ABSTRACT
Investment analysis dependent on historic data often results in major challenges for companies trying to raise finance. If practice does not adapt, this lack of understanding about intangibles represents a potential block on growth opportunities for European businesses. Further investigation into intangibles and investment analysis should aim to develop scaleable methods to more effectively provide innovation capital to European Small and Medium Enterprises, achievable through a more widespread understanding of intangibles. A central issue for investment analysis is that intangibles' disclosure will require more bespoke and detailed analysis, something that will make the provision of research yet more expensive. One could imagine the new 'approach' being used at the entry level into investment portfolios and perhaps implemented as a bottom up screening/analysis by separate/specialist people from traditional analysts. Common to all financiers is an appetite to make better informed investment decisions and in doing so to satisfy the requirements of a wider population of businesses.
