Record Details

Performance of Initial Public Offerings: Critique and Update

Philippine Review of Economics

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Field Value
 
Title Performance of Initial Public Offerings: Critique and Update
 
Creator Unite, Angelo A.
Sullivan, Michael J.
 
Subject —
 
Description This paper investigates the short- and long-run performance of Philippine Initial Public Offerings (IPOs) from 1987 to 1997. We compare our results to those papers published in Philippine journals and discuss the shortcomings of these previous studies. Based in our results, we find that past researcher may have inadequately studied market price reactions to IPOs, and that IPOs earn, in average, returns 22.69 percent on the initial trading day. Over a three-year aftermarket period, returns total 48.33 percent or 5.44 percent less than a matched set of publiclytraded firms. This suggests that although investors in Philippine IPOs make significant returns in the initial trading day, if they hold stock of IPOs for a long period, they earned slightly lower average returns than if they had held other comparable stocks. We think that our estimates are derived in a manner consistent with international financial markets studies and that these results may be more accurate depiction of actual performance of Philippine IPOs.
 
Publisher Philippine Review of Economics
 
Contributor —
 
Date 2010-09-20
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://www.econ.upd.edu.ph/pre/index.php/pre/article/view/86
 
Source Philippine Review of Economics; Vol 35, No 2 (1998)
1655-1516
 
Language eng
 
Relation http://www.econ.upd.edu.ph/pre/index.php/pre/article/view/86/496
 
Rights Copyright (c) 2018 Philippine Review of Economics