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Investing in US markets

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28. Broker research

Online brokers sometimes offer their clients third party research, especially reports prepared by investment bank analysts. This can be either a standard or premium (i.e. paid-for) service.

Independent content providers such as Multex (www.multex.com) also offer research of this type. Sites like this provide a certain number of free research reports, generally short comments, from a range of brokers. They also give access to longer reports on individual companies that can be paid for.

Some US investment banks also offer some research for free (often economic commentary and market strategy). Company reports are sometimes also offered, although users may have to register and provide personal data to gain access to them.

Broker reports are a two-edged sword. There has been debate of late about the way in which analysts' views might be influenced by other factors, such as the possibility of their firm gaining corporate finance business with the company in question.

In general:

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