IPO (Initial Public Offering)

May 9, 2024

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An Initial Public Offering (IPO) is the process by which a private company can go public by sale of its stocks to the general public. It could be a new, young company or an older company which decides to be listed on an exchange and hence goes public. Companies go public to raise equity capital and potentially broaden their financial base. An IPO allows a company’s founders and early investors to realize significant gains from their labor and investment, subject to lock-up agreements. Following an IPO, the company will be subject to public reporting requirements and will have increased legal and regulatory requirements and costs.

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About the author 

Jenna Lofton, an expert in stock trading, investing, and financial planning, combines over a decade of experience with rigorous academic training. Holding dual MBAs in Finance and Business Administration from the University of Maryland, Jenna's expertise is grounded in a deep understanding of the financial markets. Her career, which started on Wall Street, has evolved into empowering others through her insights and analyses in the dynamic world of finance.

Based in New York City, Jenna's approach is informed by her hands-on experience as a former financial advisor and her keen observation of market trends. She is known for translating complex financial concepts into actionable strategies, making her a valuable resource for both seasoned investors and newcomers to the stock market. Her commitment to financial literacy and her ability to demystify investment principles have made her a respected and authoritative voice in the investment community.

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