SEOUL, Jan. 23 (Korea Bizwire) — Research reports published by securities firms are decreasing in line with changes in the business environment in the securities industry.
The number of research reports published by securities firms based on financial information provider FnGuide’s tally dropped from a high of 95,215 in 2013 to 76,694 in 2018.
In particular, the number of reports on low price stocks showed a sharp decline from 515 in 2013 to 112 in 2019.
Shim Soo-yeon, a senior researcher at the Korea Capital Market Institute, attributed the decreasing number of research reports to “the steady decline in the number of analysts at securities firms who write research reports, and the drop in demand for research reports due to diversification of their operations.”
Currently, a total of 1,052 financial investment analysts, including 977 from domestic securities firms and 75 from local branches of foreign securities firms, were registered with the Korea Financial Investment Association as of January 10.
Compared to 2010, when there were over 1,500 people registered, the number dropped by nearly 30 percent.
This increased the number of annual average reports issued per person from 52 in 2013 to 70.5 last year.
“The reliance on analyst reports has been greatly reduced as individual investors have improved access to information and direct investment has also increased due to the development of Home Trading Systems and Mobile Trading Systems,” Shim added.
Ashley Song (firstname.lastname@example.org)