What is a IPO?


IPO
Sherilyn asks:

Ford Motor Company visits the NYSE to celebate the 50th anniversary of the company’s IPO.<---- THIS WHAT IS IT?

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8 Comments to "What is a IPO?"

  1. Odis

    “Initial Public Offering”. That’s when a stock first begins trading.

  2. Alysha

    Initial Public Offering.

    It’s where a company goes public, and starts to sell their stocks.

  3. Antonia

    Initial Public Offering… The day the stock first went on sale

  4. Catrina

    Its a cheap version of an iPod

  5. Berna

    Initial Public Offering.

  6. Arminda

    The firm first offers its common shares for sale to public investors. The IPO is managed by one or more investment banks known as underwriters.

    The underwriter is reponsible for buying the common shares from the issuing company, handling the legal and adminsterative requirements, marketing the IPO, and selling the shares to the public. That’s why large IPOs are handled by a synidacte of investment banks.

  7. Antonina

    IPO stands for Initial Public Offering. Basically this means that any company that wants to raise money from the stock market, it offloads some of its equity in the stock market which is then subscribed (bought) by investors.

    Since an IPO generally comes with strict regulations set by the SEC (Securities Exchange Commission), companies have to act in a transparent way and have to be answerable to companies. Moreover, they have to perform so as to keep the investors happy. If one succeeds in doing so, the stock price rises as a surge in demand of the common stock (shares). In effect, companies are propelled to keep the stock markets happy and in effect perform good. Infact it is a matter of pride for companies to get listed on the bourses (slang for stock market).

    This is perhaps the probable reason for celebration by Ford Motor INC.

  8. Eusebia

    I think it means put your dumb ass on the short bus.

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