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The determinants of market-wide issue cycles for initial public offerings

Listed author(s):
  • Ivanov, Vladimir
  • Lewis, Craig M.
Registered author(s):

    This paper identifies the determinants of market-wide issue cycles for initial public offerings (IPOs) using an autoregressive conditional count model. We consider whether IPO volume is related to business conditions, investor sentiment, and time variation in adverse selection costs caused by asymmetric information between managers and investors. We provide evidence indicating that time variation in business conditions and investor sentiment are important determinants of monthly issue activity. By contrast, time variation in adverse selection costs does not significantly affect IPO volume.

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    File URL: http://www.sciencedirect.com/science/article/pii/S0929-1199(08)00089-8
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    Article provided by Elsevier in its journal Journal of Corporate Finance.

    Volume (Year): 14 (2008)
    Issue (Month): 5 (December)
    Pages: 567-583

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    Handle: RePEc:eee:corfin:v:14:y:2008:i:5:p:567-583
    Contact details of provider: Web page: http://www.elsevier.com/locate/jcorpfin

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