F.A.Q. Investors

Q: What guarantees does Platform Group make on meeting allocations?

A: None. Meetings are allocated based on mutual interest. However, we do empower the buy-side to influence their meeting allocations by enabling the open exchange of information from them to the corporate. The more detail you provide about who you are and why you’re a good potential shareholder, the more likely it is that you will be allocated meetings.

Q: How is Platform Group more compliant than using an investment bank?

A: The European Securities & Markets Authority (“ESMA”) states that to be MiFID II compliant, the buy-side can no longer pay the sell-side for corporate access services. However, the buy-side may use a third party corporate access provider that does not provide other MiFID investment services (ie. sales, trading, research). This removes the primary conflict of interest or inducement risk that could arise if meetings are provided by another MiFID firm with whom they have other commercial relationships.

Q: If I have a company on my Wish List and it comes to my region, am I guaranteed a meeting?

A: You are not guaranteed a meeting, however the corporate will know that you had them on your Wish List and is more likely to allocate you a meeting for that reason. This is because your meeting is likely to be higher quality than if we had “pushed” the meeting on you.

Q: How do I set up payment with Platform Group? How much does it cost?

A: We accept soft dollar and hard dollar payment. We are set up with the top CSA aggregators as vendors. Please contact us for pricing information.

Q: Why should I care about MiFID II? Isn’t it a European regulation?

A: Yes, it is a European-born regulation with global implications. It promotes transparency, investor protection, and compliance. Global investors are currently or will be transitioning to MiFID II compliance for the following reasons:

i) Many large institutional investors operate globally. If one of their operating jurisdictions is governed by MiFID II and another isn’t, it is best corporate governance to transition all operating entities to the strictest regulation. Some firms may attempt to segregate their geographies, which will likely prove to be onerous, complex and less efficient than simply transitioning to firm-wide compliance.
ii) From an asset gathering point of view, all else being equal, those who are the most compliant with new standards and regulations are likely to gather more assets.

The majority of investors agree that it is in their best interest. According to a CFA Society survey, 60% of the buy-side felt that the current research model does not best serve investors and that the sell-side should move to a priced model.

Corporates F.A.Q.