Accounting and Finance Seminars: Dr Jonathan Jona
Dr Jonathan Jona (University of Melbourne)
2E2, Priory Road Complex
Title: Liquidity dynamics of newly listed stocks: evidence from foreign IPOs in the US
Using a unique dataset of foreign IPOs in the US covering the past two decades, we investigate the liquidity dynamics of newly listed stocks and their determinants. Providing supportive evidence for the disadvantage of foreign firms in accessing inter-national capital markets, we find that foreign stocks are systematically less liquid than comparable domestic ones. Evidence on liquidity differentials shows that this is due to higher information asymmetries. Differently from the evidence on cross-listed mature firms, we do not find support for home institutions effect within the foreign sample.