▁to ▁local ▁municipal ities ▁in ▁Europe ▁and ▁the ▁US . ▁ ▁Str ateg ists ▁advise ▁external ▁as ▁well ▁as ▁internal ▁clients ▁on ▁the ▁strateg ies ▁that ▁can ▁be ▁adopted ▁in ▁various ▁mark ets . ▁R anging ▁from ▁derivatives ▁to ▁specific ▁indust ries , ▁strateg ists ▁place ▁companies ▁and ▁indust ries ▁in ▁a ▁quant itative ▁framework ▁with ▁full ▁consideration ▁of ▁the ▁macro e conom ic ▁scene . ▁This ▁strategy ▁often ▁affect s ▁the ▁way ▁the ▁firm ▁will ▁operate ▁in ▁the ▁market , ▁the ▁direction ▁it ▁would ▁like ▁to ▁take ▁in ▁terms ▁of ▁its ▁propriet ary ▁and ▁flow ▁positions , ▁the ▁suggestions ▁sales pers ons ▁give ▁to ▁clients , ▁as ▁well ▁as ▁the ▁way ▁struct ur ers ▁create ▁new ▁products . ▁ ▁B anks ▁also ▁undert ake ▁risk ▁through ▁propriet ary ▁trad ing , ▁performed ▁by ▁a ▁special ▁set ▁of ▁trad ers ▁who ▁do ▁not ▁interface ▁with ▁clients ▁and ▁through ▁" pr incipal ▁risk " — ris k ▁undert aken ▁by ▁a ▁tr ader ▁after ▁he ▁bu ys ▁or ▁s ells ▁a ▁product ▁to ▁a ▁client ▁and ▁does ▁not ▁h edge ▁his ▁total ▁expos ure . ▁ ▁B anks ▁seek ▁to ▁maxim ize ▁profit ability ▁for ▁a ▁given ▁amount ▁of ▁risk ▁on ▁their ▁balance ▁sheet . ▁Note ▁here ▁that ▁the ▁F RT B ▁framework ▁has ▁unders cor ed ▁the ▁distinction ▁between ▁the ▁" Tr ading ▁book " ▁and ▁the ▁" B ank ing ▁book " ▁– ▁i . e . ▁assets ▁intended ▁for ▁active ▁trad ing , ▁as ▁opposed ▁to ▁assets ▁expected ▁to ▁be ▁held