The quality of sell-side research has been in decline for years. Senior analysts have departed the industry while banks stretch existing resources in an attempt to maintain coverage. This has resulted in a “maintenance research” model, focused on superficial commentary around quarterly results and a bias towards encouraging trading activity.
StockViews is committed to the production of high-quality, differentiated and independent research. 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. Our process is engineered to deliver an investment thesis that is differentiated, actionable and fully substantiated by in-depth analysis.
"You only need a few good ideas in a lifetime to become wealthier than you ever thought possible."
Our analysts have a mandate to scour the market in pursuit of mispriced securities, wherever they may be. We reject the traditional “sector coverage” model that results in conventional thinking and only a marginal divergence from consensus. Our roving mandate releases us from the need to keep management on-side and gives us the freedom to write bold, honest research.
Our analysts don’t spend time marketing ideas, instead focusing their efforts on finding great opportunities. We are “second-level” thinkers, constantly searching for insights and analysis that have been missed by the market.
”If you have the same people doing the same things, you should expect the same results.”
Our research is delivered via an interactive technology platform, allowing you to instantly access research notes, financial models and data on stock recommendations. Live chat functionality provides a direct line of communication with the analyst, while scheduling of video calls and meetings is automated through the platform.
We believe in the power of a data-driven approach and we track the performance of every recommendation through the platform. Analysts are evaluated and compensated according to two key metrics:
1. The performance of stock recommendations
2. The quality of research, as determined by client ratings
Combined with an unconstrained mandate, this structure creates a powerful incentive for analysts to find substantial mispricings in the market.
"I wouldn't call it radical, I would call it enthusiasm for progress."