Explaining Mispricing of Initial Public Offerings

The Impact of Audit Quality on Earnings Management: An Experimental Study with Evidence from IPO

According to a method of earnings management activities that administrators can manage reported earnings from the definition of real activity. In particular they can be located across time and activities in a way that accounting period to achieve a certain revenue target. Conservative attitudes of auditors in presenting their views about the independence of the auditor can considered as a remar...

Effects of IPO mispricing on the risk and reputational capital of commercial banks

We provide direct evidence regarding the risk and reputational capital implications of commercial bank securities underwriting activities. Using a large sample of commercial bank underwritten initial public offerings (IPOs) and comparisons with investment bank underwritten issues, we find that (1) commercial banks are no more likely to misprice IPOs than are traditional investment banks, and (2...

Explaining Accrual Anomaly Using Multi-factor Pricing Model in Tehran Stock Exchange

Objective: The main objective of this research is to explain the accrual anomaly using accruals factor (CMA) and accrual-based factor-mimicking portfolios as well as checking whether accrual anomaly is risk-based or mispricing. According to rational frictionless asset pricing model, the ability of accruals to predict returns should come from the loadings on this accrual factor loading that pred...

Acquiring financial resources from foreign equity capital markets: An examination of factors inf luencing foreign initial public offerings

An increasing number of firms are making initial public offerings in foreign markets to circumvent constraints in the availability of capital and to provide an exit for their investors. However, previous research on foreign initial public offerings and their determinants is very limited. In this paper, we contribute to this literature by demonstrating that international experience of the manage...

Initial public offerings , subsequent seasoned equity offerings , and long - run performance : Evidence from IPOs in Germany