18 December 2017
visit www.aciworldwide.com

LSE to offer equity research on smaller firms

19 May 2008  |  6627 views  |  0 LSE

In an attempt to boost liquidity of smallcap stocks on its junior and main market, the London Stock Exchange (LSE) is launching an equity research service that will provide information and analysis on smaller companies.

The exchange has recruited New York's Argus Research, Chicago's Pipal Research and UK-based Independent International Investment Research to produce standardised equity research for the service, called PSQ Analytics.

Companies will be allocated one of the three providers on a pre-determined basis to ensure impartiality of the research, says LSE.

The research will be distributed free of charge via Bloomberg, Thomson Reuters and a dedicated Web portal. The LSE says it will not be taking any revenue from the service and its role will be to provide marketing and facilitate the distribution of the research.

The LSE says research through PSQ Analytics is expected to cost a company around £10,000 a year, "opening up research to companies for whom current market offerings are often not economic".

"The market feedback we have received demonstrates that there is huge value for companies in this scheme. By paying for research to complement the services already provided by brokers and other research firms, companies can increase visibility and understanding of their stock, leading to a wider investor base and ultimately enhanced liquidity," says Martin Graham, head of AIM and director of equity markets.

The PSQ Analytics service is expected to launch in September.

The new launch of the service comes as the LSE begins a consultation on other measures to boost liquidity in the shares of smaller companies listed on its markets.

The exchange says it will consult member firms on measures to "improve price formation and liquidity provision for smaller companies". Under consideration are changes to market making obligations, the costs associated with market maker registration and the reduction and possible removal of reporting fees in less liquid equity securities on the main market and AIM.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Furse calls for regulators to intervene on vertical silos

Furse calls for regulators to intervene on vertical silos

17 April 2008  |  7691 views  |  0 comments
Rainbow in talks with LSE over EDX

Rainbow in talks with LSE over EDX

25 March 2008  |  7012 views  |  0 comments
Nasdaq to sell LSE stake

Nasdaq to sell LSE stake

20 August 2007  |  5504 views  |  0 comments
UBS to distribute equity research via RSS

UBS to distribute equity research via RSS

27 October 2005  |  10920 views  |  0 comments

Related company news

 

Related company information

Bloomberg

Related blogs

Create a blog about this story (membership required)
visit www.aciworldwide.comvisit www.atos.netvisit www.ebaday.com

Top topics

Most viewed Most shared
satelliteRipple completes XRP Lockup
11359 views comments | 3 tweets | 4 linkedin
Banks tap Ethereum smart contracts for MiFID II complianceBanks tap Ethereum smart contracts for MiF...
10550 views comments | 21 tweets | 26 linkedin
Banks and fintech startups join forces on blockchain-based supply chain pilotBanks and fintech startups join forces on...
7849 views comments | 19 tweets | 22 linkedin
Digital banking startup Loot secures £2.2 million seed roundDigital banking startup Loot secures £...
7710 views comments | 5 tweets | 11 linkedin
Nordea takes Open APIs into live productionNordea takes Open APIs into live productio...
7525 views comments | 6 tweets | 26 linkedin

Featured job

Competitive package
New York City, NY - USA

Find your next job