Wedbush Morgan Securities’ Equity division has implemented a new stock rating system replacing the prior system based on absolute returns. The firm said that the new structure creates a framework enabling analysts to better serve the firm’s clients. Stocks will now be rated Outperform, Neutral or Under-perform on a relative basis.
The firm continues to allocate resources to all facets of the capital markets business including equities, fixed income and investment banking, expanding the firm’s market position within the industry’s shifting landscape.
Mark Benson, director of research, stated: “This allows analysts to provide rating opinions on what they know best their respective universes of coverage. Furthermore, it encourages analysts to have differentiated opinions on the stocks they cover.”
Sheri Kaiserman, head of equities, said: “This is an exciting time for our firm. We believe the rating system change is an improvement supporting the continued growth of our Research department and expanding base of clients.”
Los Angeles-based Wedbush is a financial services and investment firm that provides private and institutional brokerage, correspondent clearing, investment banking, equities research, public finance, fixed income sales and trading, and asset management services.
