 Understanding the Financial Markets’ Stakeholders and Their MotivationPoul Lykkesfeldt () and Laurits Louis Kjaergaard () Chapter Chapter 7 in Investor Relations and ESG Reporting in a Regulatory Perspective, 2022, pp 45-48 from Springer Abstract: Abstract We provide an overview of the financial community, which is comprised of, e.g. investors, equity analysts, brokers and investment bankers. In addition to the market participants piecing together information by finding data points and ideas, they discuss them with other market participants to sense the market consensus and how to use new information to undercover an information advantage. As relying on and discussing information is essential, financial markets relations are socially structured. That means that the decision on the value of an asset requires social coordination and consensual validation. We have discussed that share prices are far more volatile than explained by movement in their intrinsic value; therefore, shares are priced according to fads and fashions among investors. This also explains the unpredictable nature of securities. As a result, it is crucial to understand the actors, or stakeholders, of the financial community and what their fundamental roles and motivations are. Keywords: Stakeholders; Regulatory separation; Client classification; Eligible counterparties; Investment perspectives. (search for similar items in EconPapers) There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-031-05800-4_7 Ordering information: This item can be ordered from DOI: 10.1007/978-3-031-05800-4_7 Access Statistics for this chapter More chapters in Springer Books from Springer |
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