Prompted Post #9 Recognizing Significance

 "In the light of prior psychology research, we predict that investors' reliance on an analyst'd report and the arguments contained therein will be influenced by the type of analyst issuing the report and by whether the report conclusion is favorable or unfavorable about the stock's potential (Journal of Accounting Research: Investor Reactions To Financial Analysts' Research Reports)." The result of the research shows us that customers rely on analysts' reports a lot. Customers take analysts' advice seriously and make investment based on their professional opinions. Therefore, financial analysts are an important role in business field or any other field. Financial analysts should pay attention to the advice being given to customers. Be responsible for every decision making for customers. Customers have their own rights to refuse listening to analysts' suggestion, but analysts are required to let their customers know the consequences of every decision customers make. 

Financial Report

Financial analysts can make a big impact among companies. "Specifically, investors judge the company's stock as having less potential when an unfavorable report originates from an investment banking analyst than when it originates form a non-investment-banking analyst (Investor Reactions To Financial Analysts' Research Reports)." Being objective and analyzing figures accurately are analysts' responsibilities. Investors' decisions mean a lot for companies, therefore, being fair is win-win for companies and investors. Financial analysts are the core of the business between companies and investors. 

Investors

Works Citation

Simko, Paul J., Lisa Koonce, and D. Eric Hirst. Investor Reactions to Financial Analysts' Research Reports. JSTOR. N.p., 2 Nov. 1995. Web. 6 Apr. 2016. <http://www.jstor.org/stable/2491491?seq=1#page_scan_tab_contents>.