EIGHT REASONS WHY WE LOVE WORKING IN INVESTOR RELATIONS

There aren’t many careers that involve such a diverse set of skills and competencies as investor relations (IR). For investor relations officers (IROs), no one day is the same, providing endless opportunities to learn and grow.

Here are 8 reasons why we love working in investor relations!

It’s the Perfect Blend Between Communications and Finance

In the past, IR professionals could get by with limited financial knowledge and rely on strong communication skills. However, with their roles and responsibilities expanding, it’s now vital for an IRO to have a financial orientation. IR presents a unique platform for professionals to merge their communication skills with their love of finance.

Access to the C-suite & Board of Directors

Not only do IROs demystify companies for Bay Street, but they also demystify Bay Street for the executives! CEOs and CFOs are under more pressure in the current climate of market uncertainty with many realizing that their careers are dependent on how they communicate with their financial stakeholders. Whether its discussing acquisitions with the CFO or advising a CEO on the impact of news on the share price, there are few roles that offer you access to the C-suite like IR.

You’ll Gain Business Perspective

For executives, unless they make a conscious effort to understand the shareholder perspective, it doesn’t always align with what they might think is best for the company. IROs help executives understand how their day-to-day work connects to the Street’s perception of shareholder value, and how good communication can help investors really understand our story. For example, an executive focused on the business, tends to focus on the profits and losses and the balance sheet. However, understanding what other aspects of the business investors are interested in, such as cash flow and capital allocation, is vital to addressing shareholder concerns.

Engaging with investors

Public companies are engaging with shareholders in dramatically different ways these days. Gone are the days where quoting classical scholars in a CEO letter is sufficient. Shareholders have high expectations and value an IR organization that demonstrates its commitment to building relationships based on trust and candor. By engaging with shareholders, you can get a good understanding of what the value drivers are, what the investment community measures, what they are most interested in, their criticisms, and the areas of the business where we think the company is least understood.

Storytelling

At their core, IROs are storytellers who create narratives to advance their company’s agenda and reputation. A good IRO will analyze the organization, find the positive and relatable messages, and translate those messages into positive and relatable stories. But it’s not always good news. When the news is bad, like when you are the victim of short seller attack, IROs can formulate the best response that will mitigate the reputational damage.

You Get to Know the Company Inside and Out

Through their work, IROs gain a solid understanding of the company, its business, and the landscape in which it operates. An IRO isn’t pigeonholed into a specific area of responsibility as the role relates to every aspect of the company. Gaining the understanding of every aspect of your company helps you communicate effectively to every type of investor.

Never Ending Range of Opportunities

Investor relations is one of the most visible functions at any public company and may have as much CEO or CFO facetime as anyone. This is a huge advantage in terms of career growth when climbing toward the top of the ladder. An IRO has the unique opportunity to leverage corporate culture to shape their role, elevating the perception of IR in a way that can slide it into the C-suite. 

Fast-Paced Environment

The CEO and the CFO have a tremendous number of responsibilities on their plates, so it’s important that IR engages them only when we needed to so that they can most effectively use their time. At the same time, IROs must ensure that the C-suite is in close contact with the Street, and make them available for investors on a regular basis.

IROs are dynamic professionals that thrive at the intersection of communications and finance. They are always learning, always growing, and always facing new challenges and opportunities. The best IROs navigate effortlessly through conversations about financials with the C-suite to using their creativity to develop effective communications strategies for investors. There’s never a dull moment in the life of an IRO!