Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?

To: vds4 who wrote (74765)	1/23/2002 8:04:18 PM
From: AD	Respond to of 122087

funny... "The world loves analysts. They have the impression that a Wall Street analyst is like a guru of some kind. But, the ugly truth is that, analysts don’t get paid to make the firm’s clients any money. They only get paid to develop a relationship with a company, that may lead to an underwriting fee, AND, to write research reports, that the firm’s stockbrokers can use to talk you into buying a stock that they "like". The analyst’s research report is a great sales tool for the firm’s stockbrokers. The real money for an analyst is in writing a glowing report about a company and then hoping that company will choose the firm for its next round of financing. The analyst is paid a fee, if that happens. From a brokerage standpoint, analysts help land underwriting clients. From the public’s standpoint, analysts have done a ton of homework and have applied all of the stuff, that they have learned taking finance classes in college, to help you know what stocks to own. This is an important difference and you should know it. Analysts are not compensated by how right they were in their stock picking. They’re compensated by how many new underwriting clients they help the firm land, and the clout that they carry on the street. It’s a securities industry joke. Nobody in the securities industry cares about how much money YOU make, they only care about how much money THEY make. If analysts had to put a roof over their head and feed their family from their own stock picks, we’d have rescue missions delivering food and blankets to the starving, freezing, homeless employees of Wall Street. We’d even need UN Peacekeepers patrolling the area to keep the greedy bastards from killing each other when the supplies got there."