Steady through the storm: IHAP navigates challenges to sustain growth

In a year marked by market uncertainty, the Investment House Association of the Philippines underscores the vital role of investment houses in fueling business expansion and strengthening the nation's capital markets.

- By MIGUEL LIBOSADA

The Investment House Association of the Philippines (IHAP) plays a vital role in the country’s economic development. It has made strides in enhancing the visibility of investment houses in the Philippines and in contributing to the growth of businesses and the broader economy.

In an online interview, IHAP President Gerry Valenciano and Vice President Jesus Mariano Ocampo shared their perspectives on the importance of investment houses, along with the struggles and triumphs of IHAP in 2025.

INVESTMENT HOUSES IN A NUTSHELL

To put it simply, investment houses — including investment banking units or groups — act as financial intermediaries that bridge the gap between sources of capital and users of funds to finance projects. These projects are designed to generate returns that ultimately go back to the sources of funds.

"The bridging of sources and users of funds is undertaken by investment houses in a regulated, registered, transparent, and orderly manner — to distinguish their activities from those that engage in investment scams," Ocampo explained.

While many may be unaware of the role of investment houses, they are essential because they serve as the first line of defense for investors. This is due to the thorough due diligence process that investment houses must perform on any securities issuer.