At its basic level, Irideus.org provides a platform for arbitrary allocation of research assignments to the independent research firms, so that the highest standards of objectivity are maintained. The arbitrary allocation mechanism is audited periodically.
The intermediated research model designed by Irideus.org is at its most effective when it involves the participation of an intermediator' to provide oversight of the service. Ideally this might be an Exchange (but could also be regulator, as in the US Global Research scheme). The core functions of the intermediator can be outlined as follows:
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- Oversight of the issuer contract and service level agreement
- Arbitrator in case of disputes
- Liason with market participants to garner local requirements, and with regulator to determine local rules
- Public and press relations, marketing and promotion to issuers
- Endorsement of the proposition
- Provide distribution through web portal
- Provide market education program
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| Key benefits for Intermediators include: |
- For Stock Exchanges, Irideus.org is an out-of-the-box solution to provide cost-effective objective research.
- Best practice for Exchanges to facilitate objective research on all issuers
- Best practice for issuers demonstration of commitment to investors, at only a modest cost
- Improves competitiveness as a listing venue
- Enhances issuer transparency
- Promotes issuer liquidity
- Fosters health of issuers by creating conditions for capital raising
- Lowers cost of capital for issuers
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Irideus.org is designed to deliver highly insightful, objective research on companies across global stock exchanges in a cost-effective manner.
Equity research forms an important part of the investor relations strategy enabling companies to increase their visibility with investors which
can lead to financing opportunities and improved liquidity whilst optimising the use of senior management time in investor communications. Investors
consider company sponsored research as a useful source of consolidated information on a company and access to this information assists in making
informed investment decisions*.
Registering with Irideus.org will help to communicate your business story, reaching a wide range of fund managers, stockbrokers and private investors
through a distribution network of trusted and reputable research distribution platforms and international investors registered with the Irideus.org
platform. |
| Registration for Irideus.org provides: |
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- Standardized, objective and cost-effective research
- Distribution via Bloomberg, Thomson Reuters, Proquote, FactSet, and Capital IQ, and Proactive Investors as well as this website.
- Enhanced visibility for company and the brand.
- Improved investor relations
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| Companies who subscribe to the Irideus.org service are sending a clear message to the market that they want: |
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- To help communicate with investors, forming part of a comprehensive investor relations strategy
- To increase visibility and understanding about their stock, leading to a wider and more balanced shareholder register and ultimately enhanced liquidity.
- To increase information flow which enhances their company's awareness and positively impacts market reputation, M&A opportunities and business growth.
- To provide additional insight to research produced by the house broker or to fill a gap in instances where no research is published by the house broker
- To create a widely-distributed source of reliable information on their company in a cost effective manner
- To minimise the cost of capital. Companies recognise the value research provides for existing shareholders who can be a source of additional fundraising
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| Benefits for existing and prospective investors include |
| Benefits for existing and prospective investors include |
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- Quality, objective information and research
- Trusted, objective and non-conflicted providers
- Enhanced information flow and insights on investments
- Potential for enhanced liquidity via access to wider investor base
- Company sponsored research is increasingly recognised by institutional and retail investors as a valuable source of information
- In the 2008 AIM Arbuthnot Investor Survey, 68% of institutional investors saw benefit from company sponsored research, up from 60% in the prior year
- With companies competing for opportunities to access capital, investors will focus on those companies with the strongest research profiles
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| Benefits for Business Partners |
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- Increased information, enhanced trust and confidence for any business discussions (M & A, joint ventures)
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| * In a recent survey of investors in the UK, 57% of private investors said that the reasons for not owning small cap shares was due
to the lack of information available whilst only 7% of retail investors in the UK said they were happy with the
information available on smaller companies. Source: Taylor Nelson Sofres Plc Market research 2007. |
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