Financial Glossary: Lead Underwriter


en			ru			jp

Lead Underwriter

Lead Underwriter

A investment bank or other financial outfit that has the primary directive for organizing an initial public stock offering, or a secondary offering for companies that are already publicly traded.

The lead underwriter Will usually work with other investment banks to establish a syndicate, and thereby create the initial sales force for the shares. These shares Will then be sold to institutional and retail clients.

The lead underwriter Will assess the company financials and current market conditions to arrive at the initial value and quantity of shares to be sold. These shares carry a hefty sales Commission (as much as 6-8%) for the Underwriting syndicate, with the majority of shares being held by the lead underwriter.

Underwriting refers to the process that a large financial service provider (bank, insurer, investment house) uses to assess the eligibility of a customer to receive their products like Equity capital, insurance, mortgage or credit to a cust.

Posted by Institute for International Research

Back

Privatebanking.com

Get the attention you always wanted and promote your corporate image and standing by benefiting from our state of the art interactive web presence.

Ascent Limited

Experience The Difference. Ascent Limited provides first class wealth management and family office services. Our private banking team, assembled from a group of highly experienced banking professionals, will provide financial advice tailored to your individual requirements and keep your portfolio in tune with the latest market developments and opportunities.

©	Copyright by PRIVATE BANKING.COM 2002- - All rights reserved.