New Smartkarma premium services include MiFID II-compliant research

Smartkarma, Asia’s largest provider of independent investment research, today announced the global launch of Premium Services, a suite of value-added services, allowing asset managers to deepen their engagement with independent research providers.

Smartkarma’s innovative platform-based solution has up-ended the traditional research model by providing access to a large network of independent, transparent, analysts and insight providers. With the launch of Premium Services, this now extends into other services beyond content, including analyst calls, corporate access, financial modelling and bespoke research, all accessed in a fully compliant manner.

Smartkarma’s Premium Services launch follows the recent announcements of a Series B raise and expansion across Europe and the US. Quinlan and Associates have forecast a growth in independent and boutique insight providers, due not only to regulatory obligations, but also the move towards a more dynamic and collaborative solution for the currently fractured investment research market. Smartkarma’s ecosystem has shown strong growth since its launch in 2016, with the top 10 clients alone having over $13.5 trillion under management.

Smartkarma’s Premium Services provides clients with a holistic solution, outside of the traditional bank research model, which has shown significant strain under the MIFID II regulatory rules. In contrast to the current cumbersome processes to establish interaction with analysts and analyst firms, ensuring compliance is an easy, transparent process with Premium Services. Once compliant, clients can easily work with all insight providers across the network, without any fear of inducement, a key requirement for MiFID II.

Premium Services allow the buy side the flexibility to engage with insight providers when and how they need, with simple and transparent pricing and a tiered subscription model, priced from $2,000 US per month. Clients can access insight providers whose work they appreciate and value, to get more in-depth knowledge on a specific topic, or to sense check a newly formulated trading idea. The addition of bespoke work also gives investors and portfolio managers the opportunity to request specific financial models or other research that will not be visible to others on the Smartkarma platform.

For insight providers, Premium Services enables monetization of services complementing their written insight available on the Smartkarma platform, further strengthening their expert credibility. More than 400 insight providers covering in excess of 2,400 companies across 15 Asia Pacific markets publish regularly to the platform, addressing areas underrepresented by traditional bank research including IPO/M&A analysis, event-driven special situations, and small and mid-cap company research.

“The finance industry is seeing unprecedented change and traditional bank-led models for research coverage and analyst interaction is no longer enough,” co-founder Jon Foster said. “The market wants more access to independent research that is compliant and actionable. Premium Services delivers this in a new and innovative way, allowing asset managers to dive deeper into the written ideas on Smartkarma and their next investment.”

Premium Services are now live across the Smartkarma platform and the service will also be available to European-focused insight providers joining the platform this year.