'simple need to know' out of sync with the market
Agency investor relations may be an activity of dubious worth, but big Hong Kong listed firms increasingly rely on the masters of spin to massage their message. This is especially so at results reporting time, the most important scripted appearance of top management in the corporate calendar.
The basics of the operation may not be rocket science (anyone with a fax server and a list of numbers is in business) but plenty can still go wrong. Just ask Christensen, the firm that runs Ping An's external communications.
Its untimely release of the firm's results, to a selective group of analysts resulted in giddy share trading for 26 minutes in the post lunch session yesterday before the stock was suspended. Investors who were at their desks for the afternoon session opening saw a tidy 3 per cent gain in their holdings. Stock regulators were not amused.
Christensen's own slogan branding opines that 'investors simply need to know'. Yes they do but hopefully all at the same time. Its mission type statement also waxes about 'motivating the market to positive action'.
That was certainly the case yesterday and we await their approach to another client's numbers - Sinopec reports on Monday.
