Given that institutional investors such as insurance companies, mutual funds, and pension funds are the major investors during initial public offerings, explain how each entity sources its funds to be able to participate in IPOs.

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter18: Initial Public Offerings, Investment Banking, And Capital Formation
Section: Chapter Questions
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Given that institutional investors such as insurance companies, mutual funds, and pension funds are the major investors during initial public offerings, explain how each entity sources its funds to be able to participate in IPOs.

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