ABSTRACT

We investigate the determinants of analyst reputation considering the impact of limited attention. We find support for the hypothesis that capital market participants have limited attention and assess analyst reputation based on their large-firm forecast performance, not their performance as a whole. We find no relation between an analyst’s overall forecast accuracy and initially obtaining a high reputation, but we find a significantly positive relation between analyst large-firm forecast accuracy and reputation. Our study reconciles conflicting studies and contributes to the literature investigating analyst incentives, suggesting that high reputation analysts allocate their limited resources to the largest firms in their portfolios.

摘要

考虑到有限注意力的影响，我们调查了分析师声誉的决定因素。我们发现资本市场参与者的注意力有限这一假设得到了支持，并根据他们对大公司的预测业绩而不是他们的整体业绩来评估分析师的声誉。我们发现分析师的整体预测准确性与最初获得高声誉之间没有关系，但我们发现分析师大公司预测准确性与声誉之间存在显着的正相关关系。我们的研究调和了相互矛盾的研究，并有助于研究分析师激励的文献，这表明高声誉分析师将其有限的资源分配给其投资组合中最大的公司。