FP for CFO Magazine: Passive & ESG investing shake up investor relations

Moira Conlon writes for CFO Magazine: "...successfully competing for capital today requires effective communication with an expanded group of investors — both active and passive— that have their own unique requirements."

The role of investor relations is expanding to include communication with new audiences and the development of new disclosures, messaging, and communications to meet investors’ mounting information needs.

Roiling the landscape is the significant rise of passive investors — whom, as it turns out, aren’t all that passive anymore. There also are new de facto ESG reporting needs and a groundswell of support for a return to investor communications that focus on long-term plans for value creation for all stakeholders, not just investors.