This lesson explores the secondary market functions of investment banks, including the trading of securities, the role of market makers, and the settlement and clearing of transactions.

6.1 Sales and Trading
The sales and trading division of an investment bank acts as an intermediary between buyers and sellers of securities. The NYU Tandon course identifies “general brokerage operations” as a key area, focusing on how products are “distributed and sold” . The IIM Calcutta programme covers “Securities Market Sales and Trading” . The LSBF programme suggests that students will be able to “apply derivatives concepts, trade lifecycle controls, and ISDA frameworks in real-world contexts,” which is crucial for understanding the trading desk’s role .

6.2 Market Operations and Trading Mechanisms
Market operations involve the mechanics of trading, including order types, execution, and settlement. The IIM Ranchi course includes a module on “Market Operations and Trading,” covering the “workings of Trading and Settlement Mechanisms” . This involves understanding how trades are matched, cleared, and settled, and the role of central clearing counterparties (CCPs).

6.3 The Post-Trade Lifecycle and Risk
The post-trade lifecycle includes all activities that occur after a trade is executed: confirmation, settlement, and custody. The Coursera specialization highlights the importance of understanding “operational processes, financial risks, and regulatory frameworks governing global capital markets,” including “post-trade operations” . This includes managing counterparty credit risk, operational risk, and ensuring timely settlement .