Finance and Financial Management Commons^™

Alibaba Ipo, Steven D. Dolvin

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Most firms that undertake an IPO subject insiders (founders, initial investors, etc.) to a lockup period of, typically, 180 days. For Alibaba, this is not the case, which suggests that many additional shares could hit the market immediately after the IPO. This may mute the initial return that new shareholders could receive. See article here, WSJ.

Update: Even with insiders selling shares, the Alibaba IPO was well subscribed, generating a 38% return on the first day. Moreover, with additional shares sold (i.e., the overallotment option), the Alibaba IPO is reportedly the biggest IPO in history, raising $25 billion. See article …

The Wolf Of Wall Street, Steven D. Dolvin

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With the recently released movie (The Wolf of Wall Street), the fraudulent activities of the IPO underwriting firm Stratton Oakmont have come back into public view. For a detailed review of how the fraud took place, see here (Wall Street Journal).