UBS Warburg tops analyst ranking poll
UBS Warburg has won for the second consecutive year an important poll that helps determine the pay and careers of Asia's research analysts.
The poll, organised by Institutional Investor Magazine, asks fund managers across Asia to vote for their favourite research analysts.
Last year's runner-up, CS First Boston, stayed at No 2 while in an upset, Morgan Stanley dropped three notches to No 6 as Citibank Salomon made a rapid rise to No 3 from No 8.
The rankings are an indication of how good analysts have been in providing information and stock calls to fund managers and have a significant impact on the analysts' pay. Analysts who jump into one of the top three slots from lower down in the rankings can see their pay increase by hundreds of thousands of dollars virtually overnight.
Merrill Lynch slipped to fifth place from fourth; CLSA fell to eighth from seventh; and Deutsche Bank climbed one ranking to ninth from 10th.
But it was the switch between Morgan Stanley and Salomon that caught the attention of analysts in Hong Kong, who were surprised to see a powerhouse like Morgan Stanley fall to sixth.
'Morgan Stanley cut research to focus on certain sectors,' one Hong Kong analyst said.
'Salomon made some good hires last year across the board.'
This was demonstrated by the number of Salomon research teams outside of the No 1 position that improved their standing.
Morgan Stanley argues that the best measure in the polls are the weighted rankings, which take into account research in the most important areas and the largest countries. Under this measure, Morgan Stanley remained unchanged at No 3.
'We've maintained the position we've had in previous years, which is No 3, and we're very happy with that,' a Morgan Stanley spokesman said.