Survey names "best brokers"

By THIS IS MONEY
Updated: 19:00 EST, 8 July 1999

Thundering Herd Merrill Lynch galloped home as best broker in the annual Primark Extel Survey for the second time in succession. Once again they pipped Warburg Dillon Read to the winning post, but by a narrower margin than last year. In third position were last year's sixth runners, Credit Suisse First Boston.

For the first time in the 26-year history of the awards, all European broking firms were included in the survey. It is based on the opinion of fund managers who control £2.5 trillion worth of assets.

At the same time, 300 of Europe's top company chief executives, finance directors or investor relation directors responded to the Primark Extel questionnaire. They were all asked to nominate whom they thought were the best brokers' analysts as well as assessing the quality of one-to-one meetings with analysts at fund management institutions.

In recent weeks gambling on the outcome of the survey has been so intense that some bookies have refused bets on Merrill Lynch winning the best broker award.

All Stars Award

For the sixth year in succession the All Stars award for the best analyst in the City went to oil guru Fergus Macleod of BT Alex. Brown. In second place was Steve Plag the pharmaceutical expert at Credit Suisse, who pushed last year's No.2, Charles Burrows of HSBC, into No.3 spot.

The prestigious survey is keenly awaited by analysts - it not only indicates expertise but is useful for salary negotiations and all-important bonuses. Once again the top 20 analysts do not include a woman. Two new names gained promotion into the top 10 - Mark Stockdale at Warburg Dillon Read in No.5 position and Charles Winston of at No.9. The All Stars analysts team award goes to the oil analysts at BT Alex.Brown, with the oil team at Warburg Dillon Read in second position.

Fund Management

The prize for leading fund management firm goes to Mercury Asset Management who pushed last year's winners Prudential Portfolio Management into fourth place.

At No.2 is Schroder Investment Management, who were No.8 last year. At No.3 position is Fidelity who are unchanged in the ratings from last year.

The pharmaceuticals group at Credit Suisse First Boston gained second place. The Rising Star brokerage firm category goes to Commerzbank Global Equities, followed by Charterhouse Securities and Salomon Smith Barney.

Specialists

A new category of leading specialist salesperson has been created for this year's competition. Winner is Mark Roberts of Schroder Securities. Guy Froud of HSBC is at No.2 spot and Andrew Hollingworth of Merrill Lynch at No.3.

Other results

The survey also shows that the FT/S&P index is Europe's favourite benchmark index with a considerable lead among respondents to the survey over rivals FTSE Eurotop and MSCI.

It indicates too that while fund managers rely on analysts for research, they take little notice of their buy, sell or hold advice on brokers' notes.

At the awards ceremony at Guildhall in the City, Steve Schneider, chief executive of Primark Financial Information Division, said the survey reflected 'the increasing integration of the European market-place'. Prize presentations were made by Jon Foulds , chairman of the Halifax, Michael Grade , chief executive of First Leisure, Gavin Casey chief executive of the Stock Exchange and Christopher Sharples chairman of GNI.

The overall winners
Pan European Analysts

1 Merrill Lynch (1)
2 Warburg Dillon Read (2)
3 Credit Suisse Boston (5)
4 BT Alex Brown (3)
5 HSBC Securities (4)
6 ABN Amro (6)
7 Morgan Stanley Dean Witter (10)
8 Dresdner Kleinwort Benson (7)
9 Salomon Smith Barney (12)
10 Goldman Sachs (8)

The best of the brokers
Nominated by Eurotop 300 companies

1 Merrill Lynch (1)
2 Warburg Dillon Read (2)
3 ABN Amro (4)
4 Credit Suisse First Boston (6)
5 BT Alex. Brown (5)
6 Deutsche Morgan Grenfell (-)
7 Morgan Stanley Dean Witter (-)
8 Salomon Smith Barney (10)
9 Goldman Sachs (8)
10 Dresdner Kleinwort Benson (3)

The leading analysts
Weighted by funds under management

1 Fergus MacLeod, BT Alex. Brown (1)
2 Steve Plag, Credit Suisse First Boston (3)
3 Charles Burrows, HSBC Securities (2)
4 John Spicer, Warburg Dillon Read (5)
5 Mark Stockdale, Warburg Dillon Read (-)
6 Alan MacDonald, Warburg Dillon Read (20)
7 Rod MacLean, ABN AMRO (6)
8 Alastair Irvine, Merrill Lynch (4)
9 Charles Winston, HSBC Securities (-)
10 Andrew Ripper, Merrill Lynch (10)

Fund management favourites
Nominated by Eurotop 300 companies

1 Mercury Asset Management (2)
2 Schroder Inv Management (8)
3 Fidelity (3)
4 Prudential Portfolio Managers (1)
5 Capital (4)
6 HSBC Investment Management (-)
7 Legal & General (7)
8 Threadneedle Asset Management (-)
9 PDFM (Philips & Drew) (5)
10 Scudder Kemper (-)