(Note: this article was originally published on LinkedIn, March 25, 2021) Sell side analyst coverage for emerging growth companies (EGCs) has steadily diminished since the tech bubble in 2000. This decline began after regulators took steps to plug holes in the ‘Chinese Wall’, the ethical applied to keep research and investment banking separate. Over the years, changes in the equity research business model have forced middle market and large investment banks to abandon EGCs.
Walk on the Sell Side
Walk on the Sell Side
Walk on the Sell Side
(Note: this article was originally published on LinkedIn, March 25, 2021) Sell side analyst coverage for emerging growth companies (EGCs) has steadily diminished since the tech bubble in 2000. This decline began after regulators took steps to plug holes in the ‘Chinese Wall’, the ethical applied to keep research and investment banking separate. Over the years, changes in the equity research business model have forced middle market and large investment banks to abandon EGCs.