Irrational Investor Behavior Fuels IPO Underpricing in China's Stock Market
The article looks at how the behavior of investors affects the pricing of new stocks in China's stock market. By studying different factors like investor sentiment and market type, the researchers found that investor emotions play a big role in how new stocks are priced. They also discovered that the size of the market where the stock is listed can impact its pricing. Overall, the study suggests ways to address the issue of underpricing in order to improve the health of China's stock market.