Global trust dynamics and the role of companies
This year, the 25th edition of the Edelman Trust Barometer was published. Its findings show a global crisis of public trust in institutions, companies, governments, NGOs, and the media. The study shows that five of the ten largest economies in the world are among the least trusted, highlighting the fundamental role that corporate communication plays today, particularly with investors.
Some key findings about trust in companies:
- In 15 of the 28 countries analyzed, people trust companies (62% globally, 67% in Mexico).
- Companies are the only institutions that achieve a positive trust score, surpassing NGOs (58% globally, 61% in Mexico), governments (54% globally, 54% in Mexico), and the media (52% globally, 47% in Mexico).
- Globally, companies are perceived as 49 points more competent and 29 points more ethical than governments.
However, being the most trusted institutions also means taking on greater expectations from society. 85% of respondents believe that companies must play an active role in generating well-being, not only by offering well-paid jobs and training to their employees, but also by having a positive social and environmental impact.
For investor relations areas, this represents a profound change in the way they communicate. It is no longer enough to report financial results. It is essential to explain how the company responds to social challenges, how it aligns with stakeholder expectations, and how it builds trust through transparency. This trust not only strengthens corporate reputation, but also eventually facilitates access to capital and reduces the cost of funding. Companies that lead with purpose and communicate with authenticity today have a clear competitive advantage over those that focus only on financial results.
What can you do to help? 3 recommendations for IR teams of Mexican companies
- Integrate ESG and purpose into the financial narrative. It is not only about including non-financial indicators in the annual report: it is necessary to clearly show how the sustainability strategy drives growth, mitigates risks, and creates long-term value.
- Prioritize transparency and consistency. The gaps between what is communicated and what is done are increasingly visible. Publishing clear, verifiable, and updated information, even when it is not always perfect or positive, is better than omitting it or sugarcoating reality.
- Listen actively to investors and other stakeholders. Trust is also built through dialogue. Involving investors in discussions about emerging risks, innovation, social impact, and regulations strengthens relationships and demonstrates openness and commitment.
At Miranda IR, we will be glad to help you build a robust, transparent narrative that helps lay the foundations for trust-based relationships with the market.
Contacts at Miranda Partners
Damian Fraser
Miranda Partners
damian.fraser@miranda-partners.com
Ana María Ybarra Corcuera
Miranda-IR
ana.ybarra@miranda-ir.com
The Art of Q&A: Turning Tough Investor Questions into an Opportunity
Investor relations is not only about crafting earnings releases and presentations. Some of the most lasting impressions are made during the Q&A sessions of earnings calls, investor days, or one-on-one meetings. How management handles these unscripted moments can either reinforce credibility or plant lingering doubts.
Why Q&A Matters
Investors know prepared remarks are polished. The Q&A, however, is spontaneous — it’s where management’s command of the business and transparency are tested. This makes it a critical trust-building moment. A clear, confident answer can reinforce the investment case far more than a scripted slide.
Common Pitfalls to Avoid
- Over-defensiveness: Getting rattled or appearing evasive makes the question feel more damaging than it is.
- Overloading with jargon: Complex financial terminology may alienate investors instead of clarifying the point.
- Speculation traps: Attempting to answer beyond what can reasonably be disclosed can backfire later.
- Inconsistency across leadership: Different answers from executives on the same topic raise red flags.
- Spending too much time on negative questions: Try to answer negative questions crisply and quickly. You want the majority of the earnings call to be spent on your terrain.
- Being robotic: While it’s important to be prepared, avoid reading from a script—aim to answer naturally.
- Calling on a negative analyst or investor first or last: The first question sets the tone for the call, and the last one wraps it up, so, if possible, call on friendly analysts for these key moments.
Best Practices for IR Teams
- Prepare for tough questions. Anticipate sensitive topics — guidance credibility, capital allocation, ESG risks — and rehearse clear, consistent answers in a natural way. If time allows, go through all previous questions in earnings calls and in recent investor meetings, and rehearse answers.
- Bridge back to the narrative. Even challenging questions should connect back to the company’s strategy and long-term story.
- Be concise but transparent. Avoid “yes/no” answers but keep responses tight. Investors value clarity over wordiness.
- Acknowledge limits. A confident “We can’t provide that level of detail” is better than overpromising or speculating.
- Maintain tone and composure. Investors read body language and tone as much as words. Calm, professional delivery signals control.
- Agree internally on who answers what. Decide beforehand which topics will be handled by the CEO, CFO, etc. If possible, be in the same room during the call.
- Coordinate with the conference operator. Share your preferred order of questions by analyst or investor in advance. If necessary, exclude participants from asking questions if they are known to be destructive and hostile. Make sure only recognized analysts and reputable institutional investors get to answer questions – not retail investors, nor journalists, nor influencers.
- Read research reports overnight. Review analyst notes on earnings before the call and anticipate likely questions. (AI can help in this if short of time).
- Offer one-on-one calls follow-ups. Invite analysts for private calls after the Q&A. This can help move sensitive subjects to private calls, away from the public Q&A. If possible, the CEO should be on the call.
- Consider pre-recording the scripted message. This can help streamline the call, and with AI tools like Eleven Labs, the CEO does not even need to record it directly.
Turning Pressure into Advantage
Handled well, Q&A sessions can highlight management’s expertise, showcase consistency across leadership, and strengthen investor confidence. Instead of a risk, think of Q&A as the most authentic part of the dialogue — a chance to prove alignment between words and actions.
At Miranda IR, we work with companies to anticipate difficult questions, train management teams, and refine messaging so that every Q&A becomes an opportunity to build trust. From preparation to live coaching, we help you transform investor dialogue into one of your strongest competitive advantages.
Contacts at Miranda Partners
Damian Fraser
Miranda Partners
damian.fraser@miranda-partners.com
Ana María Ybarra Corcuera
Miranda-IR
ana.ybarra@miranda-ir.com