Hello everyone
I am writing my dissertation now and i need to find out some stocks' offer date, which is also know as the period of pre-selling. Does anyone who know about this? I didn't find anything in the prospectus or datastream.
Please help me out, i really need this for my dissertation and it is essential !
I appreciate for your help.
PS:
now i am confused with the definition of that.
If anyone knows about the stock market, please read the following:
I use the mythology used by Aggarwal et al. (1003) and Khurshed and Mudambi (2002). It's about the initial return of the stock.
firstly, they calculate the The return of the stock i in period t is calculated as:
R_it=P_it/P_i0 -1,where R_it=P_it/P_i0 -1.
Then The corresponding market return for stock i in period t is calculated as
R_mt=P_mt/P_m0 -1, Where Pmt is the market value at the end of period t and Pm0 is the market value on the offer day of the stock i.
Finally, they calculate the market adjusted abnormal return (MAAR) for the stock i in the period t :
〖MAAR〗_it=[((1+R_it ))/((1+R_mt ) )-1]*100
So my question is, in the first equation, we use the offer price when the investor buy the share before the share trading publicly. and the 3rd equation we use to get the market adjusted abnormal return, therefore, we should use the corresponding date for the 2nd equation. Does this make sense? So the corresponding date for the 2nd equation should be the date we used in the 1st equation, which is the time when investors buy the shares. So the "offer date" should not be the date of the first trading day of the shares. Am I right?
PostgraduateForum Is a trading name of FindAUniversity Ltd
FindAUniversity Ltd, 77 Sidney St, Sheffield, S1 4RG, UK. Tel +44 (0) 114 268 4940 Fax: +44 (0) 114 268 5766
An active and supportive community.
Support and advice from your peers.
Your postgraduate questions answered.
Use your experience to help others.
Enter your email address below to get started with your forum account
Enter your username below to login to your account
An email has been sent to your email account along with instructions on how to reset your password. If you do not recieve your email, or have any futher problems accessing your account, then please contact our customer support.
or continue as guest
To ensure all features on our website work properly, your computer, tablet or mobile needs to accept cookies. Our cookies don’t store your personal information, but provide us with anonymous information about use of the website and help us recognise you so we can offer you services more relevant to you. For more information please read our privacy policy
Agree Agree