Betting on Rookies - A Study on the Performance of Swedish IPOs
(2018) NEKH03 20181Department of Economics
- Abstract (Swedish)
- An initial public offering, IPO, is the first offering of a company´s shares to the public. Multiple studies have shown that there are certain anomalies tied to IPOs as they often generate high returns on their first day of trading and underperform in the long-run. This paper investigates the occurrence of these anomalies on the Nasdaq Stockholm exchange during 2010-2016. The results indicate that the IPOs yield abnormally high returns on their first trading day and possibly underperforms compared to index in the long-run. Findings also suggests that they could be an inefficient investment as they might not compensate enough for their level of risk.
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/8947636
- author
- Berg, Oliver LU
- supervisor
- organization
- course
- NEKH03 20181
- year
- 2018
- type
- M2 - Bachelor Degree
- subject
- keywords
- Initial Public Offering, Abnormal Return Models, Portfolio Evaluation, Anomalies, CAPM
- language
- English
- id
- 8947636
- date added to LUP
- 2018-07-05 11:22:53
- date last changed
- 2018-07-05 11:22:53
@misc{8947636, abstract = {{An initial public offering, IPO, is the first offering of a company´s shares to the public. Multiple studies have shown that there are certain anomalies tied to IPOs as they often generate high returns on their first day of trading and underperform in the long-run. This paper investigates the occurrence of these anomalies on the Nasdaq Stockholm exchange during 2010-2016. The results indicate that the IPOs yield abnormally high returns on their first trading day and possibly underperforms compared to index in the long-run. Findings also suggests that they could be an inefficient investment as they might not compensate enough for their level of risk.}}, author = {{Berg, Oliver}}, language = {{eng}}, note = {{Student Paper}}, title = {{Betting on Rookies - A Study on the Performance of Swedish IPOs}}, year = {{2018}}, }