Factors affecting the change of investment bank IPO market share

• Main Authors: Yu-Feng Sun, 孫御風
• Other Authors: Hsuan-Chi Chen
• Format: Others
• Language: zh-TW
• Published: 2001
• Online Access: http://ndltd.ncl.edu.tw/handle/86655157216826522759

碩士 === 輔仁大學 === 金融研究所 === 89 === Abstract This thesis studies factors affecting the change of investment bank IPO market share after the liberalization of securities firms since 1988. We can understand the characteristics of market structure by inspecting the condition of the IPO market. We find the IPO market in Taiwan has high barrier to entry and high market concentration. The average CR4 in each year is about 50% and HHI is around 1000-2000. Furthermore, the financial institutions completely led the IPO market before the market was deregulated. However, they can not compete with securities firms after the deregulation and the market share is declining. The reasons could be：(1)the participation of new competitors (2)traditional attitude of bankers (3)the lost of employees (4)the lack of dealer’s license. For reputable book managers, the abnormal initial return and abnormal 1-year return have significantly positive effect on the change of market share and industry specialization has significantly negative effect on the change of market share.