Q3- how the investment bank can be a market maker?
 How the investment bank can be a market maker :-             Investment banks work  in underwriting and  trading expertise from acting as brokers. But they are not purely brokers. Investment banks work mainly classified primary market activity and secondary market activity. One of the main secondary market activity is market making. Here investment bank promise to anyone trade bonds banks  give direction and also prepared to buy and sell the bonds, that means market making.            The market making is investment bank to provide liquidity in the market through buyin ... See the full answer