A few weeks back the SEC (The Securities and Exchange Commission) ruled that public companies were now free to release their important information though social media channels. Since this ruling there has been a debate in the investment community as to what this means for the future of the industry. Some welcome the use of social media while others are continuing to lobby that the way things were worked just fine.

Because of this debate, we took to the street, Wall Street, to ask the people that this ruling will affect what they thought. We surveyed stock brokers, financial and market analysts, financial advisors, individual traders and fund managers, and made their results into the infographic below.

What we learned by doing this was that Wall Street, and investor relations in general, is changing. As the younger generation that embraces technology is coming into power in the workplace, we found that they are also the new workforce that embraces social media. And for more than just keeping in touch with friends.

We found that the investment crowd under 40 support the SEC’s decision to allow the distribution of information through social media. In fact, 60% of those surveyed and were under 40 said that they regularly consult social channels to research investments. But it’s not just the under 40 crowd. 40% of all survey respondents said that they were using social media to find information.

We also found that 49% of our responders companies blocked social media from the workplace, making it hard for them to use it as a source while at work. However, 48% of those people said that they had witnessed colleagues using personal devices, like a smartphone or tablet, to consult social media for investment information anyways.

It appears that the younger generation of investors is rewriting how business is done, and social seems to be part of it.

What do you think?

A rash of incidents in recent financial quarters has seen public companies (including Disney, Microsoft and others) prematurely disclosing their earnings information — from news posting early to their website, to lags between the time of distribution and posting, to files containing material information made available online ahead of time. With the rising importance of investor relations websites as recognized communications channels, it’s only getting worse. In addition to individual snoopers, news agencies and market intelligence firms now have automated crawlers that scour corporate IR sites during earnings season, looking for news ahead of an official announcement or posting. (more…)

Earlier this year, a group of 60 senior-level investor relations officers (IROs) gathered at IR magazine’s invitation-only West Coast Think Tank in Palo Alto, Calif. to discuss pressing issues and trends affecting their profession. Hot topics included equity research challenges, say-on-pay, trends and pitfalls in disclosure, and working with various stakeholder groups.

The first issue in the discussion on disclosure was “The State of Social Media and IR.” Panelist Darin Wolter, Marketwire’s EVP, global sales, asked a question of the audience: “How many of you represent companies that have a social media policy”? Only a very small number of attendees raised their hands. (more…)

On a rainy Tuesday in April, I had the rare pleasure of a guided tour through the Manhattan office of Bloomberg, one of the largest organizations in the world that provides business and financial news, data and analytics. In spite of the calming river carp swimming throughout the office walls, I haven’t seen any organization more obsessed with speed since my trip to NASCAR’s Charlotte Speedway. (more…)

I recently had the pleasure of being a panelist at two National Investor Relations Institute (NIRI) events centered around social media and investor relations, including a Seattle Chapter program on Disclosure and Best Practices and a Rocky Mountain Chapter program on Measuring, Monitoring and Evaluating Social Media. Both spoke to the increasing role that social media is playing in investor relations and indicated that it is a top-of-mind subject among investor relations officers (IROs). For instance, in a recent survey of NIRI Silicon Valley members, when asked which topics they would like an SEC attorney to address at a future event, nearly 50% said they wanted to know more about the intersection of social media and RegFD. (more…)

The term “emerging market” is vague enough that it could have a variety of meanings. Are we talking business verticals or Whole Foods’ newest rival? Actually, neither. An emerging market is any nation that is experiencing rapid growth, usually with regards to society and business, while undergoing political reforms. Or, so says Wikipedia. For example, China and India are emerging markets. (more…)

Our Media Relations team is constantly in touch with our downstream partners to ensure that communications between us is always clear and we are doing our best to promote our clients’ visibility in the marketplace. I recently had the opportunity to chat with an editor at Dow Jones, who provided me with useful tips and advice (particularly for IR folks) that will help our readers and clients maximize their press release distribution. (more…)

It was made abundantly clear in discussions at the fifth annual IR Magazine Canada Think Tank, held October 1 in Toronto, that social networks, Web 2.0, and our real-time, mobile nature of communicating with each another have radically changed the practice of investor relations.   A growing percentage of the Canadian financial community is embracing social media and reaping its rewards.  They are tapping into channels like Facebook and Twitter to listen to and engage stakeholders, employees and analysts, and they are utilizing digital channels like YouTube, SlideShare, and podcasts to expand the reach of corporate messages and materials. (more…)