As banks prepared for the onslaught of MiFID II, a new winner emerged as champion in the 2018 All-Europe Research Team.
UBS ranked as this year’s top research firm, rising from second place last year and stealing the crown from Bank of America Merrill Lynch, which placed first the past two years. Forty-two UBS analyst teams earned spots on the All-Europe Research Team this year, a steep improvement from the 29 team positions the firm claimed last year.
J.P. Morgan Cazenove placed second overall, a notch higher than last year, while BofA Merrill Lynch slid to third.
The 2018 All-Europe Research Team is the 33rd-annual survey of the sector and includes the input of 2,200 money managers at 889 institutions, overseeing an estimated $5 trillion in European equities. Among the respondents were the money managers featured in the Euro 100, Institutional Investor’s annual ranking of Europe’s 100 largest institutional investors. In addition to the annual ranking of analyst teams, Institutional Investor this year introduced a new leader board based on individual analysts. Instead of grouping analysts from the same firm together, the analyst ranking recognized the individuals who received the most votes overall. In this ranking, UBS and J.P. Morgan Cazenove remained first and second, respectively, while BofA Merrill Lynch and Deutsche Bank tied for third.
To determine the members of Institutional Investor’s 33rd annual All‐Europe Research Team, we sent questionnaires to the directors of research and heads of investment at institutions worldwide. Included were the money managers in the Euro 100, our ranking of Europe’s 100 biggest institutional investors, as well as other key Asian, European and U.S. investors. The names of those surveyed and the institutions they work for are kept confidential to ensure their continuing cooperation.
Participants voted for individual analysts and economist/strategists, and these votes were combined for each firm to form a team in each sector. A numerical score was produced by weighting each vote based on both the respondent’s European equity assets under management and the place they awarded the brokerage firm (first, second, third or fourth). Ranks were determined using those scores. Teams were designated runners‐up when their scores came within 35 percent of the third team’s scores. Selected Team Leader/s or the designation Team at were used for the winning teams.
This year, in addition to the team-based ranking, we produced a ranking based on each individual’s score in each sector. For both rankings, analysts or economist/strategists who switched firms after October 13, 2017 are cited at their previous organizations.
Voters must meet eligibility requirements, and winners must achieve a minimum vote count. In the industry sectors, only those analysts who publish independent research as defined by the Financial Conduct Authority are eligible to be recognized as team members. No such restriction applies to team members in Countries & Regions and Economics & Strategy. All ballots are subject to review by our Research Operations Group, and final results may be inspected by an independent auditor.
The 2018 All‐Europe Research Team survey produced complete publishable results (first‐, second‐and third‐place teams) in all 44 sectors polled. This year ESG/Socially Responsible Investing was added to the list of sectors while Ireland and Accounting & Valuation were removed.
The 2018 All‐Europe Research Team reflects the opinions over 2,200 money managers at 889 institutions overseeing an estimated $5 trillion in European equities.
This ranking was compiled by Senior Research Editor Tucker Ewing, Associate Research Editor Denise Hoguet and Researchers Denise Best, Amy Kong and Xiao Lu under the guidance of Managing Director Will Rowlands-Rees.