Using content analysis we measure the impact of soft information, derived from words in IPO registration documents, on IPO pricing efficiency. First, using 2,298 U.S. IPOs from 1996 to 2008, we find that an IPO document's strategic tone correlates positively with the stock's first-day return;...

Obecnie można zaobserwować rosnącą liczbę spółek z sektora odnawialnych źródeł energii, które pozyskuję kapitał z polskiego rynku kapitałowego. Wzrost wielkości kapitału pozyskiwanego przez te podmioty można przypisać do wzrostu całego sektora, jak również do pewnego rodzaju...

The aftermarket performance of eleven privatization Initial Public Offers (IPOs) in Chile during 1984-1989 is studied in this document, and a detailed description of the economic and political conditions that prevailed is provided. In particular, we discuss the operational details of the stock...

SEBI, the Indian securities market regulator has set a unique example for the entire world by introducing IPO grading in India. The purpose of this grading was to provide retail investors with a ready-made assessment of the fundamental quality of the issuer of an IPO, so they could make a better...

The signaling hypothesis suggests that firms have incentives to underprice their initial public offerings (IPOs) to signal their quality to the outside investors and to issue seasoned equity (SEO) at more favorable terms. While the initial empirical evidence on the signaling hypothesis was weak,...

It is well documented that IPO stock prices decline without reversals around lockup expirations, creating a novel setting to examine the impact of option trading on stock price efficiency. I find that optionable IPO stocks' prices experience significant declines prior to lockup expirations,...

We examine how useful the popular Loughran and McDonald (2011, LM) tonal word lists are for extracting information in IPO prospectuses about first-day returns. We find that there is much more information in word use than captured by the LM tonal lists. We show that the connection between LM...

In this paper we propose a new cross-sectional asset pricing model employing a Young-minus-Old (OMY) factor, which accounts for long-run post-IPO underperformance. The OMY factor might be also seen as a measure of market sentiment. We test the model using stock returns from the Warsaw Stock...

SEBI, the Indian securities market regulator has set a unique example for the entire world by introducing IPO grading in India. The purpose of this grading was to provide retail investors with a ready-made assessment of the fundamental quality of the issuer of an IPO, so they could make a better...

SEBI, the Indian securities market regulator had set a unique example for the entire world when they introduced mandatory IPO grading in India with effect from May 2007. Though the purpose of this grading was to provide retail investors with a ready-made assessment of the fundamental quality of...