IPO underpricing from the institutional investor perspective : evidence from emerging markets

Ichev, Riste (author)

This paper examines IPO underpricing from the institutional investor perspective in emerging markets. Observing market adjusted returns for several countries, industries, and years, results show evidence that the underpricing phenomenon is present across all emerging markets, averaging at 30.29% on the first trading day, and 27.98% for the first trading month. Underpricing particularly stands out in China, for the Basic Materials industry, during the 2007/2008 financial crisis period, increases with higher levels of property rights protection and decreases in countries with relatively more freedom from corruption. Underpricing is positively related to a country’s legal framework and negatively related to the number of IPOs.

• Language: English
• Keywords: financial market, stock exchange, shares, IPO, underpricing, emerging markets, market adjusted returns
• Work type: Article
• Typology: 1.01 - Original Scientific Article
• Organization: EF - School of Economics and Business
• Publication status: Published
• Publication version: Version of Record
• Year: 2023
• Number of pages: 16 str.
• Numbering: Vol. 36, iss. 1, article no. 2179506
• PID: 20.500.12556/RUL-147834
• UDC: 336
• ISSN on article: 1331-677X
• DOI: 10.1080/1331677X.2023.2179506
• COBISS.SI-ID: 141069059
• Publication date in RUL: 13.07.2023

Record is a part of a journal

• Title: Ekonomska istraživanja = Economic research
• Publisher: Taylor & Francis, Sveučilište Jurja Dobrile u Puli
• ISSN: 1331-677X
• COBISS.SI-ID: 6796877

Licences

• License: CC BY 4.0, Creative Commons Attribution 4.0 International
• Link: http://creativecommons.org/licenses/by/4.0/
• Description: This is the standard Creative Commons license that gives others maximum freedom to do what they want with the work as long as they credit the author.

Secondary language

• Language: Slovenian
• Keywords: finančni trg, borze, delnice

Projects

• Funder: ARRS - Slovenian Research Agency
• Project number: P5-0161
• Name: Izzivi vlagateljev, podjetij, finančnih institucij in države v negotovem evropskem gospodarskem okolju