skills/economic-impact-report/references/domain-checklists.md

# Domain Checklists

Use these checklists only when they materially improve the report. Do not force filler.

## Public Equity Issuers
For each listed issuer you include, answer:
- What is the transmission channel?
- Is the effect direct, second-order, third-order, or fourth-order?
- Which line item changes first: revenue, gross margin, opex, working capital, free cash flow, valuation multiple, balance sheet, or optionality?
- Is the impact on volume, price, mix, utilization, backlog, customer behavior, supplier costs, inventory needs, capex, funding costs, or regulatory burden?
- What is the time horizon?
- What part may already be in the stock?
- Is this a consensus expression, a less obvious second-order expression, or a crowded trade to avoid?
- Does the impact change estimate direction, target-price support, rating/stance, sizing, hedge, or watchlist status?

## Sector And Peer Group
Ask:
- Which listed peer group, industry, index, or thematic basket is most exposed?
- Is the impact cyclical, secular, regulatory, positioning-led, or purely event-driven?
- Does it alter demand, pricing, margins, capex, working capital, capital return, or valuation convention?
- Is the impact industry-wide, or only in a subsegment, geography, customer cohort, or business model?
- Does the shock create estimate revision dispersion, multiple dispersion, or a pair-trade read-through?
- What sector KPI should move first, and what would falsify the read-through?

## Portfolio And Positioning
Ask:
- Is the affected security an owned position, watchlist name, benchmark weight, ETF/index constituent, pair leg, or hedge candidate?
- Does the event change active weight, factor exposure, liquidity/capacity, crowding, short interest, borrow risk, or passive-flow risk?
- Does it create a need to add, trim, exit, cover, hedge, wait for proof, or re-underwrite?
- What is the first market signal that would prove the equity market has already repriced the event?

If no portfolio, watchlist, thesis, benchmark, or positions were provided:
- Do not infer holdings or active weights.
- Build a general exposure map across industries, countries/currencies, public companies, relevant private companies, commodities, supplier/customer groups, and second-order peers.
- Mark portfolio-specific action as unavailable and use watchlist, research queue, wait for proof, pass, or re-underwrite candidate.
- State which holdings, active weights, mandate, cost basis, and risk limits are needed before giving add/trim/exit/hedge guidance.

## Macro, FX, Rates, Commodities, Options, And Futures As Inputs
Use these only as transmission variables for public-equity conclusions. Ask:
- Does the event shift the growth-inflation mix?
- Does it change fiscal stance, current account, terms of trade, or political stability?
- Which issuers have revenue, cost, balance-sheet, duration, FX translation, commodity, or financing exposure?
- Is the rate/FX/commodity/volatility move already in consensus, spot price, or the multiple?
- Is the event mispriced in implied volatility?
- Does it change gap risk, skew, or event-risk premium for the affected equities?
- Do futures curves, inventories, hedging behavior, or delivery constraints change issuer margins, cash flow, or customer behavior?

## Credit Signals As Equity Read-Through
Use Credit Markets for credit instruments, creditworthiness, restructuring, distressed, recovery, spreads, yields, covenants, and debt-security analysis. In this skill, credit signals are allowed only as a common-equity downside signal or valuation/earnings read-through when they inform:
- refinancing stress or liquidity pressure that affects common equity;
- maturity-wall risk, rating pressure, or covenant headlines that change downside;
- funding-cost changes that affect earnings, FCF, buybacks, M&A, or multiple support;
- public-equity read-through from a Credit Markets output.