Significant! Futu Releases Its First "2022 IR Digital Trends Research Report"

In recent years, the digital transformation of investor relations management has become a significant trend. The rise of younger, more professional individual investors has driven the need for listed companies to adopt digital solutions in their investor relations management.

During pandemic-related lockdowns, how can companies utilize digital tools to explore online communication scenarios with investors?

With numerous social media platforms available, how can companies select precise online channels to reach different types of investors?

How can companies address misaligned focus and delayed information releases to effectively communicate corporate value to investors?

……

These have all become critical issues standing between listed companies and their investors, requiring further resolution and optimization.

As a leading global digital financial technology company in Hong Kong and U.S. stocks, Futu released its report for the first time on April 26, 2022.2022 IR Digital Trends Research Report, to help listed companies better understand investor needs and gain insights into digital trends in investor relations, supporting these companies in achieving digital management of investor relations and fostering positive interactions with investors. (Details on how to obtain the report for free are provided at the end of the article.)

The report is based on Futu's user profiling and behavioral analysis covering tens of millions of users, semantic analysis of over 100,000 comments from Futubull’s individual stock discussion areas, data covering more than 1,000 Hong Kong-listed companies across six major industries, and nearly 1,500 survey responses collected both domestically and internationally. It objectively reflects the digital trends in investor relations, aiming to provide inspiration and practical value for listed companies managing their investor relations digitally.

Investors born in the 80s and 90s have emerged as a new influential force,

with over 70% of investors showing interest in online earnings briefings and roadshows.

According to data from Futu’s recently released '2022 IR Digital Trends Research Report,' analysis of Futu’s client profiles shows that professionals from internet and financial trading sectors are becoming the main participants in securities investment. In terms of age distribution, investors born in the 80s and 90s account for over 70%.

As a generation that has grown up alongside the internet, these newly affluent individuals exhibit strong enthusiasm for innovative investor communication models. Statistical data indicates that,Among the active investors* on the Futu platform in 2021, 75% followed Futu’s corporate accounts*, and nearly 30% of active investors interacted with listed companies through Futu’s corporate accounts,including liking and commenting on company updates as well as participating in online live broadcasts and other events hosted by companies.

Furthermore, according to data from the survey questionnaires collected this time,when companies encounter unexpected incidents, Futu’s individual stock news, message notifications, and corporate accounts are the main channels for investors to obtain the company’s response. For mainland China, the next most common sources are WeChat Official Accounts and Weibo, while for Hong Kong, they are Facebook and WhatsApp.

During periods of recurring outbreaks, online earnings briefings and virtual roadshows have gradually become standard methods for investor communication among listed companies. While many companies remain skeptical about their effectiveness, investors have shown greater openness and enthusiasm.The survey shows that more than three-quarters of investors pay attention to companies’ online earnings briefings and participate in virtual roadshows initiated by companies.

The high proportion of investor attention and active interaction data indicate an urgent need to stay informed about the latest developments within companies. It also reflects a desire for equal dialogue and two-way communication with enterprises.

Note: 'Active investors' refer to clients who have opened accounts and logged into Futubull in 2021.

Note: 'Futu Corporate Account' refers to the official account that listed companies open on Futubull. Listed companies use these accounts to publish updates, conveying the latest business developments, strategic planning, and financial performance interpretations to investors.

Companies joining Futu’s corporate accounts experience a significant increase in attention.

Nearly 40% of enterprises experienced a 20% increase in trading volume.

This report will“Investor Attention”and“Stock Liquidity”serve as key evaluation metrics for measuring the effectiveness of investor relations management work.

According to statistical results from Futu,after joining Futu’s corporate account, the majority of companies saw a significant improvement in investor attention.

In terms of adding stocks to watchlists, over 51% of companies were added to watchlists by more investors after joining the corporate account. Among them, the average daily number of users adding these stocks to their watchlists increased by more than 20% for 49% of companies and by more than 50% for 35% of companies.

Regarding activity levels in individual stock comment sections, more than 56% of companies experienced a noticeable increase in the number of comments after joining the corporate account. Among them, the average daily number of comments on individual stocks increased by over 20% for 45% of companies and by over 50% for 22% of companies.

According to transaction data from Futu’s backend system,Nearly 40% of the surveyed companies experienced a 20% increase in trading volume after joining the corporate account, with a significant improvement in liquidity.

Compared with companies in the same industry* and within the same market capitalization range*, the trading volume of companies on the Futu platform increased by 10% to 20% after joining the corporate account compared to before joining.This shows that, after excluding the impact of market conditions, joining the corporate account has a relatively significant effect on increasing the company’s trading volume.

Note: The industry classification is based on the industry category listed on the individual stock details page of the Futubull app.

Note: Market capitalization range (based on the market value at the close of December 31, 2021, unit: HKD): below 3 billion; 3-5 billion; 5-10 billion; 10-50 billion; above 50 billion.

Breaking the failure of "partial" transformation,

achieving top-down, comprehensive IR digital transformation.

The digital transformation of investor relations management can undoubtedly bring significant value to listed companies and investors. However, the transformation process is challenging and requires enterprises to rebuild teams, management, and organizational culture under the perspective of top-level design. It also involves reconstructing operational processes, products, and services, and enhancing investor relations management through digital technologies, ultimately empowering listed companies.

Against this backdrop, Futu's "2022 IR Digital Trends Research Report" proposes three digital transformation pathways and action recommendations for investor relations management for listed companies.

First, engaging top leadership to reshape organizational management and culture often yields twice the results with half the effort;

Second, digital transformation should be driven by real-world scenarios and practical needs, creating value for enterprises;

Third, leveraging technology to empower the daily operations of investor relations departments and employing big data analysis can unlock the true potential of data as a resource.

As a leading digital fintech company in Hong Kong and U.S. stock markets, Futu has amassed over 17 million registered users* with more than 1.1 million daily active users (DAU). Supported by its vast user base, Futu provides end-to-end IR services covering pre-, mid-, and post-earnings report periods. These include online earnings conference support, promotional distribution of financial reports, and limited-time free traffic resources to help companies precisely reach a large pool of investors through various channels.

Note: Registered user data is as of December 31, 2021.

Last year, Futu launched an IR/PR digital management platform specifically designed for publicly listed companies—Futu's "Corporate Workbench". Addressing the pain points of low feedback and difficulty in measuring traditional communication methods, this tool visually presents market trends and the effectiveness of value communication, enabling more precise and intelligent corporate outreach.

To date, Futu's IR services have attracted over 800 companies to join Futu’s Corporate Channel, with a cumulative total of 425 companies participating in Futu’s Earnings Seasons events globally. The cumulative viewership of corporate roadshows has exceeded 60 million, and the highest exposure for a single company’s earnings content surpassed 2.8 million views. In the future, Futu will continue to deepen its expertise in investor relations management, building more efficient and precise communication bridges for businesses and investors alike.

Add Futu Ease Assistant on WeChat (ID: futuie2019) to obtain the full report.

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