Investor Outreach Overseas: Finding New Capital in Europe and Asia
Summary of the Presentation at the Cincinnati NIRI Chapter Meeting on May 21, 2013
The Cincinnati Tri-State Chapter of NIRI held its fourth meeting of the season on May 21, 2013. Ipreo sponsored the event, including an outstanding dinner at Jeff Ruby’s restaurant The Precinct. Brian Matt, CFA, Director of Analytical Services at Ipreo, made a presentation and led a discussion about best practices for companies telling their investment story overseas. The discussion related to Brian’s presentation entitled “Investor Outreach: Finding New Capital in Europe and Asia”. Below are several key points from the presentation.
- Overseas shareholding in S&P 500 issuers average 11.7% of the total institutional shareholder base and have grown 7.2% per year since 2005.
- About half of US companies traveled on international roadshows in the past 12 months.
- Overseas investors typically have longer holding periods than those in North America, and tend to have a more strategic viewpoint – focusing more on the longer-term outlook.
- Investor Relations Officers are somewhat more likely to meet with overseas investors without the participation of their CEO or CFO, compared with domestic roadshows.
- ROI on overseas outreach must be measured over the appropriate timeframe – it may offer less immediate impact than domestic IR.
- Common destinations for non-deal roadshows in Europe include London, Zurich, Paris, Edinburgh and Frankfurt.
- Common destinations for non-deal roadshows in Asia include Hong Kong, Tokyo, Singapore, Beijing and Sydney.
The presentation from the meeting is available here.