Our Goals of Investor Relations

We are passionate about our investors and the main goals of investor relations are:

Untitled design-35

Investor Relations: The Department

As we noted above, investors are essential to our company. We thank our investors for not only getting our company on our feet but also for the continuation of our operational success. Thus, it’s important for us to communicate effectively and honestly with our valued investors. 

To further that end, we at CSO-Global typically build and rely on an investor relations (IR) department. In a broad sense, the IR department keeps the lines of communication and information open between investors and our company.

Communication

IR acts as a portal, a passage through which investors and our company executives communicate, but let’s break that down a bit more.

The first piece of our IR’s role in creating channels of communication is triage. Investors, analysts, and anyone else with a request or a demand for information from our company are usually funneled to the IR department, which functions as a sort of overall catcher’s mitt. Whatever the IR department itself is capable of handling, passing off, passing down, or assigning elsewhere, it will do without involving the higher-ups. This triaging is important to avoid overloading executives, who have other important tasks to attend to, with every information request that arrives at our company’s doorstep.

The second piece of the communication puzzle is translation. IR acts as a translator for the language that stock exchanges speak. What we mean by this is that IR conveys to our company’s executives how our company is generally being viewed by stock exchanges and its investors. IR works to relay what the investor community may see as assets and flaws, what they want to be changed, what they don’t understand, and, bottom line, what will drive the value of our shares based on current and predicted investor wants and needs.

The final piece is for the company’s values, interests, positions, and answers to be translated back to the wizards at stock exchanges in a language they understand, namely such things as profit margins, projected goals, Earnings Per Share (EPS), and dividends.

Investor Relations Functionality

Everything we’ve mentioned so far concerns functionality, but on a fairly large scale. We’re understating things when we say that our IR department serve a variety of functions and play a host of roles.

Some of our IR’s other functions include:

Because IR fulfills so many duties and functions in so many capacities, it’s essential that the department stay fully integrated with nearly every other department in our company, such as the legal and accounting departments, as well as with the entire executive management team.

The Need for Investor Relations (Sarbanes-Oxley Act)

Though we are not publicly listed at the moment, we still adhere to industry best practices such as, the Sarbanes-Oxley Act, which came into force in 2002 otherwise known as the Public Company Accounting Reform and Investor Protection Act, was passed, a regulation that drastically increased how much and how often publicly traded companies were required to report financial and trading information.

Since then, there continues to be a consistent and evolving push for companies to remain more transparent and honest with investors, making a strong and efficient IR department an absolute necessity.

Here’s what we hope you take away from our investor relations departments function in many ways to maintain clear communication channels between our company and investors. By serving that function, they are an integral part of helping to move our company forward.