The Impact of Credit Rating Watchlist and Effect of Underwriter Reputation on IPO Underpricing PDF Download

Author: Jing Liu
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Author: Ricardo Falter
Publisher: GRIN Verlag
ISBN: 3656558396
Category : Business & Economics
Languages : en
Pages : 20

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Bachelor Thesis from the year 2013 in the subject Business economics - Investment and Finance, grade: 8,0, Maastricht University (School of Business and Economics), language: English, abstract: This paper will try to elaborate on the different and sometimes mixed empirical results, testing the relationship between underwriter’s reputation and the price of the capital issue. Firstly, the two most cited and used ways of measuring reputation will be explained. Secondly, the relationship between reputation and issue pricing will be analysed from different perspectives. Thirdly, the existence of a relationship between reputation and fees as well as between reputation and proceeds will be proven. After that commercial and investment banks as underwriters will be compared and it will be shown that there are reasons to choose a commercial bank as an underwriter. Finally, the mechanics of how underwriters are being chosen and the reasons for switching underwriters will be analysed, before ending this study with a conclusion.

Author: Jonas Wieckert
Publisher:
ISBN:
Category :
Languages : en
Pages :

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This thesis investigates the relation between underpricing and equity underwriter reputation in the Swiss market. It examines a handpicked sample of 109 IPOs that took place between 1997 and 2017. The examination finds that there was average underpricing of around eight percent for the sample period. However, the underpricing varies vastly over the sample. The initial years see high underpricing of around twelve percent, whereas since 2008, underpricing has been below six percent on average. This is somewhat lower than the underpricing found in earlier Swiss studies from the 1980s and 1990s. Considering the global trend of lower initial returns this is perfectly expectable and consistent. The results of the regression analysis to determine the impact of reputation on underpricing were mixed. Depending on the method of measurement and significance level the impact varied from statistically insignificant to positive and negative. These findings are interpreted in a way that suggests that a weighted market share approach is the best way to measure underwriter reputation in the small Swiss market. Such an interpretation means that increasing underwriter reputation does indeed lead to lower underpricing. To give the regression model more accuracy, a set of additional explanatory variables had to be included in the analysis as well. Around half of them did not perform in the way that was initially predicted. But none of them behaved in a completely inexplicable way that is completely inconsistent with pre-existing literature. Better underwriter reputation was found to reduce underpricing, but the explanatory variables of logarithmised gross proceeds and syndicate size had an even stronger coefficient. While the empirical results were mixed, this paper also contributes to the literature by offering the first underwriter ranking for the Swiss market.

Author:
Publisher:
ISBN:
Category : Dissertations, Academic
Languages : en
Pages : 522

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Author: Iowa State University
Publisher:
ISBN:
Category : Commencement ceremonies
Languages : en
Pages : 488

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Author: Michael Shearn
Publisher: John Wiley & Sons
ISBN: 1118149459
Category : Business & Economics
Languages : en
Pages : 391

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A practical guide to making more informed investment decisions Investors often buy or sell stocks too quickly. When you base your purchase decisions on isolated facts and don't take the time to thoroughly understand the businesses you are buying, stock-price swings and third-party opinion can lead to costly investment mistakes. Your decision making at this point becomes dangerous because it is dominated by emotions. The Investment Checklist has been designed to help you develop an in-depth research process, from generating and researching investment ideas to assessing the quality of a business and its management team. The purpose of The Investment Checklist is to help you implement a principled investing strategy through a series of checklists. In it, a thorough and comprehensive research process is made simpler through the use of straightforward checklists that will allow you to identify quality investment opportunities. Each chapter contains detailed demonstrations of how and where to find the information necessary to answer fundamental questions about investment opportunities. Real-world examples of how investment managers and CEOs apply these universal principles are also included and help bring the concepts to life. These checklists will help you consider a fuller range of possibilities in your investment strategy, enhance your ability to value your investments by giving you a holistic view of the business and each of its moving parts, identify the risks you are taking, and much more. Offers valuable insights into one of the most important aspects of successful investing, in-depth research Written in an accessible style that allows aspiring investors to easily understand and apply the concepts covered Discusses how to think through your investment decisions more carefully With The Investment Checklist, you'll quickly be able to ascertain how well you understand your investments by the questions you are able to answer, or not answer, without making the costly mistakes that usually hinder other investors.

Author: Daniel Cash
Publisher: Routledge
ISBN: 1351107895
Category : Law
Languages : en
Pages : 258

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This book examines the transgressions of the credit rating agencies before, during and after the recent financial crisis. It proposes that by restricting the agencies’ ability to offer ancillary services there stands the opportunity to limit, in an achievable and practical manner, the potentially negative effect that the Big Three rating agencies – Standard & Poor’s, Moody’s and Fitch – may have upon the financial sector and society moreover. The book contains an extensive and in-depth discussion about how the agencies ascended to their current position, why they were able to do so and ultimately their behaviour once their position was cemented. This work offers a new framework for the reader to follow, suggesting that investors, issuers and the state have a ‘desired’ version of the agencies in their thinking and operate upon that basis when, in fact, those imagined agencies do not exist, as demonstrated by the ‘actual’ conduct of the agencies. The book primarily aims to uncover this divergence and reveal the ‘real’ credit rating agencies, and then on that basis propose a real and potentially achievable reform to limit the negative effects that result from poor performance in this Industry. It addresses the topics with regard to financial regulation and the financial crisis, and will be of interest to legal scholars interested in the intersection between business and he law as well as researchers, academics, policymakers, industry and professional associations and students in the fields of corporate law, banking and finance law, financial regulation, corporate governance and corporate finance.

