IPO underpricing is a worldwide phenomenon. In the United States, IPOs are on average underpriced by around
Question:
IPO underpricing is a worldwide phenomenon. In the United States, IPOs are on average underpriced by around 17 per cent, and in the United Kingdom they are underpriced by around 16 per cent. Most other advanced economies experience IPO underpricing of around 20 per cent. In China, IPOs are underpriced by around 137 per cent, while for emerging markets it is around 60 per cent. What do you think explains these vast differences?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
The vast differences in IPO underpricing across countries can be attributed to various factors including market conditions regulatory frameworks investor behavior institutional differences and cultura...View the full answer
Answered By
JAPHETH KOGEI
Hi there. I'm here to assist you to score the highest marks on your assignments and homework. My areas of specialisation are:
Auditing, Financial Accounting, Macroeconomics, Monetary-economics, Business-administration, Advanced-accounting, Corporate Finance, Professional-accounting-ethics, Corporate governance, Financial-risk-analysis, Financial-budgeting, Corporate-social-responsibility, Statistics, Business management, logic, Critical thinking,
So, I look forward to helping you solve your academic problem.
I enjoy teaching and tutoring university and high school students. During my free time, I also read books on motivation, leadership, comedy, emotional intelligence, critical thinking, nature, human nature, innovation, persuasion, performance, negotiations, goals, power, time management, wealth, debates, sales, and finance. Additionally, I am a panellist on an FM radio program on Sunday mornings where we discuss current affairs.
I travel three times a year either to the USA, Europe and around Africa.
As a university student in the USA, I enjoyed interacting with people from different cultures and ethnic groups. Together with friends, we travelled widely in the USA and in Europe (UK, France, Denmark, Germany, Turkey, etc).
So, I look forward to tutoring you. I believe that it will be exciting to meet them.
2+ Reviews
10+ Question Solved
Related Book For 
Corporate Finance
ISBN: 9780077173630
3rd Edition
Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe
Question Posted:
