HONG KONG--()--TIM Group today reported results of the TIM Ideas Top Performer Awards 2012 for Asia (excluding Japan), Japan and Australia, identifying the best institutional equity salespeople and their brokerage firms in these regions.
“This is an excellent result and demonstrates the geographical breadth of our equities business. The result is testament to our people and the strong relationship between sales and research and the continued drive to add value to our clients' investment process.”
The Number Ones
|Asia (ex-Japan)||UBS Investment Bank||Religare Capital Markets||Raghav Kapoor of Religare Capital Markets|
|Japan||UBS Investment Bank||CLSA||Gareth Lewis of CLSA|
|Australia||UBS Investment Bank||CLSA||Adam Woods of CLSA|
The complete rankings can be found on the tables accompanying this news release.
TIM Ideas Top Performer Awards, now in its second year, is the only quantitative ranking of its kind. It is based on the alpha, or outperformance versus relative indexes, of stock trading ideas authored by equity salespeople and sent to their money manager clients via the regulatory compliant TIM Ideas platform. Trade ideas are specific, actionable recommendations, typically based on in-house sell-side research combined with an understanding of market dynamics and timing by the salesperson.
The awards demonstrate consistent outperformance despite last year’s choppy market. "2012 was another challenging year for investors, given the many macro events that impacted the markets. However, our data shows that a number of quality salespeople and their firms dramatically outperformed their benchmarks and peers,” said Colin Berthoud, Co-founder of TIM Group.
For the 2012 ranking, TIM analysed the almost one million long and short equity trading ideas, developed by more than 4,000 equity sales people at more than 300 brokerage firms around the world, for more than 350 clients. 2012 is the first year TIM ranked performance in Asia (ex-Japan), Japan and Australia. TIM also issued news releases announcing the best institutional equity sales people and their brokerage firms in UK/Europe and in North America.
Quantitative Summary (average annualised alpha)
Top Brokerage Firms
|Asia (ex Japan)||19.4%||42.7%||18.1%|
Dominic Vail, Deputy Global Head of Equities Distribution for UBS, commented, “This is an excellent result and demonstrates the geographical breadth of our equities business. The result is testament to our people and the strong relationship between sales and research and the continued drive to add value to our clients' investment process.”
Mr. Berthoud explained that the data generated by the awards demonstrate:
- Alpha: How professionals in Asia (excluding Japan), Japan and Australia who understand stocks and markets can generate a significant amount of alpha at a time when correlation is considered to be very high.
- Equity Sales: The changing role equity salespeople are playing at institutional brokerage firms today, providing value added services that help their clients.
- Compliance: How technology can play a key role in both protecting the communication of intellectual property in a regulatory compliant manner.
“While research analysts may get the lion’s share of industry attention, equity salespeople increasingly are the critical link in generating value added commissions by applying their firm’s services and informational resources to the unique style of each institutional client,” Mr. Berthoud said.
- Results were based on the alpha generating performance of almost one million long and short equity trading ideas sent to clients via the TIM Ideas platform in 2012.
- Performance was measured by the average return per idea, from the time it was initiated to the time it was closed, versus the performance of the relevant regional or sector benchmarks for that same period.
- Rankings were weighted by consistency of performance and number of ideas generated by each salesperson.
- Regional award benchmarks were S&P 500 for North America, STOXX 600 for Europe, MSCI AC for Asia (ex Japan), TOPIX for Japan and ASX300 for Australia.
- In order to qualify, an equity salesperson must have sent at least five trade ideas in each quarter of 2012. ETFs and index ideas were excluded.
- For the firm level awards, there must have been at least three qualifying authors at the firm to be eligible.
- Authors need to have had a positive average relative return in order to win an award.
TIM Ideas Top Performer Awards: Asia (Ex-Japan)
Top Brokerage Firms – Average Annualised Alpha of 19.4% (based on average outperformance per idea of 1.8%)
|1||UBS Investment Bank|
|3||Morgan Stanley & Co, LLC|
|1||Religare Capital Markets|
|5||OSK Investment Bank|
Top Equity Salespeople – Average Annualised Alpha of 42.7% (based on average outperformance per idea of 3.4%)
|1||Raghav Kapoor||Religare Capital Markets|
|3||Jack McFerran||Goldman Sachs|
|4||Jong Min Kim||CLSA|
|5||Joyce Wan||Yuanta Securities|
|7||Claas Reiss||Ji ASIA|
|8||Edward Bagnall||Ji ASIA|
|9||Lisa Fox||Ji ASIA|
|10||Joseph Jeong||Religare Capital Markets|
The top-ranked salesperson Raghav Kapoor of Religare Capital Markets had an annualised outperformance of 43.3% above the market, based on an average outperformance per idea of 6.1%
TIM Ideas Top Performer Awards: Japan
Brokerage Firms – Average Annualised Alpha of 26.9% (based on average outperformance per idea of 1.4%)
|1||UBS Investment Bank|
|4||Morgan Stanley MUFG Securities Co., Ltd|
|4||BNP Paribas Securities (Japan) Limited|
Top Equity Salespeople – Average Annualised Alpha of 49.0% (based on average outperformance per idea of 3.6%)
|2||Timothy Morse||BNP Paribas Securities (Japan) Limited|
|3||Michael Kato||Barclays Capital|
|5||Jens Hohenberg||Ichiban Advisors|
|7||Lisa Fox||Ji ASIA|
|9||Takashi Yamada||Goldman Sachs|
|10||Shintaro Uchida||Barclays Capital|
The top-ranked salesperson Gareth Lewis of CLSA had an annualised outperformance of 112.7% above the market, based on an average outperformance per idea of 9.7%
TIM Ideas Top Performer Awards: Australia
Brokerage Firms – Average Annualised Alpha of 13.1% (based on average outperformance per idea of 1.1%)
|1||UBS Investment Bank|
|2||Morgan Stanley & Co, LLC|
|2||CIMB Securities (Australia) Ltd|
|4||Moelis & Company|
|5||Bell Potter Securities Limited|
Top Equity Salespeople – Average Annualised Alpha of 30.2% (based on average outperformance per idea of 2.1%)
|2||Andrew Tanner||Goldman Sachs|
|3||Deepan Pavendranathan||Goldman Sachs|
|6||Justin Lindquist||Morgan Stanley & Co, LLC|
|7||Darren Jackson||Calibre Investments|
|8||John Garrett||Moelis & Company|
|9||James Ramsay||Bell Potter Securities Limited|
|10||Mark Fitzgerald||Morgan Stanley & Co Inc|
The top-ranked salesperson Adam Woods of CLSA had an annualised outperformance of 50.5% above the market, based on an average outperformance per idea of 5.2%
About TIM Group
TIM Group (www.timgroup.com) provides alpha generating information technology, consulting and services to the financial services industry. The company's focus is on helping buy and sell-side firms and administrators maximize their intellectual property to generate more revenue. TIM Group is employee owned with outside venture capital investors that include Commonwealth Capital Ventures of Boston, GrandBanks Capital of Boston, and JLA Ventures of Toronto.