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Using a dataset on syndicated loan primary market pricing adjustments, we examine whether relationship banks' information advantage facilitates price discovery in loan issuances. We find that the lead bank makes fewer adjustments to the initial pricing terms of a syndicated loan and shortens the syndication time when it has a stronger relationship with the borrower. A stronger relationship also reduces loan underpricing. A relationship lead bank relies less on information from syndicate members. Exogenous shocks to relationships caused by bank mergers and closures confirm our findings. We contribute to the literature by showing that relationship lending improves loan pricing efficiency. This paper was accepted by Victoria Ivashina, finance. Supplemental Material: The online appendix and data are available at https://doi.org/10.1287/mnsc.2023.4730. [ABSTRACT FROM AUTHOR]

In view of the phenomenon of price difference in the primary and secondary markets of the streetwear co-branded products, the price premium mechanism of the co-branded products in the primary and secondary markets is analyzed respectively through theoretical framework and data empirical evidence. It collected 356 co-branded products and transaction information of 8 main brands and 102 partner brands for empirical analysis. The results of correlation analysis and regression analysis show that there are differences in the price premium mechanism between the primary market and the secondary market. The primary market price is set by the brand considering the product cost, consumer demand and market competition, and the price premium is influenced by the partner brand luxury, the main brand awareness, the difference in brand type and the price of non-co-branded similar products. The secondary market price is a reflection of consumers' perception of the product value, and the price premium is influenced by the main brand awareness and the price of non-cobranded similar products, while the effects of partner brand luxury and brand type differences are not significant. This means that the "big money" co-branded strategy does not significantly improve the value of streetwear products, although it can improve product pricing. [ABSTRACT FROM AUTHOR]

Aim and Introduction The development of financial markets is critical for economic growth. One of the most important financial markets is the capital and stock market, where the prosperity of the stock market and financing through the stock market can develop any country's economy. Capital market development requires the efficient performance of financial intermediaries, including mutual funds. Iran’s economy has always faced the problem of insufficient liquidity and financing for production sectors. As a financial tool, mutual funds can moderate this problem with their existing potential. Therefore, the study aims to investigate the probable effect of mutual funds on economic growth. Methodology In the previous studies that have been done in this field, the descriptive-analytical aspect of the subject has been discussed. But these studies didn't provide an appropriate framework for analyzing the effect of mutual funds on economic growth. For this purpose, in the present study, based on the theoretical literature, a general equilibrium model has been designed, and the output of this model is obtained according to the optimization of different sectors of the economy. Assume a closed economy where mutual funds are investors with information and allocate capital to high-productivity firms. The economy has a single period with two production components, a representative mutual fund, and a representative household. We assume a high-productivity firm (H) and a low-productivity firm (L) with an equal number of producers. Both firms can obtain funds by issuing new stocks in the primary market. There is one representative mutual fund in the economy that can invest on behalf of the representative household. Therefore, the fund can invest as much as the fund flows (F) received from the household at the beginning of the period. We assume the mutual fund has sufficient access to information and production technology and can detect high-productivity firms. The household seeks to maximize utility, and the proposed utility function consists of only consumption. As utility and consumption are positively related, utility maximization is equivalent to consumption maximization. However, since the present study adopted a single-period economy, consumption equals income. Thus, maximum utility is represented by maximum income. Initial capital (W) can be directly invested in the primary market or indirectly invested in the secondary market by the mutual fund. This framework is a new aspect and the main contribution of research in this field. The output of the model is estimated using the GMM method for the period 2010:2 to 2020:4. Findings According to Table 5, most coefficients are statistically significant. The first lag of GDP was expectedly found to have a positive, significant impact on the GDP level and, thus, economic growth. Mutual fund investment was observed to have a positive, significant impact on GDP; a 1% rise in fund investment, on average, leads to a 0.473% increase in GDP. This finding is consistent with our theoretical framework. We expect mutual funds’ investments in the primary market, positively impact GDP since mutual funds have an information advantage over individual investors. Thus, they can optimally allocate resources to high-productivity firms (i.e., mutual funds have a higher ability than individual investors to identify high-productivity firms in light of their information advantage). The household wealth coefficient was estimated to be 0.255, suggesting that a 1% increase in the household’s wealth raises GDP by 0.255% on average. This finding is consistent with economic theories. The interaction of wealth and fund investment was estimated to have a coefficient of 0.257, implying a significant relationship. This coefficient was expectedly found to be positive, consistent with modeling. The interaction of fund flows and fund investment significantly affects GDP with a coefficient of -0.174. This coefficient was expectedly found to be negative, consistent with modeling. Fund flows were estimated to have no significant impact on GDP. Although it was found to have the expected sign, it has an insignificant impact on GDP and thus cannot be interpreted. The coefficient of the secondary market return was found to be significant only at a confidence level of 90%. Discussion and Conclusion Overall, mutual funds have a positive impact on GDP. These funds may improve the performance of Iran’s financial markets if they acquire an appropriate position in the financial market. A large number of individual traders have begun to trade on Iran’s stock market without financial knowledge and suffered massive losses in 2020-2021. If the mutual fund sector is active in Iran, in addition to the optimal allocation of resources, it can also help people for investment in the stock market and prevent crises such as 2020-2021. Eventually, the policy recommendation is that policymakers pay more attention to the development of mutual funds in short- and long-term policies. Keywords: Mutual fund, Capital market, Economic growth, Primary market, GMM JEL Classification: G11, G23, G51

