Company-Sponsored Equity Research Reduces Conflict of Interest
In reference to company-sponsored equity research – the company that the research is profiling pays for writing the research – the perception may be the exact opposite of the headline of this article. To be clear, we’re not talking about Public Relations, propaganda-pieces commissioned by the subject company, we’re talking about the kind of research that institutional investors have relied on for decades. Research that’s produced and distributed by analysts from SEC-regulated and FINRA licensed broker-dealers. When it’s this level of research, the fact that the company is paying the broker-dealer is irrelevant as it relates to the opinion of…
