Investor relations manager

Investor relations managers disseminate the investment strategy of the company and monitor the reactions of the investment community towards it. They use marketing, financial, communications, and security law expertise to ensure transparent communication to the larger community. They respond to inquiries from shareholders and investors in relation to the company’s financial stability, stocks, or corporate policies.

Includes people working in public relations departments.
Includes people working with larger companies’ relations with shareholders and investors through marketing and communication.

The following job titles also refer to investor relations manager:

investor relations managers
investors relation manager
investment strategy manager
investor relations director
investor relations supervisor

Bachelor’s degree is generally required to work as investor relations manager. However, this requirement may differ in some countries.

ISCO skill level is defined as a function of the complexity and range of tasks and duties to be performed in an occupation. It is measured on a scale from 1 to 4, with 1 the lowest level and 4 the highest, by considering:

• the nature of the work performed in an occupation in relation to the characteristic tasks and duties
• the level of formal education required for competent performance of the tasks and duties involved and
• the amount of informal on-the-job training and/or previous experience in a related occupation required for competent performance of these tasks and duties.

Investor relations manager is a Skill level 4 occupation.

These occupations, although different, require a lot of knowledge and skills similar to investor relations manager.

dividend analyst
investment analyst
investment fund manager
investment manager
corporate investment banker

These occupations require some skills and knowledge of investor relations manager. They also require other skills and knowledge, but at a higher ISCO skill level, meaning these occupations are accessible from a position of investor relations manager with a significant experience and/or extensive training.

This knowledge should be acquired through learning to fulfill the role of investor relations manager.

Funding methods: The financial possibilities for funding projects such as the traditional ones, namely loans, venture capital, public or private grants up to alternative methods such as crowdfunding.
Financial statements: The set of financial records disclosing the financial position of a company at the end of a set period or of the accounting year. The financial statements consisting of five parts which are the statement of financial position, the statement of comprehensive income, the statement of changes in equity (SOCE), the statement of cash flows and notes.
Financial forecasting: The tool used in performing fiscal financial management to identify revenue trends and estimated financial conditions.
Financial management: The field of finance that concerns the practical process analysis and tools for designating financial resources. It encompasses the structure of businesses, the investment sources, and the value increase of corporations due to managerial decision-making.
Public relations: The practice of managing all aspects of the image and perception of a company or individual among stakeholders and the society at large.
Corporate social responsibility: The handling or managing of business processes in a responsible and ethical manner considering the economic responsibility towards shareholders as equally important as the responsibility towards environmental and social stakeholders.
Securities: The financial instruments traded in financial markets representing both the right of property over the owner and at the same time, the obligation of payment over the issuer. The aim of securities which is raising capital and hedging risk in financial markets.
Financial markets: The financial infrastructure which permits trading securities offered by companies and individuals govern by regulatory financial frameworks.
Financial analysis: The process of assessing the financial possibilities, means, and status of an organisation or individual by analysing financial statements and reports in order to make well informed business or financial decisions.
Stock market: The market in which shares of publicly held companies are issued and traded.
Modern portfolio theory: The theory of finance that attempts to either maximise the profit of an investment equivalent to the risk taken or to reduce the risk for the expected profit of an investment by judiciously choosing the right combination of financial products.
Investment analysis: The methods and tools for analysis of an investment compared to its potential return. Identification and calculation of profitability ratio and financial indicators in relation to associated risks to guide decision on investment.

These skills are necessary for the role of investor relations manager.

