These resources are brought to you by the Cooperative Extension System and your Local Institution

Personal Finance Home

What is the difference between a commercial bank and an investment bank?

Last Updated: January 21, 2010

View as web page


The biggest difference between commercial banks and investment banks is that investment banks do not accept deposits and make loans to individuals as commercial banks do. Rather, the primary function of an investment bank is to raise capital for companies by selling securities and managing corporate mergers and acquisitions.

We would like your feedback on this Personal Finance Frequently Asked Question.

Browse related Faqs by tag: personal finance, investing, banking


Have a specific question? Try asking one of our Experts

Unlike most other resources on the web, we have experts from Universities around the country ready to answer your questions.


View this page: