Unveiling Our Expertise: Our Insights into Artificial Intelligence Utilization

In the fast-evolving landscape of Generative Artificial Intelligence (AI), Investor Relations teams need to adapt to the new technologies available. Our day-to-day activities, including analyzing earnings calls, elaborating reports, presentations, and documents that enhance communication with investors, have evolved rapidly with these technologies. If used correctly, Generative AI tools make work more efficient and higher quality. On the other hand, the human touch remains key while working in investor relations; we still need to filter out and improve all materials to deliver a perfect product and check for factual accuracy. The following bullets highlight our experience as an Investor Relations Consulting firm using Generative Artificial Intelligence.

First, let’s talk about the positive examples:

• AI has helped us analyze an extensive pool of information in just a few minutes, versus hours in the past. This allows us to access hundreds of sources, deepening our perspective when writing about a certain company or industry, and finding out more easily what the competition is doing.
• When we are short on time (as you all may relate to during quarterly reports), AI can help us scan for errors in a matter of seconds and become an expert proofreader.
• After writing a script or CEO message, in which C-level management is addressing their investors, AI can help us identify the overall sentiment (how investors will perceive the message). For example, if the quarterly results were not as expected, and the CEO’s message comes out fairly negative, AI can help suggest a few rewrites to give it a more positive lift. This is especially important as investors are now using AI to detect earnings sentiment in calls.
• Generative AI programs (Midjourney, etc) can help with design.

Now focusing on the not-so-good consequences of relying on AI:

• Using AI to make things more efficient is fine, but don’t forget that AI uses the entire web, works on word correlations, rather than factual information per se (and even then, the web has many mistakes). Solely relying on AI to do something can lead to errors, and then correcting for these may even cause delays.
• Unless you have a good ear for a second language, AI can fail to capture the right tone in English. We often find AI uses too many adjectives and adverbs and is overly positive in a somewhat false way. Good use of prompts can temper this.
• And on that note, prompts are key; if you do not use a specific and well-taught prompt, AI will probably not give you what you want.
• Some AI programs may not have current information available, which will not work if you are trying to write an up-to-date report.
• Decision-making is still something 100% up to us, humans. AI can provide tools to get to those decisions, but in the end, you must rely on your instincts and experience to come up with an educated decision that may impact the future of your company. Also, at the end of the day, AI can’t replace your relationship with your clients and investors and how well you know them.
• When dealing with nonpublic price sensitive information, AI may represent a security risk. It is thus key to check with internal IT security on what is and is not recommended. Private company specific ChatGPTs can help manage security concerns or Microsoft copilots.

Despite some negative aspects, AI is part of the IR future, whether we like it or not.  But IR teams are essential for ensuring that AI tools are employed effectively and securely, and at Miranda Partners Investor Relations, we have the experience to help you do that.