New trends in Investor Relations
According to a study by Irwin, “The State of Investor Relations 2025,” clear trends are starting to emerge worldwide. Among these is the use of Artificial Intelligence (AI) as companies around the world grapple to integrate new technology, particularly AI, into their IR programmes. Along with this is a focus on maintaining and strengthening relationships with existing shareholders, while still building a compelling and engaging narrative for new shareholders as global uncertainties persist.
When it comes to AI, only 36% of IR teams are exploring how to use it effectively in their strategies, while 57% remain hesitant due to data security concerns. “AI offers potential benefits in automating tasks and providing insights, but the cautious approach reflects the need to balance innovation with security and privacy considerations.” However, the report also notes an increase in IR teams using AI since 2024.
52% of global Investor Relations Officers (IROs) now prioritise building stronger relationships with shareholders, reflecting a shift towards stability amid market uncertainty as companies “double down” on investor trust as a survival strategy, especially in light of economic disruptions like tariffs and shifting global trade policies.
Noteworthy is the fact that, like many South African mid-caps, 71% of global IROs report difficulties in finding and engaging new investors, with mid-cap companies feeling this pressure most at 82%. The report states: “This ‘Mid-Cap Squeeze’ highlights the competitive landscape where mid-caps must work harder to attract institutional attention compared to large-cap firms.”