Research Policy - June 2017
Savings | Planning | Investments
Types of Research
- Equity Research notes
- Fund Research notes
- Bond Research notes
- Bonds Lists
- Thematic Research notes
The Research team may regularly publish ‘update’ documents, which may contain comments on investments. Where a comment relates to a Killik & Co Research-covered recommendation, the recommendation will be indicated. The ‘Daily Note’ and ‘ETF Bulletin’ are regarded as updates.
Killik & Co research is produced by analysts within the Research team and the name(s) of the author(s) is/are identified in research publications which represent investment research. The research is produced on the basis of publicly available information, internally-developed data and other sources believed to be reliable. Records are maintained of information relied upon when making a recommendation.
Other departments within Killik & Co may produce commentary on certain stocks. However, this Research Policy only relates to investment research published by the Killik & Co Research team.
The Killik & Co quarterly magazine, Confidant, contains contributions from a number of Killik & Co departments, including Research. The Research team’s contribution to Confidant will typically include comment and valuation information on securities on which the Research team has issued a research recommendation. In addition to comment on securities on which the Research team has issued a research recommendation, the team may provide market commentary, which may include references to securities they do not cover. Killik & Co research recommendations are not initiated or changed via Confidant.
Killik & Co Equity and Fund Research Recommendation Definitions
Funds/equities which the respective Research team believes have the potential to outperform
their benchmark and their peers over the medium to longer term.
Funds/equities which the respective Research team believes are likely to perform broadly in line
with their benchmark and peers. It also covers funds/equities which the respective Research
team is keeping under observation before moving to a Buy or Sell recommendation.
Funds/equities which the respective Research team do not believe have the potential to
outperform their benchmark and peers over the medium to longer term, or where the Research
team believes there are better alternatives.
Bond Research Categories
Security Specific Risk Ratings
Securities in this category are what we believe to be higher risk and are drawn from across the United Kingdom and international markets. These include direct equity investment and collective investment vehicles which predominantly hold securities other than those listed in either the Restricted Lower Risk or Restricted Medium Risk categories. Unrestricted risk fixed income securities may be investment grade, sub-investment grade or unrated bonds. This category may include subordinated issues, bonds with conversion features, permanent interest bearing shares (PIBS), preference shares or other fixed income securities which Killik & Co’s Fixed Income team, based upon its analysis, believes to be higher risk.
The vast majority of the Killik & Co Equity and Fund Research recommendations are likely to fall in the unrestricted/higher risk category (4-9) above.
Most of the fixed income securities on the Bonds Lists are likely to fall into the restricted/medium risk (2-3) or unrestricted/higher risk category (4-9) above.
For further detail on the Killik & Co risk rating system please see the Killik & Co terms and conditions.
Publication and Distribution of Killik & Co Research Recommendations
Killik & Co research may be published at any time during the day, and is distributed either by email or in a hard copy format. Killik & Co research notes are initially published via an email to the Killik & Co Investment Manager network. Clients who have provided an email address to Killik & Co may be sent research reports on the securities they hold. In addition, clients may elect to receive research notes on securities which they do not hold, but are of suitable risk profile.
The Killik & Co Bond, Equity and Fund research teams may provide information on new issues to clients based upon the offering documents of the issuer.
Investment Managers have the discretion to send research reports in hard-copy form to clients for whom Killik & Co does not have an email address.
Management of Potential Conflicts of Interest
Killik & Co is a trading name of Killik & Co LLP, a limited liability partnership authorised and regulated by the Financial Conduct Authority and a member of the London Stock Exchange. Registered in England and Wales No. OC325132. Registered office: 46 Grosvenor Street, London W1K 3HN. A list of Partners is available upon request.