Driving capital markets offshore.

AuthorMangu-Ward, Katherine
PositionData - Brief article

In 2005, 24 out of 25 of the year's largest initial public offerings (IPOs) took place outside the United States. Does that mean American capital markets are losing their appeal?

A new study says yes. In a working paper for the Committee on Capital Markets Regulation, Luigi Zingales of the University of Chicago Graduate School of Business writes that "while in the late 1990s the U.S. capital market was attracting 48 percent of all the global IPOs, its share has dropped to 6 percent in 2005 and is estimated to be only 8 percent in 2006." Many companies listing outside their native stock exchange have chosen to list in London rather than New York.

Why the decline? Among other...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT