So if you want a rights issue underwritten, or a takeover handled, an IPO launched, or a corporate hedging program put in place, you just do it yourself? No need for any I-bank? You will have to pay, but in general you will get more value than the cost of the fees, if you use a decent bank. The problem Merrill has is this is not the case. Their entire business model seems to be just fleecing fees from wealthy but ignorant investors. Where is their competitive advantage?
I agree. Investment Banks are 'needed.' Merrill LYNCH (they got the 'linching' part right anyway. ) isn't one of them.