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The signaling hypothesis suggests that firms have incentives to underprice their initial public offerings (IPOs) to … empirical evidence on the signaling hypothesis was weak, Francis et al. (2010) show that foreign firms from segmented (rather … players. Hence, the attractiveness of the signaling strategy seems to be related to the a priori level of information …
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traditional investors. The analysis is performed within a two-period, two-state signaling model with information asymmetry between …
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We study the relevance of signaling and marketing as explanations for the discount control mechanisms that a closed …
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The discount control mechanisms that closed-end funds often choose to adopt before IPO are supposedly implemented to narrow the difference between share price and net asset value, We find evidence that non-discretionary discount control mechanisms such as mandatory continuation votes serve as...
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