Who trades IPOs? A close look at the first days of trading

• 成果类型: Article
• 署名作者: Ellis, K
• 署名单位: University of California System; University of California Davis
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2004.09.006
• 发表日期: 2006
• 页码: 339-363
• 关键词: initial public offerings; Nasdaq; trading volume

摘要

I examine the enormous trading volume in the first two days of trading following an initial public offering (IPO) with a sample of Nasdaq IPOs. The composition of trading varies widely with the initial return and not all trading is investor-related. Cold IPOs have a high proportion of interdealer sell trades, whereas hot IPOs have balanced investor buying and selling. Market makers hold zero inventory throughout trading, offsetting any investor inventory imbalance with a trade with the lead underwriter. The paper also helps resolve the disconnect reported in the literature between high initial trading volume and low flipping activity. (c) 2005 Elsevier B.V. All rights reserved.