IPOs and first day returns [financial management]
This paper discusses some important information for people who are interested in investing in high-tech companies. It explains a little about initial public offerings (IPO) and how these may provide useful investment opportunities. Investors are warned that while the underpricing phenomenon may appear very attractive, they need to be realistic and recognize that they are unlikely to get into every IPO with the same amount of money and then be fortuitous enough to sell at the closing price on the first day.