Different firms use varying reference sources to ascertain exactly which issues fit into certain sector categories and subcategories, and I'd bet that Dow Jones, Bloomberg, and S&P are the main sources consulted. That said, I don't think that (other than specificity, namely the degree to which the sectors are broken down) there's much difference if any at all from source to source.
With regard to wholesalers, committees set criteria regarding to the decision to deal - or discontinue dealing - in a certain issue. Wireshouses, on the other hand, will often deal in certain issues as a part of their underwriting obligation. In either type of firm, the decision to deal in an issue can sometimes be made upon the recommendation of a trader, or sometimes in response to a competitors' doing so. But overall, the details - volume, price level, institutional interest, "timeliness" of the sector, etc. - leading to that decision are overwhelmingly based upon unique, proprietary firm recipies.
LPS5 |
