A Study On The Relationship Between Investor Relationship Management And Stock Returns In Listed Companies

In the China securities on the capital market, Investor Relations Management (investor relations management, IRM) practice time is just over ten years, but along with China’s economic and social development, investor relations management more and more listed companies and investors concern of scholars at home and abroad have found that the IRM have a major impact on the value of the company and the company management, good work of IRM will help improve the company’s value and optimize the capital structure.According to the basis of theory and research about IRM, I summed up the current China’s listed companies’current IRM management work backward analysis, I combine the actual situation in China raised the following questions:the value of listed companies in China to assess how much affected by the IRM factors? IRM evaluation of China’s listed companies on the stock yields influential?Based on these questions, this paper put IRM Research Center of Nanjing University, released in November2010Investor Relations Management Research Report of Chinese listed companies in the survey of445listed companies in the data as the study sample, the sample data in accordance with IRM evaluation "good" and "poor" were divided into two groups, and then by the Wilcoxon nonparametric test, I found investor relations management index and the value of the company has a significant correlation found IRM evaluation "good" value of the company’s value changes in smaller company valuation more stable; then the value of the company through the establishment of the regression equation evaluation of quantitative research IRM.Next, on the basis of the study, we continue to explore the IRM relationship with stock returns. Wilcoxon nonparametric tests, we found that the annual yield of the IRM evaluation of shares of listed companies has a significant positive correlation, and scholars often use the Fama-Fench model to study the yield of shares of listed companies remove market premium factor scale factor and the carrying amount of the market value of the outside factors explain part, the remaining stock excess returns with IRM relationship, the results showed that:the IRM rating "good" group monthly excess returns average than evaluation as "poor" the group is0.73%, which means that investors select the IRM shares of the listed companies will be higher over the rate of return. This result suggests that not only listed companies take the initiative to implement the the IRM management work will get good feedback, the investors active research and excavations investor relations management company will gain for the subject and object of the implementation of the IRM management has a very important significance to listed companies and investors have an incentive to practice IRM management, to further promote the development and improvement of China’s securities and financial markets, and will help to create a more transparent, fair, and efficient financial markets.