How can you balance objectivity and advocacy in research reports?

1 Know your audience

Before you write your research report, you need to understand who your audience is and what they expect from you. Different types of clients may have different investment goals, risk appetites, time horizons, and preferences. For example, institutional investors may be more interested in detailed financial models and valuation methods, while retail investors may prefer simpler and more accessible explanations and charts. You need to tailor your report to your audience's needs and interests, and use clear and concise language that avoids jargon and ambiguity.

2 Provide evidence and context

Your research report should be based on solid evidence and data that support your thesis and recommendations. You should also provide context and background information that explain why your analysis is relevant and timely. For example, you can include industry trends, competitive dynamics, macroeconomic factors, regulatory changes, and company-specific events that affect your valuation and outlook. You should also cite your sources and disclose any assumptions or limitations that may affect your results.

4 Highlight your value proposition

While you should be objective and transparent in your research, you should also highlight your value proposition and competitive edge as a research analyst. You should emphasize what makes your research unique and valuable, and how it can help your clients achieve their investment objectives. For example, you can showcase your expertise, experience, insights, or access to information that differentiate you from other analysts. You should also use persuasive language and techniques, such as framing, storytelling, or call to action, to convince your clients to trust your research and act on your recommendations.

5 Seek feedback and improvement

One of the best ways to balance objectivity and advocacy in research reports is to seek feedback and improvement from your peers, managers, clients, and regulators. You should be open to constructive criticism and suggestions that can help you improve your research quality and communication skills. You should also monitor the performance and impact of your research, and update your analysis and recommendations as new information or events emerge. By seeking feedback and improvement, you can enhance your credibility and reputation as a research analyst, and build long-term relationships with your clients.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?