The common knowledge says that usage of various tools and techniques happens at the analysis stage, but it is not completely true.
You can use various easy to use tools for data collection and report writing as well.
Today in this article I am going to tell you about the top 5 tools (which are usually free of cost and easily available) that are used at various stages of equity research.
1. RSS feeds
RSS (Rich Site Summary) feed is a very helpful and time saving tool for data collection if used prudently.
Typically the data collection for equity research is done using a fixed set of websites.
By using RSS feeds, you will get instant access to all the data related to your company or industry.
If you register RSS feeds on a domain, it removes the human element of manually checking uploads and saves a lot of time.
2. Google alerts
There are also Google alerts that you can activate in addition to RSS feeds, which will periodically send you data uploaded on the internet related to your company or industry.
It is a notification service that gives you info on data uploaded by sending out periodic e-mails to the registered id.
Well this is the most commonly used tool for any kind of financial analysis across the world and equity research is no exception.
This tool is usually used for small and medium data sets to run financial analysis.
There are numerous functions and formulae in Excel that are very popular amongst equity analysts across the globe.
There are many open source tools like Open Office Spread Sheet, which are also used for such analysis, but not as widely as Microsoft Excel.
Statistical Product and Service Solution (SPSS) is a very popular statistical tool used by researchers from various backgrounds for their analysis.
This is usually used where the data sets are large and usually captured in a pattern.
There are functions in this tool which create various charts and graphs depending on the analysis and enable researchers in presenting the findings in a pictorial manner.
A little more complex when compared to Excel, this tool requires a little more training for an analyst to use properly.
It is a software suite used for data management and analysis by many companies and analysts.
Unlike Excel or SPSS, SAS not just performs data analysis but also can be used very effectively for data collection and analytics.
However, knowledge of programming languages is important for you to fully use the potential offered by this tool.
It does not mean that if you do not know programming languages you cannot use SAS.
With a little bit of training you should be able to use it as effectively as other tools.
I hope this article helps you in doing equity research better in future using these tools.
If you have any questions related to the content in this article, please feel free to write back and I will be happy to answer all your queries.
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