tailieunhanh - Lecture Investments (Special Indian Edition): Chapter 3 - Bodie, Kane, Marcus

This chapter has been largely rewritten to reflect the ongoing transformation of trading practices, the growing dominance of electronic trading, the accelerating consolidation of securities markets, and continuing regulatory reform, in particular the response to the Sarbanes-Oxley Act. | Chapter 3 How Securities are Traded Primary vs. Secondary Security Sales Primary New issue Key factor: issuer receives the proceeds from the sale. Secondary Existing owner sells to another party. Issuing firm doesn’t receive proceeds and is not directly involved. Investment Banking Arrangements Underwritten vs. Best Efforts Underwritten: firm commitment on proceeds to the issuing firm. Best Efforts: no firm commitment. Negotiated vs. Competitive Bid Negotiated: issuing firm negotiates terms with investment banker. Competitive bid: issuer structures the offering and secures bids. Public Offerings Public offerings: registered with the SEC and sale is made to the investing public. Shelf registration (Rule 415, since 1982) Initial Public Offerings (IPOs) Evidence of underpricing Performance Private Placements Private placement: sale to a limited number of sophisticated investors not requiring the protection of registration. Dominated by institutions. Very active market for debt . | Chapter 3 How Securities are Traded Primary vs. Secondary Security Sales Primary New issue Key factor: issuer receives the proceeds from the sale. Secondary Existing owner sells to another party. Issuing firm doesn’t receive proceeds and is not directly involved. Investment Banking Arrangements Underwritten vs. Best Efforts Underwritten: firm commitment on proceeds to the issuing firm. Best Efforts: no firm commitment. Negotiated vs. Competitive Bid Negotiated: issuing firm negotiates terms with investment banker. Competitive bid: issuer structures the offering and secures bids. Public Offerings Public offerings: registered with the SEC and sale is made to the investing public. Shelf registration (Rule 415, since 1982) Initial Public Offerings (IPOs) Evidence of underpricing Performance Private Placements Private placement: sale to a limited number of sophisticated investors not requiring the protection of registration. Dominated by institutions. Very active market for debt securities. Not active for stock offerings. Organization of Secondary Markets Organized exchanges OTC market Third market Fourth market Organized Exchanges Auction markets with centralized order flow. Dealership function: can be competitive or assigned by the exchange (Specialists). Securities: stock, futures contracts, options, and to a lesser extent, bonds. Examples: NYSE, AMEX, Regionals, CBOE. OTC Market Dealer market without centralized order flow. NASDAQ: largest organized stock market for OTC trading; information system for individuals, brokers and dealers. Securities: stocks, bonds and some derivatives. Most secondary bonds transactions Third Market Trading of listed securities away from the exchange. Institutional market: to facilitate trades of larger blocks of securities. Involves services of dealers and brokers Fourth Market Institutions trading directly with institutions No middleman involved in the transaction Organized information and trading systems ECN Development International

• Quỹ đầu tư
• Lecture Investments
• Portfolio theory
• Equilibrium in capital markets
• Investment environment
• Financial instruments
• Private placements
• Accounting principles
• Lecture Accounting principles
• Financial reporting
• Classifying investments
• Accounting for trading investments
• Strategic investments
• International operations
• Noninfluential investments
• Motivation for investments
• Fundamental accounting principles
• Lecture Fundamental accounting principles
• Financial accounting
• Lecture Financial accounting
• Accounting system
• Interpreting investments
• Passive investments
• Equity securities
• Investments in stock
• Survey of accounting
• Lecture Survey of accounting
• Capital investments
• Planning for capital investments
• Reinvestment assumption
• Internal rate of return
• Intermediate accounting
• Lecture Intermediate accounting
• Investments in debt securities
• Investments in equity securities
• Available for sale securities
• Debt investments
• Stock investments
• Financial statements
• Nguyên lý kế toán
• Managerial Accounting
• Lecture Managerial Accounting
• Kế toán quản trị
• Capital budgeting evaluation
• Accounting for cash
• Accounting cycle
• Business decision
• Kế toán tài chính
• Analyzing investments
• Financial information
• Financial statement analysis
• Intercorporate equity investments
• Minority passive investments
• Acquisition method
• Investment analysis
• Principles of portfolio
• Equity analysis
• Portfolio management
• Market organization
• Security market indices
• Market efficiency
• Investment management products
• Portfolio risk
• Portfolio planning
• Company analysis
• Equity valuation