Morgan Stanley launched a dedicated research product covering private companies, joining rivals including JPMorgan Chase & Co. and Citigroup Inc. as investor interest in unlisted startups grows.
The bank on Tuesday opened a page for private-company content in its research portal that “will spotlight the innovators and trends that are reshaping traditional business paradigms,” according to an internal memo seen by Bloomberg News.
The new page will feature reports that discuss private companies’ impact on public-market competitors and research into single names, according to a Morgan Stanley spokesperson. It will also include a series that focuses on venture-capital activities and multimedia content.
“Now more than ever, it’s critical and a strategic imperative to focus on private-company coverage,” Katy Huberty, Morgan Stanley’s global director of research, said in an interview. “Our private strategy, along with expanding thematic leadership, are our top priorities for the research department next year, and we are hiring on the back of both of those priorities.”
The initiative comes as the amount of research focused on private companies is expanding. Huberty said the bank published over 100 reports on these firms since 2017, with more than 65 being written this year.
In addition to the new product, two of Morgan Stanley’s analysts who previously followed public companies are now focusing on private firms. Stephen Byrd, a utilities sector analyst in the past, now works as a thematic strategist covering companies that provide power to data centers.
Adam Jonas, who wrote about Tesla Inc. for more than a decade, is now covering companies that embed artificial intelligence into robots and machines. Earlier this month, he published updates for autonomous vessel maker Saronic Technologies and robotics startup 1X Technologies.
