Information Asymmetries among European Investors : Evidence from Swedish IPOs

• We study underpricing and equity holdings following initial public offerings (IPOs) in Sweden over the sample period 2000 through 2009. We document, as most prior studies of IPOs, that they on average are underpriced (i.e., associated with a positive initial return). IPOs with a low (high) initial return have higher (lower) equity holdings by retail investors. Our analysis of domicile of institutional investors indicates that foreign institutional investors have preferences for holdings in IPOs characterized by a high initial return and large capitalization values. Analysis of overseas institutional holdings indicates existence of information asymmetries related to distance.

Ämnesord

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business (hsv//eng)

Nyckelord

IPO

initial public offering

ownership

structure

breadth

price level

initial return

Business and economics

Ekonomi

Business Economics (HGO)

Företagsekonomi (HGO)

Publikations- och innehållstyp

ref (ämneskategori)

kon (ämneskategori)