We explain why initial underpricing of new issue exists globally and is not arbitraged away in an efficient market. We … argue that initial underpricing is a natural by-product of liquidity-motivated ownership dispersion requirements and … initial underpricing. We predict that as the level of divergence of opinion about an issue increases, underpricing will …

This paper examines the impact of expected skewness on IPO underpricing based on a comprehensive set of 17,051 IPOs …

-level IPO underpricing between 2008 and 2018. Examining 7,446 IPOs issued in 36 countries, we find that IPO underpricing tends … governance pillars, we find that underpricing tends to be lower in countries with stronger risk management practices in each of … these areas. Additional analysis indicates that the negative impact of ESG ratings on IPO underpricing is more pronounced in …