Exempt Market Dealers

The reason investors will choose to
make an investment is confidence.

The Cpost-6hallenge

The typical challenge faced by an Exempt Market Dealer is getting financial advisors and their investing clients to share in their confidence and invest in a transaction.

To gain confidence, investors need information they can trust to base their decision on. Exempt Market Dealers face four main challenges in building this trust in the private capital markets:

• Global trust levels in the financial services industry are extremely low.
• The limited amount of information that a private company chooses to disclose conflicts with investors’ desire for transparency.
• Investors have very few resources to verify what is provided or to seek additional information in an efficient manner.
• The commission structure used by EMD’s to generate revenue creates a potential conflict of interest that makes it easy for investors to distrust the information provided to them.

The Solution

Base10 believes that giving financial advisors and their investors the confidence and trust necessary to make a private investment is best accomplished by providing an independent, in-depth source of investment research and the transparency and validation that it delivers.

Why Base10’s Independent Research Matters to EMD’s


Independent Validation

Base10 strongly believes that the most important purpose served by investment research is to provide independent validation of all the information necessary to build confidence and empower investors to make informed investment decisions.

This is equally important for the financial advisors who advise those investors. Effective independent investment research acts as an insurance policy to the financial advisors who put their reputation at risk with every investment made by their clients.


Enhanced Transparency

Base10 believes that Independent informationproduced by recognized experts and free from conflict of interest is one of the keys to building trust with investors. Increasing confidence and trust with investors and financial advisors will have 3 important consequences:

1) It will increase the efficiency of the investment decision making process,
2) It will increase willingness to participate in the private capital markets, and
3) Ultimately, it will help to increase in the pace of raising capital.


Increased Trust

If an EMD can use independent investment research as a tool to build more confidence with their investors and advisors, they will also build more confidence with issuing companies in their ability to raise capital. A faster pace of raising capital will help the EMD to accelerate growth in their business.