New Extel Reports Confirms That Sell Side and Buy Side Opinions Differ on Services...
LONDON, UK / ACCESSWIRE / December 14, 2017 / Extel launched their first "pulse" survey in November 2017, gathering views from the equities community to investigate the value of sell-side services and explore any correlation with buy-side views. Responses were received from 237 buy-side, 451 sell-side, and 177 IR individuals, a total of 865 participants.
The results confirmed that whilst there is common acceptance that certain services and channels have innate value, the opinions of actual value vary. The results of the survey can be seen here and reveal some unexpected answers. The key conclusions are:
- Written content is king: The buy-side identify written research as the most valuable sell-side service by 20 percentage points.
- Pull vs Push: Passive consumption is clearly favoured, with 82% of the buy-side preferring generic distribution lists as their preferred channel of consumption.
- Over-emphasising service: The sell-side consistently emphasise personal and relationship-driven engagement as higher value (70%) than the buy-side (21%).
- Highly relevant = Substantive? Only 12% of the buy-side believe the research they received is relevant vs. 40% of the Sell-side believing they are distributing relevant research.
- Greater disintermediation: 77% of corporates feel there will be more direct engagement between assets and asset owners in the future.
Extel announced a change in their business model in October 2018. The transparency expected after January 2018 will change the landscape of equities. Procurement will replace receipt, consumption will replace provision, and assessing value will become the primary function. Understanding that value is the challenge that Extel intends to support, providing independent and objective insights to assist decision makers with resource allocation and profitability. The core Extel Survey will remain, offering all sides of the investment community an anonymous, independent, and technically efficient forum for submitting rankings and opinions on their industry relationships. The new service will extend this process to:
1. Deliver the most intellectually robust and complete view of the equities value chain in Europe.
2. Allow client engagement throughout the year across sell-side, buy-side, and corporate landscapes.
3. Increase the focus on aligning client needs, service value and resourcing.
4. Identify substantive providers of investment advice, with independence and transparency.
5. Extend Extel globally into 2019.
David Enticknap explains, "Our legacy vision statement has been 'Identifying Excellence.' In 2018, we aim to build upon this vision to become the most robust, quantifiable stamp of quality and best practice through providing value and insight to the sell-side, buy-side, and corporates. As one of the few independent data providers to work with all parties across the institutional value chain, we are perfectly positioned to help the sell-side focus on resource management, the buy-side to audit and recognise the true providers of substantive research, and Corporate Investor Relations to understand which are the best research providers."
Extel today announces the dates of the 2018 pan-European Survey. Extel 2018 will open for votes on the 14th March 2018 and close on 27th April 2018. Results will be published on the 6th June 2018.
In 2017, a record 16,000 participants voted from 3,235 investment firms, 271 sell-side firms, and 1,096 listed companies across 83 countries.
About Extel
Extel Europe conducts market studies across all three sides of the investment community throughout Europe and Asia, delivering a comprehensive range of rankings, market trends, and sentiment insights. Extel Europe is the largest study of its kind worldwide, with over 16,000 participants from 93 countries casting nearly 445,000 individual votes. All rankings in Extel are based purely on weighted votes from the investment community. The scope and branding of Extel are widely recognized by brokerage firms, asset managers, and corporates alike. For more information, visit www.extelsurveys.com.
About WeConvene
WeConvene is a global, independently owned web-based platform that automates corporate access consumption and evaluation for the investment community. Events large and small directly impact investment strategies and WeConvene provides value to buy-side, sell-side, and corporate organizations by enabling efficient discovery, booking and tracking of meetings. For more information, visit www.weconvene.com.
Contact:
David Enticknap - Head of Extel
David@weconvene.com
Sarah Linfoot - Head of Marketing
Sarah@weconvene.com
SOURCE: WeConvene Limited
