19. Investment Banks

Financial Markets (2011) (ECON 252)
Professor Shiller characterizes investment banking by contrasting it to consulting, commercial banking, and securities trading. Then, in order to see the essence of investment banking, he reviews some of the principles that John Whitehead, the former chairman of Goldman Sachs, has formulated. These principles are the basis for a discussion of the substantial power that investment bankers have, and their role in society. Government regulation of these powerful investment banks has been a thorny issue for many years, and especially so now since they played a significant role in world financial crisis of the 2000s.
00:00 - Chapter 1. Key Elements of Investment Banking
09:50 - Chapter 2. Principles and Culture of Investment Banking
16:54 - Chapter 3. Regulation of Investment Banking
27:21 - Chapter 4. Shadow Banking and the Repo Market
33:04 - Chapter 5. Founger: From ECON 252 to Wall Street
46:24 - Chapter 6. Fougner: Steps to Take Today to Work on Wall Street
53:49 - Chapter 7. Fougner: From Wall Street to Silicon Valley, Experiences at Facebook
57:56 - Chapter 8. Fougner: Question and Answer Session
Complete course materials are available at the Yale Online website: online.yale.edu
This course was recorded in Spring 2011.