投资学 Security Markets-hh.pptVIP

McGraw-Hill/Irwin Copyright ? 2005 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 3 Securities Markets Security Market a mechanism for bringing together buyers and sellers of financial assets in order to facilitate trading. One of their main function is price discovery, that is , to cause prices to reflect currently available information. Capital allocation ? quicker this is done, the more efficiently financial market will see that capital is allocated to its most productive opportunities. * 3.1 Some Basic Concepts Two markets primary market: new issues of stocks, bonds, or other securities secondary market : purchase and sale of already issued securities Two types of primary market issues IPOs(Initial public offerings): securities issued for the first time Seasoned new issues: offered by firms that already have floated equity * 3.1 Some Basic Concepts Two ways to primary market issues public offering : sold to the general investing public private placement : sold to a few wealthy or institutional investors at most-far cheaper- without preparing the extensive and costly registration statements-do not trade in secondary markets-lower liquidity and offering price * 3.1 Investment Bankers and Underwriting Procedure of issuing underwriters: investment bankers, More than one banker usually markets the securities * 3.1 Investment Bankers and Underwriting Procedure of issuing(continued) preliminary prospectus: 招股说明书 describing the issue and the prospects of the company- filed with SEC-finalized and approved by the SEC-Prospectus-securities offered to the public * 3.1 Investment Bankers and Underwriting Procedure of issuing(continued) Two underwriting ways: firm commitment(包销): underwriters purchase the securities-resell to the public-a spread between the purchase price and the public offering price-compensation to the underwriters-assume the full risk that the shares cannot in fact be sold at the offering price * 3.1 Investmen