Which type of economic analysis is primarily covered in the Series 86 exam?

The Series 86 exam focuses heavily on both macroeconomic and microeconomic analysis as part of its curriculum. This type of analysis is crucial for research analysts as it provides the necessary framework to understand the broader economic environment and its effects on specific industries and companies.

Macroeconomic analysis examines the overall functioning of the economy, including factors such as GDP, unemployment rates, inflation, and fiscal and monetary policies. Understanding these elements helps analysts predict how external economic conditions can impact various sectors and ultimately individual companies.

Microeconomic analysis, on the other hand, focuses on individual market dynamics, including consumer behavior, pricing strategies, and company performance relative to its competitors. This level of analysis assists analysts in drawing insights about company fundamentals and market positioning.

By mastering both macroeconomic and microeconomic concepts, research analysts are better equipped to make informed recommendations and analyses, which is why this topic is prioritized in the Series 86 exam. The other options, while relevant to the field of finance and investing, either represent narrower focuses or specific aspects that do not encompass the broad economic analysis required for comprehensive research.