As a result of the upcoming regulatory changes under Mifid II, it is clear there is growing demand for high quality, differentiated equity research
London (PRWEB UK) 16 June 2017
StockViews Ltd, the online equity research platform, successfully completed a second round of equity funding. The new equity was raised from existing and new investors, including GWC, a Silicon Valley based venture fund. At the same time, StockViews was granted FCA authorisation and appointed Thomas Balk, the former President of Fidelity International, as its Executive Chairman.
The quality of traditional investment-banking research has been in decline for years. Senior investment analysts have departed the financial industry while banks stretch existing resources in an attempt to maintain coverage. This has resulted in a “maintenance research” model, focused on superficial coverage of quarterly results and a bias towards encouraging trading activity.
StockViews approaches research from an asset manager's perspective, focusing on the discovery of substantial opportunities that have been overlooked by the market. The platform combines exceptional talent and a unique research process with powerful technology.
The upcoming regulatory changes under Mifid II will further accelerate the shake-up of the industry and is expected to create growing demand from Asset Managers for high-quality, independent investment research.
With the latest injection of additional capital, the addition of senior industry experts to the management team and regulatory approval, StockViews is now preparing to launch its equity research platform to clients during the summer, ahead of the Mifid II legislation taking effect.
Tom Beevers, CEO StockViews Ltd, said: "As a result of the upcoming regulatory changes under Mifid II, it is clear there is a growing demand for high quality, differentiated equity research. The new capital, our expanding team of leading analysts and the arrival of our new Executive Chairman will position us well for this opportunity."
About StockViews Ltd:
StockViews Ltd strives to produce rigorous, conclusion based equity research that results in actionable investment ideas for Asset Managers. It uses technology to facilitate interaction with analysts and enhance the value of the research to Asset Managers. The research is rated by its clients and the value created measured against benchmarks. Every research note is evaluated through a scorecard that measures 16 data points across 4 categories (depth of research, scope of research, explanation of thesis and value to investors). Supporting financial models are constructed according to a consistent framework (based on McKinsey valuation methodology) with assumptions and mechanics clearly laid out.
StockViews was originally launched in 2015 as an online equity research marketplace for self-employed, independent analysts, embracing the current movement towards the “gig economy”. However, the firm’s experience over the past two years revealed challenges in applying a freelance model to a highly-skilled profession such as equity research. It was recognised that the short-term, transactional nature of the freelance model hindered the drive and creativity required to produce differentiated research at the highest level. Since March this year, StockViews has started to recruit its own team of analysts.
StockViews is authorised and regulated by the Financial Conduct Authority (Reference number: 763770). Our offices are located at Level39, One Canada Square, Canary Wharf E14 5AB.
About Mifid II:
Mifid II regulation, taking effect from January 2018, will require Asset Managers to separate payments for research to Investment banks from commission payments. As a consequence, it is expected that Asset Managers will either pay for the research directly out of their own P&L or charge the cost of research to clients through "Research Payment Accounts". This will result in more transparency for their clients and create opportunities for lower cost, independent research providers.