If one asks the main brokers on the market about their development plans, a constant answer would refer to the development of the research department. However, as they would immediately add, the managers of brokerage firms, have trouble finding "good" people. The capital market is strongly affected by the lack of good analysts, and one can count on their fingers the brokerage firms that have "real" analysis departments, as the brokers themselves state. Not only the customers are dissatisfied with this situation, but also the brokerage companies, which even consider hiring foreign analysts to run the research departments.

At the same time, the very few analysts "well rated" on the market, are constantly "hunted" by the other brokerage firms. This summer, Liviu Giugiumica, the former general manager with BRD Securities, left to join rival brokerage CA IB Securities, taking his entire team of analysts along.

"There is, indeed, an obvious deficit of good analysts on the market, and I felt that myself," states Marian Dinu, head of Alpha Finance Romania securities firm.

Until not long ago, the need for research departments was felt especially among brokerage companies, which worked especially with foreign institutional investors that always need a piece of advice or a recommendation before deciding to invest.

The demand coming from domestic clients was rather weak, especially considering that, as of 2000, the Stock Exchange had witnessed a strong upward trend, with the first changes emerging as early as last year. Amid this constant market growth, it was very hard to "find" a share to buy and incur losses.

Under the circumstances, the investors did not feel a strong need for research, as their decisions were based on their personal inspiration or on the brokers' recommendations, who relied on information with narrow reach at beast.

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