As our stock exchange has become quite sizeable and ordinary citizens start to trade more on line, should all companies not start reporting on a quarterly basis so that the no-professional investors have full transparency as to what's going on in these businesses. Professional fund managers can go meet with these executives, but the ordinary investor cannot which puts us at an unfair position of not having total insight. A lot can happen in six months.
should all companies not start reporting on a quarterly basis so that the no-professional investors have full transparency Answer is No because of costs, as to all these meatings you suggest, the answer is ABL, didnt help a hellova lot did it?
Has anybody (as a retail investor) tried to arrange a meeting with investor relations? Most companies might surprise you and grant you a meeting maybe even with executives (otherwise just with investor relations). The larger ones might not be willing to meet but may take emailed questions.
I have to say the Investor Relations of a respectable company normally puts in the effort... I always got replies for every question I asked, this isnt only from small companies, Standard Bank was willing to make a call with the CFO for me, I got answers from JPMorganChase in USA even, and Woolies is very helpful, the list goes on... Just send them your questions and you will see how cool the guys/girls are on the other end.
All well, but, why can't they produce audited financials quarterly? We can then make up our own minds regarding the health of the business. I've worked for a public company so it has nothing to do with massive additional costs. Management accounts are being produced monthly anyway.
I fully agree with you Parttimer. A phone call or email to a CEO or the like even with a positive response, will never compare to a regular look at the accounts. Even a regular newsletter to shareholders could be considered. Many companies do it for staff but keep shareholders in the dark for one 6 month period to another. The thought police (media) in their droves all concentrate on the big boys only.
Our money is as good as a professional fund managers. Do it like in the US, report quarterly and we can see the trends and numbers ourselves. 6 months is two long and why should anyone have an inside edge when it comes to a public listed company.