Investor Relations
INVESTOR RELATIONS
Investor Relations (IR) is a strategic management responsibility that integrates finance, communication, marketing and securities law compliance to enable the most effective two-way communication between a company, the financial community, and other constituencies, which ultimately contributes to a company's securities achieving fair valuation. Usually this is handled by the public relations officer and he reports to the Chief Financial Officer or the Treasurer. This is also called Financial PR.
Investor Relations are important because depending on the positive or the negative image of the company , a number of parties directly or indirectly get affected.
Eg- Stakeholders, dealers, analysts , journalists etc.( there is a major difference between a analyst and a journalist. A journalist speaks to a spokesperson of the company usually whereas the analysts are a well informed groups who research the company through and through to keep the public( stock holders etc) informed.
There are two kinds of analysts- 1) Industry …2) Equity Industry analyst- keeps a track of various companies whereas Equity analysts write reports on companies and also keep track of equity so as to keep the investors informed. Hence it is very important that the relations with analysts be well maintained and a PR officer be well informed about the company as the analysts cover the following things - whether the company is worth investing in or not , changes, undertakings between company and analysts to keep investors well informed. It is very important to bridge gaps of any kind with one on one meetings with them and handle the image of the company and make sure that it is portrayed in a positive light. Every company grows and institutional investors should be given preference to as they are long term investors and the price of the shares highly depend on their buying and selling of shares.
I personally think that
Investor Relations (IR) is a strategic management responsibility that integrates finance, communication, marketing and securities law compliance to enable the most effective two-way communication between a company, the financial community, and other constituencies, which ultimately contributes to a company's securities achieving fair valuation. Usually this is handled by the public relations officer and he reports to the Chief Financial Officer or the Treasurer. This is also called Financial PR.
Investor Relations are important because depending on the positive or the negative image of the company , a number of parties directly or indirectly get affected.
Eg- Stakeholders, dealers, analysts , journalists etc.( there is a major difference between a analyst and a journalist. A journalist speaks to a spokesperson of the company usually whereas the analysts are a well informed groups who research the company through and through to keep the public( stock holders etc) informed.
There are two kinds of analysts- 1) Industry …2) Equity Industry analyst- keeps a track of various companies whereas Equity analysts write reports on companies and also keep track of equity so as to keep the investors informed. Hence it is very important that the relations with analysts be well maintained and a PR officer be well informed about the company as the analysts cover the following things - whether the company is worth investing in or not , changes, undertakings between company and analysts to keep investors well informed. It is very important to bridge gaps of any kind with one on one meetings with them and handle the image of the company and make sure that it is portrayed in a positive light. Every company grows and institutional investors should be given preference to as they are long term investors and the price of the shares highly depend on their buying and selling of shares.
I personally think that