Investment Banking & Securities Dealing
Key Figures
Figures are published for NAICS 523110 directly.
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Official definition
This industry comprises establishments primarily engaged in underwriting, originating, and/or maintaining markets for issues of securities. Investment bankers act as principals (i.e., investors who buy or sell on their own account) in firm commitment transactions or act as agents in best effort and standby commitments. This industry also includes establishments acting as principals in buying or selling securities generally on a spread basis, such as securities dealers or stock option dealers.
Source: US Census Bureau, 2017 NAICS Definitions. Public domain.
Illustrative examples
- Bond dealing (i.e., acting as a principal in dealing securities to investors)
- Stock options dealing
- Securities underwriting
Which code does this activity belong in?
NAICS 523110 covers establishments that act as principals in securities transactions, buying and selling securities on their own account on a spread basis, or underwriting new securities issues. The key distinction from securities brokerage is that investment bankers and dealers operate as principals risking their own capital, whereas brokers act as agents arranging transactions between other parties for a commission. Commodity contracts dealing and brokerage, by contrast, involve derivatives based on underlying commodities rather than direct ownership of securities.
Where this sits
Related guides
Get verified investment banking industry trends data from federal sources. US Investment Banking & Securities Dealing Employment: 90K+ (Census CBP, 2023).
US industry pay runs from $445,088 to $16,409 a year, a 27x spread. Which industries sit at each end of the federal wage record, and why the gap is structural.