underpricing


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Related to underpricing: IPO

un·der·price

 (ŭn′dər-prīs′)
tr.v. un·der·priced, un·der·pric·ing, un·der·pric·es
1. To price lower than the real, normal, or appropriate value.
2. To sell at a lower price than (a competitor); undercut: one store that underpriced others of its kind.
American Heritage® Dictionary of the English Language, Fifth Edition. Copyright © 2016 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

underpricing

(ˌʌndəˈpraɪsɪŋ)
n
(Commerce) the state of being priced at too low a level or amount
Collins English Dictionary – Complete and Unabridged, 12th Edition 2014 © HarperCollins Publishers 1991, 1994, 1998, 2000, 2003, 2006, 2007, 2009, 2011, 2014
Translations

underpricing

[ˈʌndəˈpraɪsɪŋ] Nasignación f de precios demasiado bajos
Collins Spanish Dictionary - Complete and Unabridged 8th Edition 2005 © William Collins Sons & Co. Ltd. 1971, 1988 © HarperCollins Publishers 1992, 1993, 1996, 1997, 2000, 2003, 2005
References in periodicals archive ?
In this article we seek to answer several important questions: How does the involvement of anchor investors affect underpricing? How do anchor investors decide in which issues to request allocations?
We exploit the legal reform to investigate whether the introduction of anchor investors lowers underpricing and valuation uncertainty and generates higher risk-adjusted returns in the long run.
The paper aims to analyze two main anomalies related to IPOs: underpricing and long run underperformance.
While underpricing an IPO may have strategic benefits of creating demand, it has its own limitations.
Indeed, an adverse effect of detariffication is the underpricing of insurance premiums, which could affect the companies' capital standing.
Underpricing and long-term market performance of initial public offerings in Indonesia: A quantile regression approach.
Among these anomalies, most important are IPO underpricing and IPO underperformance.
Summary: Analysts say investors underpricing different outcomes of UK elections
Ritter (1984, 1991) asserts that there are three anomalies inherent in the IPO setting, namely short term underpricing, cycle in volume, and long-term underperformance.
The purpose of this research is to investigate the influence of board structure and diversity on underpricing in the initial public offering (IPO) process.
However, underpricing is costly because it transfers wealth from preexisting shareholders (including the venture capitalists) to new shareholders.
The topic of underpricing of initial public offerings (IPOs) in developed and emerging markets has been of interest to academics, researchers, and practitioners for decades.