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Definition: Investor Relations is an important management responsibility that integrates finance, communication, marketing and securities law, ensuring effective two-way communication between a company and (potential) investors, investment banks, the financial community and other constituencies.
It is also the name for the department of a large company dedicated to such responsibility.
Typically reporting to the Chief Financial Officer. Sometimes IR is managed by the public relations or corporate communications department.
Increasingly the IR function also communicates about non-financial information, intangible assets, corporate governance and corporate responsibility.