Noble Group, the research led Anglo-Indian investment bank specialising in mid and small cap companies, recently announced that it has formed a strategic alliance and exclusive marketing arrangement with UBS in India. Under the arrangement, Noble will provide research on Indian mid and small cap companies to UBS’ global institutional client base investing into India. This will allow buy-side clients to pay for Noble’s research on Indian equities by trading with UBS. Under the agreement, UBS will be referring its clients to Noble for mid/small cap advisory, while Noble will be introducing clients to UBS for trade execution. As a result, UBS hopes to attract an increasing market share in the Indian equities business.
Clients will benefit from Noble’s research in the mid market, which complements UBS’s existing coverage of BSE 100 companies. Noble specializes in small and mid cap stocks. In the UK, Noble’s research is considered by institutional investors and industry surveys to be amongst the market leaders both in terms of breadth of coverage (around 170 stocks under coverage) and the quality of insights provided.
This strategic alliance follows the launch of Noble’s equity business in India in September 2008, when Noble started publishing research on the mid-tier of stocks in India. Noble aims to produce differentiated fundamental research that draws heavily on primary data networks and forensic accounting to identify emerging Indian companies with a sustainable competitive advantage. This Indian research product fills a unique niche, as coverage of mid and small cap stocks in India by international investment banks has historically been limited. Noble currently has a team of 11 analysts and sales people focused on Indian equities, and covering five sectors – Technology, Consumer, Banks/Financial Services, Power and Infrastructure, with its target universe being stocks with market cap less than $2.5bn.
Noble believes that the Indian equities mid-market will build on its recent growth to become a key destination for international investors over the long-term.
Nick Paulson-Ellis, Head of Equities at Noble said: “We are delighted to have formed a strategic alliance with UBS which demonstrates both firms’ commitment to the Indian mid-cap market. We think that the combination of our research base with access to UBS’ institutional investors and execution capabilities will benefit both the mid-cap companies we cover and those investors wishing to gain exposure to this fast growing segment of the Indian market.”
Chi-Won Yoon, Head of Asian Equities at UBS said: “The alliance provides international investors with a safe, transparent and cost effective conduit through which to access a far greater number of stocks that sit below the top 50 companies by market capitalisation in India. What is more, it is an exclusive affiliation that not only allows UBS to provide a new dimension to its integrated offering but also helps strengthen research coverage of small and mid-caps in India”
In November 2008, UBS purchased a minority stake in Governance Metrics International, a research firm which assesses corporate governance for over 4,200 companies globally. In addition, in March 2008, UBS purchased a minority stake in Integrity Research Associates.
For more information contact:
|Nick Paulson-Ellis, Head of EquitiesBen Thompson, Group Head of Marketing||+44 20 7763 2200|
|Saurabh Mukherjea, Head of Indian Equities||+91 22 4211 0901|
Julian Pickstone, Head of Asian Equities Research Tel +852 2971 8915 firstname.lastname@example.org Ranjit Hosangady, Head of Indian EquitiesTel +91 2222862 037 email@example.com Suresh A Mahadevan, Head of Indian Equities Research
Tel +91 2222862 100 firstname.lastname@example.org