‘Creating a sustainable financial ecosystem’ focus of CFA Awards 2014

Friday, 6 June 2014 01:10 -     - {{hitsCtrl.values.hits}}

CFA Sri Lanka, the local Chapter of the CFA Institute based in Charlottesville, USA, will be holding its Annual Capital Markets Awards Night and Forecast Dinner on 19 June. The Awards Night will focus on recognising the achievements and efforts of those who have made contributions to advancement and the integrity of local capital markets. This is the second of a highly successful and acclaimed Awards Night inaugurated by the Society last year. The CFA Institute’s vision of shaping a trustworthy, forward-thinking financial industry that better serves society is the ideal blueprint for evolution of the financial ecosystem. The CFA Awards this year adds to that ultimate vision by providing tools to motivate and empower each actor in the financial ecosystem to commit to fairness and integrity. Elaborating on the event, CFA Sri Lanka President Sheyantha Abeykoon stated: “A key role CFA Sri Lanka plays in the financial services industry is to promote adherence to global best practices and standards and imbibe a culture of trust and professionalism within the industry. To that end, one of the fundamental objectives of the Capital Market Awards Night is to inspire and incentivise capital market participants and members of the wider stakeholders groups to strive for such standards of excellence.” The Keynote Speaker this year will be Hemas Holdings PLC Executive Director/CEO Steven Enderby, while the panellists will be IFC Country Manager Adam Sack and NDB Director/CEO Rajendra Theagarajah. Awards will be presented in three categories; the Best Equity Research Report, Best Equity Research Team and the Best Investor Relations Practice.  The Equity Research Report Award recognizes and rewards initiatives taken by financial analysts to achieve the highest standards of excellence in robust analysis and presentation, encouraging professional excellence. The submitted report should posit a buy or sell recommendation of an individual listed on the CSE or a sector report which contains individual stock recommendations. A healthy participation is seen by the broking community this year and evaluation of the Research Reports are underway at present by an eminent panel of judges. The Best Research Team Award strives to recognise the achievements of teams that have consistently set the benchmark in producing high quality research products for the ultimate benefit of the investing community. The aim of Investor Relations Award is to communicate clear, accurate, credible and consistent information about the company to the investor community, ensuring investors are fully and fairly informed, enabling them to make reasonable decisions resulting in the company’s securities trading at fair value over the long term and building a shareholder base beneficial to the company, ensuring that long-term access to diversified capital sources. It is intended to recognise and reward companies that not only optimise the investor relations function to communicate interactively with the investor community, but also companies that increase awareness and encourage investor relations best practices, which result in securities being priced fairly to benefit issuers as well as investor. With 11 eminent judges sitting on the panel, 16 companies were short listed and evaluated on accessibility of management and track record with analysts, business disclosures in accounts and annual reports, quality of information on business and risk and the quality of commentary provided with interim results. The Future of Finance Project of CFA Institute which postulates placing investors first and building a trustworthy, forward-thinking financial industry that better serves society is a central theme in this year’s Capital Market Awards Night. “Upholding the ideals and tenets of the Future of Finance initiative is a shared responsibility among all stakeholders in the financial industry .  This is a key message we wish to convey this year,” opines Abeykoon. Compiled by real world ideas from CFA Charterholders and members, some of the more salient points of the initiative include placing the client’s interest before your own, gain training on ethical decision making, recommend products with transparent payoffs, costs and risks and assisting clients to focus on risks as much as on performance. To CFA, which has a membership of over 116,000 in 137 countries, this initiative is an imperative that promotes the industry to revert to its fundamentals, because, as Abeykoon mentions, “The future of finance starts with you.”