The Financial Analysts

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The Glenn Hechler must consider many resources on companies or sectors to construct a documented opinion by using an investment: strong buy, out performance, sell, buy on dips... The financial analysis (study on value, sector...) is nearly never fully open to the population. It can be more established to obtain only the final recommendation on the stock, without all of the elements that triggered it. These recommendations, in addition to complete analysis, are intended primarily to customers with the agent or institution employing the analysts.


To arrive at this final recommendation, the financial analyst has as part of his possession annual reports in the company, news groups, meetings with officials, visits to factories along with other key information that might help him make a decision. The process in the company, the personality of the leader, the productivity of factories, a great deal of of elements are utilized to perform analysis. Briefings with analysts are organized by companies to inform them with regards to their current and future situation. However, analysts might not exactly make use of so-called privileged information. This basic research (fundamental analysis) might be coupled with a technical research stock. The financial analyst then gives his opinion based on fundamental and technical factors. The role and work of analysts has evolved through the years. With all the globalization of markets along with the economy, development of electronic marketplaces, information has become paramount. The word "information economy" is smart inside the financial world. The financial analyst are required to follow instantly the evolution in the securities it tracks. This globalization has also led analysts to focus on just one area. The amount of reports published with a limited company has been limited 2 decades ago, currently the volume of pr announcements, analysis and also other tips for one company could be from the hundreds every day all over the world. The financial analyst must therefore are experts in a unique sector (Technology, cars, luxury...) along with a particular geographic area. Listed companies also take care of brokerage companies to be able to enhance the visibility of their stock out there. Thus, a financial analyst may need to perform several tests about the same company in the year, analysis funded through the company itself. However, financial analysts retain their independence, of course this might be questionable each time a financial analyst prepares an analysis linked to a company backed by the lender he's working for.