James Chambers explains the research methodology underpinning IR Magazine’s awards across the world
Q: How is the winner of an IR Magazine Award decided?
A: The process for determining the winners of our IR Magazine Awards is remarkably simple. Our independent researchers essentially ask investors and analysts one thing: who has been doing the best investor relations in your region over the last 12 months? We ask this same question across a variety of categories, such as best IRO, best IR by a CFO and best practice of CSR.
The winner in each category is ultimately the company that receives the most votes. There are no secret deliberations and no judging panel made up of IR Magazine staffers. But there are five steps to understanding the nitty-gritty of the research process, which are set out below.
Step 1: Updating the database. IR Magazine emails the companies in the relevant region to ask for an up-to-date list of investors and analysts covering their stock.
This is done to ensure our independent researchers have a current and comprehensive database, prior to sending out the email invitation to take part in the survey underlying the awards (see step 2).
In the US, the data provided by companies is added to a list supplied by Ipreo of more than 23,000 investors and analysts.
Step 2: Online survey sent out. Next, an email from IR Magazine is sent to investors and analysts courtesy of our independent researchers, Fox Insight. The survey asks recipients to name the top three companies or individuals (as applicable) doing the best IR across a range of categories.
We invite all investors and analysts to take part in the survey so that every company has a chance of being voted for. The email invite is unique to each investor or analyst and therefore cannot be forwarded or circulated by companies.
Step 3: Telephone interviews. Independent researcher Mary Maude Research then conducts telephone interviews with a select number of investors and analysts.
The purpose of this is to balance respondents to the email survey by investor type (portfolio manager, buy-side analyst, sell-side analyst) and country (in Europe and Asia only).
The same questions are used for both the email and telephone surveys, and telephone interviewees are also asked to provide three preferences per award category.
Step 4: Short lists announced. Each company is allotted six points for every first preference vote it is given, three points for a second preference vote and two points for a third preference vote.
The four companies with the most points in each category make it onto the short list for the awards, which is announced on our website at www.irmagazine.com.
Step 5: Awards ceremony. The winner of each award is the company that gains the highest number of points. Award winners are announced at the relevant awards ceremony.
James Chambers is research editor for IR Magazine.
