MiFID II, Equity Research & Corporate Access: More or Less? Capital Access Group
Capital Access Group has published a report on the potential impact of MiFID II on capital market communications. The study is based on over 300 interviews with market participants including CIOs, compliance officers, investment analysts, corporate brokers and company executives. It concludes that there is likely to be a significant impact on the production of research and the provision of broker-sponsored investor meetings; potentially affecting the role of investor relations.
Capital Access Group’s (CAG) MiFID II report examines the potential impact of MiFID II on capital market communications. From over 300 interviews with market participants across the sell-side, buy-side and corporates, the report concludes that the current number of investment analysts communicating directly with fund managers could fall by two-thirds over the short term. It also highlights that brokers may not be able to provide corporate clients with the same access to new investors given the restrictions on fund managers and material benefit. With the unique UK “corporate broking” structure under pressure from MiFID II, investor relations functions may have to take a more “DIY” approach to a range of services including shareholder identification, investor targeting and road show management.
About Capital Access Group
Capital Access Group (CAG) is the leading independent provider of corporate access for UK companies. It has been advising companies on their effective engagement with investors for almost twenty years. Working with clients from the FTSE 100 to AiM, CAG has developed a range of services, encompassing investor targeting, corporate access, perception studies and investment research.
Head of Business Development
Capital Access Group
Published 12 October, 2017