Author: Robin Speziale
Publisher: Robin R. Speziale
ISBN: 1720210802
Category : Business & Economics
Languages : en
Pages : 289

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FROM NATIONAL BESTSELLING AUTHOR ROBIN R. SPEZIALE – LEARN HOW TO MAKE MONEY INVESTING IN GROWTH STOCKS In Capital Compounders, DIY Investor & National Bestselling Author Robin R. Speziale makes it easy for anyone to beat the market and make money investing in growth stocks! Robin R. Speziale shares his journey building a $300,000+ stock portfolio before 30 (and how you can too!) by investing in growth stocks or “Capital Compounders” – stocks that double, and then double again, and again on the market. Capital Compounder stocks have achieved the “tenbagger” ($1 turns into $10), and some even the “100-bagger” ($1 turns into $100) status. Mr. Speziale discusses the commonalities of today’s market-beating growth stocks so that you can find the next ones in the future. WHAT YOU WILL LEARN IN THE BOOK: How you can turn $0 into $300,000 (and more) by saving, and then investing in growth stocksWhy growth investing is better than value investingWhat top growth stocks (“Capital Compounders”) have in common72 Rules for investing stocks; winning in the market, and managing a portfolioActual examples of tenbagger (10x return) and 100-bagger (100x return) stocks75+ events, and corporate developments that move stocksHow a hedge fund manager achieved a 24% compound annual return (since 1998!)50+ predictions for the futureExclusive interviews with a small-cap technology analyst, and a growth hedge fund managerHow to decode market psychology, and control your own behavioural biasesGrowth investing strategies from the world's top growth investorsDaily routine – how to stay on top of the stock market, and find new growth ideas100+ Free DIY investor resources (all of my favourites!)PLUS – FREE Investment Newsletter Subscription (inside the book) Capital Compounders is for both budding and seasoned investors. It’s entertaining (because finance can be dry), and includes lots of easy-to-learn tips and strategies on growth investing that you can apply in the stock market. Robin R. Speziale is a DIY Investor and Globe and Mail National Bestselling Author; Market Masters (2016). He's been investing in the stock market since 2005, and built a $300,000+ portfolio before 30. Mr. Speziale lives in Toronto, Ontario. Visit RobinRSpeziale.com and email Robin – [email protected].

Author: Robert A. G. Monks
Publisher: John Wiley & Sons
ISBN: 9781576603178
Category : Business & Economics
Languages : en
Pages : 584

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A detailed guide to the discipline of corporate valuation Designed for the professional investor who is building an investment portfolio that includes equity, Corporate Valuation for Portfolio Investment takes you through a range of approaches, including those primarily based on assets, earnings, cash flow, and securities prices, as well as hybrid techniques. Along the way, it discusses the importance of qualitative measures such as governance, which go well beyond generally accepted accounting principles and international financial reporting standards, and addresses a variety of special situations in the life cycle of businesses, including initial public offerings and bankruptcies. Engaging and informative, Corporate Valuation for Portfolio Investment also contains formulas, checklists, and models that the authors, or other experts, have found useful in making equity investments. Presents more than a dozen hybrid approaches to valuation, explaining their relevance to different types of investors Charts stock market trends, both verbally and visually, enabling investors to think like traders when needed Offers valuation guidance based on less quantitative factors, namely management quality and factors relating to the company and the economy Corporate Valuation for Portfolio Investment puts this dynamic discipline in perspective and presents proven ways to determine the value of corporate equity securities for the purpose of portfolio investment.

Author: Anna Faelten
Publisher: The Economist
ISBN: 1610397916
Category : Business & Economics
Languages : en
Pages : 227

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The combined value of all M&A deals from 1980 to the end of 2015 was almost 65 trillion -- bigger than the current annual world economy value outside the US. In that same period, almost 900,000 deals were announced. Many were questionable, as Why Deals Fail shows. With companies expected to continue to merge in record numbers, it is time to learn some critical lessons from those deals. In 2014 the government of the UK -- one of the most open markets globally for M&A -- commissioned Cass Business School's Mergers and Acquisitions Research Centre, headed by Scott Moeller, to investigate whether M&A has a negative or positive impact on the country's economy. Their findings: M&A deals do generate short-term benefits for the economy, especially because some large deals were spectacularly successful. However, over the longer term, the results are less clear-cut. Despite those highly successful tie-ups that drove the economic results to an overall positive average, the majority of UK mergers by number in the research period actually destroyed value. In summary, deals can be hugely beneficial for all involved when you get it right but they still, at large, struggle to live up to their initial hype -- and potential. Done wrong, they can damage business and, by extension, the economy and result in hundreds if not thousands of employees being made redundant. Most of the mergers detailed in this book are lessons in what not to do; the authors get behind the corporate veil to show what went wrong when huge and otherwise highly successful global businesses such as the Royal Bank of Scotland, Microsoft, and HP embarked on M&A transactions. Why Deals Fail is aimed at business people who want to understand better how M&A can drive corporate fortunes. Whether you are a seasoned M&A professional, an employee in a company that is acquiring or being acquired, or a newly graduated business student doing analysis about a deal, this book will help you to make the right decisions when they are most crucial.