Aggarwal, Reena; Prabhala, Nagpurnanand R.; Puri, Manju - In: Journal of Finance 57 (2002) 3, pp. 1421-1442
We analyze institutional allocation in initial public offerings (IPOs) using a new data set of U.S. offerings between 1997 and 1998. We document a positive relationship between institutional allocation and day one IPO returns. This is partly explained by the practice of giving institutions more...