CFA Institute Research Objectivity Standards: Standard 5, Analyst compensation

• It recommends analyst's compensation be based on the accuracy of recommendations over time.
• Compensation should NOT be directly linked to investment banking or other finance activities.
• Compensation including an annual salary plus a bonus based on both (1) the accuracy of an analyst's recommendations over time and (2) the overall profitability of the company is appropriate.
• Making public disclosure of the extent to which research analyst compensation in general is dependent upon the firm's investment banking revenue is appropriate.