The article examines the factors influencing the functioning of the residential real estate sector, the real estate market situation, the competitive situation, and the investment attractiveness of the sector. It is emphasized that the role of residential real estate performs several functions in society, in particular, it satisfies the need for housing, is an object of economic activity, and acts as a mechanism in the implementation of the social policy of the State. The main stages of the formation of the strategy for the development of the residential real estate segment are allocated, it is worth taking into account the behavior patterns and requests of potential customers, in particular: the segmentation of the primary residential real estate market; identification of factors affecting consumer behavior; modeling the process of making a purchase decision: awareness of needs; assessment of financial opportunities; collection and analysis of information; assessment and selection of real estate options; the decision to purchase property; conclusion of an agreement. It is determined that it is expedient to introduce civilized relations between real estate market participants, which is possible by promoting the implementation of legislative initiatives aimed at introducing a housing construction financing model using escrow accounts and ensuring the guarantee of investors' rights regarding real estate objects, which are under construction. The own structure of the residential real estate market and participants in the market process are proposed, according to which the activity of regional markets, which are divided into primary and secondary markets, are indicators of the activity of national residential real estate markets. The subjects of the primary market are investors, creditors, designers, builders, developers, project organizations, construction companies or organizations; concerning the secondary market - realtors, brokers, appraisers, sellers, tenants. In addition, groups of market participants are allocated, in particular group 1 – professional participants working on a commercial basis; group 2 – analysts on the residential real estate market; group 3 – insurance companies, notary offices, law firms, mortgage banks, land resources fund, property rights registration bodies, real estate assessment agencies, technical inventory bodies, judicial bodies.

This paper proposes an approach to determine efficient release prices on the Bordeaux en primeur (primary) market. The model exploits information from the secondary market to estimate efficient release prices. We apply the model to a representative sample of wines from the 2021 vintage. The results show that most chateaux released their wines at prices that were too high. The median overpricing is 5.2% but exceeds 30% for some wines. This situation may be partially attributed to excessively uniform pricing caused by the tendency of chateaux with similar status to release their wines at similar price levels. [ABSTRACT FROM AUTHOR]

In this paper we use intraday government bond futures price changes around German and Italian Treasury auctions to identify unexpected shifts in the demand for public debt. Estimates show that positive demand shocks lead to large negative movements in Treasury yields. Evidence shows significant spillover effects into Treasury bond, equity, and corporate bond markets of other eurozone countries. We find interesting differences in the effects of demand shocks between the two countries, consistent with the "safe‐haven" status of German bonds versus the "high‐debt" status of Italian Treasuries. Results suggest that these effects are stronger during periods of high financial stress. [ABSTRACT FROM AUTHOR]

