FINANCIAL COMMUNICATIONS:
THE FRB VALUE ADDED STORY
BRINGING SHAREHOLDER FOCUS TO COMMUNICATIONS
MAXIMIZING EQUITY AND
BRAND VALUE
REDUCING COST OF CAPITAL
Really Put Shareholders First
"Building shareholder value." Is your company really
doing this – and do shareholders know how?
Shareholders' needs are pretty simple. If they own your stock now, they want reassurance that they've made a sound investment – and reasons why they should add to it. If they are selling your stock, they want to know why they should change their minds. And if they are considering an investment, they want to know why they should buy now.
Why is it so few companies take the time to answer these questions in their regular communications with shareholders? They develop quarterly news releases and hold conference calls that rehash the past – but don't create a context for the future. They give investor presentations that showcase new products and services – but don't explain what this could mean for their growth. They create annual reports that use euphemisms to cover bad news – but don't 'fess up to their role in creating the problems, or providing credible solutions. And then they wonder why their stocks are undervalued.
Financial Relations Board knows that shareholders are the only reason that your company – and ours – is here. That's why we're passionate about helping you present the information investors really want to know – and in ways that are designed to get their attention.
Here are some of the questions we ask to determine if a company is putting shareholders first:
Investors seek information every day. To make your financial communications more effective, you need to provide the right information targeted at the right investors.
Investors should understand the value that you create for them. Contact us – we have helped hundreds of companies bring greater shareholder focus to their communications.
"Building shareholder value." Is your company really
doing this – and do shareholders know how?
Shareholders' needs are pretty simple. If they own your stock now, they want reassurance that they've made a sound investment – and reasons why they should add to it. If they are selling your stock, they want to know why they should change their minds. And if they are considering an investment, they want to know why they should buy now.
Why is it so few companies take the time to answer these questions in their regular communications with shareholders? They develop quarterly news releases and hold conference calls that rehash the past – but don't create a context for the future. They give investor presentations that showcase new products and services – but don't explain what this could mean for their growth. They create annual reports that use euphemisms to cover bad news – but don't 'fess up to their role in creating the problems, or providing credible solutions. And then they wonder why their stocks are undervalued.
Financial Relations Board knows that shareholders are the only reason that your company – and ours – is here. That's why we're passionate about helping you present the information investors really want to know – and in ways that are designed to get their attention.
Here are some of the questions we ask to determine if a company is putting shareholders first:
- Have we removed the complexity from the investment story so any investor can understand it?
- Have we clearly explained the marketplace where the company operates and the opportunities it provides?
- Have we shown what truly differentiates the company from its peers – and other comparable investments?
- Have we given a clear picture of the relationship between the company's income statement, balance sheet and cash flow statement, and the opportunities for creating additional value?
- Have we made a bulletproof case to support upside potential in the stock or counteract selling pressure?
- Have we imparted a sense of urgency to potential investors to act now, and reassurance to current holders?
Investors seek information every day. To make your financial communications more effective, you need to provide the right information targeted at the right investors.
Investors should understand the value that you create for them. Contact us – we have helped hundreds of companies bring greater shareholder focus to their communications.
