House & Independent Equity Research

Some Nominated Brokers do not have internal equity research capabilities and will call upon one of the half dozen firms in London that provide independent equity research as a service to support London AIM IPOs.  The London AIM institutional investors are required, for regulatory reasons, to have some form of third party research upon which to at least partially base their AIM IPO investment decision.  Even in cases where the Nominated Broker is able to produce equity research, they may suggest augmenting their research with that of one of the Independent Equity Research firms so as to provide greater comfort to the prospective London AIM IPO investors and/or to assist with sizing and pricing the London AIM IPO in consultation with the company.