IR Monitor – 18 February 2026

In this week’s newsletter:

• What happens when equity analysts are using the same AI model to transcribe calls, analyse reports and suggest advice? Bloomberg on the AI risk of analyst groupthink 
  
• Given the demands and scrutiny of investors, who would be a FTSE 100 chair? 
  
• Are century bonds back in vogue? A brief history from CityAM 
• UK’s FCA plans to publish all trading data for London-listed shares as regulator seeks to tackle ‘drastic under-reporting’ of market liquidity 
• ‘Good investor conversations are indicative of really good IR’ says Essentra finance chief 
• And finally … Your next roadshow destination: the Vatican. The Holy City has more Bloomberg terminals per capita than anywhere in the world     

This week’s news

Bloomberg on the AI risk of analyst groupthink  

Bloomberg’s Parmy Olson argues that the growing use of generative AI by equity research analysts risks reinforcing existing groupthink in financial markets. As AI becomes more common as a foundational tool for financial analysis, the investigative and critical nous of human experts could become dulled by the fact models are largely centralised and trained on similar information. For a profession which rewards unique opinions, this may place an ever larger premium on originality. Federal Reserve Governor Michael Barr alluded to it being a potential issue last year when he said widespread use of generative AI “could lead to herding behaviour and the concentration of risk, potentially amplifying market volatility.” 

Who would be a FTSE 100 chair?  

Under current rules, London-listed companies must limit chair tenures to nine years or explain any extension to shareholders. FT’s Ashley Armstrong and Anjli Raval argue it might be time to reconsider. This comes as several companies, including M&S and BAT, have recently opted to extend their chairs’ terms beyond this limit, citing the importance of continuity during periods of crisis and transformation. Supporters of such a reform believe rigid term limits can be destabilising for companies, particularly in highly regulated or reputationally sensitive industries, where finding a successor can be more challenging. Others, including the Institute of Directors, instead warn that longer tenures risk undermining independence and that regular renewal is a “vital principle,” which maintains “robust challenge, fresh perspectives and strong governance discipline.” 

Are century bonds back in vogue? 

Last week Alphabet, owner of Google, raised £1 billion through a century bond, described by City AM’s Simon Hunt as a sign of the “extreme lengths” tech firms are willing to go to invest in AI. Century bonds are rare, with only a few dozen firms having ever attempted this form of financing (it’s the first century bond issued by a technology company since Motorola sold one in 1997). According to Hunt, the bond was heavily oversubscribed, with nearly £10bn in bids. In the past, century bonds have typically followed periods of falling interest rates and can signal market tops, but strong investor demand suggests Alphabet’s bond is by no means the last. Given AI’s relentless funding needs, similar Big Tech century bonds are likely to reappear in the future. 

UK’s FCA plans to publish all trading data for London-listed shares 

In a move to change perceptions around lower liquidity in UK capital markets, the Financial Conduct Authority (FCA) will collate and publish all share-trading data for London-listed stocks. Interim director of markets at the FCA, Simon Walls, told the FT that a narrative has lingered that foreign exchanges offer greater liquidity than in the UK, leading many to connect this with the spate of companies that have altered their listing location away from London. The FCA is hoping that releasing share trade information executed outside of public exchanges will show a fuller and more attractive picture of UK capital markets. Alongside this, the FCA has recently introduced other reforms aimed at making equity and debt issuance easier, highlighting a clear effort to improve the competitiveness of the London exchanges – the results of which will be borne out over this year. 

‘Good investor conversations are indicative of really good IR’ says Essentra finance chief 

The CFO of Essentra has discussed her approach to investor relations in a recent interview with IR Impact. Rowan Baker notes that while IR can be measured with KPIs like bringing new investors to the registers, a large part of success comes from intangible factors like strong relationships and maintaining a positive reputation.  Simply being approachable is a quality she notes as important: both to investors and analysts. Baker notes that this has historically paid dividends in a crisis, for example the Covid-19 pandemic. Whilst Baker acknowledges that IR can be tough when the company is in a closed period, she values the rewarding parts of the process, particularly in-person events like capital markets days.  

And finally…Your next roadshow destination: the Vatican City 

A lesser known fun fact is that the Vatican City has the highest number of Bloomberg terminals per capita in the world. They are certainly proving their worth, with CBS News reporting that the Holy City’s bank has launched two Catholic-themed equity indexes in partnership with Morningstar. A spokesperson for the Institute for the Works of Religion noted that “investors increasingly seek benchmarks that reflect specific values-based or policy-driven criteria,” reflecting a shift in investor preferences toward more traditional ESG principles. The indexes will each include 50 mid to large cap companies that the Vatican Bank believes fit the image of an ethical investment. Meta and ASML are two examples of prominent holdings so far, but with criteria that prize the sanctity of human life and environmental protection, the bar could be too high for your favourite stock.