墨尔本大学作业assignment代写范文部分节选

  在发达国家和发展中国家中IPO溢价是一种常见的现象，中国股票市场有自己的特色,使ipo市场有一些特定的规律。在1990年代通过时间上的规律来看，中国有世界上最高水平的ipo的初始回报率，本文在中国市场为主探讨中国IPO分配的进化机制,发现监管改革影响IPO溢价水平的因素。我们发现中国IPO溢价主要是由于政府干预与IPO定价法规和IPO股票供应的控制。所有公司需要为新项目,扩大业务,促进经济增长筹集资金，IPO正是快速筹集资金的一个好方式，在发达国家和新兴经济体中，IPO抑价或首次回归,是大多数股票市场的普遍现象。到2010年底,上市首日回报率是40.4%,即使它远低于1990年代,这一比例仍高于其他国家,尤其是发达国家成熟的资本市场。   Abstract：摘要   IPO underpricing is a common phenomenon both in developed and developing countries. China stock markets have their own characteristics, which make IPOs in the market have some particular disciplinary. China has the highest level of initial returns of IPOs in the world in the 1990s though it moved down through time. This paper investigates the evolution of China's IPO allocation mechanisms and finds the regulatory changes affect the underpricing level in China’s IPO market primarily. We find that Chinese IPO underpricing is principally caused by government intervention with IPO pricing regulations and the control of IPO share supplies.   1 Introduction引言   All firms need to raise money to finance new project, expand operations and promote the economic growth. IPO is the best way to raise capital quickly. IPO underpricing, or high IPO initial return, is a phenomenon common to most stock markets, both in developed and emerging economies. But the IPO underprice in China is really unique. By the end of 2010, the first-day return is 40.4% , even though it is much lower than 1990s, the ratio is still higher than other countries, especially for developed countries which have a mature capital market. Why the difference happens in Chinese primary market?   Many empirical studies have focus on the extremely high initial returns in China. China has experienced rapid economic change in recent 30 years and the stock market has become the second largest market in Asia. After a major economic reform, the initial rate of return has decreased significantly after 1992. In this paper, the objectives are to summarize the reasons why China IPO are underpricing，especially for the reasons that regulatory changes affect the underpricing， and point out some suggestion for the regulator, individual investors and institutional investors.   The rest of the paper is organized as follows: Section 2 introduces the China’s stock markets and IPO; Section 3 talks about some theory explanation of IPO underpricing; section 4 shows some regulatory changes in China stock IPO; Section 5 explain some data and methodology; section 6 analysis of how regulatory changes affect IPO underpricing and concludes some other factors; section 7 make a conclusion of the whole paper.   2 Introduction of China’s stock market中国股票市场介绍   2.1 Introduction to China’s stock market   China’s stock markets opened at the beginning of the 1990s and then became the second largest in Asia with a rapid economies increase. There are two stock exchanges in China including the Shanghai Securities Exchange (SSE) and the Shenzhen Stock Exchange (SZSE), founded in December 1990 and April 1991, respectively. After some economics reforming, the China economy is transforming from a centrally planned system to a market-oriental system. However, the Chinese government still keeping some socialist characteristics that make the China stock market and IPO process special. For example, firstly, the government as an important role in the stock market which intervenes the market frequently, then, unlike the most of western and developed countries use the book-building method, the China stock market use the fixed-P/E ratio to determine the issue price in the early years and specially, some international investors cannot invest in China A -share market.   There are six types of shares in China: (1) government shares (2) state legal person shares, which are held by other state owned enterprise (SOEs), (3) legal person shares, which are held by non-state owned institutions, holding companies or enterprises; (4) employee shares, which are held by managers and employees; (5) ordinary domestic individual shares (or A shares), which can be purchased only by Chinese citizens of the PRC on the Shanghai Securities or the Shenzhen Stock Exchange; and (6) foreign shares, which can be purchased only by foreign investors in Mainland China (B share), in Hong Kong (H share), or on the NYSE (N share). Only A shares and B shares are listed on the Shanghai Securities and Shenzhen Stock Exchanges. The first four types of shares are called non-tradable shares and used to prohibit floating in the official exchanges, although employee shares are allowed listing 3 years after the IPO.   2.2 Institutional features of China’s Stock Market and IPO Underpricing   The main characteristic in China is the government as an important role in attempting and monitoring the stock markets. The government intervention is including the control of IPO offering timing, offering price and the method and pricing. These interventional strategies are produced to control the flux on the securities market for avoiding crises and keep the market stable. Secondly, before 2001, the China Securities Regulatory Commission (CSRC) determines the number of shares to be issued every year. But in 2001, the CSRC shifted from the quota system to a new system, which give the right to investment banks to recommend firms for offering. Unlike the US, IPO is a decision made by corporate, in China these are made on the political considerations. Thirdly, the offering mechanism adopted in mature stock markets is really different from most Chinese firms. Almost developed countries use the book-building method while in the early 1990s China stock market chooses the fixed P/E ratio method. So that the offer price must be within the regulator’s pricing range. Last but not the least, the stock market shows immaturity is another characteristic, which shows in the accounting report, market regulatory system and auditing standards.   3 Theory explanations on IPO Underpricing