Robi Axiata Limited (Robi)—a multinational cellphone operator—got the nod for the ever-biggest initial public offering (IPO) from Bangladesh's regulatory body on 14 October 2020. The IPO process ended on 24 December 2020 through its debut on the country's two stock exchanges. Based on both primary and secondary data, this study intends to depict the 23 years strategic journey of Robi till its IPO. Robi's IPO was oversubscribed by 5.75 times compared to its counterpart telecom giant Grameenphone by 3.5 times. Beyond the most common motive of settling the loan, network expansion was the only motive for Robi's IPO. The IPO enabled the company to reduce its corporate tax and create a positive brand image among stakeholders. Before the IPO, rebranding from AKTEL into Robi and its merger with Airtel were two major turning points. The merger contributed significantly to the company's market share and overall performance, which ultimately led the company to raise the largest-ever amount from the capital market through IPO.

With the characteristics of anonymity, trust, tamper-proof, etc., blockchain technology can effectively solve some problems faced by the financial market, such as trust issues and information asymmetry issues. To deeply understand the application scenarios of blockchain in the financial market, the issue of securities issuance and trading in the primary market is studied. The authors conducted an empirical study to investigate the main difficulties faced by primary market participants in their business practices and the potential challenges of the deepening adoption of blockchain technology in the primary market. The authors adopted a hybrid method by combing interviews (qualitative methods) and surveys (quantitative methods) to conduct this research in two stages. In the first stage, authors interview 15 major primary market participants with different backgrounds and expertise. In the second phase, authors conducted a verification survey of 54 primary market practitioners to confirm various insights from the interviews, including challenges and desired improvements. The interviews and survey results reveal several significant challenges facing blockchain applications in the primary market: complex due diligence, mismatching, and difficult monitoring. The research shows that primary market participants have a positive attitude towards the application of blockchain technology to the primary market and are ready to adopt blockchain technology to solve some of the current issues.

This paper documents the existence of de facto seniority in the primary market for corporate bonds. Analysis of Korean data from 2018 to 2021 shows that investors require larger yield spreads for debt with later maturities in an issuance cohort. This relation is robust to controlling for macroeconomic conditions, important issue characteristics, the stated use of proceeds, and alternate fixed effects. • This paper studies the primary market for corporate bonds in Korea from 2018 to 2021. • De facto seniority, or increased credit risk by order of maturity, is priced. • Results hold to various issue and macroeconomic controls, and alternate fixed effects. [ABSTRACT FROM AUTHOR]

Robi Axiata Limited (Robi)--a multinational cellphone operator--got the nod for the ever-biggest initial public offering (IPO) from Bangladesh's regulatory body on 14 October 2020. The IPO process ended on 24 December 2020 through its debut on the country's two stock exchanges. Based on both primary and secondary data, this study intends to depict the 23 years strategic journey of Robi till its IPO. Robi's IPO was oversubscribed by 5.75 times compared to its counterpart telecom giant Grameenphone by 3.5 times. Beyond the most common motive of settling the loan, network expansion was the only motive for Robi's IPO. The IPO enabled the company to reduce its corporate tax and create a positive brand image among stakeholders. Before the IPO, rebranding from AKTEL into Robi and its merger with Airtel were two major turning points. The merger contributed significantly to the company's market share and overall performance, which ultimately led the company to raise the largest-ever amount from the capital market through IPO. [ABSTRACT FROM AUTHOR]

We provide evidence that the European Central Bank (ECB's) unconventional monetary policy dampens yield cycles in secondary markets for Eurozone sovereign debt around new sovereign debt auctions. This dampening effect tends to be larger when market volatility is higher. Cycles caused by domestic auctions and the role of market volatility are largest for countries with low credit ratings. Auctions by these countries also generate significant auction cycles in other countries. Such cycles can have a nonnegligible effect on debt‐servicing costs, but these can be limited through central bank purchases in turbulent periods, debt issuance in tranquil periods, and coordination of national auction calendars. [ABSTRACT FROM AUTHOR]

This paper models optimal release prices of an experience good recurrently issued on markets. Using a sample of Bordeaux wines, we find that using a minimal number of intrinsic and extrinsic attributes is sufficient to explain a large proportion of release prices. We further observe a significant relationship between primary market prices and secondary market prices and general economic conditions. Release prices can deviate from secondary market prices in the short run but remain aligned over the long run. Finally, an out‐of‐sample analysis indicates that short‐run mispricing directly affects the purchase behavior of customers. [ABSTRACT FROM AUTHOR]

