FRANKFURT STOCK EXCHANGE LISTING and IR/PR – Vital to the Success of Your Public Company
More buying than selling makes stocks go up, and more selling than buying makes a stock go down. This is a very simplistic explanation, but it’s also true. The magic question is, what causes more buying than selling? The answer is very complex, and depends on many factors, but again, in very simple terms, the factors that cause more buying than selling are 1) positive company developments 2) the dissemination of news describing such positive development to the public. This is often achieved by issuing news releases and, more importantly, making sure they are seen by many potential investors through quality IR/PR. IR/PR is not cheap, but is vital to the success of your public company. Even if your public company is experiencing extremely positive developments, without a good IR/PR program, it is unlikely that your stock will achieve a desirable level of liquidity. The reason for this is simple…the positive developments will not have any effect on the stock’s liquidity or stock price if no potential investors see the news and thus, do not buy the stock.