3 Great Reasons for Investors to Attend an Annual General Meeting

The season for Annual General Meetings (AGMs) in Singapore is fast approaching.

Personally, I have been receiving annual reports in my mailbox with notices for AGMs that are going to be held either this month or the next. Although it’s logistically impossible for me to attend every single AGM (some fall on the same day at similar times!) I will still be trying my best to go for as many as I can.

For those of you who are contemplating if you should step into your first ever AGM, here are three reasons why I think investors should attend AGMs.

Look management in the eyes

To a large degree, investing in a company involves the placement of trust in the people running the firm. As a shareholder of a company, we are entrusting our capital to the firm’s management team, in the hopes that they would treat us fairly and run the company with integrity.

Attending an AGM allows us to meet a company’s management team face to face and gives us the chance to size them up personally.

In fact, the act of attending an AGM had helped me save some of my investing capital. A few years ago on 2012, I had invested in an S-chip (a China-based company listed in Singapore) named Eratat Lifestyle Limited (SGX: FO8).

The company looked great on paper back then. But, when I met with the company’s management in an AGM, I realized that they were not people I felt good associating with and so, quickly sold my stake. In 2014, it was discovered that Eratat had forged its bank statements – I was lucky that I managed to get out early. All because I had met the company’s management team at an AGM.

Meet other investors

An AGM is also a great occasion for networking. Talking to other investors and understanding why they have invested in a company is a great way to improve our own investing acumen and to learn more about a company.

Perhaps there are other advantages and risks that exist for a company that you had missed. Meeting other investors can allow us to learn about a company from different viewpoints and that seems to me to be a great thing.


Lastly, most AGMs I’ve been to provide great food as well as goodie bags that contain really useful things such as shopping vouchers. That’s a big draw, isn’t it?

Foolish Summary

For investors in other countries, going to an AGM might mean having to fly to a different state. But for investors in Singapore, most AGM venues are just a comfortable MRT or bus ride away. And by going to an AGM, there are some great benefits, like I had mentioned.

So, what are you waiting for? If you see me at an AGM, please come by and say ‘Hi!’

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore writer Stanley Lim does not own shares in any companies mentioned above.