Part A) Which is NOT an IPO puzzle? Huge price spikes in the first couple trading...

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Finance

Part A) Which is NOT an IPO puzzle?
Huge price spikes in the first couple trading days
Underperformance in the long run
Extreme IPO market cycles
Hiring underwriters to do the job
Part B) Which is NOT an SEOpuzzle?
Negative market reaction on average upon SEO announcements
Long-run underperformance
Very costly to hire underwriters
Extreme SEO market cycles

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3.9 Ratings (775 Votes)

Part A The answer is b The firms surviving the longrun post their IPOs have higher return than normal market returns For example a research paper published by Jay R Ritter from University of Florida the higer returns of IPOs in the longrun visavis the market returns The See Answer

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Part A) Which is NOT an IPO puzzle?Huge price spikes in the first couple trading daysUnderperformance in the long runExtreme IPO market cyclesHiring underwriters to do the jobPart B) Which is NOT an SEOpuzzle?Negative market reaction on average upon SEO announcementsLong-run underperformanceVery costly to hire underwritersExtreme SEO market cycles