Initial public offerings of common stock: Essays on the role of the underwriter.

Title: Initial public offerings of common stock: Essays on the role of the underwriter.
Identifier: AAI9207064
identifier: 9207064
Creator: Desmedt, Andree-Anne Jacqueline.
Contributor: Adviser: Ronald Anderson
Date: 1991
Language: English
Publisher: City University of New York.
Subject: Economics, Finance
Abstract: Underpricing of Initial Public Offerings of common stocks (IPOs) is a widely documented phenomenon. While explanations for this underpricing vary widely--and sometimes conflict--it is generally agreed that the underwriter plays an important role in the pricing of IPOs.;Two aspects of this role are investigated in this paper. The first one examines the relationship between underwriter reputation and the risk attached to a new issue, hence the relationship between reputation and expected returns on the new stock. The second pertains to the role of the underwriter as market-maker. I propose that the underwriter has two instruments at his disposal to create a secondary market for a new issue, underpricing and market-making, hence that a trade-off exists between these two devices.
Type: dissertation
Source: PQT Legacy CUNY.xlsx
degree: Ph.D.

Media: Initial public offerings of common stock: Essays on the role of the underwriter.