Short- and long-term performance of Chinese initial public offerings

The debate around initial public offering underpricing phenomenon of Chinese stock markets has quieted down from its top years of beginning of 2000s. There are only a few research papers written about the time period after adoption of the book-building method and majority of existing literature tends to go back in time where the extent of the phenomenon was enormous. During that time, the Chinese IPO system was extremely undeveloped and the extreme initial returns were more easily explained via institutional and regulatory framework. Even though the institutional framework has gone through significant improvements Chinese stock markets have still suffered from significantly high initial returns even according to the latest researches. Due to constantly changing Chinese regulatory framework it is still relevant to study the phenomenon and its drivers because the extremity of the phenomenon allows easier investigation of different drivers of the phenomenon compared to more developed markets. These same drivers may also be later applied to global IPO literature. This study also tries to patch up the current gap in the IPO literature by investigating the current status of the both short- and long-term performance of IPOs.fi=Opinnäytetyö kokotekstinä PDF-muodossa.|en=Thesis fulltext in PDF format.|sv=Lärdomsprov tillgängligt som fulltext i PDF-format