Equity research is, you guessed it, researching and analyzing equities, or stocks.

These stocks trade

on various stock markets such as the New York Stock Exchange, NASDAQ, AMEX (which are the main
U.S. stock markets) or foreign stock markets.
Equity research analysts are usually employed by financial firms that have equity research
departments made up of numerous analysts, each of which focuses on being an "expert" on a
particular industry. There are numerous industries within the 10 sectors. Those 10 sectors are the
consumer discretionary, consumer staples, energy, industrials, financials, healthcare, materials,
information technology, telcommunications and utilities sectors.
Equity research analysts typically study finance in college and graduate school. However, a number of
them may have studies other areas. For example, a health care analyst covering pharmaceuticals may
have studied pharmacy in college.
On a daily basis, equity research analysis closely "follow", or monitor a number of stocks. For
example, a PC hardware equity research analyst would probably spend a great deal of time monitoring
the business of Dell Computer and any news that may affect dell. For example, if Microsoft decided to
begin to sell computers, that would likely be a problem for Dell since that would mean that Dell has
more competition. The analyst would try to quanitify what that means for Dell's sales and profits.
In addition to just monitoring current events with companies, equity research analysts typically write
equity research reports, which explain and analyze what a company's business is. As part of that
analysis, the analyst will "model" the company's financial statements. In other words, the analyst will
try to predict how many computers, etc. a particular company can sell and how much profit the
company could make. To create the model, the analyst will use Microsoft Excel, which is a spreadsheet
program that allows for easy calculation of numerous equations, some of which could be very
complex.
Most very successful equity research analysts: 1. Are very analytical and detail oriented; 2. Have a
solid grasp of financial and economic concepts; 3. Are relatively good at math; 4. Are very curious and
aren't afraid to ask a lot of questions; and 5. Are willing to work hard since it is not uncommon for an
equity research analyst to work more than 12 hours a day.

Read more: http://wiki.answers.com/Q/What_is_the_meaning_of_equity_research#ixzz1T2OJhmOc

Depends on what you mean by equity research, its a broad field. If you mean research on companies for sell side
brokers, the cream of the crop is a 1st tier broker who caters only to institutional clients. Getting into that field
however can be quite difficult. Most firms have lists of candidates that have extraordinary qualifications, with
MBA's as a minimum. 

What I would suggest is building a plan for yourself by finding a specialized niche where you think you have an
edge, such as biotech or some other area that needs expertise, and concentrating on that area before heading into the
job market. I order to market yourself above the hordes of other highly qualified candidates, you need to show that
you can do something unique, or that most can't do. Financial analysis aside, it is also very important to build
connections to your chosen space, and to maintain those contacts as information sources. Sell side analysts,
particularly in equity are judged less on their modeling ability than their contacts and their ability to garner
proprietary information from those sources. 

Being an independent analyst, in the perspective that I think you are approaching it, is even harder. Not only do you
have to have all of the above, but also need a way to market your research to the investment community, who are
already overloaded with similar offerings. There are 'marketing' organizations that do take on 'independent' research
providers, but I have never found them to be particularly sucessful. 

I would also suggest starting your CFA. Again, most of the candidates that I know and see are MBA and level 1
CFA at a minimum. To be ana analyst in the US, you now have to take the series 86/87 test, part of which can be
waived if your have completed CFA level 1. Once you have executed your plan, the next step is to try to find an 'in'
at a sell side firm. I wouldn't suggest a tier 1 firm to start, as the pace and depands would probably be a bit much to
handle, but an assistant to a senior analyst at a tier 2 firm should be just right to learn the ropes. 
Good luck.
posted March 15, 2007