UK companies among the hardest hit by decline in analyst coverage, according to Citigate Dewe Rogerson’s 11th Annual IR Survey

The UK’s listed companies have been hit by an accelerated decline in both the quantity and quality of sell-side analyst research following the introduction of the MiFID II directive, according to new research from Citigate Dewe Rogerson’s dedicated Investor Relations Practice.

Overall, 52% of UK companies in its 11th Annual IR Survey reported a year-on-year decline in the number of analysts covering them and 38% reported a fall in the quality of research. For European companies excluding the UK, the figures were 39% and 20%, respectively.

Citigate Dewe Rogerson believes the issue is particularly acute for the smaller and medium-sized listed companies1, which already faced challenges in gaining institutional investor attention.

Sandra Novakov, Head of Investor Relations at Citigate Dewe Rogerson, says: “Analysts scrutinise companies, and this helpfully draws attention to them. The more pronounced decline in sell-side research in the UK means that high-quality, medium-sized and smaller companies face a very real risk that they drop off the radar of institutional investors. This can lead to a reduction in liquidity that is hard to recover from.

“The good news is that IR professionals increasingly see this danger and are taking proactive steps to address it, such as actively articulating their investment case and increasing roadshow frequency and effectiveness. It signals a change in approach.”

Citigate Dewe Rogerson’s 11th Annual IR Survey, which will be published in full later this month, incorporates feedback from 479 Investor Relations Officers (IROs) at leading companies across the world, including 242 from Europe.

MiFID II was introduced on 3 January 2018, across the EU, to make the financial industry more transparent. A key aspect of the new regulation was to unbundle products brokerage firms provide, which meant that sell-side research could no longer be paid for using trading commissions. The impact has been felt across small, medium and large listed companies, as shown in the table below.

Table 1: Have you noticed any changes in the nature of sell-side analyst research on your company?



Total Large Mid Small
Fewer analysts 52% 75% 44% 57%
Reduced quality 38% 63% 33% 36%

Europe excluding the UK



Total Large Mid Small
Fewer analysts 39% 32% 44% 36%
Reduced quality 20% 32% 21% 13%

Efforts by IROs across Europe to actively articulate their investment case are also evident across the research findings:

  • Investor materials: 49% of European small caps (and 49% of mid caps) plan to make “significant” improvements to their website over the coming year while 43% plan to upgrade their annual reports
  • Roadshows, capital markets days and broker-hosted conferences: 53% of European small caps (51% of mid caps) plan to dedicate more time to investor roadshows over the coming year, 46% to capital markets days and 42% to broker-hosted conferences
  • Investor targeting: 51% of European small caps (73% of mid caps) research potential investor targets internally, 21% with the support of third-party consultants


  1. The survey used the following definitions of company sizes: small caps = market cap <$1 billion; mid caps = market cap $1bn – $10billion; large caps = market cap >$10 billion.

For further information, please contact:

Sandra Novakov

Head of Investor Relations

Citigate Dewe Rogerson

Tel: +44 (0)20 3926 8517



About the Survey

Citigate Dewe Rogerson first started investigating trends in investor relations in 2009 to gain insight into how companies were adapting to the uncertain times brought about by the 2008 financial crisis. Our first survey was based on responses from 80 IROs representing companies from a wide range of European markets, sectors and company size. Since then, our annual IR survey has gained a growing number of supporters, not least from IR societies across Europe including the UK IR Society, Germany’s Deutscher Investor Relations Verband (‘DIRK’) and the IR Club. This led to a decision to include companies outside of Europe in the research for the first time in 2016. In 2019, a record 479 IROs from leading companies across the world participated in the survey, up from 221 in 2018, to provide the most comprehensive insight to date into changing attitudes and practices, from objective-setting, reporting and guidance to analyst coverage, investor and activist engagement, and harnessing technology to help meet core objectives.


About Citigate Dewe Rogerson

Founded in 1969, Citigate Dewe Rogerson is one of the most respected names in strategic financial and corporate communications. Our dedicated investor relations team has a track record of 30 years in advising boards, senior executives and IROs worldwide to build their profiles amongst the investment community and nurture relationships with key decision makers.

Share this article

Back to blog