Enforce financial policies: Read, understand, and enforce the abidance of the financial policies of the company in regards with all the fiscal and accounting proceedings of the organisation.
Analyse market financial trends: Monitor and forecast the tendencies of a financial market to move in a particular direction over time.
Strive for company growth: Develop strategies and plans aiming at achieving a sustained company growth, be the company self-owned or somebody else’s. Strive with actions to increase revenues and positive cash flows.
Ensure information transparency: Ensure that required or requested information is provided clearly and completely, in a manner which does not explicitly withhold information, to the public or requesting parties.
Create a financial plan: Develop a financial plan according to financial and client regulations, including an investor profile, financial advice, and negotiation and transaction plans.
Analyse business plans: Analyse the formal statements from businesses which outline their business goals and the strategies they set in place to meet them, in order to assess the feasibility of the plan and verify the business’ ability to meet external requirements such as the repayment of a loan or return of investments.
Advise on financial matters: Consult, advise, and propose solutions with regards to financial management such as acquiring new assets, incurring in investments, and tax efficiency methods.
Perform public relations: Perform public relations (PR) by managing the spread of information between an individual or an organisation and the public.
Analyse financial performance of a company: Based on accounts, records, financial statements and external information of the market, analyse the performance of the company in financial matters in order to identify improvement actions that could increase profit.
Liaise with shareholders: Communicate and serve as communication point with shareholders in order to provide an overview on their investments, returns, and long-term plans of the company to increase profitability.
Plan health and safety procedures: Set up procedures for maintaining and improving health and safety in the workplace.
Build business relationships: Establish a positive, long-term relationship between organisations and interested third parties such as suppliers, distributors, shareholders and other stakeholders in order to inform them of the organisation and its objectives.
Liaise with managers: Liaise with managers of other departments ensuring effective service and communication, i.e. sales, planning, purchasing, trading, distribution and technical.
Follow company standards: Lead and manage according to the organisation’s code of conduct.

This knowledge is sometimes, but not always, required for the role of investor relations manager. However, mastering this knowledge allows you to have more opportunities for career development.

Business valuation techniques: The processes to valuate the worth of the assets of the company and the value of the business following techniques such as asset-based approach, business comparison, and past earnings.
Business loans: Loans which are intended for business purposes and which can either be secured or unsecured depending on whether a collatoral is involved. The different types of business loans such as bank loans, mezzanine finance, asset-based finance, and invoice finance.
Actuarial science: The rules of applying mathematical and statistical techniques to determine potential or existing risks in various industries, such as finance or insurance.

These skills and competences are sometimes, but not always, required for the role of investor relations manager. However, mastering these skills and competences allows you to have more opportunities for career development.

Organise press conferences: Organise interviews for a group of journalists in order to make an announcement or answer questions on a specific subject.
Review investment portfolios: Meet with clients to review or update an investment portfolio and provide financial advice on investments.
Synthesise financial information: Collect, revise and put together financial information coming from different sources or departments in order to create a document with unified financial accounts or plans.
Interpret financial statements: Read, understand, and interpret the key lines and indicators in financial statements. Extract the most important information from financial statements depending on the needs and integrate this information in the development of the department’s plans.
Provide support in financial calculation: Provide colleagues, clients or other parties with financial support for complex files or calculations.
Obtain financial information: Gather information on securities, market conditions, governmental regulations and the financial situation, goals and needs of clients or companies.
Draft press releases: Collect information and write press releases adjusting the register to the target audience and ensuring that the message is well conveyed.
Integrate shareholders’ interests in business plans: Listen to the perspectives, interests, and vision of the owners of the company in order to translate those guidelines into pragmatic business actions and plans.
Monitor stock market: Observe and analyse the stock market and its trends on a daily basis to gather up-to-date information in order to develop investment strategies.
Develop professional network: Reach out to and meet up with people in a professional context. Find common ground and use your contacts for mutual benefit. Keep track of the people in your personal professional network and stay up to date on their activities.
Manage the handling of promotional materials: Plan and prepare the production of promotional materials with third parties by contacting printing companies, agreeing on logistics and delivery, and making sure that deadlines are met.
Develop public relations strategies: Plan, coordinate and implement all the efforts required in a public relations strategy such as defining the targets, preparing communications, contacting partners, and spreading information among stakeholders.
Analyse financial risk: Identify and analyse risks that could impact an organisation or individual financially, such as credit and market risks, and propose solutions to cover against those risks.
Make strategic business decisions: Analyse business information and consult directors for decision making purposes in a varied array of aspects affecting the prospect, productivity and sustainable operation of a company. Consider the options and alternatives to a challenge and make sound rational decisions based on analysis and experience.

2412 – Financial and investment advisers

 

 

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References

1. Investor relations manager – ESCO