SEC Newgate UK publishes inaugural broker survey

SEC Newgate published the results of its inaugural broker survey earlier this week, ahead of the autumn budget.

60 stockbrokers from 15 UK investment banks contributed to the report, providing insight from those most closely involved in the UK’s equity markets into what could be done to encourage fund inflows and IPO activity, whether through actions from the government or from the brokers themselves. 

The results were decisive in terms of what brokers felt they could do to attract inflows. Marketing the benefits of investment and the attractiveness of the UK market, alongside greater media engagement, were seen as by far the greatest relevance.  When asked what they could do to encourage IPO activity, the brokers felt lobbying the government to enact market reforms was of prime importance, followed again by marketing. 

Perhaps most importantly, brokers saw a plethora of options available to the government to enact improvements. Most important among these was the unlocking of funds within defined benefit pensions for UK investment.

This was closely followed by the introduction of incentives to list in Britain or invest in London listed stocks; the championing of the UK’s markets abroad; tax reforms such as the abolition of stamp duty, reduction of capital gains tax and exemption from inheritance tax for domestic investments; and educating the public regarding the benefits of long-term investment into its home markets.

The report marks the first of what is hoped to be an annual survey of the UK’s broking community, and we look forward to providing further insights in future.

Read the full report here

Financial Times coverage of the survey here