Читать книгу Investment Banking For Dummies - Matthew Krantz - Страница 93

Research doesn’t do anyone any good if it’s just sitting on an investor’s shelf. Getting the word out, and sharing research ideas, are how sell-side analysts get noticed. When sell-side analysts make a name for themselves, they often draw attention to their firms. Sometimes a sell-side analyst gets so well known in an industry that companies looking to go public look to the firm as an underwriter. It’s much how real-estate agents who focus on specific neighborhoods often win many of the listings in that area.

Investment banks get out the research from their sell-side analysts in a number of ways, including through the following:

 The broker network: Most of the large firms with investment banking operations — the Bank of Americas and Morgan Stanleys of the world — employ armies of brokers around the globe. These brokers provide investment help and guidance to clients. The brokers often refer to the research of sell-side analysts when making investment recommendations.

 Buy-side connections: Big mutual funds and other institutions tend to have ongoing relationships with certain large investment banks. It’s a tangled relationship with the buy-side investors looking to the investment banks as a source of all sorts of services, including trading and research. Big investment banks typically forward all their research to these large customers.

 Electronic distribution: As more individual investors try their hand at picking stocks themselves, there’s been increased demand for them to obtain sell-side research. Most of the large online brokerage firms, including TD Ameritrade and Charles Schwab, provide research reports from some of the big investment banking operations.