Variables Influencing the Severity of IPO Underpricing PDF ePub eBook

Books Info:

Variables Influencing the Severity of IPO Underpricing free pdf Underpricing refers to the phenomenon of abnormal first-day returns from initial public offerings (IPOs). Without doubt, any US investor would agree that one day-returns of 11.4% on average are exceptional and a worthwhile investment. Since then many studies have proven that it is a persistent phenomenon and also occurs on markets all over the world. The most puzzling question for scientists is why companies are leaving this money on the table and do not set an offering price that reflects the market demand at the offering date. The main focus of this paper is whether and how the findings of past research, primarily conducted for the US market, apply to the German IPO market. As a result, both investors and issuers shall receive practical implications for their decision-making within the IPO process. This study comprises a brief description of some important theoretical aspects that shape the price setting of an IPO. It focuses on business valuation as it is the basis for setting the price of an IPO. Furthermore, the most common price setting mechanisms are explained. Past research results and theories with regard to IPO underpricing will be outlined and put into relation to the upcoming analysis. This also includes the long-run performance of IPOs and deals especially with the question of whether IPOs are systematically overvalued by investors and, if so, why. The empirical analysis consists of a deduction of influencing variables and an applying theoretical model. Finally, OLS results will be presented and interpreted, which also includes practical implications for both, issuers and investors.

About Justyna Dietrich

Sadly, at the moment we cannot supply you with specifics of the actual Founder Justyna Dietrich. However does not necessarily mean that any of us do not work to be with her variety. We all ask that you help us in this particular make any difference. When you have spare time and desire may profoundly get pleasure from if you share with us all your details. As soon as getting these opinions and knowledge from users concerning the Variables Influencing the Severity of IPO Underpricing Author Justyna Dietrich, many of us 1st the woman's check out. The moment many of us ensure that many true, just write-up that. We see why enable as well as appreciate it upfront.

Details Book

Author : Justyna Dietrich
Publisher : Diplomica
Data Published : 21 March 2012
ISBN : 3842872895
EAN : 9783842872899
Format Book : PDF, Epub, DOCx, TXT
Number of Pages : 80 pages
Age + : 15 years
Language : English
Rating :

Reviews Variables Influencing the Severity of IPO Underpricing



17 Comments Add a comment




Related eBooks Download


  • Excess Returns free pdfExcess Returns

    An analysis of the investment approach of the world's top investors. showing how to achieve market-beating returns. It is possible to beat the market. Taking this as a starting point..


  • Initial Public Offerings (IPO) free pdfInitial Public Offerings (IPO)

    After the cooling off of IPOs since the dot com bubble. Google has rekindled the fire for IPOs. This IPO reader contains new articles exclusive to this reader by leading academics from around the world dealing with quantitative and qualitative analyses of this increasingly popular and important area of finance..


  • Initial Public Offerings (IPO) free pdfInitial Public Offerings (IPO)

    After the cooling off of IPOs since the dot com bubble. Google has rekindled the fire for IPOs. This IPO reader contains new articles exclusive to this reader by leading academics from around the world dealing with quantitative and qualitative analyses of this increasingly popular and important area of finance..


  • How to Choose Winning Stocks free pdfHow to Choose Winning Stocks

    Suitable for stock market investors. market analysts. investment bankers. and portfolio management services companies. this book shows investors how to distill data from the markets to select profitable stocks..


  • Market Volatility free pdfMarket Volatility

    "Market Volatility" proposes an innovative theory. backed by substantial statistical evidence. on the cuases of price fluctuations in speculative markets. It challenges the standard efficient-markets model for explaining asset prices by emphasizing the significant role that popular opinion or psychology can play in price volatility..


  • Variables Influencing the Severity of IPO Underpricing free pdfVariables Influencing the Severity of IPO Underpricing

    . Underpricing refers to the phenomenon of abnormal first-day returns from initial public offerings (IPOs). Without doubt, any US investor would agree that one day-returns of 11.4% on average are exce