investment Banks in Pakistan During the Current Financial Crisis |
| title_sort | assessing the financial performance of investment banks in pakistan during the current financial crisis |
| topic | Investment banks financial ratios financial crisis economic instability |
| url | https://journals.lahoreschool.edu.pk/LJB/LJB/article/view/19 |
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