The stock research business is getting battered in 2018 — and it's especially bleak for one type of

Equity research firms have seen revenue slashed in 2018, with some experiencing drops of as much as 60%. The catalyst for the decline is sweeping European financial reform that went into effect January 3. Though the rules originated in Europe, they're having a global impact. For global banks, where research isn't a profit center, falling revenue isn't a giant concern — at least not yet. For struggling specialist and domestic firms without diversified revenue streams, the decline poses a more...