By Julie Dalla-Costa
When Detwiler, Mitchell & Co. wanted to
reinvent itself as an independent research boutique five years
ago, the financial heft of hedge funds made them a highly
desired clientele. Hedge funds often trade frequently and so
have large commissions, giving them soft dollars to disburse.
The big players also have plenty of cold hard cash to throw
around. Moreover, the industrys sophisticated analysis
dovetails perfectly with Detwilers product. Hedge
funds were the most aligned with the type of work that we were
doing, as they were looking for unique insight and reach,
says Alex Arnold, the firms director of research.
Like a growing number of independent now more often
called alternative research houses catering to hedge
funds, Detwiler doesnt provide the traditional stock
research found on Wall Street. Instead of talking to
management, its analysts investigate a companys...