Increasing numbers of Japanese firms have adopted or plan to adopt IFRS since 2013, when almost all listed firms were permitted to adopt IFRS in Japan. Although there are other options such as Japanese-GAAP, US-GAAP, or Japanese Modified International Standards (JMIS), these firms have chosen...

This paper examines the impact of first price revision that reflects institutional investors' demand on subsequent price formation in initial public offerings (IPOs). Unique setting of the Japanese IPO process allows retail investors to observe institutional investors' preliminary demand for the...