This study intended to explore the IPO motives and the factors that contributed to IPO oversubscription in Bangladesh. Based on hand-collected data from 101 sample IPO prospectus during 2010–19, the study found an average of 10 IPOs per year, mostly (90%) through the fixed-price method. Among the sample companies, 34.7% were in the textile sector, followed by 17.8% in the engineering sector and 12.9% in the pharmaceuticals & chemical sector. This study observed an average subscription times of 23.41, which was much lower than in some other South Asian countries. Regarding the use of IPO proceeds, loan settlement was the prime motive, followed by capital expenditure, and working capital financing. Companies expensed around 6% of the total IPO proceeds as flotation cost. Although the detailed disclosure of the use of IPO proceeds in the prospectus is a common and expected feature, it was found absent in around 12% of companies. The logistic regression model found a statistically significant influence of lot size (LOT), post-IPO capital (PIC), and flotation cost (FTC) on oversubscription times (OST). The contribution of FTC to OST was a novel finding of this study. The study also found the absence of large and reputed domestic and multinational conglomerates in the listing through IPOs. Thus, the current study recommends regulators should take proper drives to customize and familiarize the book-building method, which can entice good companies for listing in stock exchanges through IPO.

This article examines the causal relationship between capital market development and economic growth in Nepal using annual time series data from 1994-2019. Total market capitalization is used as a proxy of secondary market development and the total public issue of securities in a particular year is taken as an indicator of primary market development. Using the Johansen cointegration test and vector error correction method (VECM) in regression analysis, the study reveals that capital markets in Nepal are supporting economic growth through efficient fundraising, efficient allocation of resources, fair price determination and liquidity. The findings from this study conclude that there is a unidirectional causality running from capital market development to economic growth in both the long-run and short-run. However, this study found no support for causality running from economic growth to the capital market. Therefore, the findings from this study recommend policies that increase the reach of the capital market to small and medium enterprises (SMEs) and individual investors.

Copyright of Zarządzanie Innowacyjne w Gospodarce i Biznesie is the property of Akademii Humanistyczno-Ekonomicznej and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Journal for the Critique of Science, Imagination & New Anthropology / Časopis za Kritko Znanosti, Domišljijo in Novo Antropologijo is the property of Institute for the Critique of Science and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The article is aimed at researching tendencies and prospects of Ukrainian real estate market in different segments. The tendencies of development of construction market of Ukraine are positive: volumes of both construction and price are increasing every year. At the same time, the situation in Ukrainian real estate market is unstable. Due to the large number of new buildings in Kyiv, Lviv, Odessa and other major cities of Ukraine, the offer exceeds the demand. In 2018, a number of laws were enacted to bring the real estate market out of the shadow. Obviously, there will be a seasonal decline in the prices of rental property in winter. However, in the real estate purchase and sale market, prices in Hryvnya are likely to remain stable. The prices in foreign currency can decrease up to 5% at possible growth of rates of foreign currencies. In case of escalation of military threat, demand for economy-class apartments in new buildings of the Western and Central regions will increase, which may cause price growth. The «expensive segment» in the primary market will not change. In the secondary market the situation is similar – demand can grow in the case of internal migration. In the segment of commercial real estate a significant increase in demand is possible. At the moment the Verkhovna Rada of Ukraine is considering a number of bills that may cause a boom in the commercial real estate market. One can conclude that the real estate market of Ukraine at the present moment is attractive for investment.

This study intended to explore the IPO motives and the factors that contributed to IPO oversubscription in Bangladesh. Based on hand-collected data from 101 sample IPO prospectus during 2010-19, the study found an average of 10 IPOs per year, mostly (90%) through the fixed-price method. Among the sample companies, 34.7% were in the textile sector, followed by 17.8% in the engineering sector and 12.9% in the pharmaceuticals & chemical sector. This study observed an average subscription times of 23.41, which was much lower than in some other South Asian countries. Regarding the use of IPO proceeds, loan settlement was the prime motive, followed by capital expenditure, and working capital financing. Companies expensed around 6% of the total IPO proceeds as flotation cost. Although the detailed disclosure of the use of IPO proceeds in the prospectus is a common and expected feature, it was found absent in around 12% of companies. The logistic regression model found a statistically significant influence of lot size (LOT), post-IPO capital (PIC), and flotation cost (FTC) on oversubscription times (OST). The contribution of FTC to OST was a novel finding of this study. The study also found the absence of large and reputed domestic and multinational conglomerates in the listing through IPOs. Thus, the current study recommends regulators should take proper drives to customize and familiarize the book-building method, which can entice good companies for listing in stock exchanges through IPO. [ABSTRACT FROM AUTHOR]

