The trading that occurs after an initial public offering (IPO) is the aftermarket. The trading volume on the first day that an equity is publicly offered is extremely high. Flipping and aftermarket purchases can cause the volume to unexpectedly rise or drop in the days immediately following an IPO. Investors must be aware of the risks involved with trading in a fast aftermarket. The aftermarket performance is the appreciation or depreciation of an IPO from the offering price forward. However, to get a more realistic benchmark, some investors prefer to track the aftermarket performance from the first day close because of the high volatility during the first day of trading.
Trading in an issuer's securities once the company has gone public. Aftermarket trading is between third parties and does not involve the issuer. A stock's aftermarket performance is an indication of how well the stock has performed after it has gone public. The increase or decrease is measured against the offering price.
The trading of a stock or security that happens after the initial public offering (IPO). Also referred to as the secondary market. Proceeds from sales in this market go to brokers and dealers, whereas the proceeds in an IPO go to the issuing company.
The stock market activity in which traders buy and sell shares in a public company after it has gone public.
Also known as secondary market. The period of dealing following the primary market when a new security is issued.
General name for the trading activity in a security during the period of its initial offering to the public, and immediately thereafter, until the syndicate account is closed.
Trading of an offering on or after the listing date.
The trading activity in a security in the period immediately following its public offer to the public.
Trading in the IPO after its initial offering is called the aftermarket.
Refers to trading in the secondary market following a new securities issuance.
Trading in the IPO subsequent to its offering is called the aftermarket. Trading volume in IPOs is extremely high on the first day due to flipping and aftermarket purchases. Trading volume can decline precipitously in the following days.
A term used to reference the trading of a new issue or, the secondary market. See: Effective Date; Secondary Market
The Secondary Market. Used in reference to trading in a new issue. See: Effective Date; Secondary Market.
The trading market that develops for shares after the public offering is over. Orders to buy or sell shares are matched in the over-the-counter (OTC) market by a securities firm acting as a market maker. For NYSE or American Stock Exchange shares, a specialist on the stock exchange will match orders. The quality of the aftermarket is measured by its ability to absorb bid price or asked price orders without major disruptions in the price. That ability is a function of the market's liquidity - the number of shares owned by the public, rather than by company insiders (called the float), and the extent to which the public is active in trading the shares, rather than holding them for the long term.
This is the active market where traders buy and sell shares in a public company. The most common markets are NASDAQ, New York Stock Exchange and American Stock Exchange.
trading in an IPO immediately following its offering
The period following the start of dealing in shares which have been newly issued on a stock market
A market for a security either over-the-counter or on an exchange after an initial public offering has been made. (See Free Riding; Hot Issue; Stabilization; Withholding).
The aftermarket for a newly issued stock or other security is the trading of it that occurs following the initial public offering of the security. In the aftermarket, an investor purchases a security from another investor rather than directly from the underwriter. See: Secondary Market, Primary Market