How Has Investor Relations Evolved?

How Has Investor Relations Evolved?

Investor Relations (IR) has evolved significantly over the last 15 years. Most of the change came during the 2007 financial crisis. IR used to be a part of public relations; however, it has become an important position on its own now. It is now an essential part of companies all around the world. Companies that wish to attract serious investment capital and boost liquidity have a well-rounded investor relations program.

A few decades ago, we could see investor relations officers being tasked with communicating with the company’s investors about which events could have a possible impact on its stock valuation. However, in recent years, investor relations officers perform many other tasks such as executing sophisticated competitive analysis, making sure there is regulatory compliance, engaging in corporate sustainability efforts, and taking part in strategic planning. Because the investor relations department performs so many tasks that contribute considerably to the company, their roles have a distinguishing influence on a company’s stock value.

Investor Relations in the Modern Day

In recent years, we have seen investor relations evolve into a proactive and strategic department for companies. Investor relation departments must be highly skilled, as they were a part of…