A Note on the Pricing of IPOs
Författare
Summary, in English
This paper studies the pricing of IPOs in a tractable model in which an investment bank faces some investors with superior information. We show how this can lead to underpricing and, based on our model, we make a number of empirical predictions.
Avdelning/ar
Publiceringsår
2010
Språk
Engelska
Sidor
105-107
Publikation/Tidskrift/Serie
Economics Letters
Volym
106
Issue
2
Dokumenttyp
Artikel i tidskrift
Förlag
Elsevier
Ämne
- Economics
Nyckelord
- Risk aversion
- Monopoly pricing
- IPO underpricing
- Fixed-price auction
Status
Published
ISBN/ISSN/Övrigt
- ISSN: 0165-1765