Chinese retail investors’ bet on IPOs pays outsize dividends, but analysts say bubble could burst without warning

//Chinese retail investors’ bet on IPOs pays outsize dividends, but analysts say bubble could burst without warning

Chinese retail investors’ bet on IPOs pays outsize dividends, but analysts say bubble could burst without warning

The initial public offerings (IPOs) of Chinese companies listing on the mainland’s stock markets have provided sure-fire first-day returns for the nation’s vast army of individual investors, but analysts cautioned that such exuberance could lead to a repeat of the meltdown seen five years ago.While all 243 IPOs completed during the first eight months of this year rose on debut, the first-day gain averaged 126 per cent, according to data provider Wind Information.“The buying craze in IPO shares…

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By | 2020-09-05T05:30:17+00:00 September 5th, 2020|Business|Comments Off on Chinese retail investors’ bet on IPOs pays outsize dividends, but analysts say bubble could burst without warning