2025 CFA Level I Exam: CFA Discussion Topic: analyst

Author	Topic: analyst
preacherman @2010-01-28 06:57:12	I have worked as an analyst on the buyside and sellside and I like the analyst part of the job, but I find people in this business very annoying sometimes. I have a science background. I have been taught to make non emotional decions based on the facts available. But, on both the buyside and the sellside, I find portfolio managers and sellside clients and sales people demand that you feel extremely passionate about every stock that you recommend. I think this is completely illogical. Every investment has pros and cons, and I dont care how good of an analyst you think you are, noone knows for certain whether or a not a stock will do well or not. But because of this need to feel secure, I see many analyst highlight the pros and play down or even leave out the cons. If I am investing in something, I want to know everything relavant about it before I put money down. Furthermore, many analyst feel that they have to size up everybody and everything in three or four bullet points. Isn't anyone confident enough to admit that they don't know everything? IMO this is a poor way to manage risk in this business.
Pooh @2010-02-10 08:09:37	I agree. Without customers or audience, analysts would not have to be "passionate" about what they analyze, in other words, no sales involved and perhaps minimal conflict of interests. But that wouldn't be a good business to be in, right? No business, no money.

Author

Topic: analyst

preacherman
@2010-01-28 06:57:12

I have worked as an analyst on the buyside and sellside and I like the analyst part of the job, but I find people in this business very annoying sometimes.

I have a science background. I have been taught to make non emotional decions based on the facts available. But, on both the buyside and the sellside, I find portfolio managers and sellside clients and sales people demand that you feel extremely passionate about every stock that you recommend. I think this is completely illogical. Every investment has pros and cons, and I dont care how good of an analyst you think you are, noone knows for certain whether or a not a stock will do well or not. But because of this need to feel secure, I see many analyst highlight the pros and play down or even leave out the cons. If I am investing in something, I want to know everything relavant about it before I put money down.

Furthermore, many analyst feel that they have to size up everybody and everything in three or four bullet points. Isn't anyone confident enough to admit that they don't know everything? IMO this is a poor way to manage risk in this business.

Pooh
@2010-02-10 08:09:37

I agree. Without customers or audience, analysts would not have to be "passionate" about what they analyze, in other words, no sales involved and perhaps minimal conflict of interests. But that wouldn't be a good business to be in, right? No business, no money.

CFA Discussion Topic: analyst

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CFA Discussion Topic: analyst

Edward Liu