i’ve seen conflicting views on whether or not information disseminated on analyst conference calls is public. i would assume that it is because most of those calls are recorded and anyone can join normally but then again who knows. f ethics
CFAI volume I, page 38 (top): “Members and candidates must be particularly aware of information that is selectively disclosed by corporations to a small group of investors, analysts, or other market participants. Information that is made available to analysts remains nonpublic until it is made available to investors in general…” “Issues of selective disclosure often arise when a corporate insider provides material information to analysts in a briefing or conference call before that information is released to the public. Analysts must be aware that disclosure made to a room full of analysts does not necessarily make the disclosed information “public.”” opinions?
Conference calls are NOT public. acting on safe assumption
I just spoke to an analyst at my company, who has his CFA btw. Said Analyst conference calls are considered public info but I guess it’s situational
forumreader Wrote: ------------------------------------------------------- > CFAI volume I, page 38 (top): “Members and > candidates must be particularly aware of > information that is selectively disclosed by > corporations to a small group of investors, > analysts, or other market participants. > Information that is made available to analysts > remains nonpublic until it is made available to > investors in general…” > > “Issues of selective disclosure often arise when a > corporate insider provides material information to > analysts in a briefing or conference call before > that information is released to the public. > Analysts must be aware that disclosure made to a > room full of analysts does not necessarily make > the disclosed information “public.”” > > opinions? Though this is inconsistent with the question on the CFAI ethics self-test (the Gaines one about the new engine) Still, in light of the CFAI text you’ve quoted, I’m going with analyst conference call and analyst tour = non-public
Bump Completely disagree. Conference calls are public assuming that they are widely disseminated to anyone who wants to access them. I’m under the assumption that, as an investor can access the same call in real time as I do, the information is public. If such a call is not provided in a timely manner to all who want it, it is nonmaterial. Any thoughts on this? I could be way out to lunch.
I think this explains it spot on. CFAI volume I, page 38 (top): “Members and candidates must be particularly aware of information that is selectively disclosed by corporations to a small group of investors, analysts, or other market participants. Information that is made available to analysts remains nonpublic until it is made available to investors in general…” If the conference call is not available to all investors, or those would like to know-then it is non-public material. If the conference call is announced, made available to anyone who would like to participate-then I would say that it is public. My 2 cents.
Very well put okiew5, that’s actually my point exactly. I think the clarification missing is how widely disseminated this call is. Its a fine line indeed.