Copyright of Business Consultant / Poslovni Konsultant is the property of FINconsult Ltd. and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Business Consultant / Poslovni Konsultant is the property of FINconsult Ltd. and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Green bonds are similar to conventional bonds but are specifically earmarked to raise money to finance climate or environmental projects. There have been anecdotes of green bonds being priced tighter than similar conventional bonds by the same issuers. Our survey of academic literature indicates that most papers show the yield of a green bond is lower than that of the equivalent conventional bond at issuance (also known as green premium or greenium). However, green bond pricing studies by Climate Bonds Initiative produce mixed results. The conflicting results are likely explained by differences in sample selections, time periods, methodologies, and the properties of the respective issuing entity and the bond. In addition, we examine investment returns from select green bond funds and green bond indexes. The assets under management of those funds are still small and they underperform their benchmark indexes. [ABSTRACT FROM AUTHOR]

This paper identifies the factors that affect the primary and secondary market spreads of fixed and variable rate bonds issued by sub-sovereign European governments. The two markets were analyzed separately to compare whether the factors for the primary market coincided with those for the secondary market. Data for the period between February 2008 and December 2013 were analyzed using panel data estimation. The two markets behaved almost identically, and the signs of the variables were as expected in nearly every case. The most important factor determining the spread of sub-sovereign bonds was the spread of the sovereign bond.

Buying a residential property has always been a priority in human life. Regardless of the reasons for acquiring a property, to make an optimal choice besides the well-known characteristics of the property, such as location, price, size, type of construction, etc. the buyer is faced with the choice of buying a home on the primary or secondary market. In this context, this article aims to reveal the specifics of choosing a residential property in these markets by outlining their advantages and disadvantages. Based on the discussed features is presented author's version of balance table which purpose is to formalize the judgement in the choice of the type of market. [ABSTRACT FROM AUTHOR]

The purpose of the paper is to discuss the differences in the mean transaction price of 1 m2 of residential premises in selected territorial units of Wrocław (Poland) between 2010 and 2017, divided according to data from sales agreements on the primary and secondary market and depending on the usable area of the flat. The methods used in the paper include a descriptive method, simple statistical methods (e.g. coefficient of variation) and components of financial analysis. The data were taken from the AMRON Centre database and from Statistics Poland. In 2010-2017 the high demand for flats in Wrocław placed producers on a stronger position than buyers. Analysis revealed that the prices of bigger flats showed greater volatility over time than prices of smaller ones. Moreover growing differences in the average transaction price of 1 m2 of residential premises between flats constructed using new and old technology were observed, especially in the case of the larger ones. [ABSTRACT FROM AUTHOR]

This paper presents the analysis of cointegration between offer prices and transactional prices on both primary and secondary local real estate markets. 17 Polish biggest cities are considered and the period between 2006 and 2013. Generally, it is found that primary and secondary markets are not cointegrated.

Public as well as Private Corporates raises funds via primary market by issuing their shares to the public through a process known as Initial Public Offerings. After listing the stock of the company trade on secondary market through stock exchanges. The present study critically examine the performance of 107 IPO's in Indian stock market launched during the period 2011 to June 2017 on the basis of two performance indicators (i) over-subscription ratio and (ii)listing day gains. This study aims at comparing the performance of the IPO's for two periods January 2011-May 2014 and June 2014-June 2017. The results of the study shows that the performance of the IPO's launched during the period 2011-May 2014 significantly differs from the performance of the IPO's which were launched between June 2014-June 2017. It was also examined that the number of IPO's and the fund raised through them also differ significantly for the two periods. [ABSTRACT FROM AUTHOR]