“Most investors realised that the analysis produced by banks and brokers was ‘of limited value’, said Mr Maxey. However, paying for research helped to ‘keep taps open’ at banks that would arrange meetings for investors with senior company executives and facilitate any related trades.”
Financial Times: Research preoccupied with short-term financial metrics
Third Bridge co-founder and managing director Joshua Maxey argues that analysts working at large banks do not have incentives to generate bespoke research, and that Mifid II will create a difficult environment for them
