It is widely accepted that quid pro quo or favoritism exists in bookbuilding IPOs where the securities underwriter has share allocation discretion, and that auctioned IPOs should be largely free from quid pro quo because the underwriter does not have share allocation discretion. Using...

There is quid pro quo in auctioned IPOs. Using proprietary data on uniform-pricing IPO auctions, we show when the share allocation rule shifted from pro rata to lottery draw, fund families having pre-shift stronger brokerage commission ties with the underwriter submit bids later, place more...

Is there quid pro quo in auctioned IPOs - an alternative to bookbuilding in U.S. and elsewhere? Using proprietary data on uniform-pricing IPO auctions from China, we show when the share allocation rule shifted from pro rata to lottery draw (that makes quid pro quo valuable to a bidder), fund...