An examination of the underpricing of initial public offerings in Hong Kong

Abstract

Although the Hong Kong stock market is small by international standards, it has attracted a lot of attention from both local and international Hong Kong remains one of the world's important financial centers investors. At the end of 1889, its market and its stock market has grown rapidly. approximately US$78 billion, the number of listed capitalization Has securities including warrants was well over 400, and the trading volume in 1989 was about US$38 billion. Over the years, many companies in Hong Kong have gone public to raise funds for their investment and growth needs. From time to time, these initial public offerings (IPOs) have aroused much excitement in the local market.