Long-Term performance of Swedish IPOs - 1990-2002
Long-term performanceIPOAftermarketManagement of enterprisesFöretagsledningManagementBusiness and Economics
We have performed a study much similar to Ritter?s (1991) about long-term aftermarket performance of IPOs on the Swedish market during the years 1990 to 2002. The study resulted in evidence for that Swedish IPO do underperforms their benchmark-portfolios during a 36-months period. Though, the grade of underperformance depends of the chosen benchmark. The study is mainly focused on a particular benchmark, a portfolio of non-issuing firms matched by size and sector. Compared to this benchmark the sample of IPOs underperforms with on average 21,35 %.