(SyndicateMyNews) - Wells Fargo (NYSE: WFC) said early Monday that it was consolidating its investment banking division along with that of Wachovia into one brand to be known as Wells Fargo Securities, but what lies ahead for the newest player in national investment banking?

Wells Fargo's success as a West coast banking giant was in its autonomous lending at the branch level, having incorporated the business practices of Minnesota-based Norwest bank when it merged back in the 90s. But with Wells Fargo's acquisition of Wachovia it entered the field of national banking with only a handful of players that could match its market reach.

Many have pondered the direction Wells Fargo would take in integrating Wachovia's operations with most assumptions leaning towards its slow adaption on the retail banking side. Few would have guessed that Wells Fargo would move so soon to consolidate its investment banking group with that of Wachovia's into a new, national brand. But this morning Wells Fargo did just that in announcing its consolidation of the bank's investment banking and capital markets businesses formerly operating under the Wachovia Securities name into Wells Fargo Securities.

Insiders told AXcess News that Wells Fargo has its eyes set on the lucrative municipal bond arena and that in looking to finance state and local capital needs that it was aiming its sights on the money management business of municipalities and state government, mostly that of Bank of America after its shaky move in acquiring Merrill Lynch.

What better way to bring its autonomy banking into the municipal market than through Wells Fargo Securities.

Wells Fargo CEO John Stumpf said, "We have an enormous opportunity to become one of the top customer-focused investment banks in the country. We plan to build on those strengths."

Despite the securities brand consolidation news itself, shares of Wells Fargo (WFC) were off 44 cents, or nearly 2%, at $22.64 in midday trading in New York.