I learned long ago from a very successful investor that once I become the owner of a security, it is in my best interest to then become a promoter of that same security. Spreading the word and encouraging incremental buying is good for my position, and therefore good for my economic well- being.
Such promotional activities might range from providing information on the opportunity to other investment professionals, introducing the Company to analyst coverage through established relationships, and encouraging the Company to find and engage an effective investor relations firm/professional.
As we have seen with many hedge funds, other opportunities to promote a holding occur in speaking engagements at investor conferences, in making appearances on the business news, coordinating articles in the press, making comments through social media, and through the publishing of proprietary research.
Some investors reputations are so strong that the very act of publicly disseminating what they have bought has been known to drive the share price higher.
At Takota, we consider each of these promotional tools to the extent that they can advance our agenda which is simply to maximize the investment returns for our investment partners (including internal partners).
P.S. Beget = “give rise to”