IPO Waves in China and Hong Kong

Ufuk Gucbilmez

doi:10.1016/j.irfa.2015.05.010

IPO Waves in China and Hong Kong

Ufuk Gucbilmez

Research output: Contribution to journal › Article › peer-review

Abstract

We analyze the anatomy of IPO waves in China and Hong Kong and draw comparisons with the US IPO cycles. The lead-lag relationship between IPO initial returns and IPO volume observed in the US is absent in these two Asian markets. Similar to the US, IPO volume in Hong Kong is sensitive to changes in market conditions and exhibits seasonal variations. In sharp contrast, however, Chinese IPO activity is much less responsive to past market returns and volatility. Surprisingly, hot markets still emerge in China, not because of market forces as in the US and Hong Kong, but due to regulatory choices.

Original language	English
Pages (from-to)	14-26
Journal	International Review of Financial Analysis
Volume	40
Early online date	21 May 2015
DOIs	https://doi.org/10.1016/j.irfa.2015.05.010
Publication status	Published - Jul 2015

Keywords

IPO cyles
initial returns
China
Hong Kong

Access to Document

10.1016/j.irfa.2015.05.010

Gucbilmez (2015) postprint
© Gucbilmez, U. (2015). IPO Waves in China and Hong Kong. International Review of Financial Analysis. 10.1016/j.irfa.2015.05.010
Accepted author manuscript, 423 KB

1 Participation in conference

22nd Annual Conference of the Multinational Finance Society
Ufuk Gucbilmez (Speaker)
28 Jun 2015 → 1 Jul 2015
Activity: Participating in or organising an event types › Participation in conference

Cite this

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title = "IPO Waves in China and Hong Kong",

abstract = "We analyze the anatomy of IPO waves in China and Hong Kong and draw comparisons with the US IPO cycles. The lead-lag relationship between IPO initial returns and IPO volume observed in the US is absent in these two Asian markets. Similar to the US, IPO volume in Hong Kong is sensitive to changes in market conditions and exhibits seasonal variations. In sharp contrast, however, Chinese IPO activity is much less responsive to past market returns and volatility. Surprisingly, hot markets still emerge in China, not because of market forces as in the US and Hong Kong, but due to regulatory choices.",

keywords = "IPO cyles, initial returns, China, Hong Kong",

author = "Ufuk Gucbilmez",

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AB - We analyze the anatomy of IPO waves in China and Hong Kong and draw comparisons with the US IPO cycles. The lead-lag relationship between IPO initial returns and IPO volume observed in the US is absent in these two Asian markets. Similar to the US, IPO volume in Hong Kong is sensitive to changes in market conditions and exhibits seasonal variations. In sharp contrast, however, Chinese IPO activity is much less responsive to past market returns and volatility. Surprisingly, hot markets still emerge in China, not because of market forces as in the US and Hong Kong, but due to regulatory choices.

KW - IPO cyles

KW - initial returns

KW - China

KW - Hong Kong

U2 - 10.1016/j.irfa.2015.05.010

DO - 10.1016/j.irfa.2015.05.010

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SP - 14

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JO - International Review of Financial Analysis

JF - International Review of Financial Analysis

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ER -

IPO Waves in China and Hong Kong

Abstract

Keywords

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22nd Annual Conference of the Multinational Finance Society

Cite this