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Finance and Credit
 

Developing new methods and instruments to manage the investment banking activity under global economic crisis

Vol. 22, Iss. 21, JUNE 2016

PDF  Article PDF Version

Received: 18 November 2015

Received in revised form: 15 April 2016

Accepted: 11 May 2016

Available online: 15 June 2016

Subject Heading: Banking

JEL Classification: G11, G12, G14, G15, G24

Pages: 2-14

Nikulina O.V. Kuban State University, Krasnodar, Russian Federation
olgafinans@mail.ru

Baklazhkova K.V. Kuban State University, Krasnodar, Russian Federation
Xenia.nia@yandex.ru

Importance High investment activity is a necessary condition for balanced economic growth. Under the global economic crisis there in a decrease in the quantity and quality of investment operations. This necessitates an analysis of the available methods and tools for banks' investment activity management in the world economy.
Objectives The main objective of the study is to identify new methods and tools for effective management in the sphere of investment banking activities, and to formulate recommendations and proposals to perfect them considering the effect of unstable situation in the exchange market.
Methods We apply a systems approach, comparative analysis, and elements of statistical analysis to review the tools of managing the investment activity of the largest foreign and Russian banks, and highlight the most efficient ones.
Results The analysis enabled to disclose general measures taken by banks, both in Russia and overseas, and highlight the most efficient ones. They include expansion of investment activities in external capital markets using the national currency, asset optimization, toughening the internal controls to eliminate speculation, restructuring and curtailing costs of investment activity, streamlining the structure of investment business, project financing at minimal cost, and investment in gilt-edged securities.
Conclusions and Relevance Under international financial crises, a comprehensive implementation of new methods and tools enabling to gain a competitive edge in global financial markets will contribute to the efficient management of investment activities.

Keywords: investment banking, dynamics, management, global financial market

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