The following rules regulate the provisions of Article (9/D) of the Directives for Listing Securities, which require listed companies to establish a dedicated unit or department responsible for Investor Relations within their organizational structure.
First: Scope of Application |
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The provisions of the aforementioned Article apply to companies included in the ASE20 Index sample, as follows:
A company included in the ASE20 Index sample for the first quarter of any year must comply with the Investor Relations Rules during the same year it is added to the sample.
A company included in the ASE20 Index sample for the second, third, or fourth quarter of any year must comply with the Investor Relations Rules during the year following the year in which it is added to the sample.
If a company is removed from the ASE20 Index sample, it shall remain obligated to comply with the Investor Relations Rules.
Second: Companies Obligations |
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Companies included in the ASE20 Index sample shall comply with the following:
1. Establish a dedicated unit or department responsible for Investor Relations, with the following main responsibilities:
- Representing the company to investors and representing investors within the company (two-way communication).
- Informing shareholders and investors about the company’s activities, financial performance, and strategic directions.
- Building positive relationships between the Board of Directors and executive management on one side, and current/potential investors, shareholders, and all interested parties on the other side.
- Maintaining continuous communication with financial analysts, media representatives, and investors through various communication tools such as the company website, social media platforms, press releases, and coordinated meetings.
- Monitoring the Investor Relations section on the company website and ensuring it is regularly updated.
2. Appoint an Investor Relations Officer for the company and at least one assistant/alternate, and providing the ASE with their contact details, and notifying the ASE of any changes to this information. The following minimum qualifications are required:
- Holding an academic qualification in Investor Relations, Public Relations, Finance, Business Administration, Asset Management, Legal or Accounting Affairs, or other related fields, in addition to no less than three years of practical experience in these fields.
- Familiarity with relevant legal and regulatory requirements.
- Knowledge of the company’s activities and available opportunities.
- Ability to use various communication channels and strong communication skills.
- Knowledge of investment and financial markets.
- Analytical skills to interpret, analyze, and discuss the company’s financial aspects.
3. Establish a dedicated Investor Relations section on the company’s website.
The section includes information required by immediate and periodic disclosure regulations issued by capital market institutions, in addition to the following (but not limited to):
News and press releases.
Information about the company’s share price (closing price, opening price, highest and lowest prices during the year, historical share prices, and key financial ratios).
Overview of the Board of Directors and executive management.
Contact details of the Investor Relations department, including phone number and email.
Information regarding the distribution of cash dividends and the mechanism for receiving them.
Investor’s Calendar including dates of General Assembly meetings, Board meetings, cash dividend distribution or bonus shares, conferences, and meetings.
Investor presentations.
Dates of in-person and virtual meetings, including summaries.
4. Publish investor presentations
The company must publish investor presentations within one week of releasing annual and periodic reports, clarifying the company’s financial position and future outlook, and must be posted on the company’s website under the Investor Relations Section.
5. Submit the “Investor Relations Compliance Form”
The company must complete the “Investor Relations Compliance Form” annually and submitting it to the ASE to confirm its compliance to Investor Relations Rules.
Third: Non-Mandatory Rule |
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The company shall hold at least one annual conference/meeting via a virtual meeting platform to brief investors on reports and company performance, including profits, results, major events, strategic overview, market opportunities and challenges, and competitive advantages. The meeting date must be announced on the Investor Relations webpage at least one week prior to the event. The session must be chaired by the Chairman, CEO, CFO, or another executive member. A summary of the meeting should be published on the company website under the investor relations section within one week of its occurrence.