Sentence examples for issuing mechanisms from inspiring English sources
Investor non-homogenous expectations' influence on IPO underpricing under different issuing mechanisms.
Different investor non-homogenous expectations' influence on IPO underpricing under different issuing mechanisms.
Through the comparative study of IPO underpricing under different issuing mechanisms, we reach the following conclusions.
We used Matlab to plot the relation between IPO underpricing and risk and risk aversion coefficient under different issuing mechanisms.
Under the same condition of investor non-homogenous expectations, the risk aversion coefficient's influence on IPO underpricing under the different issuing mechanisms.
Used the theory of behavioral finance and game theory, we build Initial public offering (IPO) pricing and underpricing models with investors' heterogeneity based on different issuing mechanisms.
Fig. 2 Relation between IPO underpricing and V 1, V 2 under different issuing mechanism.
Under the fixed-price issuing mechanism, the issuing price excludes any private investor information; hence, all investors only have their own private information in the first period.
The issuing mechanism of bookbuilding offers a much higher IPO pricing coefficient than that of fixed-price on the condition that non-homogenous expectations among investors remain unchanged.
Under the fixed-price issuing mechanism, the IPO underpricing is ( frac{{sigma_1}^2overline{E}(U }{2overline{E}(U -rho {sigma_1}^2}+frac{2left({V}_2-{V}_1right)}{2overline{E}(U -rho {sigma_1}^2} ).
According to (4), we can conclude that under the issuing mechanism of bookbuilding, a monotone, increasing linear corresponding relation exists between the IPO issuing price and institutional investor private information ( {displaystyle {sum}_{i=1}^n{s}_i} ).