3.1 Theories Focusing on Asymmetric information
3.2 Theories Focusing on shares Allocation

4. Regulatory changes affect IPO underpricing in China

4.1 The evolution of China's IPO allocation mechanisms
4.1.1 Fixed price IPO allocation
4.1.2 Book-building IPO allocation
4.2 Regulations of the Chinese primary market

5. Data description and methodology
5.1 Data description
5.2 Methodology
5.2.1 Underpricing Measurement

6 Analysis

Reference   Beatty, R.P., 1989, Auditor Reputation and the Pricing of Initial Public Offerings. The Accounting Review 64, 693-709.   Beatty, R.P., Ritter, J.R., 1986, Investment Banking, Reputation, and Under-pricing of Initial Public Offerings. Journal of Financial Economics 15, 213-232.   Chan, K., Wang, J.B., Wei, K.C., 2004, Underpricing and Long-term Performance of IPOs in China. Journal of Corporate Finance 10, 409-430.   Guo, H.F., & Brooks, R. (2007) Underpricing of Chinese A-share IPOs and short-run   underperformance under the approval system from 2001-2005, International Review of   Financial Anallysis 17 984-997   Carol Padgett, Jing Chi, Short-Run Underpricing and Its Characteristics in Chinese IPO Markets, Research in International Business and Finance, March, 2005,pages 71-93   Lihui Tian, Regulatory underpricing: Determinants of Chinese extreme IPO returns, Journal of Empirical Finance, 2011, pages 78-90   Shiguang Ma, Robert Faff, Market conditions and the optimal IPO allocation mechanism in China,   Pacific-Basin Finance Journal, 2007,121–139   Gongmeng Chen, Michael Firth, Jeong-Bon Kim, IPO underpricing in China’s new stock market, Journal of Multinational Financial Management, July 2004, Pages 283-302   Nobuyuki Teshima, Katsushi Suzuki, Government Control and the Higher Costs of Going Public: Evidence from China’s New Stock Market, Journal of Corporate Governance & Control, March 2008,pages 9-16   Chen Su, Kenbata Bangassa，The impact of underwriter reputation on initialreturns and long-run performance of Chinese IPOs，Journal of International Financial Markets, Institutions & Money，December 2011, Pages 760–791   Yan-leung CHEUNG，Zhiwei OUYANG, Weiqiang TAN ，How regulatory changes affect IPO underpricing in China，   China Economic Review，2009，692–702   Jay R. Ritter, University of Florida, Average First-day Returns and Volume, by Year, for Hong Kong, Germany, Italy, Japan, Korea, the UK, the US, China, Singapore, France, Australia, and Canada. 5,2011   CSRC, China Capital Markets Development Report, 2008,6