The new role of alpha in research valuation in the post MiFID II world
For many in the investment community, alpha is a concept confined to the trade idea space. Are things about to change?
Unbundling could mean the best, most insightful third party research will be rewarded, and generic research disappear. There is danger of low-value research subsidised by brokerage or investment banking activity driving out good research. Fund managers should look to research to give them an edge, generating alpha. If they establish appropriate processes, they can be the drivers to ensure the best research rises to the top.
Listen to Colin Berthoud (founder of TIM, an Acuris company) and Mike Carrodus (founder of Substantive Research) as they explore the danger that MiFID II will create a research wasteland - and the role of fund managers in ensuring that valuable research is effectively nourished. Click on the link below to watch the recording from 9th November 2017.
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